# TWAP Order

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### <mark style="color:orange;">TWAP Order (Time-Weighted Average Price)</mark> <a href="#id-4cde" id="id-4cde"></a>

A TWAP (Time-Weighted Average Price) Order is an advanced algorithmic order type that automatically breaks a large trade into smaller, evenly distributed fills executed over a defined time period. This approach helps reduce price impact and slippage, allowing traders to enter or exit large positions without disrupting market prices.

### <mark style="color:orange;">How TWAP Orders Work</mark> <a href="#id-4cde" id="id-4cde"></a>

When you place a TWAP order, Definitive’s algorithm:

* Splits your total trade into multiple smaller fills, called segments.
* Schedules execution of each segment over a user-defined time range - anywhere from 10 minutes to 30 days.
* Monitors onchain market conditions throughout the duration, dynamically routing each fill through the optimal venue among 100+ integrated DEXs in Definitive’s smart order router.
* Executes segments automatically, achieving an average fill price that closely tracks the time-weighted market average.

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