# Basics

> Plain-language explanations of prices, fees, ranges, and wallet actions.

## Wallets and Networks

A wallet holds your address and asks you to approve actions. Giwater currently runs on GIWA Sepolia, a test network. If your wallet is on another network, the app asks you to switch before continuing.

Every completed action uses a small amount of test ETH as a network fee. Connecting a wallet is free; submitting a transaction is not.

## Prices and Price Movement

Pool prices come from the assets currently available in that pool. A swap can move the price, especially when the trade is large compared with the pool.

**Price impact** is the movement caused by your trade. **Price tolerance**, often called slippage, is the extra movement you agree to accept while the transaction is being processed. Giwater will stop the swap if the final amount falls below the protected minimum shown in review.

## Fees

Swappers pay a trading fee to the pool. Liquidity providers earn a share of those fees while their positions are active. Wallet transactions also pay a separate network fee in test ETH.

APR is an estimate based on recent activity. It is useful for comparison, but it is not a guaranteed return.

## Pool Ranges

A liquidity range is the minimum and maximum price where a position is active. Inside the range, the position can take part in swaps and earn fees. Outside the range, it stops earning new fees and may hold mostly one asset.

Narrow ranges use capital more closely around the current price. Wide ranges can stay active through larger price moves. Neither choice removes price risk.

## Approvals

An approval is a wallet permission that lets Giwater use a selected asset for a later action. It is common to see approval before a first swap, deposit, or Gacha purchase.

Approval is not the final action. Wait for it to finish, then review and confirm the swap, deposit, or purchase separately.

## Testnet Assets

BTC, USDC, AAPL, SPCX, SKHY, ETH, and other assets shown on GIWA Sepolia are test versions. Their names may resemble real assets, but the test tokens do not represent ownership of the real asset and have no real-world value.

Use the Faucet to obtain test assets and treat every displayed balance as part of the test environment.