Developed by the same company responsible for Shrek: Fairytale FreakDown, Shrek: Swamp Kart Speedway is a kart racing title fashioned after the popular Mario Kart. There are 12 characters, eight of which are initially available. Each kart also varies in three distinct areas: handling, speed, and recovery. After picking a character, players must compete on 16 different courses spread throughout the Shrek universe, including familiar locales such as the Swamp, Countryside, Forest, and Castle, all in a quest to obtain the dragon's treasure.

Littered throughout each course are a number of white and black fairytale spell books. Once picked up, the white books enable drivers to unleash offensive attacks, such as pumpkins or shrinking spells. The black books, on the other hand, adversely affect characters. Link Cable support is provided for four players, though it requires that all participants have their own copy of the game. Battery backup lets players save progress as well as any unlocked features before turning off the handheld.