We will discuss about crypto swaps and particularly Atomic Swaps, a new way to do cryto swaps today. Recent developments in blockchain have made it possible for traders to exchange cryptocurrencies without centralized platforms. Decentralized exchanges (DEX), allow users to exchange crypto without it ever leaving the safety of their own private wallet using a unique exchange method known as an atomic swap.What is an atomic swap?
Embrace volatility – Cryptocurrencies are famously volatile. The price of Bitcoin, for example, went from $3,000 down to $2,000 and then leapt up to nearly $5,000, all within three months in 2017. Whilst this means risk is high, it also means the potential for profit is great too. It’s always sensible to check the volatility of the exchange you decide to go with. Understand blockchain – You don’t need to understand the technical complexities, but a basic understanding will help you respond to news and announcements that may help you predict future price movements. It is essentially a continuously growing list of secure records (blocks). Cryptography secures the interactions and then stores them publicly. They serve as a public ledger, cutting out intermediaries such as banks.
What Decred and Litecoin achieved was an on-chain atomic swap. On-Chain swaps takes place on either currency’s blockchain. In order to do this though, both currencies must: Support HTLC, Have the same hashing algorithm. Off-Chain Swap: Off-chain swap, on the otherhand, allows you to do atomic swaps off the blockchain. These basically take place on what is more commonly known as “layer 2”, Bitcoin and Litecoin engaged in the first ever off-chain atomic swap in November of 2017 by using the Bitcoin Lightning Network. How Different Exchanges Achieve Atomic Swaps Different companies have different ways of executing the atomic swaps. Read extra details at Swap Crypto.
Shapeshift offers a unique exchange rate for each coin that changes every 30 seconds according to market conditions, but its typical ‘miner’ fee is in the ballpark of 0.5%. Support is provided for 29 cryptocurrencies including BTC, BCH and DAI, and boasts one of the nicest interfaces on the market. Another good choice is Atomiic.io.
Our service provides two exchange types: floating rate and fixed rate. You can always choose the most suitable one for you. We make the cryptocurrency exchange process simple as a daily shopping trip. All in order for you to exchange what you want, when you want and as much as you want. A user-friendly and easy-to-use platform for cryptocurrency exchanges. It works without registration and limits. Visit: https://atomiic.io/.