Atomic Swap
A smart contract technology that enables the interchange or exchange of cryptocurrencies without the involvement of intermediaries such as central authority or exchange is known as atmoic swap.
Atomic Swaps can occur between blockchains of various cryptocurrencies or they can occur on the off-chains away from main blockchain.
What is the first conducted atomic swap ?
The atmoic swap was first conducted in September 2017 , which is conducted between Decred and Litecoin.
After which many startups and decentralized exchanges have inherited the same feature of atomic swaps to their users.
For a glance : Lightning Labs has conducted off-chain swaps whcih uses bitcoin’s lightning network for transactions.
The Need of Atomic Swaps
The exchange of very large amount of cryptocurrencies becomes easier and safer with atomic swaps when compared with cryptocurrency exchange platforms.
In exchanges, there is a chance of occurance of hacks of cryptos and also every exchanges collects high trading fees for every transactions.
Thus, atomic swaps can improve speed and amount of transactions in every cryptocurrency exchanges.
Advantage of Atomic Swap
When there comes a situation a trader wish to migrate accounts or wish to make several converstions between intermediates coins, there occurs counterparty risk if they does through exchanges.
Thus Atomic swaps can resolve this problem using the Hash Timelock Contracts (HTLC). This HTLC is a smart contract between the parties involved .
Bitdeal
If you have decentralized exchange platform, you can get atomic swap script from Bitdeal to merge with our exchange features.
Bitdeal also develop and deploy the best risk-free decentralized exchange script with the feature of atomic swap inbuilt with the codings.
You can book a live demo anytime for free of cost.