WHAT IS AN ATOMIC SWAP?

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INTRODUCTION

If you want to swap a token to an other token, you might want to send your Bitcoin to a centralized exchange like Coinbase or Binance and that will cost you some transaction fee up to 50% depending on how the network is congested. If you are going to be using Coinbase or Binance, you will work to give them your personal information such as your drivers license, picture, address and phone number. Once you deposited your Bitcion into that exchange, you sell it for real money and you therefore you that money to buy another crypto such as BNB and transfer it into your wallet. That will cost you some extra charges and it is a long process.

HOW ATOMIC SWAP WORKS

For instance, you to trade your Bitcoin to BNB, Atomic swap can do that for you well easily but they use third party. Third party is just a trusted codes like smart contract. What you will do is to submit your Bitcoin this third party code and the other fellow will also put the BNB into the third part code. You submitting your coin into the third part code me you have already agree and it price s non-negotiable. The two parties will have to lock the coins is the box and they are automatically give a key there box.

BENEFITS OF ATOMIC SWAP

No error come be committed and it therefore mean that it can not be hack. A Coinbase or Binance wallet could get hack but an Atomic swap can not be hack. The transaction fees are very low and also you do not need to worry about give your personal information because they don't ask for personal information.

ATOMIC PART OF THE ATOMIC SWAP

In the world of science, Atomic mean that exactly as planned for something or the thing is not going to occur. We relate it will what Atomic swap does, it means that no swap will occur less the two parties that want to trade do the right thing. Atomic Swap get raid of the risk of someone running away with your coin because transaction can only be completed unless the two party agree on transaction.

TECHNICAL OF ATOMIC SWAP

Atomic Swap is using a hased time lock smart contract to make sure that all the token deposited to the third party code are not accessible to any one until both parties have submitted there tokens. If one of the party didn't submit their token, the token will automatically be returned to other party.

CONCLUSION

Atomic swap is a very good platform but it has some limitations of which coin are to be swap. Although, Atomic swap solve the problem of users swapping there cryptocurrency but the are other project that has done some good jobs on this. I hope you find this discussion about Atomic Swap interesting.