PixelSwap101 - Why We Need Atomic Swaps on TON?
In our previous #PixelSwap101, we introduced what Atomic Swap is and how it works. Today, let’s dive into the advantages of Atomic Swaps and understand why it’s called the "pearl of TON DeFi."
Atomic swaps provide traders with unique advantages that traditional solutions lack:
- Lower fees: Without a third-party intermediary, transaction costs decrease, resulting in lower fees.
- Cross-chain interoperability: Atomic swaps enable asset exchanges across different blockchains while maintaining custody of assets and private keys.
- No fiat currency involved: Users can directly exchange crypto assets, avoiding the need for fiat currency.
- Faster transactions: Transactions are swiftly executed via smart contracts, which automatically fulfill trades once both parties meet their obligations.
- Enhanced security: Smart contracts provide greater security, ensuring users retrieve their assets if the other party doesn’t fulfill the agreement.
- Reduced counterparty risks: With no reliance on a centralized third party, traders retain full control of their assets.
- Deeper liquidity: Cross-chain interoperability expands liquidity by making assets tradable across various blockchain networks.
- Direct asset-to-asset swaps: Traders can swap crypto assets directly without needing to first convert to a stablecoin or perform multiple transactions.
- Guaranteed outcomes: Smart contracts guarantee trades execute as described, or users receive their funds back.
Rewards always come with challenges. As a sophisticated technology, Atomic Swaps do present certain development difficulties on the TON Blockchain. However, PixelSwap has largely overcome these challenges and is set to launch the most innovative Atomic Swap solution soon. Stay tuned!
