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A new player in the cryptocurrency exchange market has hit the ground running and is coming at us full steam ahead. Altcoin.io presents itself as the first fully decentralized exchange platform that uses “Atomic Swaps” to exchange your currency.
What is decentralized trading?
To approach this question at it’s core, take into consideration that most cryptocurrency exchanges are centralized. By this, we mean that everything is hosted at a centralized location and all transactions happen in one place.
Decentralized Trading would mean quite the opposite of what most exchanges are doing right now, which is centralized. A crypto trader wouldn’t lose their coin through any type of hardware failure, lost credentials, or any other sort of happening.
Although the traditional form of trading provides certain amenities that decentralized trading does not, Altcoin.io says that they plan to eliminate the downfalls of decentralized trading by incorporating the pleasantries of centralized and adding them to decentralized. Here’s a diagram from altcoin.io’s website that explains some of this.
That’s awesome, but what is an Atomic Swap?
To sum it up in a short one liner, an atomic swap is more or less “atomic” if the swap fails neither party loses their coin. The exchange plans to offer two kinds of swaps, on-chain and off-chain. On-chain swaps are self explanatory but the exchange takes this to another level with off-chain swaps which they claim to be almost instant, anonymous, and require a minimal fee.
The technology behind these swaps is something called a “hashed time locked contract” which essentially means that both parties involved in the swap must turn their key at the same time for the contact to execute. This ensures that if one person is out of sync the other person doesn’t lose their coin.
Who’s participated so far?
On September 19th of last year, the first swap happened between Decred and Litecoin. This was a huge push forward in cross-chain swaps.
The second milestone happened on the 7th of October of last year when they completed a successful Ethereum to Bitcoin swap which was a major milestone as this was a swap between two different chains, which was more complex than the previous.
What’s in the future?
Altcoin.io aims to let you exchange any currency for any other currency despite the blockchain it lives on. They want to be able to do this instantly, securely, and with nominal fees.
They aim to be the first one to accomplish this feat.
Will my favorite alt-coin be included?
This remains to be seen, however, if your alt-coin is not currently supported you can start a thread here to tell them you want it added.
Here are some links to our favorite alt-coins that we want them to add!
Do you have an alt-coin you want listed? What do you think about this new decentralized exchange? Let us know in the comments or join us on discord by clicking the link at the top of the page that says “Join our Discord” and discuss it with us!