What is an atomic swap?

An atomic swap is a process that allows two parties to exchange cryptocurrencies from different blockchains without the need for a trusted third party, using smart contracts to ensure the transaction is completed securely.

How does an atomic swap work?

An atomic swap uses a hashed time-locked contract (HTLC) to secure the trade. Both parties must fulfill the terms of the contract within a set timeframe for the swap to occur. If either party fails to fulfill their obligation, the transaction is canceled, and no one loses their cryptocurrency.

Are atomic swaps secure?

Yes, atomic swaps are considered secure because they use smart contracts and cryptographic techniques to ensure that the trade happens only if both parties fulfill their conditions. However, as with any new technology, it’s important to use reputable platforms and carefully assess any associated risks.

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