What is AirSwap (AST)?
AirSwap (AST) is a decentralised protocol that facilitates peer-to-peer trading, providing users with a range of applications and tools that are both free and easy to use. Its primary goal is to streamline the trading process for ERC-20 tokens, allowing individuals to engage in transactions without intermediaries.
How AirSwap Works
At its core, AirSwap is built on smart contracts, which are self-executing contracts with the agreement directly written into code. This foundation enables secure trading between parties, eliminating the need for a centralised exchange.
Off-Chain Negotiation and On-Chain Settlement
AirSwap employs a unique two-part trading process. Initially, users engage in off-chain negotiation, where they signal their intent to trade tokens. This step allows traders to communicate freely, discussing prices and terms without the risk of on-chain fees. Once both parties agree on the details, they proceed to on-chain settlement. This process involves the execution of the agreed-upon transaction through the Ethereum blockchain, ensuring a secure and transparent exchange of tokens.
Request for Quotation Mechanism
Unlike traditional exchanges that rely on an order book to facilitate pricing, AirSwap utilises a Request for Quotation (RFQ) mechanism. Traders can communicate their prices directly to one another, promoting a more personalised trading experience and fostering a direct relationship between buyers and sellers.
Key Features of AirSwap
- Trustless Trading: AirSwap allows users to trade without trusting a central authority, reducing the risks associated with custodial services.
- Non-Custodial Structure: Traders maintain control over their assets throughout the trading process, enhancing security and privacy.
- Decentralised Protocol: AirSwap operates on a decentralised network, promoting fairness and accessibility in trading.
Impact on the Finance Industry
By leveraging blockchain technology, AirSwap aims to disrupt traditional financial systems, offering a decentralised alternative that is both efficient and user-centric. This innovation has the potential to transform how individuals engage with tokens, making trading more accessible and less expensive.
Official Resources for AirSwap
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