Atomic crypto currency swaps tricks
We will talk about crypto swaps and particularly Atomic Swaps, a new way to do cryto swaps today. What does this really mean? Decentralized exchanges are competing with centralized exchanges and are using atomic swaps to compete with centralized fees and offer crypto traders a choice on how they want to transact and facilitate crypto transactions. Contrary to opinion, the way that cryptocurrencies are traded are usually thought to be decentralized, but in most cases, they are not. As the technology driving decentralized exchanges evolves, cryptocurrency users will have access to a truly decentralized means of trading crypto through atomic swaps, whilst being able to retain control over their digital assets at all times.
The digital market is relatively new, so countries and governments are scrambling to bring in cryptocurrency taxes and rules to regulate these new currencies. If you’re not aware of these before you start trading, you may find yourself in a spot of expensive bother further down the line. Many governments are unsure of what to class cryptocurrencies as, currency or property. The U.S in 2014 introduced cryptocurrency trading rules that mean digital currencies will fall under the umbrella of property. Traders will then be classed as investors and will have to conform to complex reporting requirements. Details of which can be found by heading to the IRS notice 2014-21. On top of the possibility of complicated reporting procedures, new regulations can also impact your tax obligations. The U.S, the ‘property’ ruling means your earnings will now be deemed as capital gains tax (15%), instead of normal income tax (up to 25%). Each countries cryptocurrency tax requirements are different, and many will change as they adapt to the evolving market. Before you start trading, do your homework and find out what type of tax you’ll pay and how much.
External attacks aside, centralized exchanges are also suspect to internal maintenance issues and corruption. Wallet maintenance” or disabled withdrawals are especially two big problems. Atomic swaps are going to give you complete control over your money. Direct wallet-to-wallet trading epitomizes decentralization in its purest form. Exchanges are constantly targeted for regulation purposes which makes the whole trading process increasingly centralized. Since atomic swap directly connects two wallets to each other, it removes all the steps and confirmations required by centralized exchanges. It is a faster option. One of the best features of cross swap is the removal of intermediary tokens. Eg. if you have LTC and want to buy Decred in a normal exchange, you will have to sell your LTC for BTC and then buy your decred tokens. Via atomic swaps, you can get this trade done in one go. Find more info on Crypto Swap.
Shapeshift offers a unique exchange rate for each coin that changes every 30 seconds according to market conditions, but its typical ‘miner’ fee is in the ballpark of 0.5%. Support is provided for 29 cryptocurrencies including BTC, BCH and DAI, and boasts one of the nicest interfaces on the market. Another very good choice is Atomiic.io.
The Atomiic.io team is glad to welcome you at our service. We have done the process of cryptocurrency exchange simple, safe and comfortable. Our customers don’t need to create accounts or store their funds at Atomiic.io. We offer swaps of more than 300 cryptocurrencies. Our team is always glad to add new coins to the Atomiic.io list of currencies and is looking for new partners to make our platform even better. Source: https://atomiic.io/.