Atomic swap, explained
An atomic swap is a protocol for exchanging assets in a way designed to make the agreed exchange complete or unwind under its rules.
- The field
- Payment
- Reading time
- 1 minute
- In this entry
- Meaning · relevance · limits
The meaning
An atomic swap is a protocol for exchanging assets in a way designed to make the agreed exchange complete or unwind under its rules.
Why it matters
Implementations and supported asset pairs differ. Review the actual protocol, timeouts and software before relying on the term.
The boundary
The label does not establish price fairness, universal compatibility or freedom from implementation risks.
Check the mechanism behind a swap offer
Two parties exchange assets through a protocol designed so that either the intended exchange completes or the participants can recover under its rules. That technical construction differs from sending funds to an exchange that promises conversion. A service calling a trade a swap is not evidence that it is atomic, non-custodial or exempt from identity checks.
- Verify supported chains, lock-time behaviour, software and recovery steps for the actual protocol.
- Assess custody and counterparty requirements independently of the marketing name.