Atomic Exchange

Atomic exchange refers to the process of exchanging one cryptocurrency for another without the need for a trusted intermediary. It allows for direct peer-to-peer transactions where the exchange takes place simultaneously or not at all. This means that either both parties receive the agreed-upon amount of cryptocurrency or the transaction is cancelled entirely.

In an atomic exchange, the transaction is set up in such a way that both parties must fulfill their end of the deal for the exchange to occur. This is achieved through the use of smart contracts which ensure that the exchange is executed in a secure and trustless manner.

Overall, atomic exchanges provide a secure and efficient way for individuals to swap different cryptocurrencies without relying on a third party to facilitate the transaction. This helps to reduce counterparty risk and improve the overall transparency of the exchange process.