What are Peer-to-Peer Token Swaps?
It doesn’t matter if it’s baseball cards, electronics, or money, if you’ve ever traded directly with another person, you’ve completed a peer-to-peer (P2P) swap. In a P2P system, you aren’t required to trust third parties in order to process transactions, as they are conducted directly between individuals. This concept is playing an important role in cryptocurrencies where P2P token swaps are removing the need for financial institutions and centralized exchanges (CEX) to act as intermediaries. Instead, this decentralized approach makes P2P swaps directly from a bitcoin wallet efficient and trustless.