In July 2012, Sergio Demian Lerner put forward the idea of "creating a trustless transaction protocol" and named it P2PTradeX, but it did not receive industry attention. Then came 2013, when things took a new turn. Tier Nolan first proposed the concept of atomic swap on the basis of P2PTradeX, and explained the basic principles of its application in cross-chain cryptocurrency atomic swaps. In 2014, the developer JI777 conducted a test of atomic swap between Dogecoin and Litecoin, which only appeared the true description of Nolan atomic swap.
Since then, with the continuous development of the blockchain, there have been many high-quality public chain projects in the industry. They are based on different technical characteristics, benefit distribution, underlying logic, and application scenarios. Each project carries its own ecology and value, but cannot be connected, forming "islands of value." In this industry background, based on the desire for Wanchain Interconnection, finally under the continuous efforts of blockchain practitioners-in September 2017, Litecoin announced on Twitter that it successfully executed the first atomic exchange transaction. After this, atomic swaps finally attracted widespread attention from the cryptocurrency community.
- Beijing Haidian District uses the “blockchain” to handle real estate registration and transfer
- Viewpoint | Data visualization of stable currency DAI
- When the insurance industry encounters blockchain
- The United Nations has set up a cryptocurrency fund to accept bitcoin and Ethereum donations.
- Non-serious discussion on blockchain finance from "self-tearing" (3): reality and future
- Blockchain startup Upvest secures $ 7.8 million in Series A funding, targeting "10 trillion euros" alternative investment asset class
Atomic exchange is a kind of blockchain system that can still exchange atomic crypto assets in different blockchain systems. It is peer-to-peer and requires no trust. The operating principle of this is simple: Suppose Xiaoming wants to exchange 1 BTC for Xiaohong's 100 LVs. In order to trade, the two of them need to transfer their BTC and LV to a certain address and generate them separately. Corresponding two "values" (can be understood as passwords or keys), both parties are conducting transactions based on these two "values". When Xiaoming obtains the LV saved by Xiaohong through an "value", the "value" of BTC will be displayed on the blockchain, and Xiaohong will get the corresponding BTC, and at the same time the two parties complete the transaction.
The above is the entire process of decentralized transaction based on atomic swap technology. Either party will abide by the agreement in the instant peer-to-peer transaction, and if one party subsequently withdraws, the assets will be returned to their respective accounts within the prescribed time. It can be said that the entire atomic exchange process ensures that an event on one chain will trigger an event on another chain, which guarantees the security of the transaction process to a certain extent, thereby solving the problem of trust and fundamentally preventing when an event occurs , And another event is not triggered. Atomic swaps can also be understood as the success or failure of atomic swaps.
First and foremost, the biggest significance of atomic exchange is that it achieves real transaction decentralization, which can complete transactions without third-party access, and prevents transaction risks. Second, because of the atomic exchange technology, cryptocurrency holders always have full control. Its own assets eliminate the problems of hacking and malicious rollback caused by centralized exchanges. Finally, it solves the time-consuming and cumbersome problems in the current cryptocurrency exchange process, and promotes the connectivity of various blockchains, making the chain-to-chain The value circulation was realized between them, which provided the cornerstone for the development of the overall blockchain ecosystem.
Although more and more projects have turned to the technology of atomic swap, this road is not unimpeded, and there are still many problems waiting to be solved. For example: how to solve the compatibility problem, because each cryptocurrency needs to meet the conditions of atomic swap before this technology can be used, so it poses an important challenge for the number of cryptocurrency supporting atomic swap technology. In addition, in order to achieve more real-time and more efficient atomic swaps, it is necessary to solve the problem of increasing the rate of large amounts of transaction data, which is also the key problem of atomic swapping technology.
All in all, this technology still needs more time to develop. It is believed that with the continuous maturity of atomic exchange technology, the information flow between blockchains will be greatly enhanced, thereby achieving the value circulation between tokens. The independent blockchain network will eventually move towards the future of interconnection through atomic exchange. The blueprint for atomic swaps has been drawn and is waiting for many project teams to work hard.
For Lava, who wants to consolidate the global storage space consensus through the PoC mechanism, and build the "root of trust" and "top-level index", the atomic swap technology is crucial, laying a solid foundation for its vision. In the future described by Lava, Lava's main chain can embed Layer 2 in an unlimited number of regions and an unlimited number of content-based distributed storage networks through a cross-chain solution, and provide trust through the "spatial computing power" of the main chain. A basic environment to achieve the top-level indexing of distributed storage network resources, resource scheduling, and matching and recording of corresponding transaction behaviors.
Today, Lava has officially deployed symmetric cross-chain atomic switches to achieve decentralized cross-chain transactions. The PoC mechanism plus Lava of atomic exchange technology adheres to the core concept of building a multi-chain cross-chain, high-availability, and high-security blockchain application. Through the continuous innovation and deep cultivation of the project team, the accumulated trust value is fed back to based on Storage space applications and services will eventually bring the real decentralization of cryptocurrency assets and high-value landing applications to the industry.