What is eigenswap?
- It's a Monero $\leftrightarrow$ Bitcoin atomic swap implementation written in Rust
- It has been battle-tested for $>3$ years. It has proven to be secure and reasonably reliable
- It's the primary way to onboard eigenwallet users into the Monero ecosystem
- It allows swapping anything from 20€ to 500,000€ of Bitcoin into Monero, all without counterparty risk and without the need for pre-established trust
- We conservatively estimate it has secured > 80,000,000€ worth of Bitcoin $\leftrightarrow$ Monero swaps over its lifetime.
How does it work?
- There a makers and takers:
- Takers run a short running process (through the eigenwallet). They want to convert their Bitcoin into Monero.
- Makers run a long running process (we call the asb). They offer Monero for sale and in exchange they ask for Bitcoin.
- Makers run a Tor hidden service2 which hides their IP address. Takers connect to that hidden service to take them up on their offers.
- Makers sell slightly above market price (usually 0.5% - 4% above market price). They compete with each other to offer the best exchange rate. Due to the strong incentive to profit off the arbitrage, there'll always be enough makers to provide a enough liquidity and markups stay low.
- It implements the protocol described in a paper by Philipp Hoenisch and Lucas Soriano del Pino1
[1]: Philipp Hoenisch and Lucas Soriano del Pino, Atomic Swaps between Bitcoin and Monero, arXiv:2101.12332, 2021. https://arxiv.org/abs/2101.12332 [2]: Wikipedia, Tor (network) - Onion services, https://en.wikipedia.org/wiki/Tor_(network)#Onion_services