Every now and then, we are reminded of the harmful effects of centralised systems. Just recently, the CoinDash ICO was attacked with hackers changing the ICO address to their very own. The diverted address was able to steal $7 million in stolen Ether. Unfortunately, this was always going to be the case as centralised systems have been the norm from the beginning of the internet. In order to support and grow Bitcoin, the old systems, such as centralised exchanges and websites for ICOs, had to be used. This was due to the fact that there was no decentralised option yet and the masses, still accustomed to old methods, found it accessible.
Cryptocurrency coders are now fighting back as just about everything under the sun is becoming decentralised. The one centralised system that has been attacked the most are, of course, centralised exchanges. Time and time again hackers have been able to access hot wallets through the backend of the website, hence, stealing users funds. Currently, there are solutions to this problem, however, they are limited in its ability. The NXT and WAVES exchanges are truly decentralised, but they lack the ability to trade outside their own blockchain. The way around this problem is the creation of gateways which allowed users to buy and sell “pegged tokens” that represent other cryptocurrencies 1:1. For example, WAVES have just released their Ethereum gateway, allowing users to trade a token, which is fully backed by Ethereum, on the WAVES platform.
The SuperNET team takes decentralised exchanges one step further, and it is the work of true marksmanship. The name is BarterDEX; deriving from the idea of exchanging goods and services without the need of a medium of exchange. As it stands, Bitcoin is still the undisputed medium of exchange in the crypto world because it was the first to market. SuperNET’s BarterDEX is aiming to flip this notion on its head with the use of atomic swaps.
Atomic swaps have been one of...