Swap. Why and when you do swap your coins?

[a298b112]

Recently I found out about swapping possibilities in the desktop app of my cold wallet. I kind of understand what is the swap however still not sure my understanding is correct. Hence few questions regarding swapping of coins:

1. Why would you swap one coin to another?
2. When do you decide to do it? Like what is the indicator that swap can be profitable?
3. Do you use CEX or DEX? Or some wallet?
4. What if you don't have a pair on a CEX? Do you convert to USD/USDT and buy another coin?
5. What are risks usually related to swapping?
6. Any advice you would want to share with beginners?

thanks.

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[Faisal2202]

1. Why would you swap one coin to another?
2. When do you decide to do it? Like what is the indicator that swap can be profitable?
3. Do you use CEX or DEX? Or some wallet?
4. What if you don't have a pair on a CEX? Do you convert to USD/USDT and buy another coin?
5. What are risks usually related to swapping?
6. Any advice you would want to share with beginners?

1. If I need BUSD, or Matic while I have BNB or any other available pair token then I will make the swap, it is just like trading but with a higher fee.
2. Swapping would be profitable in terms of getting airdrops, or otherwise it is the same as trading where we have to do FA and TA to make profits, we have to do the same here.
3. I have used CEX's and DEX's swaps and also wallet's swaps too.
4. If we don't have pair then we find a way, like you aforementioned.
5. high fee, other than that, I don't see any risk until you are using a trusted one.
6. Do no take swapping as trading, if you want to trade then trade instead of swap. I hope these answers will be of help.

[famososMuertos]

Let's say it is an alternative for when the occasion warrants it, for example you need to pay a gas fee for token "A," Well, you change token "B".
You don't want to withdraw a certain token from the exchange because the fees are very high, so, swap, you send it to your wallet and there you make the swap to the cryptocurrency you want to hold.

They help you or solve it, but they are not cheap, in my case I have sometimes paid up to 10% but for small amounts, but I have been able to make the payment or withdraw, as the case may be.

[terrific]

Recently I found out about swapping possibilities in the desktop app of my cold wallet. I kind of understand what is the swap however still not sure my understanding is correct. Hence few questions regarding swapping of coins:

1. Why would you swap one coin to another?
2. When do you decide to do it? Like what is the indicator that swap can be profitable?
3. Do you use CEX or DEX? Or some wallet?
4. What if you don't have a pair on a CEX? Do you convert to USD/USDT and buy another coin?
5. What are risks usually related to swapping?
6. Any advice you would want to share with beginners?

thanks.

1. Because I need it.
2. When I need it and when I want to sell, usually.
3. Both. Those wallets that have integrated exchanges, I had no problem with them.
4. Yes, that's what I'll mostly do.
5. Not that much at all but just the fees and expect that you'll receive lesser than the amount you'll trade.
6. Just explore and experience it but be wary of what to use and stick to the known ones as you start.

[AmoreJaz]

Recently I found out about swapping possibilities in the desktop app of my cold wallet. I kind of understand what is the swap however still not sure my understanding is correct. Hence few questions regarding swapping of coins:

1. Why would you swap one coin to another?
2. When do you decide to do it? Like what is the indicator that swap can be profitable?
3. Do you use CEX or DEX? Or some wallet?
4. What if you don't have a pair on a CEX? Do you convert to USD/USDT and buy another coin?
5. What are risks usually related to swapping?
6. Any advice you would want to share with beginners?

thanks.

1. if you need one token/coin to encash your crypto, like if you need USDT and you have BTC, or other alts
2. once you need it, and if you have the feeling that getting another alt is of advantage than having what you currently have
3. both
4. look for alternative pairs, there will always be something to trade with your alt, usually, you need 2 to 3 step trading or swapping before you can get the alt you want
5. high fees, low liquidity hence long period of waiting if you have target sell/buy price
6. use alts with good liquidity and presence in most trading platforms, so it won't be too difficult to convert your currency

[Qiubell5]

Swapping has many uses. Like exchanging coins that have expensive transaction fees for coins that have cheap transactions. Apart from that, swaps are also useful when we need coins that we don't have yet. So basically there is no need to go to the exchange first to buy the coin. Just need to do a swap and everything is done.

As far as I know, that might be the benefit of the swap feature.

[Yogee]

6. Any advice you would want to share with beginners?

Watch out for the price impact. Some pairing have large price discrepancies due to the low liquidity on that particular pool so it's best to double check the value on aggregators like Coingecko first before approving the swap. You can either change the DEX where liquidity pool is higher or choose another pairing.

[OcTradism]

1. Why would you swap one coin to another?

Swap is like trade and you swap your coins when you want to make a trade for buying a coin or selling a coin to take profit or cut loss.

Swap can be used for airdrop hunters to increase their on-chain interactions and transaction volume to get chances for being on top of airdrop wallet list.

2. When do you decide to do it? Like what is the indicator that swap can be profitable?

Check on chain transaction fee. Some times on chain transaction fees are very expensive like on Ethereum blockchain.

Check slippage that will be decided by Liquidity pool and custom settings of the project team.

3. Do you use CEX or DEX? Or some wallet?

Swap is for DEX, not for CEX. On CEX, you trade, not swap.

5. What are risks usually related to swapping?

Interactions with smart contracts are risky.

How to revoke token approval

https://revoke.cash/
https://app.unrekt.net/
https://etherscan.io/tokenapprovalchecker

[JeffBrad12]

swapping coin is usually being used for the sake of convenience you just sometime might be too lazy to deal with the complicated process of depositing coin to an exchange you just need to swap a small amount and done with it then you can use swap.
when using swap what you need to know is just that here's the money that you want to swap as an input and the output you will get certain coin with this exact amount you just don't need to think about current buying orders or sell orders.
its that easy, thats why even uniswap right now is having so many liquidity, its quite effecting for DCA and also for those that tries to swap to coin that aren't listed on an exchange.

in my opinion, you can use swap when you want to convert certain coin thats popular enough for it to have sufficient liquidity otherwise the slippage might also be a concern when swapping.

[Gladitorcomeback]

1. Why would you swap one coin to another?
2. When do you decide to do it? Like what is the indicator that swap can be profitable?

If my holding coins have some bad news upcoming or one another token have a very good news upcoming and I have no extra fund to invest then I will swap to another coin for quick profit and maybe swap again once I take my profit.

3. Do you use CEX or DEX? Or some wallet?

Using both, Cex for daily trade and P2P purpose while Dex for just new tokens or Layer2 network not listed in top CEX.

4. What if you don't have a pair on a CEX? Do you convert to USD/USDT and buy another coin?

If this is only option then Yes

5. What are risks usually related to swapping?

CEX: Not your phrase,not your wallet= not your fund in your hand
Dex: ""Hacking issues"" Contract compromised or something else

6. Any advice you would want to share with beginners?

Yes, Always use Cold or hot wallet for long term and do not use main wallet for direct swapping in wallet (dex).  When you want to swap to other just send to new wallet and then swap it and send back to main wallet.

[Husires]

Exchanging one currency for another is often an attempt to get more free Bitcoin by buying the currency at a low price and selling it in the short term at a high price.
Both CEX or DEX have advantages and disadvantages that vary depending on the purpose of trading, and sometimes you are forced to use DEX because there are no alternatives or to use CEX due to the various advantages.
Most of the risks are related to the loss of capital, so your planning must be sound.

[MFahad]

Recently I found out about swapping possibilities in the desktop app of my cold wallet. I kind of understand what is the swap however still not sure my understanding is correct. Hence few questions regarding swapping of coins:

1. Why would you swap one coin to another?
2. When do you decide to do it? Like what is the indicator that swap can be profitable?
3. Do you use CEX or DEX? Or some wallet?
4. What if you don't have a pair on a CEX? Do you convert to USD/USDT and buy another coin?
5. What are risks usually related to swapping?
6. Any advice you would want to share with beginners?

The swapping option is often seen in cold wallets and soft wallets.Swapping is the conversion of one coin to another, you can also convert a crypto to USDT or USDC or BNB.Swapping is often done for tokens that are not available on regular exchanges. Often they are exchanged from one coin to another on a uniswap or pancakeswap.Whenever you get free tokens from somewhere, you will definitely swap it for a good token.Whenever you get a chance to swap at a good price, do it. Sometimes the price falls, then you should wait a bit and sell when the price improves.

Most people convert it to USDT so the best way is to convert to Usdt and buy another token.Scammers are everywhere so any website on Google should be entered only after being thoroughly vetted.Swapping to the wrong link can result in the loss of all your tokens and can easily be stolen by a scammer. In many cases most of the people end up losing their assets during swapping due to visiting such wrong links.
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[rat03gopoh]

1. Why would you swap one coin to another?
2. When do you decide to do it? Like what is the indicator that swap can be profitable?
3. Do you use CEX or DEX? Or some wallet?

• Because of profit and necessity.
• When it's profitable or necessary, just look at the price chart, network service fees, then calculate it with the value you entered. If you have a goal with a greater value later, then this calculation can be ignored.
• The meaning of "swap" has slowly shifted since defi became mainstream, that is, you do it onchain on a DEX.

[kojektea]

Simply put, swap is an upgraded version of DEX exchange. if the DEX exchange still uses the net to make swaps. DEX swap uses a liquidity pool to maintain price stability and transactions between sellers and buyers. The price cannot be higher or lower when selling or buying is displayed unless the price is the real time price. every movement becomes the final price and it cannot be negotiated. what I understand from swap is like that. this is simple. in profit I think it's usually used in terms of shitcoins looking for short profits with tokens on that blockchain.

[milewilda]

Recently I found out about swapping possibilities in the desktop app of my cold wallet. I kind of understand what is the swap however still not sure my understanding is correct. Hence few questions regarding swapping of coins:

1. Why would you swap one coin to another?
2. When do you decide to do it? Like what is the indicator that swap can be profitable?
3. Do you use CEX or DEX? Or some wallet?
4. What if you don't have a pair on a CEX? Do you convert to USD/USDT and buy another coin?
5. What are risks usually related to swapping?
6. Any advice you would want to share with beginners?

thanks.

1. If there's no other way on acquiring those coins, then SWAP would be only your option. Expect for some gas of course
2. I dont see any profitable swapping unless if the price gap or movement is relevant
3. Common swap sites, Uniswap and others.
4. If there would be options then that would be the best way on acquiring a coin or whatever you do want
5. Floating transaction - caused not enough gas or not credited balance
6. Always deal with legit swap sites, use recommended fees to avoid stuck transactions

If you have doubts on a certain swapping then you could be always able to ask onto this community.
We are highly reactive when it comes to scams or whatever correlated to it.

[Husires]

The swapping option is often seen in cold wallets and soft wallets.Swapping is the conversion of one coin to another, you can also convert a crypto to USDT or USDC or BNB.Swapping is often done for tokens that are not available on regular exchanges. Often they are exchanged from one coin to another on a uniswap or pancakeswap.Whenever you get free tokens from somewhere, you will definitely swap it for a good token.Whenever you get a chance to swap at a good price, do it. Sometimes the price falls, then you should wait a bit and sell when the price improves.

I don't know where you got this definition from, but swapping is the exchange of one token to another in the same blockchain, and exchange is exchanging coin to another one in a different blockchain, but since most of exchanges in decentralized via Uniswap or pancakeswap are tokens in the same blockchain, we see the term common in Those platforms and exchange term or convert term in the central one.

Scammers are everywhere so any website on Google should be entered only after being thoroughly vetted.Swapping to the wrong link can result in the loss of all your tokens and can easily be stolen by a scammer. In many cases most of the people end up losing their assets during swapping due to visiting such wrong links.

You mean phishing attacks? Yes, they are common and not limited to cryptocurrencies.

[GreatArkansas]

The swapping option is often seen in cold wallets and soft wallets.Swapping is the conversion of one coin to another, you can also convert a crypto to USDT or USDC or BNB.Swapping is often done for tokens that are not available on regular exchanges. Often they are exchanged from one coin to another on a uniswap or pancakeswap.Whenever you get free tokens from somewhere, you will definitely swap it for a good token.Whenever you get a chance to swap at a good price, do it. Sometimes the price falls, then you should wait a bit and sell when the price improves.

I don't know where you got this definition from, but swapping is the exchange of one token to another in the same blockchain, and exchange is exchanging coin to another one in a different blockchain, but since most of exchanges in decentralized via Uniswap or pancakeswap are tokens in the same blockchain, we see the term common in Those platforms and exchange term or convert term in the central one.
(....)

Yep, it's totally different. I think what OP want to mean is using different network and as you can see, OP mentioned cold wallet, means OP is using some smart contract networks like Ethereum or layer-2 networks where Decentralized Finance (DeFi) exist and you can easily swap your different altcoins to another altcoins without creating an account to centralized account anymore.

[the rise]

I will summarize one answer to all your questions.

Simply put, swap is an instant exchange where you cannot make buy orders or sell orders but the transactions you make are based on the current price. This trading method is to invest and then sell or buy instantly. How swap exchanges can maintain prices in many transactions is because of the existence of liquidity pools. This was discussed several years ago during the high APY staking trend.

[Assface16678]

Recently I found out about swapping possibilities in the desktop app of my cold wallet. I kind of understand what is the swap however still not sure my understanding is correct. Hence few questions regarding swapping of coins:

1. Why would you swap one coin to another?

Well, I think it is. Obvious, I swap my assets from another if for example I need other asset or coins to use in some other things for example BTC to USDT, I swapped some of my BTC or satoshi to usd so thaat I could buy other coins, or I want to make my profit in stable asset which is USDT. Or for example in crypto games, there is a specific coins then swapping from BTC to another is the way.

2. When do you decide to do it? Like what is the indicator that swap can be profitable?

Yes? Maybe? Well there will be a slight difference if you swap a coin from another, lets say you have $100 and you want to buy a specific coin like ethereum or BTC, then when you saw that your $100 grows more then swapping into another coins which is more stable will be profitable and a good option to avoid your profit to get back again or avoid the volatility of a coin like BTC

6. Any advice you would want to share with beginners?

Swapping coins into another is not a form of trading or making profit or money, use it only if necessary as some exchange requires a fee when you do swap, also be careful on what exchange you will use there are some scam exchanges scattered around there so be cautious.

[Webetcoins]

1. Why would you swap one coin to another?
2. When do you decide to do it? Like what is the indicator that swap can be profitable?
3. Do you use CEX or DEX? Or some wallet?
4. What if you don't have a pair on a CEX? Do you convert to USD/USDT and buy another coin?
5. What are risks usually related to swapping?
6. Any advice you would want to share with beginners?

Point no 1, is so obvious. Because we want another coin. 2, it depends on us. As for the indicator, there are prices that you can see on your screen. You can refer on that to determine if you are going to be profitable once you do a swap or not. 3, usually swapping features are on a DEX but I don't really use them.

I'm more of a CEX user. 4, yes, you need to convert into some other coins first in order to achieve the pairing that you want. 5, risks for doing swaps is that we can end up paying more in the fee. Or in short it may not really be profitable. But other risk would be is about the platform that we are using, if they are legit or not, or if they have been hacked lately. 6, just read more and apply it.