Bitcoin News and Finance Shapeshift Reveals Platform Supports Unwrapped Swaps via Thorchain With No KYC Skip to main content

Shapeshift Reveals Platform Supports Unwrapped Swaps via Thorchain With No KYC

Shapeshift Reveals Platform Supports Unwrapped Swaps via Thorchain With No KYC

Just recently, Shapeshift founder and CEO Erik Voorhees published a blog post about a new project called Thorchain, a protocol that allows for decentralized exchanges without wrapping or bridging technology commonly used today. Thorchain launched on April 13, 2021, and the Shapeshift founder recently revealed his company is first to leverage the multi-chain protocol in order to provide decentralized swaps in a noncustodial fashion.

Shapeshift Leverages Thorchain for Multi-Chain Unwrapped Swaps

Back in September 2018, the popular trading application Shapeshift changed its business model to a mandatory membership program and users had to submit specific identity criteria in order to swap coins. Then years later in January 2021, Shapeshift’s CEO Erik Voorhees announced the exchange would be dropping KYC rules. “Because of this fundamental change to our business model, ShapeShift’s users no longer need to provide personally identifying information to us,” Voorhees said at the time.

Now what Shapeshift did was connect to a dozen decentralized exchange (dex) platforms and traders can swap ERC20 tokens and ethereum in a trustless fashion. But four days ago, Voorhees explained the company is “enabling decentralized peer-to-pool trading between native bitcoin, litecoin, and ethereum” via Thorchain’s multi-chain protocol. On Twitter, the Shapeshift founder announced the integration and displayed a screenshot of native (unwrapped) ethereum being traded with native (unwrapped) bitcoin.

“Behold… this has never been done before,” Voorhees said on Twitter. “Native (unwrapped) ethereum in native (unwrapped) bitcoin out. [A] $5,000 trade, no intermediary, no custody, [and] no KYC. [Shapeshift] today launched decentralized cross-chain trading, by integrating Thorchain (which also launched today),” he added on April 13. Additionally, the Shapeshift founder published a comprehensive blog post about the technology.

Shapeshift Reveals Platform Supports Unwrapped Swaps via Thorchain With No KYC

Voorhees writes that an “overly simplistic explanation” of Thorchain is that the protocol is “like Uniswap, but multi-chain.” The difference is there is no wrapping and users can earn yield in a decentralized trust-minimized fashion. “With Thorchain’s launch, Shapeshift is the first company enabling decentralized peer-to-pool trading between native bitcoin, litecoin, and ethereum. More assets are imminent. We are doing this because free people have the right to financial privacy, open trade, and sound money,” Voorhees stressed.

Tendermint, Cosmos, and Chaosnet

The Thorchain protocol leverages the Tendermint consensus protocol and Cosmos SDK. The platform provides an automated market maker (AMM) system and nodes run Thorchain and a supporting node like Bitcoin, Ethereum, and alternative blockchain networks. Thorchain’s “Chaosnet” provides people with the means to swap without any custodians involved. “You can think of Thorchain Nodes like ‘fragments’ of the wallets of a centralized exchange,” the Shapeshift founder details.

Voorhees adds:

Instead of the keys being held by that central custodian, they are held in a multi-sig arrangement of the Thorchain Nodes (technically Threshold Signatures).

During the last year and a half, decentralized exchange (dex) protocols blossomed a great deal. Dex platforms like Uniswap, Sushiswap, Curve, 0x Native, Bancor, Balancer, and more have seen $18 billion in trade volume during the last seven days. Dex volumes have seen $2.85 billion traded during the last 24 hours, according to Dune Analytics stats.

What do you think about Shapeshift leveraging Thorchain for decentralized and trust-minimized swaps? Let us know what you think about this subject in the comments section below.

Comments

Popular posts from this blog

Custodial Lightning Network Service Attack Discovered by LN ‘Newbie’ — Hacker Strikes 6 LN Custodians

On September 18, a Redditor posted to the r/bitcoin forum and explained how he discovered a way to “attack [the] lightning Network’s custodial services.” The Reddit account dubbed “Reckless Satoshi” wanted to figure out if a “discrepancy between real routing fees and service’s transaction fee can be exploited for a profit.” The researcher disclosed that he wanted to see how large the damage could be and said “it is bad.” 6 Lightning Network Custodial Services Attacked, Researcher Discloses Findings to Offenders Prior to Public Disclosure A Redditor called Reckless Satoshi published a disclosure post on r/bitcoin this past Saturday and disclosed how he had found a vulnerability with routing fees and some of the Lightning Network’s custodial services. The research attack was done in good faith and after it was complete he disclosed the bugs to the offending services before publishing his findings. Reckless Satoshi used the Lightning Network (LN) attack on six different services incl...

Axie Infinity Down 40% Since Last Week’s Price High, Protocol Revenue Outshines Competitors

Last week, the game token leveraged within the Axie Infinity gaming universe skyrocketed to all-time highs, while other crypto markets remained extremely lackluster. During the last seven days, Axie Infinity’s platform token has dropped significantly in value shedding more than 12%. Meanwhile, the game platform’s smooth love potion token has slid over 8% over the last 24 hours. Axie Infinity Down More Than 40% Since All-Time High Not too long ago, the axie infinity (AXS) token was a topical conversation because it reached an all-time high on July 15. At the time, AXS managed to capture $28.93 per unit and since then it has shed 12.8% during the last seven days. The axie infinity (AXS) token is used within the blockchain-based game that involves battles between token-based creatures called “Axies.” AXS is used for the game’s governance system as well as other actions within the game. At the time of writing axie infinity (AXS) is exchanging hands for $16.70 per coin. AXS/USD on Ju...

Play-to-Earn Game From Polker (PKR) Exchange Listing – Endorsed by Akon

The Play-to-Earn NFT based Polker.Game ‘s native token $PKR has been officially listed on the popular centralized exchange BitMart. Polker.game has been in the spotlight recently as Akon, the American R&B superstar and record producer gave his official endorsement of polker stating that the “game is revolutionary” and that Polker is “hands down.. the best play to earn, NFT game in the space.”. With the BitMart listing and celebrity endorsement from Akon, Polker is perfectly positioned to become a major player in the Play-to-Earn league. Watch Akon’s Video Here What is Play-to-Earn? Although not a new concept, play-to-earn has become a trending term due to the popularity of the NFT game AXIE infinity. In the past, previous play-to-earn games have also achieved success – however, thanks to the huge amount of development in the blockchain space in recent years the gaming experience is now massively improved. Play-to-Earn games are essentially free to play and open to anyone and...

China to Crack Down on Copyright Infringement Through NFTs

Authorities in China are going after creators of digital collectibles based on other people’s works of art, the use of which was not authorized. The government offensive is part of a campaign to combat online copyright infringement and piracy with the participation of several departments. Regulators in China Move to Strengthen Copyright Supervision of Online Platforms The National Copyright Administration of China (NCAC) has recently launched a campaign against copyright infringement and piracy on the internet, together with the Ministry of Industry and Information Technology, the Ministry of Public Security, and the State Internet Information Office of the People’s Republic. A major objective of the initiative is to improve copyright supervision of online businesses by investigating cases involving the sale and distribution of infringing products on short video, live broadcast and e-commerce platforms, and promptly dealing with infringing content, the agency announced in a press r...
Blogarama - Blog Directory