Are you tired of searching for an exchange that lists all your favorite tokens? You can swap most of the tokens using decentralized exchanges.
A token swap involves the exchange of two different assets that exist on the Ethereum network, for example swapping ETH for DAI (an ERC-20 token). The process is very fast and cheap. You will need to have a crypto wallet to swap tokens.
Prerequisite:
1. Connect your wallet to the decentralized exchange (DEX) of your choice
Some popular exchanges are:
If you'd like to learn more about what DeFi is and how these new kinds of exchanges work, we can recommend the Kernel Library(opens in a new tab).
2. Select the pair of tokens you wish to swap
For example, ETH and DAI. Make sure you have funds in one of the two tokens. 
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3. Enter the amount of tokens you want to trade and click swap
The exchange will automatically calculate how many tokens you will get.
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4. Confirm the transaction
Review the details of the transaction. Check the exchange rate and any other fees to prevent ugly surprises.
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5. Wait for the transaction to be processed
You can view the progress of the transaction on any blockchain explorer. This process should not take longer than 10 minutes.
You will automatically receive the swapped tokens in your wallet once the transaction is processed.
Frequently asked questions
Can I swap ETH for BTC from my wallet?
No, you can only swap tokens that are native to the Ethereum network, such as ETH, ERC-20 tokens or NFTs. You can only swap "wrapped" forms of Bitcoin that live on Ethereum.
What is slippage?
It is the difference between your expected exchange rate and the actual rate.
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FAQs
Token Swap Meaning: Token Swap - a direct exchange of tokens between users or the migration of tokens from one blockchain to another.
What does it mean to swap tokens? ›
Token Swap Meaning: Token Swap - a direct exchange of tokens between users or the migration of tokens from one blockchain to another.
How much does it cost to swap tokens? ›
There is a 0.3% fee for swapping tokens. This fee is split by liquidity providers proportional to their contribution to liquidity reserves.
Why can't i swap tokens? ›
There are various reasons why the “Unable to swap these tokens” error may appear. The most common one is related to liquidity constraints when swapping two (or even one) long tail assets.
What happens when you swap tokens? ›
Token swap allows users to trade directly between two types of tokens as an atomic transaction. A blockchain-based payment application supports different types of tokens, e.g., different asset classes.
Is swapping tokens taxable? ›
Swapping one type of crypto for another (for example, trading ETH for ADA) is a taxable event. The IRS views this as selling the first coin for USD, then using USD to buy the second coin.
How long does a token swap take? ›
Typically, swaps can take up to 3-4 hours to complete. We advise waiting for this timeframe before taking further action.
Where can I swap one token? ›
Swap from anywhere, anytime
Swap tokens directly from the MetaMask browser extension, mobile wallet, and MetaMask Portfolio. The Swaps feature combines data from decentralized exchange aggregators, market makers, and DEXs, to ensure you get competitive quotes with the lowest network fees.
Can I swap token on Coinbase? ›
How to start swapping crypto with a DEX. You can use Coinbase Wallet's 'swap' feature to conduct decentralized token swaps on the Ethereum network, as well as Base, OPMainnet, Polygon, BNB Chain, Arbitrum, and Avalanche C-Chain.
How many swap tokens are out? ›
Finding all the Swaps Tokens can be tricky, especially when they are in sneaky places not many people visit, but the graphic below shows you exactly where to find each of the 30 Tokens, including any bonus Store Tokens, and when the Tokens expire.
Token swaps allow crypto holders to trade their digital assets directly rather than converting them to fiat currency before buying or selling.
Why bridge ETH to base? ›
Bridging makes it possible to access and use dapps that are not accessible on the Ethereum main network or mainnet.
What can you do with swap tokens? ›
Token swaps are essential for the smooth operation of DeFi, enabling users to exchange one cryptocurrency for another either within the same blockchain network or across different blockchains. This feature was designed to decrease the time and reduce the costs associated with trading one crypto asset for another.
What does swap mean in crypto? ›
Crypto swap refers to the process of directly exchanging a cryptocurrency with another without the involvement of any crypto-to-fiat exchange. Individuals choose to swap their coins or tokens to save time and pay lower fees. A cryptocurrency exchange offers a platform for the buying and selling of crypto assets.
What are the benefits of token swap? ›
Diverse Opportunities: By enabling easy access to a wide range of tokens, swapping opens the door to participating in new DeFi projects, yield farming, liquidity provision, and more. It empowers users to quickly adapt their strategies and take advantage of emerging opportunities.
Why do people swap coins? ›
In a swap, tokens are exchanged directly for one another from a secure crypto wallet or through a cryptocurrency app. Without the intermediate steps, the cost of changing one token for another drop dramatically. Thanks to these lower transaction fees, acquiring tokens through swapping is often much more economical.
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