Instant swaps
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TeleSwap instant swaps enable users to swap their BTC for other tokens in less than 2 minutes. In normal swaps, it takes about 20 minutes (or more precisely, 2 Bitcoin confirmations) to process a swap request.
TeleSwap introduces Fillers, who enable fast execution of BTC-to-EVM swaps, significantly improving user experience. Fillers send the requested amount on the target chain to the user immediately. Later, they are compensated and receive an additional fee for their service. This not only enhances the experience but also creates a revenue opportunity for Fillers.
In normal swaps, TeleSwap waits for 2 Bitcoin confirmations to ensure that the transaction is permanently recorded on the Bitcoin network. This guarantees that the minted TeleBTC is properly backed by BTC.
With instant swaps, anyone can act as a Filler by monitoring the Bitcoin mempool. When a valid request is detected, the Filler sends the requested token to the user immediately. Once the original transaction receives 2 confirmations, the minted TeleBTC is sent to the Filler instead of being swapped for the user.
Fillers earn by charging a small filler fee. Users in need of fast execution can opt to pay this fee and receive their assets instantly. Others can skip this fee and wait for the standard processing time.
Another advantage of instant swaps is the reduced risk of failure. In normal swaps, the rate might change during the 20-minute confirmation window, causing the request to fail. With instant swaps, users receive their tokens quickly and at a rate close to the current market rate.
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