swaps

Deep Dive

The Coordination Problem

SWAPS transforms illiquidity from a permanent state to a solvable coordination problem.

The Problem

The Double Coincidence of Wants

In economics, this is the fundamental barrier to barter: for a trade to happen, you must have exactly what I want, and I must have exactly what you want, at the same time. Money was invented to solve this problem. But in digital asset markets, we can do better.

Traditional Matching

Alice hasMewwantsEevee
Bob hasEeveewantsGengar
Carol hasGengarwantsMew

No direct matches. Zero trades possible.

Traditional order books see nothing.

SWAPS Discovery

AliceMewCarol
BobEeveeAlice
CarolGengarBob

Everyone gets what they want.

One atomic transaction. Zero counterparty risk.

Network Theory

Not six degrees. Three to four.

You've heard of "six degrees of separation." In digital asset networks, analysis of 850+ million blockchain transactions reveals something remarkable: the actual degree of separation is closer to 3-4. NFT markets exhibit super-linear preferential attachment, creating hyper-connected hubs that dramatically reduce trading distances.

Scale-Free Networks

Digital asset markets form hub-and-spoke patterns. A few highly connected traders bridge massive amounts of trade traffic.

Exponential Connections

100 new users don't create 100 potential trades. They create 10,000+ new trading connections through the existing network.

Short Path Discovery

Even with millions of assets, most desired trades can be completed through loops of just 3-5 participants.

Network Effects

This is your opportunity space

3 participants? 1 possible trade loop. Simple. 100 participants? Over 4 million. 1,000 participants? The number exceeds the stars in the galaxy.

Each trade loop is a path where everyone gets exactly what they want—no cash required. No person could find them manually. No traditional matching system even looks.

SWAPS navigates this entire space in milliseconds. The bigger your network, the more opportunities hide inside it—and the more value we unlock.

Theoretical Maximum

• 1 have & 1 want per participant

• Trade loops of 3–6 participants

• Fully connected want graph

connections = n(n-1)/2 · loops = Σ P(n,k)/(2k) for k∈{3,4,5,6}

1
possible trade loops
3
connections
3participants
31001K10K

Capabilities

Production-tested at scale

10K
Wallets per tenant
Enterprise scale
3-6
Party trade loops
Discovered and executed
100%
Noise filtering
Invalid patterns rejected
<1s
Discovery time
Per wallet query

Under the Hood

Our proprietary algorithm analyzes your entire participant network in milliseconds, discovering optimal trade opportunities that would be impossible to find manually. The system handles the complexity so you don't have to.

Applications

Any market with fragmented inventory

NFT Marketplaces

Problem

Collectors hold assets nobody is actively bidding on. Listings expire. Users churn.

Solution

Multi-party loops connect collectors who can't find direct swaps, unlocking trades invisible to traditional matching.

Trading Card Platforms

Problem

Completing a set requires finding exact cards from willing sellers. The last 5% takes 95% of the effort.

Solution

SWAPS finds the trades. A duplicate worth $50 to you might be worth $500 in trade value to someone completing a championship set.

Gaming Economies

Problem

In-game items are illiquid. Players hold inventory they don't need but can't monetize.

Solution

Enable complex item exchanges without currency intermediation. Every item becomes tradeable.

RWA Platforms

Problem

Tokenized real-world assets face the same bilateral matching constraints as traditional markets.

Solution

Coordinate trades across tokenized real estate, commodities, and securities where exact matching is rare.

Ready to unlock liquidity?

SWAPS transforms illiquidity from a permanent state to a solvable coordination problem.

Or get in touch

Or email us directly at info@swapsapi.com