How to

How Atomic Wallet, Cryptocurrency Wallet and Atomic Exchange Works

Key facts:
  • It also allows the ability to add custom ERC20 tokens.

  • It also enables exchanges without intermediaries, using smart contract technology.

If you are looking for a wallet that supports many of the major cryptocurrencies on the market and can perform atomic swaps, check out this tutorial that will show you how Atomic Wallet works. This cryptocurrency wallet has very interesting features focused on security, decentralized exchange capability and investment tools.

What is Atomic Wallet?

Atomic Wallet is a wallet Open Source who can manage more than 300 different cryptocurrencies, in addition to the ability to add custom ERC20 tokens. It also has tools to buy cryptocurrencies with USD, EUR and other local currencies, invest or exchange on its exchange.

One of the most notable features of this wallet is its atomic exchange capability. This function consists of the ability to perform exchanges between different cryptocurrencies without intermediaries, using smart contract technology. Atomic Wallet thus seeks to shape a new generation of wallets, although for now it is only possible to exchange between 60 different cryptocurrencies, including bitcoin (BTC, litecoin, LTC), ether (ETH) or eos (EOS).

This wallet cross-platform has applications on all major current operating systems: Linux, macOS, Windows, Android and iOS.

In this CriptoNoticias tutorial we will use Windows desktop version Atomic Walletbut in the same way this guide can also be helpful for installing and learning about other versions, since the same usage pattern is preserved.

Download and install Atomic Wallet currency

The first thing is to go to official website to get an installer. It is always advisable to go to the official website of the application to get download links and avoid installing fake copies, as has happened in the past with this and other applications.

Download links for different operating systems. Source: Atomic Wallet.

In this step, you need to select the installer, depending on the operating system you are using (Windows, in the case of this guide), then you just need to run it and wait for the process to finish.

How to create a wallet in Atomic Wallet

This is what the wallet home screen looks like. Source: Atomic Wallet.

When you open the app, you’ll find options Create a new wallet (New wallet) or import it via the recovery database (Restore from backup). In this case, we will choose the first option.

You must enter a password or security key in the wallet. Source: Atomic Wallet.

The next step is to set a password. This serves two functions: The main one is the encryption of the wallet you will create and the second is to ensure the protection of the application, because every time it is launched, it will have to be entered.

It is necessary to clarify that this password is in no way connected with the seed that we will create later. In case you want to return the wallet, only 12 words will be required. The the password is only for accessing the application.

The seed must be copied and carefully stored because that’s the only way we can get the funds back. Source: Atomic Wallet.

Once the password is set, A backup copy consisting of 12 English words is automatically generated. Unfortunately, you don’t have the ability to generate a new group of words, in case they are broken.

Another aspect to which great attention must be paid is the care or protection we will give to this seed. The most important thing is to make it clear that this is money, so with the same urgency with which you protect your bank details, you must do so here. It is best to write this seed down on paper and keep it in a safe place.

Information about your activities will be shared with Atomic Wallet only with your consent. Source: Atomic Wallet.

Just before completing the process of creating a new wallet, the message you see in the previous image is displayed. This means you have the option (to improve the user experience) to send anonymous and encrypted data to the Atomic Wallet team about errors or issues presented. The user can decline that invitation by unchecking the Enable log collection box.

To launch the app, all you have to do is press Start using Atomic.

Your wallet displays the balance and public address for each cryptocurrency. Source: Atomic Wallet.

And you will have a new wallet ready to use.

How Atomic Wallet works

Handling a cryptocurrency wallet inside Atomic Wallet is quite special, starting with the fact that there is an option manage more than 300 different cryptoassets. Therefore, there are some differences in how Atomic Wallet works with each cryptocurrency and how they are organized.

The list of cryptocurrencies in the wallet can be changed. Source: Atomic Wallet.

Let’s start with the list. This will by default contain all cryptocurrencies used by Atomic Wallet. This can of course be modified. We just have to go to the configuration option located in the upper right corner.

You can configure Atomic Wallet to manage only the cryptocurrencies you are interested in. Source: Atomic Wallet.

Here you just need to uncheck those that are considered unnecessary and click Apply. Also, as an alternative, it is possible to select Clear All, which will disable all cryptocurrencies, and then proceed to manually activate the ones you want to use.

Send and receive cryptocurrencies with Atomic Wallet

As can be seen, each wallet indicates the name, the total amount expressed in cryptocurrency and fiat currency, the public address and, finally, a button (blue arrow) that shows the delivery menu. To get funds, we need to copy the public address. To do so, just click on it. Likewise, if you want to see its abstraction in a QR code, you just have to click on the symbol.

You have to be very careful about what address you share, and even more so in similar cryptocurrencies like ETC and ETH. Source: Atomic Wallet.

Now in case of sending you have to click on the above icon which is at the end of the row of each wallet.

Carefully review the information you enter before sending cryptocurrency. Source: Atomic Wallet.

The information you must enter is as follows:

  • Amount (amount): the amount to send, expressed in the chosen cryptocurrency.
  • Address (address): public destination address.
  • Password (password): this will be the same password you already set at the beginning when you created the wallet.

As for mining commissions, they are set by the application itself, which calculates the current commission. There is no way to change that.

All that remains is to press the Send button.

You can check your transaction history in the History section of the side menu.

Since you don’t have any transactions at the beginning, the wallet will show you these options. Source: Atomic Wallet.

Cryptocurrency exchange with Atomic Wallet

Before you start, you must consider that Atomic Wallet uses exchanges specialized in atomic exchanges, such as Shapeshift or Changelly, which in a certain way help to increase the availability of exchangeable cryptocurrencies from the wallet.

How to perform atomic swaps in Atomic Wallet

Atomic swaps on this platform are based on the principle peer to peer exchanges. Here, through a decentralized market, exchange orders are crossedwhich satisfies both parties, without the need for an intermediary entity.

Source: Atomic Wallet.

When opening the option Atomic Swap you will find three tabs at the top. From left to right, the market part (Markets), the one for placing orders (Place orders) and the one that allows you to manage your orders (My orders). But before we proceed, it is important to explain what the process is and thus understand the function of each of these tools.

You have to consider that first There are two ways to perform an atomic exchange in Atomic Wallet, one more direct than the other. The first option is done through an already placed order, that is, you make the exchange according to the conditions set by another user. Here, the amount available for exchange is prescribed – a smaller amount than this can be redeemed – and the price, which determines the total number of cryptocurrencies that will be received in exchange for your own.

To give an example of this, suppose you want to trade 0.5 BTC for LTC, and you find an account offering to trade 1 BTC for 90 LTC. Under this offer, you would get 45 LTC for your 0.5 BTC.

In the second case of atomic exchange, you are the one who has to place the order, set the total number of cryptocurrencies to be exchanged and the price. Here you must wait for the other user to accept the terms and confirm the transaction. Because of this, this type of exchange can be slower.

The difference between the two lies in the fact that with the first you save time, but you don’t always achieve the optimal price; while in the second case there is an indefinite waiting time, but more favorable prices can be obtained.

Direct exchange from wallet

As you already know, direct atomic exchanges are done from the Markets section, so you must select that option.

You should always pay close attention to the type of rate you choose. Source: Atomic Wallet.

The first thing is to choose the type of exchange you want to make.remembering that you have 60 different cryptocurrency pairs.

On the other hand, depending on the selected exchange, you will see the orders displayed at the bottom. It is recommended, in order to achieve a good price, Sort exchange rates (Rate) from highest to lowest.

When you have already selected an order, you must place the cursor over it so that the button is displayed Swapwhich you have to click on.

The transaction is complete when you enter the key you selected. Source: Atomic Wallet.

Then the exchange amount is set. Remember that this is not necessarily the amount set by the user, as it is the maximum amount they have; A lower amount can be set. Second, enter your wallet password and finally press Send request.

Since this exchange works on smart contract technologyyou have to wait for the execution of the said contract on the blockchain, after which the funds will be available inside the wallet.

Place an exchange order in your wallet

Another way to do an atomic swap is by setting up a swap order. For this you need to go to the section Place Order.

You can create your own exchange offer from your wallet. Source: Atomic Wallet.

Only the amount to be exchanged is specified for the order, as the exchange fee is automatically calculated by Atomic Wallet. But if you want to get more competitive prices, you can click on Advanced settingswhich allows other types of options:

The exchange rate is calculated by the application depending on the general market average. Source: Atomic Wallet.

The first option is Min BTC amount, in which the minimum amount accepted for opening an exchange with us is set.

On the other hand, you have the Market Price optionwhich allows setting a percentage margin above or below the rate. For example, if you have 1 BTC and a market price of 100 LTC for each coin, you can set a margin of 10% and the fee will become 110 LTC for each BTC. In case you set a negative percentage of, for example, -10%, the rate will become 90 LTC for 1 BTC.

Another auto trade option means thatwhen a trade is initiated with your account, it is executed immediately. If this box is not checked, you are asked to accept the transaction from the My Orders section.

Now all you have to do is click on Set up an account and then go to the My orders section, which allows you to manage both open accounts and also view the exchange history.

You can check your exchange history from My Order. Source: Atomic Wallet.

Centralized exchange

As mentioned earlier, Atomic Wallet makes centralized exchange services available through Shapeshift or Changelly, with the aim of increasing the availability of exchangeable cryptocurrencies.

To activate this option, you need to go to the Exchange section of the side menu.

The platform chooses the best price between both platforms to perform the conversion. Source: Atomic Wallet.

Here you just need to choose the cryptocurrency you want to send and then the one we want to receive. Then select Exchange and wait for the process to complete to see the available wallet balance.

Sweep private key with Atomic Wallet

Atomic Wallet allows you to clear the private key. This operation is commonly used in paper wallets, because that way the funds in it can be accessed via the private key.

First of all, you need to keep in mind the difference between importing and cleaning a private key. The first concept means that the funds will be managed by the software wallet, but this carries a risk, as the import compromises its privacy. On the other hand, a sweep is an action that requires a mining fee, as funds are moved from the old private key to the new addressand that way you can throw away your old wallet without compromising your funds.

To access this option, you need to go to the settings menu (Settings) and then go to Import.

This functionality is very useful when you want to use funds from a paper wallet. Source: Atomic Wallet.

Here you have to select the cryptocurrency from which you want to clear the private key. Second, you need to paste the key and finally press Send to atomic. Note that the mining fee is determined by the wallet itself. In the end, all that remains is to wait for confirmation within the blockchain of the particular cryptocurrency and the balance will appear as available.

You can do this process with all cryptocurrencies managed by Atomic Wallet.

Conclusions about Atomic Wallet

One of the features that stands out most about Atomic Wallet is its ability to efficiently manage more than 300 cryptocurrencies, keeping all wallets organized, despite the volume and without overwhelming the interface.

Another aspect to highlight is that the implementation of atomic exchanges seeks to reduce the vulnerability created when using centralized exchanges, improve the waiting time and availability of cryptocurrencies. Perhaps Atomic Wallet falls short of these last two goals.

As for points against, it would be nice to see Bitcoin SegWit addresses, apart from sending options, as it only has the old legacy addresses to receive funds. I must also emphasize the fact about the fixed commission, which is only modified by the Atomic Wallet team, and sometimes it is quite high.

In conclusion, we have before us one of the most comprehensive wallets in terms of cryptocurrency management, which is also a pioneer in the field of atomic exchanges. So I just have to invite you to try Atomic Wallet.

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