The Swap consists of a few components, firstly a drop wallet. This is a Stellar wallet that is generated on the fly when you first connect an Ethereum wallet. It is dedicated to a given Ethereum wallet.
When Stellar TAP is sent to the drop wallet it gives you the option to claim the incoming transaction. This transaction is then signed (by us) and passed to an Ethereum contract.
If the Stellar transaction hasn’t been previously claimed (this gets logged on the Ethereum blockchain) and the signature is valid then the contract returns the same amount of ERC20 TAP as the incoming Stellar TAP.
What can I do about Gas fees? They are too high! Yes, Gas fees are high. We optimised the contract to bring it down as low as we could. Currently in this bull market though Gas fees are high. The only way to mitigate this currently is not to transfer small amounts of tokens and adjust the gas fees in your wallet. When swapping from Stellar to ERC20 using our system, if a transaction fails due to insufficient Gas you won’t lose anything (other than your time). You can just try again.
Are the stellar tokens taken out of circulation? Effectively yes. They end up in the drop-wallets and can’t be transferred out by anyone other than us. We might look to burn these en-masse in the future but for all intents and purposes they are locked.
Can Stellar TAP be traded on Stellar? Stellar has a built in DEX. This has always been possible due to the nature of Stellar.
Will the circulating supply increase? Yes, when people swap from Stellar TAP to ERC20 TAP the circulating supply will increase. Currently the contract address of the Swap is excluded from circulating supply calculations. When it releases TAP the circulating supply goes up. Please note though, the balance of this contract will be kept low and we will monitor activity.
We are experimenting with cross chain swap. It is a BETA. As such, we reserve the right to remove or adjust the way it operates in the future. Any abuse of the system will be quickly dealt with for the benefit of the whole community.