Cheap and fast transactions
Scalability with zkSync
As you probably know, transactions on the Ethereum mainnet are slow and expensive. This is fine for large transactions, but is not ideal for small transactions, (of which cash transactions are a part) nor for the overall adoption of the crypto ecosystem.
To make cash ↔ crypto transactions doable, we need a solution that is much faster and cheaper than mainnet, but not less secure.
Zero-knowledge proof rollups are making this possible.
We belive zkSync is the most reliable and consistent scaling solution for the Ethereum network, and is here to stay. That’s why we chose their network to build our first version of the software. On top of that, funds can be moved efficiently and fast between zkSync and Ethereum mainnet.
We are designing the system to be modular, so that support for other networks can be easily added (either by us, subject to funding, or by the community)
|Mainnet||Other scaling solutions||zkSync|
|Average tx fee||$ 6.21||$ 5.00||$ 1.50|
|Tx confirmation time||5 min to 4 h||15 sec||10 sec|
|Tx finality||-||1-2 weeks||10 min|
Cash in transaction
As you know, our core value is to build a 100% trustless, so we need to rely on trustless protocols. Transactions occurs on an AMM compatible with zkSync : for now this looks like Unisync.
Swapbox is running a smartcontract, which trades the amount of cash in stablecoin against the user's chosen token, using the liquidity of the decentralized exchange. The smart contract then sends the crypto funds directly to the user's mobile wallet, or prints a paper wallet.
Cash out transaction
User requests cash, then the payment adress is displayed (QR code). The user scans the QR code and accepts the transaction. The smart contract sends the transaction to the DEX and swaps the user’s crypto for stablecoins. The smart contract keeps the stablecoins and the machine dispenses the cash (less the operator’s fee) for the user.
Liquidity on decentralized AMM
To have access to a deep liquidity, Swapbox executes on a Uniswap fork for zkSync, UniSync. We rely on the robust Uniswap protocol, while having low fees and fast transactions. Swapping on an decentralized AMM has the advantage to the operator of not having to manage the balances of a wallet, or rely on a centralized exchange, like many other crypto ATMs.
No volatility risk with stablecoins
Thanks to this architecture, you can support any cryptocurrency, while only having to deal with a stablecoin of your choise (subject to available market liquidity). There is no need for any float in supported cryptocurrencies.
New ownership models
Whether there is one or more operators, Swapbox can be operated with confidence, thanks to the smart contract. It is possible to configure the redistribution of income independently of who operates and maintains the machine. This offers endless management possibilities: The owner of the machine does not have to be the operator, while having good controls to ensure good operations. We can even imagine a case where a Swapbox is entirely governed by a DAO!
Swapbox relys on the beauty of open-source. Here is a non comprehensive list of technology we are proud to use to power Swapbox.
You own Swapbox
We believe in the power of decentralization and open-source. This is why our main guideline is to build something that is 100% open, easily edited by anyone. We provide all our plans, code, roadmap so that you can play around, and even create your own version of the Swapbox. After all, the ultimate goal is adoption by the people, not privatization. our final goal is to entrust the governance of the project to a DAO. In the meantime, you can help us achieve our mission in many ways.