AirSwap utilizes a unique technology known as 'atomic swap'. This technology aims to ensure that both sides of a transaction succeed or the entire transaction reverts, reducing the need for trust between parties. AirSwap is non-custodial, which means it doesn't hold users' assets. This approach strives to reduce counterparty risk. The platform intends to facilitate trading where the price you see is intended to be the price you get, aiming to prevent slippage, front running, or price manipulation. AirSwap allows for unlimited swap sizes and seeks to support any standardized digital asset, aiming to provide flexibility and efficiency in settlement.

AirSwap participates in the cryptocurrency market by facilitating direct trades between users. Unlike traditional exchanges, AirSwap does not require an order book or a centralized market maker. Instead, it uses its native token, AirSwap Tokens (AST), to create markets for trading. Users, known as "makers," stake AST to signal their intent to trade, thereby participating in the platform. This approach allows for unlimited trade sizes and exact pricing, with the intention of reducing price slippage. AirSwap's off-chain negotiation and on-chain settlement model aim to improve speed and security, which may appeal to certain participants in the cryptocurrency market.

AirSwap's over-the-counter (OTC) trading features aim to provide several potential benefits to users. They strive to provide flexibility and accessibility, enabling trades to occur 24/7, which could be advantageous in less liquid markets. AirSwap's OTC trading intends to allow for a high degree of customization, enabling traders to structure deals based on their specific needs. This flexibility could potentially allow for the creation of unique financial products or the adaptation of existing ones to align with individual risk appetites and prevailing market conditions. OTC trading on AirSwap seeks to potentially lower transaction costs and reduce regulatory burdens as trades are conducted directly between parties, bypassing certain fees typically associated with exchange-based trading. OTC trading on AirSwap aims to provide a degree of privacy and confidentiality. AirSwap's OTC market encompasses a wide range of financial instruments, aiming to provide traders access to a variety of markets.

AirSwap operates under a decentralized governance model, which is facilitated by the AirSwap Improvement Proposals (AIPs). These proposals allow the community to vote on and finalize proposals on an ongoing basis. Each AIP is ratified by calling it to vote and being accepted by the token holder community. Voting is conducted on a decentralized voting platform. Once votes are completed, proposals are considered finalized and placed in a backlog for selection by contributors. Based on requirements and feasibility, contributors consider the proposal for potential prioritization and implementation. This model intends to foster transparency and inspire new ideas and directions for the project. It's important to note that AirSwap is a project managed by its token holders, functioning with a transparent decision-making and product development process. Community members utilize AirSwap tokens (AST) to engage in governance and partake in non-financial community activities.

The AirSwap Indexer is a component of the AirSwap platform, a decentralized exchange that implements the Swap protocol for trading Ethereum-based (ERC20) tokens. The Indexer functions as a discovery service, enabling traders to find each other by either announcing their "intent to trade" or by searching for others who have already made themselves discoverable. This feature is designed with the intention of modifying the token trading process. By facilitating peer-to-peer connections, the Indexer seeks to reduce dependency on centralized exchanges, thereby modifying the trading process. It is developing into an asset listing service for peer-to-peer traders, contributing to a more transparent and accessible trading environment.

AirSwap addresses the issue of front-running by implementing a peer-to-peer protocol and eliminating the use of a public order book. Front-running is a practice where brokers or other entities exploit their advanced knowledge of pending orders to benefit from anticipated price movements. In traditional financial markets, this is achieved by placing their own orders before executing their customers' trades. In decentralized exchanges, front-running can occur when transactions are broadcast to the blockchain and await verification from miners. However, the design of this decentralized exchange aims to make it less profitable and more challenging to engage in unfair practices, with the intention of promoting fair-play. The platform uses an indexer to aggregate 'intent to trade' from both makers and takers, opening up a private channel of communication between them once they have been matched. This private negotiation process, combined with the use of the platform's price oracle for price suggestions, aims to significantly reduce the possibility of front-running.