Account V1

Account V1 is DotSwap’s legacy, custodial pathway for users who want rapid swaps without running channels or signing PSBTs for every trade.

Attribute
Detail

Custody

Assets deposited into an MMM multi‑sig vault co‑managed by DotSwap + Safeheron.

Speed

Trades settle instantly on DotSwap’s internal ledger; on‑chain batching occurs later.

User Experience

No PSBT signing per swap; users interact via simple “Swap Now” UI.

Liquidity Source

Routes through DotSwap LP pool; Engine logic unchanged.

Fee Structure

Same 2 % default (1.6 % LP / 0.4 % DotSwap) applied internally.

Workflow

  1. Deposit → User sends BTC / tokens to custodial address; balance credited.

  2. Instant Swap → User chooses pair; Server updates internal ledger immediately.

  3. Batch Settlement → DotSwap periodically aggregates internal trades into PSBTs for on‑chain finality.

  4. Withdraw → User requests payout; DotSwap co‑signs transaction from MMM vault.

Pros & Cons

Pros
Cons

Fast UX, no PSBT friction

Custodial risk (mitigated by multi‑sig & audits)

No channel setup or per‑swap fees

Withdrawals depend on DotSwap availability

Ideal for small retail amounts

Not fully self‑sovereign

Comparison: V1 vs. V3

Feature

DotSwap V1 / Account

DotSwap V3 / Nexus

Custody Model

Deposit into multisig vault

Self-custody or pooled (MMM)

Trade Speed

Instant (off-chain ledger)

Varies (depends on UTXO)

Confirmation Required

No

Yes (for on-chain transactions)

Asset Control

Shared multisig

User or operator controlled

Account V1 serves as a convenience bridge for newcomers while the broader Nexus self‑custodial ecosystem scales.

While Account V1 provides a fast, custodial on-ramp for newcomers, it represents just one facet of DotSwap’s broader liquidity architecture. To serve everyone from casual traders to professional market makers, DotSwap offers four interoperable provisioning models.

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