In this tutorial we will find out what Uniswap is and how to buy XRA through its decentralized swap.
Uniswap and decentralized exchanges
Uniswap is a decentralized exchange, or DEX as it is more often known. Unlike exchange platforms like Bitfinex, where sales and purchases are handled centrally through a company’s servers, everything on a DEX is handled through blockchain smart contracts in a completely trustless and decentralized manner.
This has both advantages and disadvantages. On the one hand, it simplifies the process of entering the platform by not requiring any identification or KYC; on the other hand, depending on the blockchain on which the DEX operates, the buying fees of a token can be significantly higher. In fact, the commission paid on a DEX is equal to the sum of the exchange costs and the fees required to register the transaction on the blockchain network. Uniswap, for example, operates on the Ethereum network, which causes the purchase price to fluctuate in accordance with the Ethereum network’s gas fees.
Furthermore, DEXs do not allow the purchase of cryptocurrencies with fiat currencies such as the US dollar or the Euro, but only the exchange of crypto for crypto. As a result, you must own cryptocurrencies in your own wallet that is not part of a centralized exchange and keep them on hand in addition to the cryptos you want to swap and those required to pay transaction fees on the blockchain.
How to perform the swap ETH/XRA
There is an XRA/ETH pair on Uniswap; consequently, it is necessary to have ETH in your own wallet, such as Metamask, to purchase XRA tokens and other ETH to pay transaction fees on the Ethereum network.
You can receive ETH on your wallet by purchasing it directly from the wallet with your debit or credit card, as described in this guide.
Add the XRA token to your wallet before proceeding with the swap; that means to enter the essential information to allow your wallet to identify the XRA token.
If you use Metamask, scroll to the bottom of the pop up and look for the blue inscription “Import tokens.” Choose it, then click on the word “Custom Token.” In this field, enter the Ethereum smart contract of the XRA token (0x7025bab2ec90410de37f488d1298204cd4d6b29d), the token sign “XRA”, and the number of decimals (18).
Once added, you’ll be able to see your XRA balance in your wallet.
If you use another wallet, I recommend searching Google for a specific tutorial for your situation, such as “How to import a custom token on my (insert the name of the wallet provider)”.
To begin the swap, go to the Uniswap official website at https://uniswap.org/ and select the “Launch App” icon in the upper right corner.
When the page loads, look for a purple “Connect the wallet” button in the center and click it.
Your wallet’s pop-up will appear, asking for permission to connect to Uniswap.
Give your approval.
At this point, click the blue “Select a token” button to open a pop-up window where you can look for the ticker of the token you want to acquire, in this case XRA.
The Xriba logo and the text “XRA via Coinmarketcap” will appear at the bottom of the pop up. Choose the “When you click the “Import” button, an alert will display that states, “This token does not appear on the active token list” (s). Check that this is the token you wish to trade.” Select “Import” once again.
At this time, the pop-up will shut, and you can input the number of ETH you want to convert in XRA in the box with the abbreviation ETH instead of “0.0.” After entering the quantity of ETH, you will be shown the number of XRA that corresponds to the price on Uniswap.
Take caution not to pick the maximum amount of ETH in your wallet, as they will need to keep enough ETH to cover network costs.
Then click “Swap,” and when Metamask appears, click “Confirm” to allow the transaction to spread.
As soon as the transaction is approved by the Ethereum network, your XRA balance will be updated!