How to Swap Tokens in Web3 Without Centralized Exchanges
In this post, I will show you how to interact with tools from the Web3 ecosystem.
Let’s say in my Avalanche wallet I have some AVAX tokens and 50 USDT. Suppose I want to exchange my USDT for another asset — for example, buy more AVAX, swap into another stablecoin, or purchase an altcoin. Instead of using a centralized exchange (depositing funds on Bybit, swapping there, and then withdrawing back to my wallet), I can use decentralized exchanges.
These platforms allow me to swap assets directly and fully decentralized — quickly, without intermediaries, while keeping full control over my funds.
For example, using a decentralized swap tool:
- I select the Avalanche network and connect my wallet.
- My token balances are displayed automatically.
- I choose the asset I want to receive in exchange for USDT — it could be AVAX, wrapped Bitcoin, Ethereum, another stablecoin, or any supported altcoin.
Let’s say I want to buy some Bitcoin. I enter 25 USDT and first confirm permission for the protocol to access my tokens (Permit). This is the first transaction, signed with my wallet.
Next, I confirm the swap itself. The transaction is sent to the blockchain, and a small amount of AVAX is charged as a gas fee.
It’s important to note: I’m not buying “real Bitcoin” on the Bitcoin network but rather its tokenized version (Wrapped BTC) on Avalanche. This token mirrors the price of Bitcoin but can be used directly in DeFi — for example, in yield strategies or passive income protocols.
This is how interaction with the Web3 ecosystem works. All you need is a wallet with assets. From there, you gain access to a wide range of tools: swaps, trading, farming, staking, and more. Essentially, everything you can do on centralized exchanges also exists in Web3 — but with one key difference: you always retain full control over your funds.
These materials are created for educational purposes only and do not constitute financial advice.