# Swipe Network

Swipe Network enables users to participate in securing the payment network by bonding and collateralizing `SXP` to the blockchain.&#x20;

Swipe enables consumers and companies to deposit cryptocurrency, which is held via a custodial wallet, that can be converted to fiat currencies for the merchants initiating the transactions directly at point-of-sale. Swipe achieves this by guaranteeing the merchant the fiat currency that they are charging while converting the users cryptocurrencies via the Swipe Network. Swipe guarantees these payments from its own reserves of `SXP` as a collateral that is staked off-chain at the moment to ensure that the merchant receives the amount they are charging. This process is 100% guaranteed as Swipe is in possession of the collateral necessary prior to the transaction and doesn't rely on on-chain confirmations to process the exchange rate.&#x20;

Users are now able to participate in this collateralizing by supplying `SXP` to the Swipe Network  Ethereum Smart Contract while remaining in full control of their funds at all times through the interactions directly on-chain. Users whom stake `SXP` will receive their proportional rewards from the daily `SXP` allocation for bonding and securing the network.&#x20;


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