Ethershift is a service that allows users to quickly and easily exchange between different ERC20 tokens at the market rate minus a fee, without having to go through the hassle of signing up at an exchange, or learning how to use a decentralized exchange like IDEX. Decentralized exchanges like IDEX are amazing, however a lot of average crypto currency investors feel like they are too complicated, and therefore a lot of great projects never get the exposure they deserve. Ethershift is making the process of acquiring the best and up & coming tokens easier than ever before.
Ethershift has no accounts, collects 0 customer data, and does not do KYC.
To exchange tokens, users send value to a special address (which indicates the type of token they would like to receive back) and the exchanged value will be sent back to them at the address they sent the original tokens from. This user experience is implemented by fulfilling the exchange using hot wallets, and then later mirroring the trade (at a hopefully equivalent rate) on an exchange, and periodically re-balancing the exchange/hot wallets.
Ethershift takes a cut of profit (half of it in the form of the input token, half of it in the form of the output token) to account for the risk of the exchange rate changing. Third-parties are able to integrate Ethershift into their own systems and receive a 50% cut of the profit via the Ethershift API.
The back-end service is an application written in Node JS, running on Amazon EC2. To access the Ethereum network, a full node is installed on the server, and the back-end service communicates with it through its JSON-RPC API. The service uses an SQL database to keep track of profits.
The Ethershift token is an ERC20 token that represents 50% of the gross fees collected by Ethershift. Each transaction that is made on any of the Ether- shift products yields a 5% fee. The system automatically calculates the gross fee Ethershift collected after gas, and splits it into 2 wallets. One wallet is used for operating costs, salaries, legal, etc, and the other wallet is used to airdrop to ESH holders.
Starting in 2019, each quarter 50% of all gross fees collected by Ethershift will be airdropped to ESH holders.