In the context of cryptocurrencies and decentralized finance (DeFi), swaps refer to the exchange of one cryptocurrency or token for another at a predetermined rate. This can occur on various decentralized exchanges (DEXs) that utilize smart contracts to facilitate peer-to-peer transactions. Swaps are commonly used for trading assets without the need for an intermediary, providing liquidity and price efficiency while allowing users to participate in arbitrage opportunities. Additionally, swaps can also be used in various financial strategies including hedging against market volatility.