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Not sure. They could target different markets but Hive engine is definitely it's own stand alone product.

I think they will complement, as dswap will be engaged in wrapping other coins on hive blockchain and taking advantage of no fees, but has to get user base, atomic swaps gives the ability to wrap hive and use them on ethereum blockchain, that has fees, but can be then used in any app that supports ERC20 coins, like uniswap with big user base