Altcoins Talks - Cryptocurrency Forum
Learning & News => News related to Crypto => Topic started by: Goodcat49 on August 01, 2020, 11:47:02 PM
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Despite the significant growth of decentralized crypto exchanges, their centralized counterparts still control the majority of industry trade volume.
Recently, crypto traders have shown a lot of enthusiasm for decentralized exchanges, or DEXs. The enthusiasm is warranted. We’re starting to see the fruits of many years of hard work pay off with DEX trading volume and use increasing every day.
In spite of this growth, the vast majority of crypto trading still takes place on centralized exchanges. DEXs offer a clear set of benefits in terms of fund security, flexible custody and transparency, so why is it that the majority of the market still shuns them in favor of centralized alternatives? We think we know the answer, and we’ve spent the last year and a half working to build a next-generation DEX that can go head-to-head with centralized exchanges. We continue to make progress, and we want to share some reflections, insights and observations that have shaped our innovations.
https://cointelegraph.com/news/decentralized-exchanges-are-building-a-life-raft-but-need-a-bridge
(https://images.cointelegraph.com/images/717_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS9zdG9yYWdlL3VwbG9hZHMvdmlldy82NTQyMGNjZjYwY2YyNzlhNDdmZGI5NDBlMGUzNjY0MS5qcGc=.jpg)
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We can see DEX is the indispensable future of the crypto ecosystem, because the exchange is both a gateway and a path for participants, users cannot forever accept a bottleneck as centralized exchanges as at the moment. However, DEX is currently insecure because it is easy to be manipulated by whales as well as scams, needing to be further developed, finding better security protocols. Uniswap has shown that the transaction volume is quite large, this may be one of the first successful DEXs in the ecosystem for future DEXs to learn.
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This is just based on my own experience. I actually find DEX to be hard to use especially for a non-techie guy like me who is still learning cryptocurrency and that is why as much as possible I prefer a centralized exchange. Now, if they can change this somehow then I might change my preference.