what is Dex

What is DEX (decentralized exchange) and why is it on the rise?
A lot is going on in the crypto space. Regulations abound, security fears are widespread, and most importantly,
innovation after innovation appears every day. Cryptocurrency has attracted all kinds of speculation, and only
those in the know seem to be weathering these storms and, of course, making a killing in the process.
While centralized exchanges have been hailed as the easiest means of transacting, they are not the most
secure. In fact, they go against the very reason that led to the creation of Bitcoin: the elimination of third
parties in transactions (peer-to-peer payments). Hackers are not unusual in this business. The best example is
the infamous Bitfinex hack that led to thousands of people losing their hard-earned savings.
What is DEX
Cryptocurrencies present other types of problems. They have unique identification characteristics and people must
exchange them for their national currencies. Also, there are services that still do not accept crypto payments. This has
led to entrusting these cryptos to a third party for seamless exchange, but as mentioned, it comes with risks.
These problems require a solution and Dex presents himself as a messiah. Decentralized Exchange (Dex) refers to an
exchange market in which the client's funds are not held in the third party account. This is possible thanks to the use of
an automated system that allows direct trading between users. This has been possible in many ways. Some of the ways
include proxy token creation, asset creation, and trading through a decentralized, multi-signature escrow system.
But why does the DEX go up? Decentralized exchanges have a myriad of benefits that have made them popular. Because the funds are in your
possession, you don't have to worry about trust issues. With the centralized system, you need to trust the third party and
constantly question their probity. Second, a decentralized system is more private and confidential. You only reveal your
data to the person who sells or buys from you, Uniswap clone script and especially if it is a bank transfer.
Otherwise, your data is yours and yours alone. Finally, server downtime issues do not occur here. This is because hosting
for these exchanges is distributed across nodes.
Today, there are other options that have made trading safer from cheating, flawed business models, and insider trading.
Bitcoin for national currencies and other cryptos without involving third parties.
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NXT This is a cryptocurrency platform that allows users to trade assets under the same currency, NXT. It does not allow other
cryptos as well as asset-to-asset trading.
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CounterParty DEX This is a crypto platform that allows anyone to issue assets or tokens within the Bitcoin sphere.
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Bisq and Openledger Bitshares has its own coin, Bishares (BTS) where clients can trade BTS, Market Pegged Assets (MPA), and User
Issued Assets (UIA). Openledger is basically the web-based version of BTS that runs on the same Bishares.
However, there are many more in the development stage, and soon the list will grow as the demand for DEX puts
pressure on developers. All in all, DEX is here to take the course, restoring the cryptocurrency to its original state of
removing third-party regulations.Uniswap clone
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