With the breach in the centralised exchanges becoming too common and security in altcoin trading becoming one of the biggest concerns in the crypto market, Decentralized exchange(DEX) has come to the rescue and provide a smart contract based exchange to facilitate crypto currency trading. In this post, we shall have a closer look at the major and best decentralized exchanges that you can consider for your next crypto trade.
Best Decentralized Exchange (DEX) for CryptoCurrency Trading:
1. Idex
Idex is by far one of the biggest decentralized crypto currency exchanges around. It has been around for quite sometime now and continues to grow faster than most of its competitors. Although Idex is not completely decentralized, the peer to peer trade is well decentralized with the ethereum contracts. Here is our point by point analysis of Idex:
Account Required: No, one can use Ethereum address using metamask, ledger etc.
Easy of Use: Combination of centralised and decentralised technology makes the exchange fairly usable.
Anonymity: High
Security : High, because of decentralised contracts.
Fees: 0.1-0.2% for trading apart from ethereum network gas fees.
Trading Rewards: Yes, you get rewarded with AURA tokens for doing trading on IDEX. Given the increasing popularity of IDEX, this can be quite some money in future !!
As per coindesk, Idex has remained to the top used ethereum Dapp for more than six months now.
“The Top 5 #Ethereum Dapps by Daily Active Users” by @coindesk. #IDEX is maintaining the #1 spot! https://t.co/KlxDwcsIWy #DEX #cryptotrading #cryptocurrency
— Aurora (IDEX) *Not Giving Away ETH* (@Aurora_dao) June 11, 2018
2. Bancor
Bancor got a huge popularity in June 2017 after raising an ICO worth more than 150M+ USD. Bancor intends to provide liquidity in the crypto market with its own reserves. The price discovery on the platform happens mostly using the Bancor’s own algorithm and the user trades happening on the platform. This essentially means that price discovery is grossly different from how it happens in the traditional exchanges. But, that doesn’t mean that the price of the asset would be different from what you get at other places since user input is also one of the factors in pricing.
Here is our point by point analysis of Bancor:
Account Required: No, one can use Ethereum address using metamask, ledger etc.
Easy of Use: Bancor can have steep learning curve to start with. The mesh of transactions that go in with every trade can be confusing for the beginner but as you get more experienced, you will find the user interface and user experience much more friendly as compared to other decentralized exchanges.
Anonymity: High
Security : High, because of decentralized contracts.
Fees: 0.1-0.2% for trading apart from ethereum network gas fees.
Trading Rewards: None as of yet.
3. ForkDelta
Forkdelta is a decentralised exchange like Etherdelta. For the ones new in the territory of decenteralized exchanges, Etherdelta is one of the very first DEX that launched in the ETH market. It had most of the market share till early 2018 but lost its market share quickly after being hacked in early 2018 and due to the rising popularity of IDEX. Forkdelta came into picture in the early 2018’s and is rapidly gaining foot in the market.
Forkdelta is a bit tricky to operate as it requires user himself to carry out two actions rather than one to initiate a trade which is unlike IDEX where a single user action initiates a couple of transactions required for trade. It is highly recommended that you first read their help or see some video tutorial if you are new to decenteralized exchanges.
Here is our point by point analysis of Forkdelta:
Account Required: No, one can use Ethereum address using metamask, ledger etc.
Easy of Use: Forkdelta can be tricky for the non-savvy users or the users that are new to DEX. It is recommended to go through some tutorials and videos before starting to trade on Forkdelta.
Anonymity: High
Security : High, because of decentralized contracts.
Fees: 0.1-0.2% for trading apart from ethereum network gas fees.
Trading Rewards: None as of yet.
4. Waves Dex
Waves is a highly valued DEX project and is highly respected in the community. Waves offers quite a few options to trade crypto currencies. It has a desktop client as well as web client to help you carry out the trades. It also offers fiat to crypto trading along with crypto to crypto trading. All the transactions on the Wave DEX happen on the Waves blockchain rather than the most common ethereum blockchain.
With that said, waves can be a bit tricky to operate for the people coming from Ethereum platform because the pairing is being done against BTC and waves and not ETH
Here is our point by point analysis of Waves:
Account Required: Yes, you need to build an account on the waves platform to trade on Waves DEX
Easy of Use: Very intuitive and beautiful UI. The users coming from ETH based DEX might find it a bit difficult to operate because of different pairing.
Anonymity: Low – Medium
Security : High.
Fees: N/A
Trading Rewards: None as of yet.
5. Switcheo Network
Switcheo is one of the first multi-chain Decentralized exchange. They intend to launch for most of the chains including but not limited to ETH, NEO, QTUM etc. They have taken a contrary approach and already launched the exchange for NEO/NEP-5 tokens. It is one of the first decentralized exchange to launch trading of NEP-5 tokens. At the time of this writing, the exchange for QTUM tokens is also live.
Switcheo raised their ICO just a few months back and switcheo’s native token SWH is also a NEP-5 token.
Here is our point by point analysis of Waves:
Account Required: No, transactions happen right from your wallet so there is no need to create an account. You can just use the switcheo wallet.
Easy of Use: Very intuitive and beautiful UI. The exchange is in early phases of development however and you can encounter quite a few bugs while using the exchange.
Anonymity: High
Security : High.
Fees: 0.15% for the takers and 0 for the makers. Taker fees can be reduced to 0.075% if one uses SWH token to pay for the fees.
Trading Rewards: None as of yet.
You may also like to read: Best Blockchain & Cryptocurrency Books
Although, there are many more dex exchanges to add to the list of best decentralized exchanges. But, we have covered the ones that are quite popular. If you would like to include any other DEX which you have used and found to be great, please let us know in the comments. As usual, do feel free to drop your experiences while using any of the above said decentralized exchange as well.
5