There are many technologies in modern world which can help people to improve different processes and solve accumulated problems. Blockchain is one of such technologies. It represents a growing list of records («blocks»), which are linked using cryptography. Decentralization is a specific feature of blockchain. Blockchain-based networks are able to keep decentralization thanks to a cryptographic distributed triple-entry accounting ledger.
Advantages of decentralization make blockchain a useful technology for the application in different fields, for example, video games, voting, social networks, real estate, deals with raw materials, and so on. And the field of decentralized exchanges is one of the most perspective directions where blockchain can be used. Let’s consider positive and negative features of using blockchain in such platforms.
The advantages and disadvantages of decentralized exchanges
Decentralized exchanges operate in a decentralized way, that means without a central authority. Such method gives traders a list of advantages:
• It allows peer-to-peer trading of cryptocurrencies (it uses a distributed application architecture that partitions tasks or workloads between peers);
• It reduces the risk of theft from hacking of exchanges (thanks to the fact that users don’t have to transfer their assets to the exchange);
• It can prevent price manipulation or faked trading volume through wash trading (when an investor simultaneously sells and buys the same financial instruments to create misleading, artificial activity in the marketplace);
• Decentralized exchanges are more anonymous than exchanges which implement KYC («know your customer») requirements where you have to give personal data.
There are also some disadvantages of decentralized exchanges: low trading volumes and market liquidity. New protocols for building decentralized exchanges attempt to solve these problems.
Co-DEX: a new approach to the creation of decentralized exchanges
Co-DEX represents the first NO FEES decentralized digital asset exchange based on Cosmos Network. This platform is built by the community and for the community. According to a no fees policy of transactions, the users being required to cover solely the transaction cost of the miners and/or validators that register the action on the blockchains.
Co-DEX appreciates the needs, concerns and wishes of all the individuals that together encompass the idea of community. Events and airdrops, bounty programs and rewards, the focus on personal experience will help people to feel part of the project. And Co-DEX tries out new ideas to reward people within the community.
After the registration a new wallet or signing up with a compatible wallet on Co-DEX exchange, you will be able to choose from a multitude of tokens and cryptocurrencies. Then you will be able to trade cryptocurrency assets securely and swiftly, using a smart contract.
The cryptocurrency of Co-DEX is named COD1 Token. IDO starts in Q4 2019. The amount of tokens during the contribution will be 100,000,000 coins. The usage of this cryptocurrency on Co-DEX is connected with several advantages:
• Very fast operations
• Absence of blockchain fluctuations
• Protection of the identity
• Zero fee transactions
• Global system and security
Launch of decentralized exchange platform, launch of COD1 IDO and hosting other IDOs are planned to take place in Q4 2019. You can get to know more about the project and its goals thanks to these links:
Website: https://co-dex.network/
White paper: https://co-dex.network/co-DEXWP.pdf
Twitter: https://twitter.com/CoDEX_Social
Facebook: https://www.facebook.com/co.dex.decentralized.exchange
Reddit: https://www.reddit.com/user/Co-DEX/
Steemit: https://steemit.com/@co-dex
Telegram: https://t.me/CO_DEX
The article was written and published by Arcadio707 (username at Bitcointalk)
Bitcointalk URL: https://bitcointalk.org/index.php?action=profile;u=2426003
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