Compared with blockchain applications, centralized digital currency exchanges are more like financial institutions.
Because the focus of centralized exchanges is usually on commercialization, there is no design to control moral hazard in the operating mechanism, and the transparency is low. There are possibilities of misappropriating user funds, running, forging transaction data, and "shady currency listing", which often appear Events such as transaction rollbacks, leverage system abnormalities that lead to passive liquidation of users, and interface hacking.
The center of gravity of the decentralized digital currency exchange is biased towards technology, with the code as the basis of supervision, which has certain security advantages.
In March of this year, Binance (The current transaction depth ranks third in the world) announced the development of a public chain and the creation of a decentralized exchange. In April, imToken, a digital asset wallet with millions of users, cooperated with 0x,Launched Tokenlon, a decentralized trading platform。
Although transactions show a certain tendency towards decentralization, decentralized exchanges are not perfect.
First of all, "safety is not absolute". In February this year, EtherDelta stopped trading. "code is law" sounds fair and just. Once a problem occurs, "there is no central responsibility, and the individual bears the risk" is still difficult for users and regulators to accept. In addition, in terms of experience, the UI is not friendly, and the operation is relatively complicated. Users need to master how to use the wallet and keep the private key. Decentralized exchanges are often accompanied by problems such as slow confirmation speed, low overall liquidity, and insufficient transaction depth.
decentralized exchangedecentralized exchangeDEx.topBitmainBitmainOverseas incubation, based on the team's previous research in the field of consensus algorithms and smart contracts, created the ROC (Replayed on Chain) mechanism, and adopted the dual-book model of "off-chain matching and batch on-chain" to solve the above-mentioned pain points of the exchange and realize transactions safe, fast and low cost.
The transaction requests initiated by users are matched on the off-chain server, and the transaction results are uploaded to the chain in batches later, which can be compared with centralized exchanges in terms of speed. Although there will be a few minutes delay for users to query the results in the blockchain browser, due to the open source nature of DEx.top, any transaction is auditable, and "evil" behaviors are also open and transparent. And because DEx.top does not set up a centralized escrow account, user funds go directly from the wallet to the smart contract, and the smart contract realizes the matching, which avoids the risk of being stolen by hackers. Even in extreme cases, if the hacker does not send random transactions for his own benefit, the funds will only be returned in the same way.
As for the specific number and frequency of "batch uploading", DEx.top will dynamically adjust according to network congestion to ensure the immediacy of transactions.
In the early decentralized exchanges (such as Ether Delta), the pending order action was also completed on the chain. When Ethereum was blocked, the order could not be placed quickly, and the user experience was poor. later0xOff-chain transactions are realized, transaction costs are reduced, and network congestion is avoided. Moreover, transaction orders using the 0x protocol are interoperable across platforms. Users can view orders on the entire network and choose the best price, which also ensures the order volume and transactions of the exchange. depth. "Trading Volume Front Row"IDEXDeveloped decentralized smart contract transactions based on Ethereum, claiming to "support real-time transactions and high transaction throughput."And DEx.top is basically comparable to centralized exchanges in terms of peak processing.
In addition, the use of DEx.top tradingSave up to 30% on gas fees compared to existing decentralized exchanges. One is because the code design is relatively simple; the other is that after DEx.top has improved the on-chain rules, the behavior of placing/cancelling orders is no longer on-chain, so users do not need to pay gas, and only when transactions are matched will they be on-chain and generate fees. Because it is open source, DEx.top will alsoThe gas fee is published on GitHubTo enhance regulatory transparency.
In terms of user experience, in addition to the friendliness of the interface, DEx.top also adds some small functions. For example, users can choose the time limit when placing an order, so as to prevent the situation that the user signature cannot be withdrawn after broadcasting and can only initiate reverse transaction hedging.
The team stated that the ultimate goal of DEx.top is to make decentralized exchanges at least "equal" to centralized exchanges in terms of experience.
In addition, the "coin listing" process is also the focus of our concern. "Listing currency" on DEx.top is divided into the following steps:
Project parties can submit "coin listing" applications through DEx.top's official website and Telegram group, and DEx.top's research team will also collect global projects through multiple channels. After the application is submitted, the analyst will do a pre-screening, attach a written report, and then review the project quality according to the quantitative standards in the scorecard model. At the same time, DEx.top will check the number of developers in the project team, the frequency and quality of code submission through GitHub, and do a preliminary code audit. The scorecard combines the team's previous risk control experience in the traditional financial industry and the investment logic of the "currency circle", and comprehensively examines community response, project landing scenarios, integration with blockchain, and investor endorsements.
Engineers with development experience conduct more rigorous code audits.
The voting committee votes. At present, the DEx.top voting committee comes from consulting companies, investment analysis and other backgrounds. It summarizes the analysis reports every day, and then expresses opinions in regular teleconferences (similar to traditional VC fund "meetings"), and then votes twice . According to reports, DEx.top is expanding the scale of the voting committee and optimizing the voting rules.
The team said,DEx.top does not charge listing fees, and its revenue mainly comes from transaction fees.
It is understood that DEx.top will start public testing this week. In addition to conventional operating methods such as airdrop rewards, DEx.top will pay more attention to acquiring customers from the technical community, because wallet products have a high usage rate in the technical community and the cost of user education is low. DEx.top also digs out high-quality projects in the geek community and promotes them jointly with centralized exchanges.
The current front-end form of DEx.top is the web version, and it is negotiating cooperation with hot and cold wallets with a user base. It is hoped that users can trade more conveniently through multiple entrances.
DEx.top has not yet developed its own public chain, but chose Ethereum, which has a mature ecology, rich asset types, and solid technology. In the future, it plans to connect to more public chains that can realize smart contracts, such as the growing BCH and EOS. Therefore, DEx.top is developing cross-chain transactions in the form of gateways, and will cooperate with projects such as Loom and District0x to expand the ERC721 protocol transaction market.
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