A decentralized exchange (DEX) is a peer-to-peer (P2P) marketplace that connects cryptocurrency buyers and sellers without financial intermediaries. With Cryptostone No-KYC decentralized exchange, all third parties are eliminated and everything is established on blockchain, thereby helping better trading experience.
What is a Decentralized Exchange?
A decentralized exchange (DEX) operates based on a distributed ledger, meaning that it doesn’t store user funds and personal data on its servers. If fact, a DEX is a peer-to-peer (P2P) marketplace that connects cryptocurrency buyers and sellers without any financial intermediaries. In contrast to centralized exchanges (CCEs), decentralized platforms are non-custodial. As a result, on decentralized exchanges, Crypto assets are not held in escrow and users retain full custody of their crypto, which remains distributed throughout the crypto network. Accordingly, a user remains in control of their private keys when transacting on a DEX platform. moreover, this kind of exchange enables instantaneous trades, often at a much lower cost than what is offered on centralized crypto exchanges owing to its reliance on self-executing smart contracts.
Benefits of DEX
DEXs is growing in popularity due to the significant advantages they offer over CEXs such as greater privacy, lower fees, faster transaction times and acceptance of payments in cryptos. they have greatly attracted the attention of people who are not interested in entrusting their crypto to a centralized platform, under the control of a third party. Their major benefits include:
- A high level of security. users can control their funds, so they can avoid the risk of an exchange hack or malicious operator.
- Transparency of all transactions. Since all transactions are publicly tracked through the blockchain, DEXs ensure a high level of transparency.
- Users’ anonymity. Users can remain anonymous when they exchange one cryptocurrency for another. Users don’t have to go through the identification process which happens in centralized exchanges. This feature has attracted a lot of people who do not like to reveal their identities.
Preservation of assets. In the event that a traditional exchange shuts down, authorities have the power to confiscate its servers and assets, including blocking user accounts. However, this is not the case with a decentralized exchange due to the fact that its server is a network of computers scattered all across the globe. Accordingly, it is hardly ever possible to control or restrict its work.
- A simple and clear interface. Even non-tech savvy users can quickly get the hang of it.
- DEX doesn’t store client funds. This feature reduces the responsibility for the owners of the exchange.
Cryptostone decentralized exchange
With Cryptostone DEX, you can launch your own exchange and every user’s money will be in their hand. The transactions are highly secure and wallet-to-wallet. Also, third parties can’t access your data. With our No-KYC decentralized exchange, all third parties are eliminated and everything is established on blockchain, thereby helping better trading experience.
How it works
All of the funds on this exchange remain stored on the blockchain. These platforms allow peer-to-peer (P2P) trading for which it uses assets, proxy tokens, or an escrow system, unlike the IOU-based system a centralized crypto exchange uses. Users go through the following steps:
- A token owner raises an order to exchange his/her assets/funds with another available on the DEX. The user also specifies the number of units they want to sell, the cost of each token, and until which time bidding for their assets is allowed.
- Once the selling order as mentioned above is set, other users can submit bids through a buy order.
- Once the time assigned by the seller expires, all the bids are reviewed and calculated in the best interest of both buyer & seller parties.
work with Cryptostone DEX as follows:
· log in to the DEX portal with your wallet
· submit a buy or sell request
· smart-contract logic gets executed and the transfer of assets is done
· requested tokens will be sent to your wallet
Since we are using the Binance Smart Chain (BSC) main-net, so our DEX platform will be on Binance Smart Chain.
Everyone is free to launch an exchange as a decentralized exchange into the main-net. All DEX nodes are communicating with each other by the main net.
Generally, with our exchange, enjoy the following:
• 24/7 availability
• All operations over the blockchain
- No sign-up needed