Intro
IntroAs a moderator of the Tron Fan Club community, I regularly write various tutorials on crypto blockchain and Tron related matters. The main purpose of these tutorials is to make our new users aware of these topics. In continuation of that I am writing tutorials on trading and finance. Hope you can easily learn some details of trading and finance through this tutorial series.
Decentralized finance (DeFi) is a significant trend in the blockchain world and decentralized exchanges (DEXs) play a vital role within this ecosystem. In previous tutorial post on this topic of trading I explained centralized exchange and its basic concept. Today I gonna share the basic concept of Decentralized Exchange (DEX). DEX is different from centralized exchange in terms of intermediaries. DEXs operate on decentralized networks where traditional exchange platforms are person or company owned. DEX is basically empowering users with greater control, security and transparency with the help of decentralized system
A decentralized exchange is a type of cryptocurrency exchange that operates on a distributed network. These exchanges primarily utilize blockchain technology. To make it decentralized the blockchain technology is adopted here. DEXs eliminate the need for a central authority or intermediary to match and execute trades. So it’s a peer-to-peer platform for users to exchange digital assets directly with each other. Here transection process is fully automatic. Traders don’t need to wait for anything. If the criteria meet according to smart contracts, DEXs automate transaction processes. In this way the security and transparency in trading is achieved. Except Transparency and Security there are some other key features of DEX like Non-Custodial Nature, Peer-to-Peer Trading, Interoperability etc.
DEX are widely accepted and popular trading platforms. This is because of its transparent, automatic and decentralized nature. In my 1-5 tutorial posts on Trading I tried to cover some problems associated with traditional trading and exchange sites. All those problems can be solved with decentralized exchange concept with the help of smart contract. Along with security, privacy is also improved. In DEX there is no country barrier. Anyone can participate trading from any part of the World as its automatic process. When the contracts conditions are meet the transaction will be completed automatically. For these unique and nice features of DEX its trading fee is very low compared with centralized exchange. A real-life most important example of a decentralized exchange (DEX) is Uniswap. It operates on the Ethereum blockchain. Uniswap is one of the most popular and widely used DEXs. Uniswap is very popular for its simplicity, liquidity provision and decentralized nature.
This is a informative post. I knkw from this post about trading and finance. I knew something About this before. From this post I know a lot
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This is a great information @engrsayful, thank you for sharing with us.
I eagerly anticipate your courses that will hold at the end of the month
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