DAEX, or Digital Assets Exchange, is a decentralized cryptocurrency clearing ecosystem. Find out how it works today in our review.
What Is DAEX?
DAEX, found online at DAEX.io, is an open and distributed cryptocurrency clearing platform. The goal of the platform is to provide clearing solutions for centralized crypto exchanges.
The project is being led by a Switzerland-based organization called the DAEX Foundation. That organization has already reached partnerships with the Qtum Foundation, Jenga Blockchain Capital, Sora Ventures, 8 Decimal Capital, 360, and others.
DAEX wants to create a hybrid exchange that brings together the benefits of centralized and decentralized exchanges. DAEX is one of several organizations seeking to launch a hybrid exchange.
What Problems Does DAEX Seek To Solve?
Why do we need a solution like DAEX? The platform seeks to solve a number of major problems with today’s cryptocurrency industry.
Today, there are two main types of exchanges, including centralized and decentralized exchanges. Centralized exchanges provide a centralized order matching mechanism for traders. They hold onto traders’ funds, and traders complete trades across the order book. These exchanges are fast and have high liquidity, but traders don’t have full control of their funds.
Decentralized exchanges work in a different way: they cut out the middleman and allow traders to complete P2P trades. Traders have complete control of their assets, allowing them to maintain full security of their funds. However, decentralized exchanges often suffer from problems with liquidity and long transaction times.
DAEX aims to solve both of these problems by creating a hybrid decentralized/centralized cryptocurrency exchange.
The Solution – DAEX Ecosystem
To address the problems, mentioned above, DAEX provides an infrastructure for the cryptocurrency trading industry that integrates the benefits of both, centralized and distributed exchanges: strong liquidity, high-security level, transparency and relatively trustless environment. DAEX suggests seperating the clearing and the trading services into different entities. Currently, centralized exchanges will continue to provide trading services, but the clearing and the settlement services will be based on the DAEX solution. The solution is an open source public blockchain which guarantees that the trader’s assets are kept in their own account. Thus, DAEX users can enjoy the benefits provided by centralized exchanges without being exposed to risks arising from the use of such a centralized model.
The following table represents the key differences between the models:
Value
DAEX ecosystem aims to provide value in four layers:
- Security: DAEX provides a secure trading infrastructure, where the user assets are all held on the public blockchain and cannot be moved without their permission.
- Resource allocation: since each exchange has to do its own clearing work, the whole trading industry is not making good use of its resources. By using the clearing service, industry resources are used more effectively.
- Trust: all operation and assets are transparent on the DAEX blockchain. The transparency provides more certainty and decreases the distrust between the users and the exchanges.
- Exchanges: the separation of trading and clearing helps exchanges to focus more on their core competencies. Moreover, DAEX help to reduce the operational costs by selecting and listing new cryptocurrencies so that participating exchanges can trade.
The DAEX ECOSYSTEM
It is known that a decentralized market is considered to be more safe in terms of asset ownership, because wallets are accessed using unique private keys by traders. This is true when trading is used with the ledger technology contained in smart contracts. When the smart contracts are used with the concept of peer to peer trading, it eliminates the participation of third parties to have power over. The Chain Clearing DAEX, also known as DAEX Blockchain, will be the core product of the ecosystem. DAEX continues this trend with the creation of ASPoS (Accumulative Signatures for Proof of Stake) for use in the DAEX Clearing Chain. With the development of the DAEX ecosystem, the types and quantities of digital assets registered on the clearing chain will grow rapidly.
Some of the characteristic features of DAEX include:
It is Transparent : This provides an open clearing chain that engages direct accounting information. which would then empower everyone to watch and offer the upside of DAEX's clearing natural network.
It is Secure: This provides a joint manager relationship for each and every selected asset inside DAEX condition. A stunned encryption framework for DAEX Wallet.
It is Open : This provides an open condition reinforces trading and clearing an establishment supports future subordinates business.
ROADMAP OF DAEX
DAEX is currently open on advertise and arranged for exchanges. These exchanges include:
LBANK — https://www.lbank.info/
BCEX — https://www.bcex.ca/coins
INDODAX — https://indodax.com/
ALLCOIN — https://www.allcoin.com/coins
It is wonderful to know that DAEX already penetrated the South korean, Thai, Russian, Singaporean, Indonesian, and Australian markets and recently. DAEX expanded its Global ecosystem further with strategic investments in identification technology group IAME. By partnering with IAME, the company aims to better improve its product’s technical advantages.
DAEX is a great platform that has a bright future. Go for DAEX today and enjoy its benefits!!!
For More Information About DAEX, Please Visit The Following:
WEBSITE: http://www.daex.io/
TWITTER: https://twitter.com/daexblockchain
TELEGRAM: https://t.me/DAEXOfficial_en
WHITEPAPERS: https://daex.io/whitepaper.html
Authored by wakanada10: https://bitcointalk.org/index.php?action=profile;u=2145207