The DEX market is constantly evolving as more traders seek out these helpful platforms. DEXs (decentralized exchanges) remove centralization from the market and instead, replace these systems with automated smart contracts. The results are a more secure, responsive, and open trading option for users.
There has been a sharp rise in the number of DEXs in the market as of late. This growth is the direct result of numerous factors. For one, the rise of DeFi has led to more users seeking DEX-like options. Additionally, Ethereum, the world’s top Dapp network in terms of volume, has experienced considerable scalability and congestion issues. This congestion sent developers across the sector in search of lower-cost alternatives.
Today, there are DEXs on nearly all major blockchains including Ethereum, Binance Smart Chain, TRON, and many more. Unfortunately, the sudden increase in DEXs has also spurred more investor confusion. These platforms often employ new features and services which can also add to the confusion of finding a reliable platform. Here are the top DEXs to improve your trading strategy in 2021.
The META Exchange operates as a next-generation DEX on the META Blockchain. This protocol was built from the ground up to remove all the technical barriers associated with DEX trading. The network features an interactive interface that streamlines all major functionalities.
Additionally, the DEX supports the META1 stable coin. This coin provides a valuable safe haven to traders on the platform. Notably, the META1 stablecoin derives value from multiple gold-related assets and bullion. Impressively, it’s the first self appreciating stablecoin in the market.
The META Exchange provides near-instant trades. The protocol leverages the scalability of the META blockchain to provide a seamless trading experience to the market. Notably, the META Exchange is capable of trading volume on par with NASDAQ and other world-recognized stock trading platforms.
META exchange users gain access to all of their favorite projects. You can trade ETH, BTC, LTC, and many more directly from the non-custodial wallet provided to users. In this way, the META Exchange provides a new level of convenience and security to the market.
Uniswap is the top-performing DEX in the world at this time. Despite its lack of features, this platform has managed to become the premier DEX in the sector. Part of its success can be attributed to its pioneering efforts. Uniswap was the first DEX to provide liquidity pools for startups seeking capital.
Prior to Uniswap, a company needed to secure a listing deal with a CEX to gain access to the market. Sadly, this led to more congestion and gatekeepers in the sector. When Uniswap introduced its open liquidity pool policy, it altered the market forever. For the first time, anyone could seed a liquidity pool and gain instant access to global funding.
Notably, Uniswap is the largest DEX and Dapp in the Ethereum market. It was built to enable buyers and sellers to exchange ERC-20 tokens securely. Interestingly, ERC-20 was the first public token standard to hit the market. As such, it’s hugely popular. There are thousands of ERC-20 tokens in use today.
SushiSwap was born out of a desire to provide the ERC-20 community more options. SushiSwap borrows many of the top features from Uniswap and adds even more to provide more options. Notably, one of the main draws of Sushiswap is its lower fee structure. Uniswap users save on fees when they migrate to SushiSwap.
SushiSwap operates as an AMM (automated market maker). This designation means that you trade your crypto against smart contracts. This strategy provides less slippage which saves traders. Notably, SushiSwap also introduced some community governance mechanisms. This decision gave the community a say in the future developments of this platform.
This community-centric approach also shines through in the network’s fee structure. Notably, a majority of fees get paid back to users via staking and other DeFi protocols. SushiSwap provides users with multiple ways to earn a passive income with less risk. For example, you can stake SLP tokens to earn SUSHI, and then, you can stake SUSHI for xSUSHI and earn even more rewards.
PancakeSwap is Binance’s answer to Uniswap. The Binance Smart Chain is fairly new as it entered service in September 01, 2020. The DEX is very responsive as the BSC provides ultra-high performance to the platform. For comparison, Ethereum approves blocks of transactions roughly every 13-seconds. The BSC trims this time down to around 3 seconds.
The network was built to leverage the Binance Smart Chain’s advantages. This fourth-generation DeFi blockchain supports features such as staking, farming, peer-to-peer lending, and much more. The main difference between PancakeSwap and the competition is the fact that the network was built to service the BEP-20 sector. BEP-20 is Binance’s new token standard.
PancakeSwap provides access to a variety of projects not available on any other network. Notably, the platform has become very popular in a short time. Today, it’s the largest and most heavily used AMM for yield farming and staking on the BSC. It’s also the largest BSC Dapp in use today. Part of this success can be attributed to the backing of the Binance Accelerator Fund.
Try them All and Learn
One of the coolest features of DEXs is that they are open to a global audience. In most instances, you don’t need to even register. You simply connect a supported wallet and you can start trading in seconds. Consequently, it’s recommended that you give all of these DEXs a try. Each has a similar feel but a variety of different options that you may find helpful. The main thing to remember is that not all DEXs are created equal. You will want to stick to these reputable platforms to avoid scams.