The crypto market continues to experience massive growth from its inception, with decentralized exchanges (DEXs) becoming the most popular of narratives. Decentralized exchanges are popular due to their superior security and decentralization. In the last year, the failure of the FTX exchange left investors scrambling to find some secure and more advanced ways to trade their digital assets.
We review some of the best decentralized exchanges you can look for in crypto.
What are Decentralized Exchanges
Decentralized crypto exchanges enable users to buy and sell cryptocurrency with no middleman, directly from other people who want to sell or buy the same tokens. Decentralized exchanges (DEXs) offer low fees, fast transaction speeds, anonymity, and more.
Besides, the trading process is fully automated to provide security and ease of use. Additionally, DEXs can be standalone platforms that a decentralized autonomous organization governs (DAO), like Uniswap or PancakeSwap. Alternatively, they can be part of a P2P trading platform within a centralized exchange, like OKX, Binance, and Huobi.
Best Decentralized Exchanges
1. OKX- Best Decentralized Exchange with 340+ Tokens
OKX is one of the top global crypto exchanges, boasting over 20 million users worldwide. On OKX’s centralized exchange, users can trade more than 340 crypto tokens at a fee of just 0.10% per trade.
OKX may be a good choice for global cryptocurrency traders looking to buy and sell with low exchange fees.
With an account at OKX, you can easily buy crypto using a card, bank account, or mobile wallet. It also offers exceptionally high yields in some cases when participating in staking or saving features.
OKX also offers decentralized peer-to-peer (P2P) trading for the most popular tokens on the exchange, including Bitcoin, Ethereum, Tether, USD Coin, TrueUSD, and Maker. Besides, traders can set their prices on OKX’s decentralized exchange and choose from more than 900 payment methods. It is incredibly simple to get funds in whatever currency a seller desires.
Creating a decentralized order on OKX is simple. Just choose a coin, the amount to buy or sell, and a payment method, and the trade will instantly be communicated to other traders on OKX. Like many large cryptocurrency exchanges, OKX offers a simple trading form that works well for beginners alongside an active trading platform for intermediate to expert traders.
2. Covo Finance- Best for Trading Crypto with upto 50x Leverage
Covo Finance is a 100% decentralized spot and perpetual swap exchange where users can trade Bitcoin, Ethereum, and other popular cryptocurrencies directly from their wallets with no custodial risk. What sets Covo apart from its competitors is its commitment to safeguarding users’ funds while providing trading solutions with low-fee swaps and leveraged trading up to 50x.
With its 50X leverage features on trading BTC, ETH, etc., Covo Finance is slowly emerging as the number one choice for traders looking for the best decentralized exchanges in 2023.
Covo Finance could become the default decentralized hub of DeFi activities, making it easier for users to swap tokens, leverage trades, manage liquidity, and mint new tokens.
To facilitate a low-friction experience, Covo has put users’ security at the forefront, emphasizing that all funds are fully protected, so users don’t have to worry about their crypto being exposed.
3. Uniswap- Best DEX for DeFi
Uniswap is one of the largest decentralized exchanges running on the Ethereum blockchain. Since launching in 2018, this DEX has processed more than $1.2 trillion in transaction volume. Today, it has more than 300 integrations and more than 4,400 community delegates helping to secure the network. Uniswap is a decentralized exchange known as an automated market maker (AMM).
AMMs like Uniswap can provide crypto trading because of their liquidity pools. A liquidity pool is a pool of crypto funds users contribute, locked in a smart contract. Funds from the liquidity pool are used when people want to trade crypto.
4. DyDx
DyDx is a non-custodial decentralized exchange (DEX) protocol that allows users to trade various cryptocurrencies without giving up control of their private keys. With the help of its layer-2 solution, DyDx has become a well-known platform for fast and efficient trading with up to 20x leverage. The low trading fees, minimum trade size, and decentralized governance structure make it an attractive choice for users.
Due to its layer-2 solution, the DyDx protocol offers high transaction speed with minimal gas costs. It also allows users to trade with perpetual instruments where two parties agree to exchange one financial asset for another at a specific time.
5. PancakeSwap- Best DEX for Discovering New Cryptocurrencies
PancakeSwap is one of the best decentralized crypto exchanges for finding new cryptocurrencies before they get big. PancakeSwap is often the exchange of choice for new crypto projects making their ICO thanks to the platform’s simple listing process and low transaction fees.
On the PancakeSwap platform, users can swap tokens, stake CAKE in Syrup Pools, partake in Initial Farm Offerings (IFOs), engage in perpetual trading, and buy/sell NFTs via the NFT Marketplace. Top blockchain security firms like Certik and Slowmist have audited the open-source platform.
Swapping from one token to another on PancakeSwap is incredibly simple and takes only seconds. The platform also has a special swap for stablecoins that offers near-zero fees and reduced slippage.
6. Curve Finance- Best for Staking DeFi Cryptocurrencies
Curve Finance is a decentralized exchange for a trading cryptocurrency focused on stablecoins. The Curve platform leverages automated market maker (AMM) technology to maintain low fees and slippage costs to users. It offers a variety of stablecoins, including DAI, USDT, USDC, BUSD, and TUSD.
In addition, users can access the Curve token or CRV. This token incentivizes liquidity providers on the platform and encourages users to participate in the protocol’s governance.
Final Thoughts
Despite the emergence of DEXs, the centralized exchange market still takes up the lion’s market share due to brand recognition, larger trade volumes, and user confidence. However, with the ever-growing number of DEXs, this could be set to change soon as DEXs continue to develop and improve their functionality and user experience.
Comments