As a point-to-point e-cash system, bitcoin needs a centralized exchange to match transactions. This is not in line with the point-to-point spirit. But it is still quickly accepted by customers.
Risks of centralized exchange
The capital security of the closed exchange highly depends on the technical ability and credit of the team Because the damage caused by insiders and hackers is very much.
These exchanges require users to provide identity information. This is a great risk. Imagine that if the exchange fails, the identity information in it will be sold.
Decentralized exchange scheme based on Ethereum and EOS
DdeX, whale exchange
No matter the exchange is based on Ethereum or EOS, there are too few assets that can be traded by itself. The core problem is that bitcoin cannot be traded, and its value is more than half of the whole digital currency.
The development of bitcoin
With bitcoin scripts supporting HTLC (hash time locked contract). Now the atom exchange between bitcoin and litecoin, quantum chain can be realized. The meaning of atomic exchange is that the two sides of a transaction construct a transaction broadcast through negotiation. Only after they really call the money to an address, can they move the money that the other side has turned over. Atom wallet already supports this feature.
Here is an introduction. Atom wallet even has a flash exchange built in, which lets you buy and sell bitcoin without registering at all.
This scheme can be said to be very safe and useful.
Although the scheme itself can only be used for those languages that support bitcoin scripts, litecoin, quantum. It is difficult for Ethereum and EOS using the account system to access this technology, nor can erc20 stable currency support it. But this scheme is still a real breakthrough, because bitcoin is so important.
Bitcoin spirit exchange
The exchange with bitcoin spirit should
- No registration required
- No need to recharge to the wallet designated by the exchange
- After the order matching is successful, the funds should be returned to the user’s own wallet, rather than requiring approval to withdraw.
But the spirit of bitcoin is not enough. To be useful for people, this exchange needs two features:
- Support bitcoin and mainstream currencies, especially stable currency.
- The transfer speed is fast enough, not the confirmation speed on Ethereum.
What other features are necessary in the future?
- Free to add transaction pairs. Why do you need to fill in the application form to hang a new variety? Can’t you just hang up the bill? Isn’t it reasonable for small communities to issue their own coins and form their own trading markets?
- Asset transactions are verifiable to the public, but anonymous. Isn’t it a terrible thing to know the action of buying and selling assets?
Is there such an exchange?
- There is no need to register. You can sign up with a mixin network wallet. Mixin network now has many kinds of wallets, and six kinds of SDKs support the creation of wallets.
- No need to recharge to exchange account
- The mixin network wallet, which is directly asset to the user after successful matching, is very safe.
- Supporting many assets based on mixin network: bitcoin, usdt, erc20, EOS token
- Based on mixin network, the transaction confirmation is extremely fast, with one second for registration, one second for matching, and one second for currency printing
- Free to add transaction pairs, you can buy and sell almost any asset without approval.
- Transactions based on mixin network are anonymous but can be verified
In this exchange, the registration is to pay the assets to be sold to the address of the exchange, and then write the information and price of the assets to be bought in the payment memo.
Once the matching is successful, the asset will return to the user’s wallet.
Cancellation of order
The way to cancel the order is also very direct. Write the order number to be cancelled in memo, and then pay a small enough amount of any asset to the exchange.
The exchange itself runs on the public chain of mixin network. The main network code is open source and has been launched. Now there are 15 nodes, and 5 nodes are about to join. Main network code.
You can also set up an exchange
This exchange is open-source, so anyone can set up their own exchange and set their own handling fees.
Ocean is not a perfect solution,
- His match is still out of the question.
- The unmatched order assets still belong to ocean, which is currently built by the mixin team.
- As there is no process of currency approval, it is necessary to show the details of transaction pairs on the client side to improve the difficulty of fraud. There must be false BNB token
Who can make money in this situation
If only a few people can make money, it is doomed that this mode can not go on. Let’s guess who can make money.
People who set up matchmaking engines
Service charge. In this scenario, the market is fully open, and the cost of exchange is 0. Once the price performance of an exchange decreases, people will escape
A person who moves bricks between a centralized exchange and a decentralized exchange
This scenario can protect personal privacy, and a single transaction can be completed without a second recharge and withdrawal, so the transaction speed is faster, so theoretically users who value privacy and speed will be willing to pay a little more to complete the transaction. So there must be businessmen here who are willing to earn the difference.
Due to the open source feature, wallet developers may not make much money from users.