Binance is pushing ahead with the development of its decentralized Exchange (DEX). In a video, an Exchange developer demonstrates how the new platform works. Sending and receiving Binance Coins (NBBs) is therefore already working flawlessly.
The crypto community has high expectations of the development of a functioning decentralized exchange. Although BISQ and BitShares already work on paper, they are not yet accessible to a wide audience. A hot candidate for the breakthrough of decentralized Bitcoin exchanges is Binance DEX. In August of this year, Binance CEO Changpeng Zhao announced the development of DEX in a first teaser via YouTube.
Since then, the crypto community has been holding big plays on the Binance DEX. After all, Binance has been the world’s largest crypto exchange in terms of trading volume since the beginning of 2018. The user base of its DEX could therefore be correspondingly high, heralding a new chapter for trading in crypto currencies such as Bitcoin.
New Bitcoin formula preview demonstrates functionality
So now the Bitcoin formula company is releasing a new teaser. In the seven-minute video, one of the developers shows, among other things, how to create a wallet and then carries out a transaction with NBB. This is relevant because the DEX is based on the Binance Blockchain, where BNB acts as the native token.
What makes decentralized Exchanges so special?
DEX is almost a holy grail for crypto adaptation. Well-known Bitcoin bulls like John McAfee even bind their exorbitant price forecasts to the power of decentralized stock exchanges.
John McAfee Believes Decentralized Exchanges Will Take Over Crypto Trading
Security expert and cryptocurrency personality John McAfee believes centralized exchanges will soon go extinct, with decentralized exchanges (DEX) set to take over the cryptocurrency market.
What is the Bitcoin trader behind the DEX phenomenon?
The most important Bitcoin trader is probably the elimination of the so-called Single Point of Failure. Read more about it: https://www.forexaktuell.com/en/bitcoin-trader-scam/ Since users no longer have to deposit their liquid crypto assets on the servers of the stock exchanges, but can store them on the Exchange block chain, DEX are largely protected against hacking attacks. Instead of creating an account, users create a full crypto wallet and thus control their own private key. DEX are therefore less a platform than a decentralised protocol on which equal investors can trade without the stock exchange having to fulfil a fiduciary function.
The launch of Binance DEX is planned for the first quarter of 2019.
If you would like to get an overview of the pros and cons of decentralized exchanges, take a look at our DEX 101.