Bitcoin Forum

Remember the hype around Kucoin and Coss? Back i 2017 we saw these 2 projects perform amazingly well due to the promise that you could take share in the revenue from the exchanges as a token holder. Pretty decent idea right?

Well, guess what. With more and more regulation coming, it will most likely soon be IMPOSSIBLE to trade, let alone open an account on any exchanges without undergoing KYC/AML first, which exposes your identity. Something A LOT of people don't like that much, as it completely removes the point of crypto to begin with.

DEX's is trustless. You don't need to trust a DEX, as you hold your own private keys at all times. You don't need to sign up, you don't need to provide any personal details, and you're never at risk of getting hacked and losing your funds.

Now, remember in the good old days, when we saw the gold rush in America. You know WHO made the most money? The guy digging for gold, or the guy selling the shovels? Take a guess....

So through DEX's you'll be able to profit off of the trading fee's IF you run a node on the network. There are several DEX's projects out there who allow this, but Blocknet is probably the most well known DEX out there.
To run a node on Blocknet you need 5000 BLOCK as collateral to host a service node. If we see any decent volume on DEX's you could potentially strike GOLD running a node, as you'd take home a fee on every trade happening on the DEX through your node.

I've seen so many decent projects being mentioned, but nobody ever seems to speculate on the future of DEX's and how much volume we could potentially see on these.
Makes me sick to see people mention the "Binance DEX" as being a trust worthy DEX, when it's NOT a DEX in the first place!  ::)

What are you guys thoughts here?  :)

The best DEX is ViteX built on Vite (this is DAG project, like IOTA but with smartcontract). And they share 90% of revenue from trading fees to token holders (10% for owners). And this DEX is for multi blockhains.

TL;DR.
But after looking at the bolded part, okay, I see that you're with Blocknet as it's the DEX that you're talking with millions of volume. I've seen that they have a token and this DEX has really required an installation? Educate me, anyone.

Blocknet is just an example. There are other projects out there as well. Bisq, Komodo, Nash and the list goes on and on. :)

Now that you have mentioned those, I'm pretty much aware of them.  :)
Well anyway, why you seem to be against Binance DEX? I know they're not completely dex as per Chaopeng mentioned it on somewhere probably on his twitter post.

I'm against it, because it's NOT a DEX. End of story.

They are using the word "decentralized" as a buzz word for marketing, when in reality it's a very centralized exchange. Binance tried to rip off the Blocknet team back in early 2018 when they tried to apply for a Binance listing. They where asked DEX related things, which was SO out of the way that you could easily tell that Binance wanted to know how to setup their own "DEX" protocol.

It's all explained right here: https://www.youtube.com/watch?v=JSCAelH_iuk

Binance is nothing but a hype train, with stupid sheeps following them blindly.
Sure their exchange is decent, but CZ cares about NOTHING but money and power.

Actually I like DEX to succeed, but as of now, I haven't send a DEX that is successful.

I am not familiar with the real purpose of the coin, but the way describe it, it pretty looks promising, but my concern really is, is there a potential for DEX to grow in the future when regulation are getting stronger in the crypto space?

DEX's can't be regulated as they aren't owned by anyone, which is WHY they'll succeed over centralized exchanges that CAN be heavily regulated :)

Liquidity pool and stablecoin on it is a must for these dexes to have millions in volume. There are a number of platforms that have it but we still can consider them centralized. Bisq and Block are the two that I have tried and definitely a great dex to start with. NEWDEX now has its EOSDT stablecoin which is why its gradually building volume.

 As long as Dex's fail to get people trading, they are going to be just destined to doom forever, there is no way in hell you can convince people to actually trade in a place with bare minimum volume available. Which creates this weird cycle, people do not go to DEX because there is no volume, there is no volume because people do not go there, its an endless cycle until one of them is broken. Either the website gives up, or they just find a way of getting people who will overlook the volume issue.

 I say increase the affilaite income, if you give people share of the fee they can get from the people they invite, like what binance did at the beginning with %50 of the fee, you may have a bigger chance, plus always try to work with bots, bots do bring it a lot of people as well.

Not really a significant reason on for them to build up volume and also to think that its a bit contrary if they would really have that stablecoins?

Main reason why they dont gain that much volume because they dont have fiat pairs and the option or feature that do connect out with fiat which is

understandable which these things can really be seen only on centralized platforms.Aside when it comes to DEX then Bisq is the main place where i do much prefer.

There's a reason more and more DEX's starts hitting the scene, it's because there is an actual DEMAND for them, otherwise we wouldn't see projects like Decred launching their own DEX soon, as well as Stakenet and a few others out there.

Once you'll NO LONGER be able to trade without submitting all your info, then let's see what happens to the volume of DEX's. I don't think you have any idea of how many people who actually deals with cryptocurrencies BECAUSE of privacy, don't need to look no further than the Monero and Dash communities.

Right now, you can trade up to 2 BTC's worth on Binance without submitting KYC details, but if they change that overnight like Bittrex and a ton of other exchanges, you'll for SURE see more action on the DEX's.
The idea is NOT to invest in DEX projects when they're successful, but BEFORE they reach that stage, as you could potentially strike GOLD doing so.

Owning a Blocknet node could provide you with TONS of trading fees 3-5 years from now, all you need to do is look at the bigger picture.
With that mind, Blocknet is way more than "just" a DEX. They're building their own decentralized Oracle services, and improved Infura solution, which will benefit blockchain developers, which will have an easy access to bridge between different blockchains using Blocknet's XRouter.

Not so famous at all. But the construction and structure is nice. 10% gain is not a abd profit. But surely this dex needs attention and more marketing cause I just heard it from you. From all dex I think Bancor still on the league and IDEX. These two are top of most volume exchanges or yet popular but they were old testament already.

OP's topic is concern mostly on blocknet which is probably shilling or maybe his just a fan. For me, Bisq is now the most useful though the two Ive mentioned still worth to use. They say Binance Dex is good but the volume is not that great compared to its centralized exchange.

You are overreacting about KYC, there will always be exchanges with either zero KYC no matter what because they will basically be opened in nations with dubious laws so they wouldn't worry about laws in other sensible nations, or there will be some sort of limit for it, like have 2 bitcoin limit on binance as an example. That is why we do not really need to focus on the DEX so much, hopefully one day they will get bigger and I would love to see it, however in case no DEX ever makes it to top, I wouldn't really be sad and I would continue to use binance anyway so no worries for me.

Dex world needs to do marketing a lot better, they are always focusing on the fact that they are decentralized and never look at anything else, they can't get big that way at all.

Do you really think DEX can compete with CEX?

How many DEX do you think have the highest volume and were able to deliver thier promise.

The only benefit that I see about DEzx is that you do not need to go through KYC or registration apart from that there is zero benefits.

Right now we are still in the phase where it's on centralized exchanges and I don't think it's going anywhere soon. When we are talking about the privacy and safety of assets, DEX is probably the best bet. For people who are not that tech-savvy, they are going to have a hard time working things out even only just by registering. I think it's going to get complicated for them. I hope that you didn't just shill Blocknet.

What about IDEX that was changing its way to implement the KYC verification after SEC has sent subpoena to the team that was created idex?
As long as you know who's running the dex and it can be regulated too. ED and FD have gotten subpoena too from SEC.

You forgot the MOST important aspect of any DEX - SECURITY. When using Binance or ANY other CEX, you're essentially TRUSTING them with YOUR funds. As soon as you send the funds over to their exchange, you are no longer the true owner. If Binance gets hacked, and can't pay the damages, you'll everything over night. I'm NOT risking that, as I play around with a huge amount of money (Been in crypto since 2013).

Not Your Keys - Not Your Crypto


IDEX was CENTRALIZED from the very start, which is why they where forced to implement KYC on their users. If you start a "DEX" and remain the owner, you're eligible to comply with national laws. A REAL DEX isn't owned or controlled by anyone, hence why it's decentralized

In Blocknet's case, the DEX itself is ran by masternodes, and NOT the team itself.

I'm pretty sure Binance is getting around these laws by being based in the Cayman Islands, which is pretty sketchy when you think about it. That's probably the biggest reason why I wont use their DEX, other than the fact that it isn't really decentralized in the first place, lol.

IDEX used a setup that made them responsible for the DEX. A real DEX isn't owned or controlled by anyone. It's a peer 2 peer solution, basically no owner. You can compare it with the Internet. Imagine being asked to send in your passport to use a WIFI connection at your local McDonalds.  :D

DEX's overall is becoming easier and easier to use, as they are improved all the time. You can still trade on a few exchanges without undergoing KYC (Binance is a good example here), but if that changes over night, I'm sure the volume on DEX's would EXPLODE.

I wont share my passport, my picture, or anything else like that, with anyone. Completely ruins the idea behind cryptocurrencies.

I know Blocknet (as mentioned by the OP) is releasing a Litewallet soon, making trading as easy as exchanging your coins using Shapeshift (which also DIED because of KYC).

A Litewallet would for sure ease up things a bit. Any more details on this? Don't follow Blocknet too closely, so seems like I've missed this one. I'd love to know more, as the entry barrier to DEX's isn't always as user friendly as it should be. :)

I remember holding a good bunch of KCS in 2017, which I made a massive profit off of, didn't sell the top though, but still came out pretty decent. If DEX's sees the same hype as back then (which is very likely eventually), then I for sure believe they will be a good hold for the future.

There are plenty of DEX platforms out there, sadly with "bad actors" among them like NASH, which has GEO-blocking and KYC. Cool "DEX" you got there  ::)

Hello KCS is kucoin tokens right? It is not a dex and more into centralized. Dex are also good but if you knew how to use it timely. My favorite dex is is IDEX, after the downfall of etherdelta and forkdelta many traders have jump off to IDEX and become one of the major dex that has good volume. I could not say if its million but Im sure they have a good liquidity even until now. But sadly they have some changes like there is a payment already on listing that supposedly a free one for dex. I have no clue if they can still be categorized as one.

I'm fine with KYC on exchanges to trade my coins and tokens, I don't have any problem with this, I have nothing to hide and for those who are smart they know that lack of KYC can do alot more damage to crypto and blockchain in general, there will be more thefts and hacks and nothing will be done about them, crypto will fully turn into criminals den

Always choose the exchange you will trust when submitting your KYC, I get your point but you should also think of the risk that your information could be sold, that is why I only do my KYC on the popular exchange as I know they will not ruin their reputation doing some stupid things leaking our information, when the exchange is trading over $100 million in 24 hours to $1 billion, that's an exchange you can trust.

Some Dex requires you to import your wallet keys to send coins and tokens, for example idex, you are still giving away your details this way, the last time I used idex exchange I created a fresh wallet address on the exchange and send my coins into the exchange wallet address. 

Definitely, right. That is why we should be careful when accessing their site and it should be the legit one.

For many times that I've using DEX exchanges, I've never been experiencing being hack. Maybe I was lucky but I think because I was not careless enough to access my wallet, sending keys using another computer. And it much safer if we don't keep our money in any exchanger for a very long time.

I am fine with one or two things. I know I have to comply with tax and identity to prove I am not cheating or whatever,,, the problem is always that I have no idea if the guys who are behind the thing will keep my data safe. In a way, I trust third party providers even more than exchangers themselves but at the end of the day. If you are selling your KYC for a few dollars, you probably deserve identity theft!

A real TRUE decentralized DEX wont ask you to "import your wallet keys". A true DEX is simply a dApp that you use to transact with while being in complete control of your own private keys. Never liked IDEX.

Try the Blocknet DEX, and you'll see how easy it is to trade. It's one of the only true DEX's out there with no centralized points of failure.

Any "DEX" that requires you to TRUST them, isn't truly decentralized. It's basically the same with a tokenized BTC. You need to TRUST a central place to hold your BTC, while you trade a tokenized BTC on an ethereum based platform, such as Uniswap.

It completely ruins the decentralized aspect of the DEX itself, which is why I refuse to even use these "DEX's". Relying on ONE chain (Ethereum) is not very scalable.

Blocknet and other traditional exchanges uses atomic swaps, which is the ideal solution for anything needing to be decentralized without any compromises.

I thought this is another interesting topic to discuss with but again an advertisement from Blocknet I never used this and I really dont know this dex what a trader wants is a platform that you can use it easily, trade instantly with high volumes , not interested is some installation setups, why use this dex if we can use cex easily. 

That's a good question, that can be answered in a very simple way actually: Security.

Loads of exchanges has been hacked the past 10 years, more than I can count actually. Even top exchanges like Binance has been victim of this, cryptopia which was in the game for YEARS went down from one day to the other, leaving people empty handed.
If you use a CEX, I'd advice you to ONLY do quick trades, and then remove your coins from the exchange again.

As for Blocknet, they've got their Litewallet ready soon, which basically makes you hold, and trade trustlessly (again, without trusting a centralized exchange) from the same application.
This will make it more convenient for the average guy to use, and certainly provide node owners with more passive income from their Blocknet nodes processing transactions on the network.

True.. Most people in crypto are way too short sighted though.

Nobody believed in Bitcoin when it first launched, except a few clever people (The winklevoss twins is a good example).

Nobody seem to believe that DEX's will ever take off, considering that:

They are 100% trustless
NO KYC/AML
Will NEVER go down
Cannot be shut down, even by authorities
No GEO-Blocking

And the list goes on, and on. DEX's can be SO powerful, and will be which is why Binance decided to make their own. They KNOW DEX's is the future, and only made their own to beat the competition short term.

Taking a position in a few DEX's this early on and being able to profit from them, might be the wisest thing anyone can do at this point, but who knows, lol.

All is the theory that you are giving to compare with other DEXs. But now I want you to think of IDEX, which is one of the oldest DEXs of crypto market and huge volume. What do you think could make Blocknet different and beat IDEX soon in the future? most people now only use IDEX and Binance DEX because of its reputation and I see very few people mention Blocknet. So, do you have any plans for future marketing?

You cannot compare an apple with an orange.

IDEX And the Binance "DEX" is NOT a DEX. Not a real one to be exact. Why?

IDEX enforced KYC - KYC = Not a real DEX.

The Binance DEX and it's nodes is ran and operated by Binances themselves, which makes it centralized

Blocknet's nodes is owned by the investors in the project. There are more than 200 nodes online, which can handle all the transactions on the network itself. These nodes will earn on the trading fees associacted while people trade, the same cannot be said about either IDEX or Binance.

See the difference?  ;)

In other words, you can profit passively off Blocknet's DEX trading fees, including their upcoming oracle network and Infura solution which will beat Ethereums by a long shot.

Reputation is key, I get it, so is volume on the DEX itself. Volume will without a doubt increase as Blocknet is soon releasing their Litewallet, which will have their DEX integrated, so you don't have to download any blockchains in order to trade. Convenience is key.

it seems that it will be difficult for them to become competitors of both of the Big DEX. when they do not have more profitable features for traders, it will be difficult for them to take members from other exchanges. because most who play with DEX are traders not big investors.

Blocknet made the very first DEX in the world - I'm sure they'll do well, haha. They are constantly working on improvements, and the project itself has so much potential that it's crazy how low it's value is right now.
They are building their own Infura solution, their own oracle network among other things.

Here's a scenario:

ETH charges gas per tx on the chain, giving it utility. ETH gas price right now is around $0.12 and there are about 900,000 tx's/day which brings us to $108,000/day paid in gas. Now let's toss in ICO buy pressure which raised $371M in 2019 (and let's assume it's all on ETH)... that's $1M/day, bringing total pressure to $1.11M/day on ETH. As a result (among other obvious things that don't need to be explained for the sake of the example) ETH is currently at a $22B market cap

Now let's conservatively talk Blocknet usage throwing in some fun numbers. Infura sees about 15 Billion calls per day. Checking out their pricing this comes to about $3.75M/day. Let's say we're able to do only 5% of that, that's $187,500. Now let's say the DX will do only $25M/day at 0.15% (not official, just using as an example), that's $37,500. Combine the 2 and that brings us to $225,000/day or about 20% the "pressure" of ETH (and $563/day income per Service Node assuming there's 400 running.). If you slash ETH's current cap by 20% you get $4.4B... which is $647/BLOCK

In other words 600x your investment.

Quite fun to speculate into the future. 600x would be insane, even for a low cap project like this. I've seen people say that the next bull run is likely to be 3x the last one, which sounds absolutely crazy. That would make a lot of people wealthy in a very short time.

I believe a lot of people look at Uniswap and other ETH-based DEXs with tons of volume disregarding real DEX's which allows BTC as the main trading pair. Next question is, how are they reading their data? Probably using Etheruems centralized Infura solution, which Blocknet is trying to improve by making it completely decentralized.

So many improvements on decentralization, yet nobody seems to care, just yet.. Once they start parterning up with big corporations, things will surely change.

Decentralized exchanges are non profitable exchanges so users trade between themselves without any third party like service provider so you are not going to pay any fees but do you think which could make you a millionaire?

And many newbies shilling for Blocknet recently. ::)

I don't particularly like DEX exchanges, they are capitalist and annoying. They ask for a lot of costs to make sales, deposits, cancel orders and make withdrawals. This costs me a lot.  >:(

Some DEX's runs on a layer of masternodes to enhance decentralization, which benefits all parties. The node owner can make thousands of dollars monthly with a enough volume. Coinbase, Binance etc takes a LOT of fees, in this case the fees are shared among way more people, investors actually, which is pretty smart.


Which DEX's have you tried? Because typically DEX's has lower fees than CEX's as far as I know.

Capitalist? They are quite the opposite man. I don't think you know THAT much about DEX's at all. Go do some research on your own, you can read about Blocknet's here: https://blockdx.com/

ALL exchanges has fees, prove me wrong. DEX's is no expeption  to this, the difference is that the fees is collected by investors owning nodes on the network, and not a centralized entity such as Coinbase, or Binance.

If you run a node on the Blocknet plaform, you can take parts in thousands of dollars worth of fees every month. If we talk millions in volume, and only 200-400 active nodes on the network (due to a high entry barrier) it could be EXTREMELY profitable long term.

Of course that would be possible, but the question is if people are going to adopt the DEX like Blocknet plaform.
I can always see this in some of the post here in bitcoin,  I'm wondering if this project is already successful and running, sorry, I haven't been trading in DEX for a long time, but if this is what you are talking (https://coinmarketcap.com/currencies/blocknet/), I think the volume is still small, it needs to improve.

True, adoption takes time, but luckily the average volume on the DEX itself has 10x'ed over the past year, so it's definitely improving. Their Litewallet is also soon going to be released, which is a multi currency wallet with the DEX inbuilt, making it easier for newbies to get started trading. Requires no sync time.

You clearly hardly know what a DEX is, because they are completely the opposite of your claims.

A DEX is a trustless, low fee exchange, with NO GEO-blocking, restrictions, or any other bullshit.

Well,,, he may be one of many who do not really understand what a DEX is but he does have a point in that many of them are quite annoying.

And I definitely understand DEXs that cancel orders it has happened to me a lot too -- the only difference in most DEX vs CEX is that they do not have control of your funds.

Cancelled orders happens when the maker cancels, just like any other centralized exchange. The beautiful thing about DEX's is:

1) They will never shut down
2) They cannot be taken down even by law enforcements, as the DEX is owned by no one
3) Your keep your privacy
4) All trading is trustless, you do not need to TRUST anyone.

There are many more benefits, but these are just the main ones.

You said it right when it comes to cancelled orders and theres nothing surprising about that.

The market had several DEXE's and some of them are already closed.I can say that decentralization is always been good but people do still end up on
centralized ones because of lacking of fiat integration and services.
Yes, we can find only these features on centralized ones thats why it isnt surprising that people will surely jump to the other side in exchange to that.

We don't NEED exchanges for FIAT gateways. There are multiple service providers out there, which offers great deals on crypto, which is often cheaper than exchanges themselves. (Just my experience).

Once DEX's reach several millions in volume, then there is no NEED for these centralized exchanges anymore, hence why I believe DEX's is a good long term plan.

If we have to achieve complete anonymity then there also should be a decentralized exchange for fiat conversion but we only have p2p sites which can give anonymity but the trader who sends you the money knows who you are.

I do agree that there are several gateways but the question is, would you trust them enough to make such transactions or deals?
Yes, they are cheaper but i cant easily just make tx in them thats why people do really rely on centralized even its completely contrary on what
we are hoping.

P2P is considerable but theres a specific risk behind that since this is face to face transaction then it would neither on the way on how fiat would be transferred
if it would be on handed or via bank account.So we know on how things work after that.

Is such a system applicable in trading on the crypto market? then what about the security for traders? I understand the system will continue to evolve, but all must be considered properly so that no errors occur that cause loopholes for hackers.

you mean your orders got cancelled , how was that possible and from what decentralized exchange you experience it  .

 that can be annoying indeed but thats nothing commpared to a centralized exchange that ask for your kyc and other things   .  never got a bad experience on using a dex  in my case but dexe's dont have enough power to compete with cex's  right now   . maybe in  the future if people got tired of the hassel that cex's cost to them   .

Good start to post but you lost me at Blocknet - only has 15k trading volume

Kyber is the way for this play

Staking coming end of June - https://www.coindesk.com/kyber-offer-delegated-token-staking-network-upgrade
Most used Dapp or DEX or both, forget which (search for it - Binance did an analysis)
70% of transaction fees burned
Etc...

DYOR

The volume is low because Bittrex doesn't allow US traders on their platform, which is Blocknets main exchange. Their DEX gets up to $10k volume on it's own some days, some days more, some days less.

Blocknet is MUCH more than just a DEX, which I believe most people are unaware off.


Uniswap is limiting itself by being an ETH-based DEX. Meaning you CAN'T trade anything else than ERC tokens on it. This leaves out a LOT of projects, including BTC.

Only thing I know about it, is that you cannot trade BTC on it, which is the main pair for everything no matter where you go. It's great to see that it has a lot of volume though, as it means there is demand for trustless trading. Blocknet being one of the most decentralized in existence.

Uniswap only supports Ethereum tokens, so it's really not my cup of tea  :) The volume is growing though, the same can be said about other DEX's such as Blocknet's DX platform, and Bisq.

+1

I can vouch for Blocknet as well. Awesome exchange, easy to use. Doesn't compromise decentralization at all.

They work on so many promising things, which is pretty exciting.

But reality proves otherwise, DEX could be the future  but now they are still lagging far behind CEX, recently we are seeing volume picking up but not close to what will make me bullish on them, DEFI is a nice space to look at now and show more promising than DEX and this is where I believe the money would be in the coming year as the space matured

Another good dex is switchdex and every switch token (ESH) holders will share 90% revenue generated by the dex exchanges every month ending, I don't know one can run nodes for dex, thanks for sharing

DEFI, DEX's, dApps is where the money is going in the future.
Blocknet is a DEFI project, with a DEX, so you get the best of both worlds actually. ;)

Never heard of it, but I'll do some digging.

I prefer DEX's where you as an investor can profit off of the trading fees. I don't know of many projects who has this "setup", but I'm sure Blocknet will be succesfull for this very reason, as demand for the coin itself will surge as the DEX volume increases.

Passive income is the sweetest income in life, no kidding.

Does SwitchDEX have the same setup as Blocknet? Because their setup is really cool, as it provides a great passive income.

Interesting read for sure. Betting on DEX's might actually not be such a bad idea, since I'd imagine it's an ever green market so to say. There will always be people wanting to transact without undergoing KYC, and DEX's is perfect for this.

There's been a lot of talk about regulation, DEX's, DEFI, dApps etc. I'm sure its a wise move to invest in these projects.

The fees collected from the network could grow insanely high to a point where big investors want to join in and get a hold of a few nodes, which would catapult the price upwards like CRAZY.

$100 Blocknet is not too far fetched actually.

Could say the same for Stakenet’s Lightning DEX which solves many issues that DEX’s currently have like liquidity by being able to tap into any exchange to gain liquidity which means people using the DEX will always be able to get what they want at the best price from one single place, their Multicurrency Lightwallet. Article about it here below which has videos of them linking in with Binance and Livecoin.

https://link.medium.com/K20PsuB6M7

As for incentive, people running MN’s that host the DEX as well as their basic block rewards get 90% of all trading fees earned from it. The remaining 10% are converted into XSN and burned to reduce circulating supply.

If you want to give their Lightning DEX a test for yourself then head on over to their Discord and join the test group, the more the merrier.