How does a decentralized exchange work?
A decentralized exchange can be a unified system for trading pairs that allows people to place orders and trade cryptocurrencies without having to manage the ledger and hold consumer funds that rely on intermediaries.
Moreover, transactions are carried out directly between users (point-to-point) autonomously. Decentralized exchanges (DEX) are one of the most interesting elements of the DeFi movement. You may already know that DeFi is a trend in which developers create decentralized alternatives to various traditional traditional financial institutions.
Features and advantages
Security: Security is the main advantage of DEX. Centralized exchanges store all cryptocurrency funds on the exchange. In theory, this makes them vulnerable to hackers. On the contrary, decentralized exchanges can always leave the ownership of cryptocurrencies in the hands of users and essentially act as a place to provide peer-to-peer transactions. The platform does not store the user's private key or any private data. Users can fully control the funds. Due to the anonymity of DEX, decentralized exchanges are more effective and convenient for users to trade cryptocurrency transactions.
Distributed server: It does not have a central server, but distributed servers distributed around the world can ensure enhanced security. It is very difficult, if not impossible, to crack it. Many DEXs are hosted on decentralized servers, which means that data is peer-to-peer and distributed globally.
Privacy: Compared with regulated exchanges, DEX does not require any personal information or ID to identify accounts. Many decentralized exchanges do require you to create an account before you can start trading. However, unlike more centralized exchanges that need to verify user identities through various styles of official government IDs, most decentralized exchanges allow anyone to create an account under any name they choose, with almost no approval procedures.
KingSwap trading platform:
KingSwap is an innovative decentralized financial protocol that provides liquidity on Ethereum, providing services such as buying and selling digital currencies, NFT transaction exchange, and mutual exchange between legal and ordinary currencies. KingSwap is the latest application for distributed finance (DeFi). It is a branch of the Uniswap protocol and has been improved and enhanced on this basis.
•KingSwap has a direct and powerful user-friendly interface that can provide real-time benefits in terms of price curve and contributor rewards;
•KingSwap is the first DeFi platform to provide NFT redemption, allowing owners to participate in exclusive airdrops
•KingSwap is reliable The team guaranteed the legitimacy of the platform and obtained legal support from strong regulatory agencies
• Issued 3 NFT levels-King Vamp, Queen Sparkle and Knight Lancelot NFT. Buyers of these three types of NFTs of the KingSwap project can enjoy the loyalty rewards of the KING tokens issued by the Kingswap project
• Integrated OTC portal, an all-in-one platform that provides legal currency conversion functions, can easily transfer your KING tokens Converted to legal currency.