Block chain technology and digital currency is booming progress, development and growth, to the center is constantly popular. With the opening of Bitcoin bull market, the entire amount of the transaction encryption money market increased significantly, and currently has 2.11 trillion, trading volume is rising, with the entry of all kinds of capital, the scale has grown.
The nature of the block chain is decentralized, but the irony is that today all of the assets are encrypted through the center of trade for Taiwan to carry out the transaction, these centralized trading platform has been proven safe sex is very low, easy hacked or stolen from stick, user asset security is facing a serious threat. Especially in the face as hard bifurcation such a special block chain change events, there is no proper law, but also in the operation of the policy is also accompanied by high risk.
From an operational point of view the mechanism, centralized trading platform is to be placed under the chain system, as a third party intermediary to operate for the customer, and the transaction is not recorded on the block chain. This will result in a massive security vulnerabilities, as well as information, funds and private insecurity, especially in trading comes with risks. But as an ordinary user, so it should not bear additional risks. Since the events continue to occur Hackers steal money, many people began to realize decentralized trading platform, many organizations of entrepreneurs is trying to build decentralized exchange.
Target to the center of the exchange is based on the block chain point to point market trading, all transaction records and data on the chain, open and transparent, not open tampering. Private users protect themselves and their assets, have absolute control over their assets, the platform does not touch the user assets, but no evil possible. However, due to technical limitations, we want to completely de-centralization is still unlikely.
Now the block chain technology and the exchange is still in the early, not mature enough, not perfect. Whether decentralized governance and technically, not really full-fledged. Coupled with the current policy and social environment, it must run in the next part of the rule of man, gently lead, now mostly in a state of total man-machine system of semi-centralized.
Wait until everything is sophisticated that day, step by step onto the right track to a genuine autonomy in order to truly everything to the rationale for the rule machines. That is the future as long as there is sufficient supply of external energy, everything can be organized and run in accordance with the natural order of the code.
Why is the center of the exchange will be replaced?
Unsafe: Since the center of the operation resulted in the loss or theft of funds, while the platform is user caregivers funds, it has legal responsibility. For hackers, the platform is responsible for daily trading volume of billions, most of which is stored on the server, this is undoubtedly tempting honeypot. Safety measures for centralized exchanges can not effectively guarantee the security of assets, user assets moment under threat.
Users at high risk: potential operational problems, market manipulation, hardware failure, wait too long, as well as other potential problems because of the huge trading volume caused.
Lack of trust and transparency: the transaction process is not transparent and the actual costs, fees often also high. Since the peak of the order can not be effectively managed, usually higher than the cost has been announced and there is more delay, at the same time, they also carry out illegal transactions in advance.
Lack of education by users: market is flooded with pure speculators do not know ways to deal with security encryption currency.
Why now decentralized exchange also not a lot of people use?
Decentralized and centralized trading platform Trading Platform biggest difference is that they allow users to play an important role in blocks in the chain, to maintain control over their money: they use encryption technology currency and reached a safer, more transparent transactions. It can solve the main limitations of encryption currency market, because there is no single point of failure, they would have fundamental advantages inherent to block chain technology.
Although decentralized exchange has various advantages, but why most people do not use it? This is because most of the high existing threshold to the center of the exchange operations, liquidity is limited and does not provide legal tender to pay. Meanwhile, the lack of immature technology and user education, largely limiting the promotion of decentralized trading platform.
Lack of user education: the user does not know the shortcomings of centralized trading platform and safety hazards, do not understand how to take safety measures (how to use the private key, etc.), fraudulent claims on the market presence to the central trading platform which also poorly understood.
The technical level, there are many problems to be solved, including the user interface to improve usability, increase scalability; addressing regional chain network congestion and expansion pressure, increase the speed and reduce costs.
In addition, to the Center Bourse currently facing liquidity problems, access to liquidity is a long process. Only up liquidity, in order to produce large-scale financial transactions, in order to attract more users to come to the center of security experience exchange convenient.
To the center of the exchange will become the mainstream
Although 99% of the encryption currency trading is still achieved through a centralized exchange, but the trend to the center of the exchange has been very clear. Decentralized nature of the exchange and to the center of the block chain is consistent with the vast majority of technical hurdles will be overcome in time soon. In this process, the user needs to know how to protect themselves, the platform must also provide better security tools, as well as education on common sense and best practices examples.
The world's first decentralized exchange is the whale Exchange WhaleEx, according to third-party data display platform, whale Exchange, currently 24 hours Nikkatsu has reached 10,000 + daily turnover of more than a million in all of decentralized trading that in topping the list.
Currently whale Exchange has broken through the cross chain, Bitcoin, Ethernet Square, USDT and other major currencies in its trading and so can be, it is a major advancement to the center of the exchange. Meanwhile, the whale whale Exchange also opened a legal tender OTC, breaking the restrictions to the center of the exchange can not be legal tender transactions, greatly reducing the user to enter the threshold, enabling complete transaction ecology.
Compared to other decentralized exchange, I have to say, whale Exchange ahead too much. With the development of decentralized Exchange, block chain technology continues to progress, the whale will pay more and more known, continue to forge ahead, towards the sea stars.
To the center of the exchange will gradually become the mainstream in the market popularity. Of course, the transition from a centralized to a decentralized exchange exchange for new users might be an obstacle, im just convert the act itself, for most users it has come to mean a significant pay.
In any case, this trend is certainly not going to change, old and new alternate era, we should actively embrace the arrival of decentralized exchange!