Bithumb, one of the largest crypto exchange in South Korea announced on Monday Oct 15th, the launch its own decentralized exchange (DEX).
The statement comes among many other businesses doing the same, including binance, the largest exchange in the market. This new inventiveness was made in a collaboration with One Root Network (RNT), which offered a decentralized procedure based on the Ethereum technology for the company in order to make the decentralized transactions. The R1 protocol is used to distinct order matching and order execution and it is believed to improve the efficiency of the complete procedure.
It is also significant to notice that the exchange was recently developed by BK Global Consortium for the value of $354.09 million USD. This means that not only the crypto exchange is trying new things, but its administration is also changing at this time.
Decentralized exchanges are different from centralized platforms as the users hold their crypto all the time. Decentralized exchanges are more secure and safe as the users are in charge of their own money. At present, there are many companies creating decentralized exchanges as they need to overcome some issues of centralized platforms. As main players like Binance and Kyber have planned to enter this market, many other companies are launching similar creativities.
The founder of Binance crypto exchange, Changpeng “CZ” Zhao, has recently stated that they have less control in decentralized exchanges and this is both good and bad. As per Bitcoin Exchange Guide, it is simple to get a listing in these exchanges, so this clearly means that a lot of scammers will be attracted to this type of business.