Binance DEX (Decentralized Exchange) Goes Live on Binance Chain, Encourages Community Input
The much anticipated decentralized exchange (DEX) of Binance has been launched on Binance Chain, ahead of schedule.
The world’s leading cryptocurrency exchange by trading volume announced the launch on Tuesday and is inviting the projects to participate and issue new tokens on the native blockchain.
Trading, however, will begin at a later date when tokens are issued and listed and trading pairs are further created that is expected to happen soon. In its official announcement, Binance CEO Changpeng Zhao stated,
“We believe decentralized exchanges bring new hope and new possibilities, offering a trustless and transparent financial system. With no central custody of funds, Binance DEX offers far more control over your own assets. We hope this brings a new level of freedom to our community. We will work closely with projects and teams to grow the entire ecosystem.”
The news came a few days after Binance Chain was announced by the exchange. Binance DEX is the feature developed on this “community driven” development project.
Decentralized Exchanges (DEX) in Trend
Today itself, Zao had announced coin burn of 50 million ERC20-based BNB tokens as a step forward in the migration to its own chain. The seventh largest cryptocurrency by market cap, Binance Coin (BNB) is the native cryptocurrency of Binance exchange and Binance Chain that is used to assist network transactions.
At the time of writing, BNB has been trading at $23.78 with 24-hours loss of 3.11 percent, after breaking its all-time high (ATH) a few days back.
Binance Chain already supports various wallets including Exodus, Ledger, Enjin, Coinomi, and others along with its official Trust Wallet. The launch of Binance DEX followed a two-month testnet period that saw 8.5 million transactions in various competitions such as coding and stimulating trading competitions, and bug bounty program.
When it comes to interface, the DEX platform offers a similar interface to its existing centralized exchange while offering additional features. Being a DEX, Zhao says “Exchanges/network never have custody of your funds,” hence, there are no deposits and withdrawal as one trades directly from their wallets.
Other exchanges are not far behind as Singapore-based Huobi is planning “another heavyweight product” after announcing last summer that it would evolve into a decentralized exchange.
We are going to launch another heavyweight product.
With it, there will be
1. more HT to be burnt
2. more high-quality projects
Coming soon. Stay tuned @HuobiGlobal
— Livio Weng|CEO Huobi🌏 (@livio_huobi) April 23, 2019
Malta-based OKEx has also announced its plan to launch a DEX called OKDEx on its own blockchain OKChain and is currently in its final development stage. The testnet could be expected to release in June.