Binance DEX Sees Migration of New Crypto Projects Coming to Platform with High Expectations
Binance's new Singapore based DEX that opened this month has a lot of hype to live up to. It seems the hype surrounding the DEX is slowly starting to win over more and more projects to move to Binance Chain. Currently, only Mithril (MITH) s tradeable via the DEX while the NOW token is next on the list. The Binance CEO affectionately known as CZ is certain that the DEX will be handling hundreds of coins in the near future.
Binance has wanted to change DEXs for the better with its new platform and move away from the generally accepted view that DEXs are ugly, slow and have low liquidity. The fact that Binance Dex promises to look and act like its parent exchange is a high bar to set and its a bar that many projects seem to think can be reached. Dozens of projects have so far applied to join Binance Chain to be part of the Binance DEX.
Tweets from the Binance CEO indicate that the Change Now token is already in the middle of a token swap and will be joining the DEX soon enough. It will be the third token to be traded on the DEX alongside BNB and MITH.
So far, all you can do on the Binance DEX is open up a wallet and get used to the UI layout and how the ordering procedures work. Then you're going to have to wait for tokens to migrate to Binance Chain so that you are able to start trading them like in normal exchanges. Will we see the steady trickle of current coin turn into a veritable torrent of coins coming to Binance DEX and Binance Chain?
Is The Decentralization For Real Or Not?
A lot of talk about Binance Chain has revolved around the validation nodes, which are all controlled by Binance. According to many in the industry that means that Binance DEX, running on Binance Chain does not score highly in the decentralization department. However, others have pointed out that the point of the DEX is to facilitate trustless trading – and particularly without the need to deposit funds. This, these people argue, it does with surety and poise.
In fact, the company itself has stated on numerous occasions that Binance Chain is not a competitor to Bitcoin or Ethereum, at least when it comes to decentralization. It is simply made to allow the noncustodial exchange of assets. These assets being limited to Binance Chain's native token, called BEP20, makes no difference in the long run. However, unless BTC or ETH release BEP20 wrapped version, they are unlikely to make an appearance on the DEX. This goes for any major currency that is derived from those two big boys.
The key here is the ease of trading and making it impossible for authorities to seize funds. While Binance did get resistance from all corners due to IP blocking countries that the US had applied sanctions to, it still allows the use of a VPN. So this is something that is easily circumvented. The people who need to use an exchange will always look to Binance DEX, as ti will be the only exchange that they can be sure will fully allow them to trade without having to take extreme precautions.
Binance Looking To Dominate
This is all coming after months of high-flying news for Binance. While not all of this news has been positive, it has shown that the company intends to be a major player in terms of Web 3.0 and the innovation that it brings. The heavy-handed tactics such as setting up volume limits on non-Binance Chain tokens and promising extra marketing to those who come on-chain are seen as nothing more or less than what Google and Facebook have done with their own stranglehold on their respective markets.
The landscape is still dotted with hopeful startups, but the major exchanges are still the focal point of the industry, and they are expanding faster than ever before. Coinbase has been releasing debit cards, Binance has its DEX and Tron is trouncing Ethereum. The times they are a changing, as the old song goes and the times are calling for CEOs to be even more agile. If Web 2.0 needed daily iterative design on the back end, Web 3.0 might be even more grueling for any competitors. Particularly as it focuses more on the enterprise and less on the consumer for the initial phases than either Web 1.0 or 2.0 ever did.