ForkDelta Exchange: Decentralized Ethereum Token Trading?
What Is ForkDelta Exchange?
ForkDelta is an Ethereum token exchange, listing more ERC-20 coins than any other of its kind. Crucially, ForkDelta currently acts as an open source, updated interface for EtherDelta's smart contract.
In a rapidly expanding crypto market offering, the exchange lists new ERC-20 tokens daily, enabling a platform for ICO funding based on token trading and entrenchment. Virtually every offered ERC-20 token is available for trade on ForkDelta, building on the vast application the protocol has found in the cryptosphere.
As one can guess from the name, ForkDelta is a fork of EtherDelta. It maintains the EtherDelta smart contract build – and the 0.3 percent trading fee is paid over to EtherDelta, too.
Although ForkDelta has its own new order book, token listing system, API and front-end UI, it is a virtual carbon-copy of the EtherDelta exchange. The open-source project’s progress can most capably be tracked on GitHub.
ForkDelta is a P2P portal, without a central entity controlling trading. Users store their own funds, and trades via the exchange happen directly between users employing the same smart contract.
How ForkDelta Exchange Decentralized ETH Token Trading Works
On the ForkDelta exchange, anyone who took part in the ICO can ask that an ERC-20 be listed on the platform. It’s a simple procedure and totally free. Indeed, some observers have pointed to the fact that EtherDelta started charging for listings as one reason for the forked exchange of ForkDelta.
While it’s true that the project’s community is highly democratic and the fork was mooted and implemented based on user ask, whether this is the prime reason behind the shift remains unclear. It also appeared that there were community concerns when EtherDelta changed ownership, hence ForkDelta was launched to enable the same type of P2P exchange – yet without any ramifications from a new owner.
What is clear is that although an ephemeral offer to newcomers, dedicated enthusiasts recognize the value of the slim, elementary build. In this light, users who already have the Ethereum wallet won’t need to register on ForkDelta, and can instead simply link their wallets using either Ledger or MetaMask. Another option is to import a user account straight to the site by employing the top right dropdown when in tradingview.
The exchange is a decentralized Ethereum token marketplace, with users transacting via the site to trade listed tokens. Based on its model, the project doesn’t require that users comply with any KYC legislation, nor does it hold funds on the exchange. Users trade directly with one another in an elegantly simple environment. Users essentially trade ERC-20 tokens on the Ethereum blockchain, employing the ForkDelta UI, peer-to-peer.
The exchange currently trades mainly small-cap ICO tokens, with potentially valuable tokens that fell short of bigger exchanges’ requirements abounding. Many loyal traders on the platform also simply prefer to keep their anonymous trading just like that – unseen.
Although it’s not much of a push to convert ETH to fiat, sites like ForkDelta might also benefit from the emergence of Ethereum debit cards. Once ETH can be spent on merchandise and services like any other mainstream currency, the entire ERC-20 component of the industry stands to benefit.
User Issues On ForkDelta Exchange
In the last year, market has seen increasing numbers of a new, tech-savvy consumer. By its very nature, blockchain asks that new users listen and learn and expand their consciousness.
ForkDelta has a very techie feeling to it. The interface is simplistic and lacking many features that are becoming standard on other digital exchanges of whatever nature. Moreover, unusually for a new offering, newcomers to cryptocurrencies are going to be left with a lot of questions when employing the site for the first time. For an exchange, trading tools are subpar and the trading fee is easy to miss or hard to find.
The ForkDelta platform is visually almost identical to EtherDelta. It’s not a particularly user-friendly site, and the charting is basic. The absence of any advanced features may dismay some new-arrival investors looking to employ the exchange. There is a single display for listed tokens and – perhaps a bad omission for an ERC-20 token-focused site – no search facility to enable users to pinpoint specific tokens.
Many traders also find the limited focus of the exchange an inexplicable construction, as Bitcoin, Litecoin or any other non-ERC-20 altcoin is not usable on the site. While the swelling ERC-20-defined marketplace is focus aplenty for any exchange, many traders want a greater reach into the market from any exchange. No fiat currencies are employable on the platform in any way, either.
With that said, the Ethereum network has become the gold standard of digital token platforms. Despite this, as ForkDelta is dependent on smart contracts hosted on the Ethereum network, if the network experiences clogging, ForkDelta trading is also delayed.
ForkDelta offers no margin trading. There is no leverage available on the platform, and many users more accustomed to legacy trading seek out their own broker that might perhaps be offering limited crypto trading, in order to regain access to ETH-aligned margin trading.
In comparison to its peers, ForkDelta’s 0.3 percent fees on orders (and a tiny fee for signing your transactions to the Ethereum network) is on the high side. Although it’s hard to narrow apples down to apples, to say that it is marginally higher overall to trade via ForkDelta is fair comment.
Unfortunately, perhaps in the haste to fork or as a result of a peculiarly geek focus, there is little information available about who exactly operates and owns the exchange. Information available online is repetitive and the overall body of knowledge about the platform is poor for those who weren’t involved with the original project from the outset. There is also no available information on where the exchange operates from in real-time, not whether there are withdrawal fees and what they might be.
ForkDelta Exchange Conclusion
In a nutshell, forked of EtherDelta, ForkDelta is a relatively new digital exchange that offers a huge number of ERC-20 tokens to trade with. Anyone with an Ethereum wallet is onsite and trading in minutes, without registration, and it’s easy and welcome that anyone can avail themselves of the token listing procedures with a fair certainty that their selection will be listed.
ForkDelta might be a case of simplicity being all you need, but some rough edges do niggle. Simple is good, but not like this. If it’s true that the platform is a limited attempt to mock up EtherDelta to avoid community distaste, it shows.
Regardless, it does have a powerful core focus – the trading of ERC-20 tokens of many hues – and it remains to be seen whether it becomes patronized more vigorously by the crypto community overall. Although a small point on paper, the fact of the exchange’s focus on the ERC-20 token also somewhat positions it as a logical partner to any ICO employing the token in its funding. This could be a mammoth building block in years to come.
Because of a lack of transparency and also a clear and unambiguous statement of origin (or at least the full disclosure of what prompted the birth of the exchange and how that impacts day to day running), traders are advised to do their own homework when using the site. Without listed teams, extensive contact and headquarter details, presentation has to be rated as poor.
There seem almost no bad chat room reports of users being scammed or losing funds, so that is to be applauded. But a skeletal platform presentation, often slow trades and higher-than-average fees can be frustrating, especially when there are many other exchanges now, ones that more closely equate what the average crypto trader is looking for.