The concept of decentralized exchange revolves around the right of holding the private keys of tokens. These private keys remain under the direct control of users, unlike centralized exchange where the company running the exchange holds the private keys of accounts.
IDEX Decentralized Cryptocurrency Exchange
It is the first decentralized exchange to support real-time trading as well as high transaction throughput. IDEX utilizes ethereum’s smart contract and is the most advanced Ethereum DEX. It has the ability to fill multiple trades at once.
Emergence of IDEX
The cryptocurrency world is enjoying its golden phase. Just like any other happy ending, it too has seen the dark clouds.
Since 2011, many cryptocurrency scams have hit the bulletins. The most eye-catching among them were CoinCheck, a Japanese cryptocurrency exchange, which was hacked for 523,000,000 NEM of worth $532.6 million. This incident was followed by BitGrail, an Italian exchange hacked for 17,000,000 RaiBlocks having a value of $233 million in present time.
The rapid multiplication of the chopping incidences increased the need for a DEX solution to protect the crypto space from these choppers. The centralized exchanges that control the private keys of all traders on a single platform are the primary targets of the hackneyers.
IDEX exchange rewards ‘market makers’ with AURA on a monthly basis. Takers pay gas fee while Makers don’t pay.
The takers are responsible for executing the orders instead of placing them while the makers place the orders.
IDEX works on the DAO blockchain network. DAO also supports the ethereum coin. The decentralized IDEX platform facilitates fast exchange services and supports real-time trading in more than 200 cryptocurrencies including ethereum.
The emergence of IDEX has waned the presence of EtherDelta, which is the very first decentralized exchange.In its early phase itself, it had left behind ED by a record-breaking trade volume of $728,000.
The workflow of IDEX completes in three steps.
The Smart contract stores the assets and Execute the trade settlement. All these trades need to be authorized by the user’s private keys.
The design of the IDEX smart contract authorizes only exchanges to submit the signed trades to Ethereum. By doing so, IDEX keeps a track of processed transactions and separate trades from the final settlement.
IDEX update the trade details in real time. These trades has the authority to use private keys. The authorization process stops the initiation of unauthorized trades and disallows users to quash any completed trades.
Transaction Processing Arbiter
The Arbiter manages the pending transaction queue and dispatches them in sequence. It also manages the synchronization of smart contract with the exchange balances. As a decentralized exchange, IDEX provides security and auditability along with the speed and user experience of centralized exchanges.
Below video will provide detailed work process of IDEX
IDEX provides an experience of a centralized exchange along with the security of blockchain. It is the only decentralized exchange with high-throughput trading in real time.
- Continuous trading across multiple markets.
- Placing true market orders.
- Fulfillment of multiple orders at once.
- Immediate cancellation of orders without any gas costs.
How IDEX Works
On IDEX platform, the smart contract manages all the funds. The funds cannot be altered unless one is having the private key.
IDEX Workflow in steps:
- To begin, users need to deposit funds into the exchange’s smart contract.
- Users can create or integrate a new wallet by using the dropbox of the account placed in the top right corner of the exchange.
- The exchanges provide a private key and a Wallet Keystore File.
Users can open up a wallet or can access an existing wallet in four ways.
They can directly upload their private keys to ethereum address by using a keystore file.
Manually Entered Private Key:
They can manually enter their private key to unlock an Ethereum address. Manual entering of private keys acts as an invitation to phishers and is the most vulnerable option for accessing funds. The EtherDelta DNS hack is a live example of this.
They can unlock their MetaMask wallet and can access it through the exchange. The MetaMask provides protection against phishing, but not against malware.
Ledger Nano S:
They can directly deposit their funds by integrating the Ledger Nano S into the exchange. The use of ledger for trading insulates the risk of malware and phishing.
- The users need to deposit the funds into the exchange’s smart contract. The Quick Balances tab at the top of the page enables you deposit the funds from the wallet into the exchange.
By doing so, users not only safeguard their funds but also permits the exchange to broadcast transactions directly into the network.
- Users can start trading, once the fund gets deposited on the exchange. On the IDEX platform, users can create a market or limits without paying any gas fees.
- As the exchange itself excutes the trade, users can cancel trades on IDEX without any extra payment. The smart contract of exchange is responsible to broadcast trades on the network. So, until the transaction is broadcasted users can cancel the trade.
IDEX Account Security
The decentralized exchange offers many security features which are not supported by centralized exchanges. The platform offers all the security because the exchange itself runs as a node on the Ethereum network.
The smart contract of IDEX exchange keeps the funds locked-in until it gets any sign of transaction by the private key. The integration of the Ledger Nano S with the platform makes it the most secure trading exchange.
IDEX Trading Pairs
The IDEX exchange exclusively deals with the Etherum and ERC20 tokens. This limits the user within the Ethereum family. Unlike any other decentralized platform such as Etherdelta, IDEX also spotlights the trendy ICOs before they hit the centralized exchanges.
IDEX Fees and Limits
The IDEX exchange platform is seeking a way to reduce the increasing gas price of ethereum. In the present scenario, the gas price is much higher than the exchange fee of 0.2%. The exchange pays the gas fee in ETH while dispatching the trade to the network. It then deducts it from the balance of the market taker. The gas fees equal the amount of ETH deducted during the exchange process of the tokens.
The market makers are charging a fee of 0.1%, while the takers have to pay 0.2%. Takers pay the transaction fees for gas. Depending on the network’s traffic the fees of 0.2% could exceed. The IDEX exchange platform offers unlimited trading and withdrawal limits.
IDEX Customer Support
The users can clear their queries and concerns by having a discussion with the support team on the chat box feature at the platform. Users can also clear their queries on the thorough and comprehensive FAQs page of the exchange.
The founders of IDEX exchange, Alex, and Phil Wearn, actively participate in the project’s subreddit platform and promptly responds to the customer questions and complaints.
The users can contact the IDEX team members by filling out the contact form.
IDEX Community Sentiment
The community supporters of IDEX are still blooming as the platform is still young. It is in no competition with the centralized exchanges.
The platform has over 50 thousand users. Unlike EtherDelta, the users are giving positive opinions about their experience.
- Good Platform
- Fast Trading / Fast
- Several types of Orders
- Order book.
- Good Speed
- Detailed Guide
- Low Fees.
- Good Security / Secure.
- Lost of Coins.
- No Bitcoin.
- No Leverage.
- Minimum order limits.
- Withdrawal limits.
- Gas fees.
- No Fiat
- No Cards
IDEX Exchange Review
The blooming exchange has satisfied its users with its user-friendly features. The platform is getting a positive response from most of its users.