Cryptocurrencies are moving in DeFi these days. Being the one who manages your digital assets while making all the decisions is a good option. That is why it is necessary to choose the most reliable platform with helpful conditions. So let’s observe the top 5 DEXs currently in operation and then compare their offerings and capabilities.
Uniswap
In short
Uniswap is a DEX based on the Ethereum network to exchange ERC20 tokens. The third version of Uniswap was launched on May 5th, 2021. The main feature – the new AMM provides the ability to exchange tokens separately from orders.
advantages
Thanks to the new type of AMM – “Constant Product Market Maker Model” – it is possible to deposit any token in Uniswap by funding it with Ethereum. Just simple steps: create a new Uniswap smart contract and create a new liquidity pool with only $10 in ETH and $10 tokens that you want to trade.
You don’t have to register or pass the verification system. To access exchange transactions, you should simply install and connect your Ethereum wallet.
Disadvantages
Uniswap has developed its own token – UNI. With the onset of crypto winter, UNI fell 83%. And it is probably the worst result among DEX’s native tokens.
In the last 2 months, Uniswap TVL has fallen from $8.17 billion to $5.16 billion. And the indicator is gradually decreasing.
Uniswap is based on Ethereum. And that’s why, despite the comparatively low typical Uniswap fee (approx. 0.3%), the network gas fees also apply to each transaction.
For whom?
Uniswap is suitable for those who prefer farming on the Ethereum network and for those who want to pair with a rare coin. However, the native Uniswap token is not proving to be a good staking option compared to some of the other options on the list.
name swap
In short
Nomiswap is a new fast growing DEX that has made a name for itself with the best referral program.
The launch was in January 2022. The price of this coin immediately increased by 95%.
advantages
Another feature is cashback. Transaction fees go back to users as a native token – NMX. In fact, depending on your farming level, you will instantly get back up to 100% of the trading fee.
The holder bonus will be automatically credited to each user involved in personal farming in the form of additional NMX tokens every day, depending on its duration. The owner premium is credited to all farmers based on the funds invested.
When BTC price fell 69% and BNB token 63% during the crypto winter, NMX token lost only 48%. Pretty promising.
- One of the best APY on the market
Nomiswap offers excellent farming and staking performance thanks to utilitarian farming/staking and one of the best APRs on the market. Thus, you have increased profitability for earning passive income.
Some examples of Nomiswap APR at the time of publication:
- NMX/USDT: ~144%
- NMX/BNB: ~131%
- NMX/BUSD: ~144%
- NMX staking: ~91%
- ETC/BUSD: ~34%
- BNB/USDT: ~18%
- ETH/BTCB: ~10%
- TVL increase
Just four months ago, the TVL of the Nominex ecosystem was $40 million, now it’s $87 million. There’s about $8 million at stake.
Additionally, Nomiswap recently entered TVL’s top 5 dexes on the BSC network, ranked by DeFi Llama, and confidently remains in the top 40 among all DEXes by trading volume at Coinmarketcap.
The Nomiswap ecosystem offers an unlimited referral system with 4 referral bonuses.
Rewards for your own referral activity:
- Own Referral Farming – You will receive 5% to 10% of the amount of NMX farmed through referrals
- Trading on your own referrals – You get 10% to 20% of the cost of trading referrals
And rewards for the activity of your entire referral tree:
- Team Farming – You will receive 5% to 10% of the amount of NMX farmed by your entire team
- Team Trading – Receive 5% to 10% of trading fees paid by your entire team
- Powered by the Nominex ecosystem
The Nominex + Nomiswap ecosystem represents the CeDeFi type. It gives you the opportunity to transfer all bonuses from Nominex (centralized exchange) to Nomiswap (decentralized exchange) and vice versa. As of November last year, Nominex became an official Binance broker.
The developers focused on making the website’s user interface as intuitive as possible. No need to sign up – just connect your wallet.
The Nomiswap team went through CertiK’s KYC process, which means key team members were verified with identity and liveness checks and a cursory investigation of the project and team was conducted.
Disadvantages
- Rapidly developing but still medium sized
Nomiswap still only supports Binance Smart Chain and has only one launch pool.
For whom?
Nomiswap is great for users looking for a profitable farming platform as it has the highest APR on the shared pool market. It is also one of the best options for trading as there are no commissions. And the native token is proving to be a stablecoin for long-term investments.
pancake swap
Jokes are really important
Pancakeswap is based on the Uniswap model and launched in 2020. It has a very cute design but is also one of the most popular DEX. It is compatible with thousands of BEP-20 tokens.
advantages
- Suitable for active users
Pancakeswap offers features such as a range of yield farms, a Binance coin prediction market, a lottery game, initial farm offerings, and an NFT market.
Most likely, users love this exchange for the many opportunities it offers.
With a PancakeSwap, you pay 0.25% commission on each trade. 0.17% is returned to liquidity pools, 0.03% is sent to the Treasury and 0.05% is burned.
PancakeSwap offers great farming options. Pairs with the best APR are:
- CAKE/BNB: ~20.38%
- SDAO/BUSD: ~62.42%
- MIX/BUSD: ~55.79%
- GMI BNB: ~ 70%
Disadvantages
Unfortunately, CAKE has lost 85% in value since the start of the crypto winter. On November 21, the cost reached $20 and is now hovering around $3.
Pancakeswap users often complain about scams. Since it is very easy to add a new token to the platform, scams are very common on pancakeswap, such as those that ban the sale of tokens in a smart contract. Therefore, Pancakeswap should be used very carefully
For whom?
This platform is literally a tasty piece of cake for confident users who already have BEP-20 tokens and want to not only trade but also participate in lotteries or predictions and manage and trade NFTs.
Curve
In short
Curve was created as the first protocol to address inefficiencies in stablecoin trading – one of the fundamental elements of DeFi. It was launched in January 2020.
advantages
- Liquidity asks for stability
When a user deposits their tokens into a pool, thereby providing them with liquidity, those tokens are automatically swapped into multiple tokens as needed by the pool’s balance. See, to illustrate a point, you can deposit 1000 DAI and get 500 USDT, 324 USDC, 150 TUSD and 26 DAI. These numbers are never stable when people trade or deposit/withdraw funds.
The algorithm used for trading on the platform is designed for stablecoins. It features low commission fees and minimal price slides.
This exchange offers a wide range of opportunities for farming and commerce. The platform runs on 4 blockchain networks: Ethereum, Polygon, Fantom and xDAI Chain.
On Curve, you can connect Trezor, Ledger, Dapper, and a dozen others, while other exchanges mostly support two or three wallets.
Disadvantages
Сurve has a really complex interface, which the developers themselves admit. In order to somehow navigate it, you need to have a very good understanding of the working principles of credit pools and smart contracts.
Two months ago, Curve TVL was $19.85 billion and now it’s $5.84 billion. The indicator had 2 gradual declines during this period.
Earlier this year, CRV peaked – $6.8, and now it’s at $1, which is 85% lower.
Otherwise, CRV can be used for voting, staking, and boosting.
Curve is great for users with the most demanding needs, but it comes at the expense of ease of use. Despite the many opportunities for farming and trading, the interface is a big minus for the exchange.
dYdX
In short
dYdX DEX is tied to the Ethereum blockchain created in 2017. It is one of the most popular margin trading platforms, bringing financial instruments from escrow markets to the blockchain world.
advantages
- Notable set of financial instruments
The key tools are:
- eternal;
- Edge;
- spot trading;
- lending and borrowing.
- No limits
Loans and bonds are unlimited in terms and minimum amounts. And more importantly – users can trade with up to 25x leverage.
- Also has an exchange function
dYdX uses the off-chain order books model.
- Very friendly Commission policy
The dYdX exchange works on a taker/maker fee model.
The base maker fee is 0.02% and the taker fee is 0.05% and is only charged for executed orders.
DYDX holders receive a trading fee discount based on their holdings.
Also, you don’t have to pay for gas when trading perpetuals or exchanging supported assets.
Disadvantages
With the start of the crypto winter, DYDX is down 88% and is now at $2.05.
- Not so easy for beginners
In order to receive passive interest income, a user enters their assets into specific pools (each asset has a credit pool corresponding to it). So, a user becomes a lender and can then borrow assets from that pool.
To borrow money from a specific pool, you need to make a deposit. The Excess Collateral Protocol is used to protect against risky loans. Therefore, the initial margin ratio should be at least 125%.
For whom?
This platform will be comfortable for an experienced DeFi user who likes risk and prefers the order book model instead of AMM.
The results
Different exchanges for the needs of different users. Pancakeswap, for example, relies on a friendly design and unusual features such as a competition. Uniswap is suitable for those who continue to trade on the Ethereum network, Curve is for people who appreciate the number of opportunities offered by the platform, and Nomiswap is perfect for those who prefer convenient trading, the absence of commissions and high agricultural ones Appreciate Apr.
Image by Alexander Lesnitsky from Pixabay
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