If you are using leverage, by design you are exposed to counter-party risk, because the exchange must be able to take your collateral to cover your margin loan if prices move against you.
If you are using LN or some other technology that allows for near instant confirmations, having a decentralized orderbook (to also include order matching, and liquidity) is moot because a trader can frictionlessly move coin from one DEX to another.
Today, all DEXs settle trades on-chain, and never take possession of any coin -- everything is held in a smart contract, and the entity running the DEX does not actually have control or possession of any coin.
Topic: What a more advanced DEX could look like (Read 159 times)
I watched this video with crypto tip girl interviewing the DX Developer. He said he has spoken to DYDX about margin. I'm not a developer but I'm really interested in a totally fully decentralized leverage exchange. I think it's possible.
Primarily through
-distributed virtual machines processing distributed liqudity nodes that people host, an internet of liquidity so to speak, both small and large users, hosting/staking a nodes.
-A layer two layer similar to omni layer and lightning network could use something like xrouter to transfer the information related to clearing, margining, risk, and settlement on lightning like nodes.
-A lightning swap like function could help with the cross chain atomic swaps of various chains into btc, with the nodes calculating the orders in btc and delivering them back out as atomic swaps to respective chains/coins.
-And of course X router would deal with the order matching in various ways.
It's an internet of blockchains, all interoperable using oracles. They just integrated the siacoin api. This distributed storage is very critical for security of storage and unsiezable domains.
The developer specified a few things, and I will add mine. There are at least a dozen, but I'll name some.
-decentralized orderbook
-decentralized order matching
-decentralized liquidity
-decentralized domain
-decentralized settlement
-decentralized computing
-decentralized storage
-decentralized custodianship
Primarily through
-distributed virtual machines processing distributed liqudity nodes that people host, an internet of liquidity so to speak, both small and large users, hosting/staking a nodes.
-A layer two layer similar to omni layer and lightning network could use something like xrouter to transfer the information related to clearing, margining, risk, and settlement on lightning like nodes.
-A lightning swap like function could help with the cross chain atomic swaps of various chains into btc, with the nodes calculating the orders in btc and delivering them back out as atomic swaps to respective chains/coins.
-And of course X router would deal with the order matching in various ways.
It's an internet of blockchains, all interoperable using oracles. They just integrated the siacoin api. This distributed storage is very critical for security of storage and unsiezable domains.
The developer specified a few things, and I will add mine. There are at least a dozen, but I'll name some.
-decentralized orderbook
-decentralized order matching
-decentralized liquidity
-decentralized domain
-decentralized settlement
-decentralized computing
-decentralized storage
-decentralized custodianship
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