What's your take on CEX platforms integrating DEX capabilities like swapping?

poodle63

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Quote from: lvsca on November 15, 2023, 11:04:52 PM

I am very enthusiastic about crypto. my last few trades were on the DEX market. This is no less scary than the futures market. but they provide many benefits with low capital with high increases. but it is very difficult to find fundamentals there, because there are countless new coins released in a day. and DEX is not suitable for those just starting out.

dex was meant to give easiness for new coins to get listed and also it isn't really for the purpose of trading but instead for swapping and investing I think that what makes cex difference if compared with dex aside from the perspective of decentralization, thats why sometime liquidity in dex also really low that sometime the trading volume in cex is about few millions and in dex its about few thousand dollars.
cex integrating dex features is just a business decision for the sake of getting the best of both worlds.
but yes, its true that dexes usually aren't really newbie friendly, cex usually are more friendly for newbies considering UI and don't need to think about the gas fee and many more, its overall suitable for newbie because it was designed with that in mind meanwhile dex give alternative with its fast nature of swapping.

jeraldskie11

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I don't think so, unless it's truly useful to add swapping features. Binance already has the same feature, instead of "swap," they use "convert," and you don't have to pay a fee because there is zero fee. So, if that swapping feature is going to pay for the fee, I don't think there's anything new that will surprise us.

Quote from: South Park on November 17, 2023, 04:04:38 PM

Quote from: kojektea on November 15, 2023, 10:25:55 PM

I prefer CEX. I know this doesn't seem like a true characteristic of crypto. but they don't cost too much in contrast to DEX where all activities require fees. even if it is small but if done repeatedly the result will still be quite large, at least it is bigger than CEX. Another advantage of CEX is that any mistake can still get help, in contrast to DEX where one mistake will completely lose our assets.

At the end this is a matter of preference and no one is going to force another to use their coins in a way they do not want, I think that at this point it is undeniable that a CEX is more practical than a DEX, however DEXs are slowly improving, and while it would seem that a CEX will always be more practical than a DEX, if they are able to close the gap and make it as small as possible then I would expect a great deal of people deciding to use a DEX over a CEX.

Even as it improves, CEX is also working to make it better, more efficient, more user-friendly. I believe we should not compare these two because they are not the same. I believe it is preferable to compare CEX to another CEX and DEX to another DEX.

Captain Corporate

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The part I really would love to see would be Liquidity providing, because we have so much crypto being just held for no good reason at all, and yes I know that if you end up putting way too much into something the result would not be all that much profiting, like for a btc/usdt pair, there would be billions at a place like Binance and that would mean that LP would not make you a lot of money, but even %0.1 a year is better than zero, so I think something like that would be great, plus there are hundreds of pairs in tens of exchanges that could be done. Yes that would be weird to see on a CEX, but it would definitely allow people to have a chance to make money, only if we can figure out a way to stop the bots that just ruin the price of something using LP automatically.

South Park

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Quote from: kojektea on November 15, 2023, 10:25:55 PM

I prefer CEX. I know this doesn't seem like a true characteristic of crypto. but they don't cost too much in contrast to DEX where all activities require fees. even if it is small but if done repeatedly the result will still be quite large, at least it is bigger than CEX. Another advantage of CEX is that any mistake can still get help, in contrast to DEX where one mistake will completely lose our assets.

At the end this is a matter of preference and no one is going to force another to use their coins in a way they do not want, I think that at this point it is undeniable that a CEX is more practical than a DEX, however DEXs are slowly improving, and while it would seem that a CEX will always be more practical than a DEX, if they are able to close the gap and make it as small as possible then I would expect a great deal of people deciding to use a DEX over a CEX.

lvsca

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I am very enthusiastic about crypto. my last few trades were on the DEX market. This is no less scary than the futures market. but they provide many benefits with low capital with high increases. but it is very difficult to find fundamentals there, because there are countless new coins released in a day. and DEX is not suitable for those just starting out.

eXtremal

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if we are true crypto enthusiasts I'm sure we will be happy with DEX. It's just that this has quite a few limitations, such as expensive consecutive transaction fees and sell orders that cannot be placed. Even the trend form of DEX is quite complicated to understand because any coin from the blockchain can enter there and the exchange is usually free, you just need a liquid pool.

kojektea

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I prefer CEX. I know this doesn't seem like a true characteristic of crypto. but they don't cost too much in contrast to DEX where all activities require fees. even if it is small but if done repeatedly the result will still be quite large, at least it is bigger than CEX. Another advantage of CEX is that any mistake can still get help, in contrast to DEX where one mistake will completely lose our assets.

OcTradism

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Quote from: taufik123 on November 15, 2023, 06:58:43 PM

But in fact, now many popular Exchange platforms such as Binance combine CEX and DEX and are now also available with Web3 which makes it easier for users to connect to Binance using the address created on Binance's Dex.

They are capable to build those products, DEX and Web3 wallets, why they refuse to do it if it brings income to their business?

It is what Binance and other centralized exchanges have been doing, building fake DEX and also web3 wallets, as one of ways to increase their business income and at the same time help them to lose customers to actual decentralized exchanges.

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It all depends on whether people want to use it or not.
Problems with security or vulnerability to hacking, it's a choice of whether to use it or not.

Now new investors are no longer critical of CEX or DEX issues, they can only use what has been created and provided, especially with quite complete features.
But all do need to be aware and your key is not your asset. DWYOR.

They can use actual decentralized exchanges, with no KYC policy
https://kycnot.me/

With Web3 wallets, they must be careful with token approval access to their wallets. There are three tools to revoke smart contract access.
How to revoke token approvals
https://app.unrekt.net/
https://revoke.cash/
https://etherscan.io/tokenapprovalchecker

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Quote from: Cookdata on November 15, 2023, 03:08:24 PM

-snip-
Combining Cex and Dex is nonsense and pure trap, why create a seed for me that is connected to the internet and it's coming from an exchange, who will belive such that it's safe for me to use it as back up when I know that it will have a back door. Very soon, we will start to hear from customers that they have started to lose their coins that are been kept in exchanges.

Cex and Dex two different world, they should never coexist even for once.

But in fact, now many popular Exchange platforms such as Binance combine CEX and DEX and are now also available with Web3 which makes it easier for users to connect to Binance using the address created on Binance's Dex.

It all depends on whether people want to use it or not.
Problems with security or vulnerability to hacking, it's a choice of whether to use it or not.

Now new investors are no longer critical of CEX or DEX issues, they can only use what has been created and provided, especially with quite complete features.
But all do need to be aware and your key is not your asset. DWYOR.

TakeItEasy

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Quote from: R1dwanRz on November 03, 2023, 06:55:35 AM

So, what's your take on CEX platforms integrating DEX capabilities?

We are talking and comparing about their little issues I have faced till today, first of all if I compare CEX with the DEX then surely the security system of CEX would be far better than we can expect from the DEX, because the CEX, we can't connect that much with other Dapps and the DEX we can connect with other too. And even I had heard mostly hacking about the DEX Exchange even due to their security issues. This is just my opinion although everyone has its own views how he look things. The market liquidity has already been higher and much higher in the CEX as compared to the DEX and when project list a token on the DEX they didn't provide a very high liquidity on DEX even though I have seen some good projects too.

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I can't speak for other people but I go on dex or pseudo-dex for the better security and privacy which most of these centralized exchanges won't be able to offer because they're fully custodial with KYC and AML polices which mind you, varies on extent as some may be relatively strict compared to others.

But honestly, as for swapping, I don't think it's necessarily a dex capability. I view it as an in general exchange thing.

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Quote from: R1dwanRz on November 03, 2023, 06:55:35 AM

So, what's your take on CEX platforms integrating DEX capabilities?

I'm also having the same questions running through my mind with such features I'm seeing. However, these are what I think.

As of last year bull run, decentralized exchanges like Uniswap, Pancakeswap, Thor swap, and other dexes had incredible run and all were surrounded by different customers and since centralized exchanges are profit oriented, they are doing that to have their customers use one when there is demand, they get more profits from them.
They want to take out decentralized exchanges out of the market. There is still speculations surrounding CZ and Binance for killing FTX, who knows if this is another trap to kick out decentralized exchange out of the market since another bull run is fast approaching as many expected.

Combining Cex and Dex is nonsense and pure trap, why create a seed for me that is connected to the internet and it's coming from an exchange, who will belive such that it's safe for me to use it as back up when I know that it will have a back door. Very soon, we will start to hear from customers that they have started to lose their coins that are been kept in exchanges.

Cex and Dex two different world, they should never coexist even for once.

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Quote from: noorman0 on November 03, 2023, 07:49:19 AM

It's nothing new, you can actually find a swapping feature in various CEXs, it's called "instant swap/exchange".

The implementation of swapping on CEX is actually more efficient, because they usually only charge a relatively cheap service fee and the settlement speed is only a few seconds like regular spot trading.

This is largely due to the fact that it is permissioned. If those swaps on CEX were actually permissionless as DEX are then they'd likely take around the same amount of time. In uniswap, there are plenty checks that needs to be done like slippage, if the pool reserves are enough to service the swa, etc. In the case of CEX, the process is streamlined since there's plenty of liquidity in place that is powered by market makers.

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Quote from: rat03gopoh on November 09, 2023, 06:41:49 AM

I see it, I haven't used binance for a long time. Only the mobile app is still installed and it doesn't show the benefit points like the wider view version. Have you proven it is free or at least cheaper when compared to the spot market? I see they also enable price slippage.

I tried some CEX and all the platforms I used have this feature with the same name. You need to search for it and it provides a simple exchange without fees and at the same price as Bitcoin at the moment you click on the button. However, it is instantaneous and you cannot sell at a specific price or choose the exchange rate. Either you agree to the price or reject it.

Quote from: joniboini on November 14, 2023, 09:41:40 PM

I don't think the market for DEX will vanish even if CEX implements most of its features.

If the bills are passed in their current form, all DEXs will require users to complete KYC, so I assume DEX will be limited to p2p.

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Quote from: bayu7adi on November 10, 2023, 10:16:22 AM

I think it's their strategy to attract more users, considering that simple decentralized exchanges like Uniswap allow instant trading with always-updated rates. The use of DEX like this was quite popular on Ethereum and BSC networks, so perhaps by drawing in altcoin users who are used to such DEX, centralized exchanges can gain more users through this new feature adoption.

Perhaps it's not that. DEX, probably, don't have the ability to build the features that allow users/traders to make limit orders, merely swaps which are truly just market orders. Users could already use market orders for instant conversions if they're in a hurry in CEX. "Swaps" are not a DEX-only feature.

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I still prefer order books and queues... they feel more familiar to me compared to the swapping method, where the rates sometimes can't compete with the actual market.

It's also more efficient and cheaper. Although, KYC in centralized exchanges is something many user wants to avoid. The DEX gives everyone a less efficient alternative.

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Actually quite good. It's just that sometimes the price during swap has a slight difference. It's just that it's more practical. similar to instant orders in regular Cex trading. I usually use the swap feature on Cex when I'm in a hurry. And I think Cex which has this also makes its customers more comfortable and complete. But even though the features are similar to Dex, we need to know that it is Cex ( centralized). And in the end, if you want to be truly uncentralized then it's still more comfortable to use the original Dex.

joniboini

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I don't think the market for DEX will vanish even if CEX implements most of its features. Unless CEX somehow allows non-KYC/registered users to trade or replicate the DEX login-less feature (only using a web3 app like Metamask), DEX will still exist. If that does happen though, it will be interesting to see how long it will last, unless they are registered in some obscure location that has no laws (which is likely a scam anyway).

Personally, giving up personal information is one of the key reasons why I find using a new CEX a terrible alternative if one of my main liquidation methods/trading platforms breaks. I'd still use DEX or P2P even if most of the features I need are provided by the new exchange.

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Quote from: cryptoaddictchie on November 08, 2023, 02:20:36 PM

Quote from: R1dwanRz on November 03, 2023, 06:55:35 AM

So, what's your take on CEX platforms integrating DEX capabilities?

Well they can still do that right? But the only difference is the feature is known as dex but in reality the system is centralized. They can use that all they wanted but people wont be swayed by thinking its working as decentralized approach sicne they have total control over it. I think its business situated at all so I dont mind if they imitate or do the dex process.

I think you guys are taking it way too out of proportion here. There is no imitating in this, it's a feature that they could add for the convenience of their customers and so that their customers don't go somewhere else for the same thing and I don't see anything bad or wrong in that. After all, they are running an exchange and it's a business for them, they are providing their services to us and earning money in return for that, so they will try their best to provide us with everything that we might need while trading or involved with cryptocurrencies so that we use them only.

Decentralized exchanges didn't invent that feature, it's not like it's someone's idea that is being stolen, it's just a way of converting cryptocurrencies back and forth without having to go through the spot market and making a limited trade to get it done, it's much quicker and easier, and if they can provide the feature, I don't see why not.

bayu7adi

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I think it's their strategy to attract more users, considering that simple decentralized exchanges like Uniswap allow instant trading with always-updated rates. The use of DEX like this was quite popular on Ethereum and BSC networks, so perhaps by drawing in altcoin users who are used to such DEX, centralized exchanges can gain more users through this new feature adoption.

I still prefer order books and queues... they feel more familiar to me compared to the swapping method, where the rates sometimes can't compete with the actual market.

South Park

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Quote from: hyudien on November 09, 2023, 07:35:52 AM

Quote from: R1dwanRz on November 03, 2023, 06:55:35 AM

So, what's your take on CEX platforms integrating DEX capabilities?

I find the Swap and Convert options on some CEX platforms to be very helpful and are features I always use. Because by providing a swap feature, without realizing it, the CEX platform is also trying to ensure that users do not exchange elsewhere as much as possible. Creating more ways to continue engagement in it and with low cost offers. This is an innovation that has been implemented in several CEX platforms that have personally been my choice so far. If you want to exchange small amounts of coins or tokens, such as on the ETH network, you don't need to worry about high fees.

That is normal for any business, what a business wants is for their customers to use their services as much as they can and to avoid for their customers to use their competitors, as if you do and you like something about that other service then you could replace them, and if enough people did this then their revenue could drop significantly, so it is natural that in this case exchanges are implementing all the features they can in order to keep their clients happy and within their platform.

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