The Simplest Way To Trade Tokens

Overview: CEXs and DEXs

There are thousands of assets and platforms to trade in the modern Crypto sphere. But what is the most convenient and profitable way to transfer token A to token B; BNB to MATIC, LINK to CAKE for example? The variety of options may blow your mind, which is why an explanation is definitely needed. 

First of all, it’s essential to distinguish between CEX and DEX platforms. A user always has a choice, whether to trade via centralized exchanges or via DEXs. 

Sacrificing privacy, CEXs offer a centralized exchange with protections, including insurance in case of a security violation. Since every CEX requires KYC, providing them with your personal information is inevitable. And if you prefer to stay unknown rather than attach a photo of your face, then CEXs are not the best way to go. 

Easy trading is another unquestionable benefit of centralized exchanges. Suitable for any beginner, CEXs offer a simple and intuitive UI. Until recent times, CEXs had been retaining the advantage of buying cryptocurrency with fiat directly on their platform. But now, with the rising popularity of DEXs, the integration of a fiat-on-ramp feature to a DEX platform is not a rare example.

Being the biggest part of the market, CEXs stand out through huge trading volume and high liquidity. For instance, one of the most popular CEX exchanges, Binance, has an approximate daily trading volume of 30 billion dollars. 

Meanwhile, DEXs are getting all the more popular. Even with the above-mentioned benefits of CEXs, there are still issues with, for example, custodial wallets. It’s always a middleman who controls your assets, and consequently, the platform remains the authority over them. 

That is where DEXs find a hole in the market share, offering non-custodial wallets and trading without KYC. Taking into account users’ desire to trade safely, DEXs do not require any additional information except connecting your wallet normally. Users have total control over their assets, due to the absence of a middleman. 

Popular DEX options

The DEX market is growing fast, and new decentralized exchange platforms appear day in, day out.

Among the most popular DEXs we’d like to single out SushiSwap, PancakeSwap, 1inch and Uniswap. All of these projects allow users to swap assets without needing a 3rd party. 

Both DEX and CEX platforms offer users an opportunity to trade crypto, yet they’re both very different - considering such factors as trading volume, liquidity and security. Though CEXs still confidently take leading positions, there is huge competition among all exchange platforms. 

Cross-Chain Trading Overview

Some projects have come up with a way to take the lead over the competitors, and started to work on a revolutionary method of cross-chain swaps. Though it turned out that implementing a complete and ready Cross-Chain solution is not easy. 

Currently, some projects have created, or have attempted to create their own cross-chain solutions by integrating bridges onto their platforms. This has significantly changed the world of DeFi, but still, even the most popular bridges have numerous restrictions that still make the process fairly difficult. The Binance Bridge (Panama) for example, only allows a maximum of three trades per 15 minutes. In addition, bridges usually only have a small list of specific tokens that are available for swaps across networks. 

Users often need to make 2 or 3 trades (while paying gas fees and commissions for each one) before they’re finally able to transfer funds onto their target network. Still, after completing more steps and swapping the assets to the tokens supported by the bridge, users need to provide the native coin of that network to pay for GAS fees. 

The entire process of Cross-Chain swaps is usually overly complex, takes too long and is far too expensive for the simple act of transferring tokens across networks.

However, there exists one complete solution for performing a one-click Cross-Chain swap.

Rubic’s Multi-Chain Swaps

There is only one total and complete solution that exists for implementing a one-click Multi-Chain swap.

Rubic has created the most convenient Multi-Chain Swap solution, which supports trading with 10,000 tokens between Polygon, Ethereum, BSC, Avalanche and Moonriver networks. 

The main feature of their ecosystem is that Rubic simplifies transferring tokens across several networks. For example, swapping $LINK (ERC-20) to $CAKE (BEP-20) is extremely easy with Rubic. This project aims to integrate, on average, one blockchain per month. 

As we can see, there is only one project that is far ahead of others in Cross-Chain innovation and development. We pointed out Rubic Multi-Chain Swaps for providing users with the most effective and functional solution we could find. Rubic is an ambitious project, with transparent plans for future development. 

There will no doubt be more projects appearing on the market offering a solution for transferring assets across several networks, yet we have a feeling that Rubic is and will be overtaking them all.