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What is the status quo for 3 months after Binance DEX launched?

Three months have passed since the decentralized exchange (DEX), launched by Binance, launched in April this year. The world’s largest exchange attracted much attention as a DEX project launched.

This report gives an overview of the current state of Binance DEX in the three months since launch, and what has the Binance DEX project brought so far? Consider. For the information of this report, refer to the following sources.

Binance DEX is built on its own blockchain Binance Chain and uses forks from the Tendermint and Cosmos SDKs. Currently, Binance Chain nodes are currently validated by Binance and other close business nodes.

The current state of Binance DEX after 3 months from launch

An overview of the current status of Binance DEX, three months after launch, using CoinGecko’s quarterly report.

According to the report,

Average transaction volume per day is 5.2 million dollars (approximately 550 million yen)
Handling token number 34
Handling pair 47
It is a number.

Compared with the centralized exchange’s trading volume, the volume is extremely small. When applied to CoinMarketCap, the trading volume is about 190th. However, IDEX, the most traded DEX on Ethereum, has a volume of about 2 to 3 million a day, so it can be said that Binance DEX already has about twice that volume.

The volume figures are likely to be divided, but in any case, Binance DEX has a very low volume compared to the central exchange, but it can be expressed as a strong start compared to Ethereum’s DEX.

Binance DEX functions as a two-part market
Many of the tokens traded on Binance DEX are originally tokens on Ethereum or other blockchain tokens. A part or all of the tokens are frozen and the same amount is mirrored in the Binance Chain for trading. As an example, projects such as StableUSD (USDS), TomoChain (TOMO), Cred (LBA), FANTOM (FTM), Harmony (ONE)) and Mithril (MITH) are traded on Binance DEX.

Binance DEX data
Source: CoinGecko

Binance DEX is like a market with a lower market capitalization than it is not listed on its home Binance. It is like the TSE Mothers for the first part of the TSE. Recently, the primary procurement called Initial DEX offering has also been conducted experimentally.

However, in any case, it can be said that it is a market for small projects that cannot be listed on Binance. Although it is worth noting that there is already a trading volume compared to Ethereum DEX, Binance DEX has not brought about the impact that was expected from the market at the beginning of the launch, and future development will be noted.

Disclaimer - OBN is an informational website which aims to give the latest blockchain related news to the readers. Articles on OBN should not be considered as investment advice. Trading cryptocurrencies is a high-risk investment, every user is advised to consult an expert before making any decisions.