If you want to use decentralized exchanges and enjoy all of the advantages they offer, you need to know a few things. First of all, it’s important to find the best platforms available to you. Secondly, you need to know all about the basics, features, and security of these exchanges. Both of these are explained below, along with all the extra information you should know today.Read more
Disclaimer: This is not financial advice. Buying and selling cryptocurrencies comes at a risk. Your money is at stake. The information below is for informational purposes only.Read less
Here are the best decentralized exchanges we were able to find online in 2023. Check them out and pick one that offers all the features you need.
We have been using cryptocurrencies and various types of exchanges for several years. Our team is capable of testing and ranking all the exchanges available with superb accuracy thanks to the knowledge and skills they have gathered over the years. Over time, we have analyzed over 30 different exchanges.
Here are short reviews of the best decentralized exchanges you can check to get all the essential data within minutes.
1. Uniswap Exchange Review
2. PancakeSwap Exchange Review
3. Curve Exchange Review
4. dYdX Exchange Review
5. Balancer Exchange Review
6. 0x Exchange Review
7. SushiSwap Exchange Review
8. IDEX Exchange Review
9. Bisq Exchange Review
10. Kyber Swap Exchange Review
The first things to know are the basics regarding decentralized exchanges. Keep in mind that these are also known as DEX exchanges, so don’t get confused when you see this term.
In general, these are online exchange platforms that offer cryptocurrency trading. But this is processed directly peer-to-peer, with no intermediary involved. As you may know, these exchanges operate using blockchain technology.
On the other hand, you can still buy, sell, or trade most of the cryptocurrencies available online.
Try to remember that a DEX exchange offers a lot of advantages to users. On the other hand, we can see some cons too. It is crucial to know about all of these before you start using one.
In order to find the best decentralized exchange we had to test many different platforms. If you want to find the best platform as well, you need to do the same. This is possible using the factors listed below that can distinguish the best exchanges from mediocre ones. Use these factors in all exchanges of this kind when you look for a new one.
The first thing is to learn how these exchanges work. This can help you with future steps and overall usability. It can also help you determine whether these exchanges are the right ones for you.
Keep in mind that there is no bank or other institution that controls decentralized crypto platforms. All transactions are done between you and the buyer/seller directly.
Every single decentralized exchange has some fees. These can be charged when you deposit funds, buy crypto, or withdraw it. Just make sure that the fees are low. Sadly, there is no way we can generalize them; however, it’s safe to say that they usually range between 0% and 5%.
All exchanges have liquidity. This basically means how fast an exchange can sell the assets to obtain cash without decreasing the price of those assets. Exchanges with higher liquidity can get more cash this way sooner, and don't have to change the price of the product.
There are many ways to check the liquidity of the exchange, but they might be a little complicated. A much easier way is to use sites such as Coin Market Cap, where you can see trading volume and other details relating to the exchange. A higher trading volume usually means higher liquidity.
Always check the different types of exchanges before you begin. You never know which one is most suitable for you and offers features you truly need. More on the types of exchanges later.
As you may know, checking the security of the exchange plays a huge role in all of this. The goal is to make sure your account and your funds are secure. That’s why you should check the security features at the exchange, such as biometric security, SSL, and the overall security of the blockchain the exchange is based on.
Basically, here you need to check how the exchange feels when using it. It should be easy to use and offer simple navigation. At the same time, it should offer dedicated and professional customer support.
These are two different things that both have the same role. The first one is to check the expert reviews. You can find these DEX exchanges reviews above based on actual testing by our team members.
Secondly, check the feedback of other users. The goal is to find a platform where most users are satisfied and haven’t come up against any issues using the exchange.
You also need to check for active online communities and the overall development of the exchange. The first refers to blogs and groups on social media where you can interact with other users and learn valuable information or stay up to date.
The second refers to the development, improvement, and changes that exchange has made in the past. A well-known exchange has a long list of improvements, and is transparent about them.
If you are a beginner, this is more important than you may think. In a nutshell, educational resources should be offered to all users and be available 24/7. There are a few things you need to know here.
Educational resources play a huge role in online crypto exchanges. Thanks to these, you can learn how to use the platform, trade, and how all of this works. In turn, these can help you make more calculated transactions and decrease the risk of losing money.
The best decentralized crypto exchange should offer a few different types of educational resources. When all of these are available, you can learn a lot in no time.
Some of the great examples you should check out include:
It is always important to check the overall quality of the educational resources available. There are two main things to look for here.
There are two things you need to know here. The first is the availability of the exchange in your country, and the second is the license that the exchange carries. Here are more details you should know about.
All decentralized exchanges must be safe places online where you can sell or buy cryptocurrencies. One way to tell if that is the case with the platform you want to use is to get a license.
If the DEX exchange has a license, it means that you can enjoy safety and security on the platform. It also means that you have rights if something goes wrong.
Also, in some parts of the region, these licenses are impossible to get, while in others they are much easier. In addition, some licenses are linked to a particular country.
In order to get a license, an exchange must comply with a lot of different criteria. The first one is that it must be registered as an actual business. Once this is done, the regulator takes a look at a few different things.
You should always check for products available at the exchanges. There are a few things that can make a huge difference, and you need to know about each one. Luckily, many of the defi exchanges offer all of these.
Here, you can trade cryptocurrencies directly from your crypto wallets. This is possible thanks to the smart contracts that are behind the exchange. Despite sounding complex, this process is actually super-easy and you can see that once you use the decentralized exchange for the first time.
Most of these platforms offer a long list of available tokens or coins. When you look for a new exchange, make sure most tokens are available; or, at least, the ones you want to use.
If you provide liquidity to the liquidity pool, you can earn rewards at these exchanges. This is possible because all of the providers can get a slice of the fees generated by the liquidity pool in question.
The best platforms of this kind should allow cross-chain swaps. This means that you can exchange different cryptocurrencies over different networks. These days, this is one of the more appealing and useful features.
Basically, you can lend some of your coins to other users at the exchange. In return, you get interest. If you take a look at the list of decentralized exchanges, you can see that many platforms offer this feature.
If you want to lock and hold the cryptocurrencies on the exchange, you can earn various rewards. In other words, you can get a portion of the transaction fees that the network has generated.
In order to use the decentralized crypto exchange, you have to deposit funds. Basically, you need to invest money in some form to buy cryptocurrencies. Luckily, there are a few common options you can use, and each one comes with pros and cons you should know about.
This is one of the oldest and most secure methods. At the same time, it is the most versatile due to the fact that most exchanges accept it. You can use MasterCard, Visa, or some other card to deposit funds and buy digital tokens. However, sharing the card number could be an issue for some users.
In some parts of the world, it may be difficult to use cards at crypto DEXS. If you live in a country like that, you can use a bank wire transfer. It is not the fastest method, but it could be ideal if you want to deposit a huge amount of money.
PayPal is commonly used at top DEXES and there are some benefits to it. For instance, it offers fast transactions at any given moment. PayPal is a reputable company that protects users as well. It also has two-factor authentication technology. The issue could be the high fee, which makes it unsuitable for certain users.
You can enjoy liquidity provision on these platforms as well. This means that the exchange takes a portion of the transaction fees once you have provided liquidity to liquidity pools. These rewards can vary.
You can use digital tokens, or, better said, cryptocurrencies, to buy other cryptocurrencies. This is usually the fastest method, and many regular users have relied on it for a long time.
There are many advantages here. For instance, you can enjoy anonymity, lower fees, and an extreme level of security that is simply not available with fiat currencies.
It is important to remember that a defi exchange still has fees that can be based on the payment method you use. For example, using PayPal usually comes with very high fees when compared to other methods.
On the other hand, you can find cryptocurrencies that come with very low fees. Despite the fact that this method can be a bit more demanding and complex than using a debit card, it has a lot of perks.
If you still want to use decentralized exchanges crypto platforms, you need to know about the three types. As you can imagine, they come with their own set of pros and cons. The best thing you can do here is check out these pros and cons. This could help you choose the best type for you and your needs.
Automated market makers are a very common type. They’re based on smart contracts similar to the ones on the Ethereum network. The exchanges base the price of the tokens on other platforms. This is called a blockchain oracle. But these do offer some impressive pros.
These exchanges use records to make the sale possible. There are asset pairs you need to know about. For instance, the exchange forms one order for the seller and another for the buyer. This comes with pros and cons too.
The decentralized exchange crypto of this type is something special. They can aggregate liquidity from many other decentralized exchanges. As a result, this decreases the risk of slippage, especially when orders are large. But it can also offer the best price at any given moment.
If you want to use DEXES crypto exchanges, you should do it properly. There is one thing you need to know about here. Using multiple exchanges is beneficial and can be a smart idea. If you use this simple tip, you can get a few perks.
If you use multiple exchanges, you can learn how to use different user interfaces, different tools, and so much more. In general, you can become a more advanced user and adapt more to trading with cryptocurrencies.
Users who use multiple crypto DEXES for exchanges are more secure. Even if one of the exchanges fails or something similar happens, you can still continue trading and keep your coins.
Using multiple exchanges also allows you to check out different fees, educational resources, and so much more. In this way, you can find the exchange that matches your needs the most.
If you want to know how decentralized crypto exchanges work, this is the section for you. In general, an exchange of this type connects buyers and sellers. But you trade cryptocurrencies directly from your eWallet. In other words, there are no intermediaries. These exchanges always work on blockchain networks, making them even more secure and user-friendly.
On the contract, the centralized cryptocurrency exchange is an intermediary. It controls all transactions and charges higher fees for doing that.
Despite the fact that these are decentralized, customers can still trade all popular cryptocurrencies. Some examples include:
Now, when you want to become part of the DEX crypto exchange and buy or trade tokens, you need to follow a few steps.
The first thing you have to do is choose the exchange where you want to trade. All of these support BTC and ETH, but not all support less common cryptocurrencies. In addition, some offer an app people can use to trade. Once you’ve done this, register an account.
Once you have chosen the exchange, choose which method you want to use to deposit funds on the platform. You can use cards, other virtual currencies, and plenty of other methods.
If you want to use cryptocurrencies, make sure you have a crypto wallet ready and funds at that address. This approach also comes with lower trading fees, which traders really like.
Now you have to deposit funds at the exchange. Just opt for the deposit method you like and complete the guided steps. This means that the funds are in your account on the same day, and you can begin with the DEX market.
Just find the token you like on the site and issue the buy order. You can generally buy a small number of tokens or massive amounts if you are one of many investors.
Now that you have cryptocurrency on your account, you can trade it. Other options include keeping it and waiting to see whether the price goes up. There are some risks here, but some huge perks too.
Once you’ve used the crypto DEX exchange for the first time, you can still do a couple of things. These can help you in the long run, and can make a massive difference.
Now you know everything about the best decentralized exchanges available online. All you have to do is choose the one you like and start using it. These exchanges are extremely popular for a reason, and once you try a provider, you will see why this is the case.
There are a lot of different decentralized exchanges available online. Your mission is to choose the one you like the most and the one that offers all the features you need.
You can trade cryptocurrencies, lend coins, and also use liquidity investments that can help you generate more funds on a regular basis in the form of rewards.
Usually, you can deposit a very small amount of money to the exchange, and this amount is specified by the decentralized exchange. There is no way we can generalize this.
These exchanges offer better security and lower fees. Since they are not centralized, they can offer similar advantages to cryptocurrencies compared to fiat currencies.
Yes, decentralized exchanges are secure, and are almost immune to hacks and similar issues.
Yes, decentralized exchanges are here to stay. After all, they offer a lot of benefits and advantages that users need and like. Some say that decentralized exchanges are the most promising future exchange.