Hate it or love it, the cryptocurrency space powered by blockchain technology has taken the world by storm. At present, JPMorgan has gone ahead to acknowledge the significance and growing popularity of cryptocurrencies and the new reality that they are here to stay. It then comes as no surprise that decentralized exchanges grew by upwards of 850%, from transactions worth $115 billion in 2020 to over $1 trillion worth of transactions in 2021. With governments looking for an avenue to regulate this space and cash in on this technology via a major digital currency, it is time to invest in this niche. DEX cryptos act as neutral cryptocurrency exchange markets giving investors exposure to the entire cryptocurrency market.
What is DEX Cryptos?
DEX cryptos are blockchain technologies that facilitate secured peer-to-peer cryptocurrency exchange without the need for a central intermediary. Their popularity has been fueled by the need for anonymity and the decentralized nature of blockchain technology itself.
Why invest in DEX Cryptos?
The online space is not the safest of places. Centralized exchanges are a one-stop shop that can lose funds for all the participants if hacked. In addition, they also require participants to provide KYC authentication, which means sharing personal data, which is again susceptible to hacking. DEX cryptos provide the anonymity, control, and enhanced security that has made blockchains popular. With the increased global appetite for these two features, this cryptocurrency niche is on the verge of take-off and worth your investment.
The top 5 DEX Cryptos to include in your crypto fund
Blockchain technology has unlocked a world of possibilities in all facets of our lives. When it comes to cryptocurrencies, through DEX blockchain technology, innovative contract transactions are pooled to give participants direct control of their assets, direct peer-to-peer transactions without a central authority, and more secure transacting. With blockchain technologies becoming scalable and faster and the appetite for anonymity and more control of their cryptos, these 5 DEX cryptos are in pole position to benefit, bringing both value and growth to your crypto fund.
No.1 Uniswap (UNI)
Market capitalization: 6.41 B
Uniswap is one of the most popular decentralized exchange platforms and the first exchange to automate the trading of DeFi tokens. The selling point of this DEX crypto, which has worked so far, has been its ability to automate token trading while making it open to everyone but on a secure platform. UNI utilizes automated solutions to solve the liquidity challenge associated with crypto exchanges, making it very efficient. Through its DAO, UNI, this DEX crypto has ensured an ecosystem publicly owned with a self-sustainable infrastructure that is autonomous and indestructible. Automated market-making also provides an incentivized community with limited risk and relatively low cost. With conversation on a UNIAUD and UNIEUR pairing, this DEX crypto has legroom for growth.
Uniswap currently has a 24-hour trading volume of $269.47 million. It has a market cap of $6.41 billion, with approximately 687.21 million coins in circulation out of a total available supply of 1 billion coins.
No.2 SushiSwap (SUSHI)
Market capitalization: $390.63 M
A branch of Uniswap, SushiSwap is an automated market maker using smart contracts to create markets for tokens. Building on UNI’s groundwork, SUSHI aims to diversify the automated market maker space while providing its participants more control and rewards for activities in the ecosystem through its DAO. On this platform, participants have access to over 1400 tokens for trading.
SUSHI currently has a 24-hour trading volume of $204.47 million. It has a market cap of $390.63 million, with approximately 127 million coins in circulation out of a total available supply of 240.83 million coins.
No.3 PancakeSwap (CAKE)
Market capitalization: $1.70 B
PancakeSwap is a DeFi application that doubles up as an automated market maker, facilitating the exchange of tokes, enhanced liquidity through token mining, and rewards through fees and ecosystem activities. It also allows for staking, which provides for amplified returns. This ecosystem also runs lotteries and non-Fungible tokens, ensuring multiple income sources for investors. Running on Binance smart chain protocol, this market exposes investors to over 290 tokens, including the popular Ethereum based cryptos.
CAKE currently has a 24-hour trading volume of $118.50 million. It has a market cap of $1.70 billion, with approximately 274.54 million coins in circulation-all of the available supply is in circulation.
No.4 Curve DAO Token (CRV)
Market capitalization: 999.29 M
CURVE DAO Token is a decentralized exchange famous for hosting stable coins and utilizing automated market makers to create liquidity. CRV tokens are issued based on ownership period and liquidity commitment. A result is a marketplace very popular with investors interested in liquidity and yield farming of non-volatile stable coins. At present, it has 17 curve pools which allow the exchange of different assets and stable coins.
CRV currently has a 24-hour trading volume of $209.50 million. It has a market cap of $999.29 million, with approximately 458.57 million coins in circulation of the available 1.70 billion coins.
No.5 1inch Network (1INCH)
Market capitalization: $563.47 M
1inch Network is one of the most popular decentralized marketplaces and brings together all the decentralized protocols. This DEX crypto provides an aggregated solution for the decentralized markets, sifting through multiple liquidity sources to provide participants with the best rates available across the pooled markets. The aggregator solution utilizes a Pathfinder algorithm in finding the best rates across the most popular blockchain cryptocurrencies; Ethereum, Polygon, Binance Smart Chain, Arbitrum, Avalanche, and Gnosis. This platform has the highest tokens for exchange available to investors. With the most flexible and innovative limit order swap DeFi protocol at present, it will continue attracting a significant following. Despite all this, 1inch is the most audited DeFi project, providing an extra security layer. What’s more, it recently added a P2P feature, further securing its crypto swaps.
1inch currently has a 24-hour trading volume of $50.55 million. It has a market cap of $563.47, with approximately 413.77 million coins in circulation out of a total available supply of 1.5 billion coins.
The continued sanctions and currency rate fluctuation in the wake of escalating the Ukraine-Russia border might be the catalyst the crypto markets needed to start their next bullish run. DEX cryptos provide avenues for investors to exchange multiple tokens without the need for several wallets securely and cost-efficiently. As DeFis gains momentum in 2022, the DEX cryptos above indirectly play this cryptocurrency niche while providing all the aforementioned benefits.