Algodex — The first and only DEX for all Algorand Standard Assets (ASAs)
Source: Algodex Twitter
Like every other public blockchain platform, Algorand is also a decentralized network. It aims to solve the ‘blockchain trilemma’, and tackles the three big problems that the ecosystem faces today — speed, scalability and security.
Algorand operates at 46,000 Transactions Per Second (TPS) versus Bitcoin at 4.6 TPS and Ethereum at 20 TPS. The cost per transaction on the Algorand network is also extremely low, at 0.001 $ALGO, making it very attractive compared to Bitcoin and Ethereum once again. Algorand also takes security very seriously, protecting against attacks at both the consensus protocol level and the network level — all while protecting the safety of individual users accounts. And finally, Algorand is open sourced and publicly available for anyone to audit, use, and build upon. The platform is maintained by a dedicated community with a shared vision of a decentralized, borderless future, thus ensuring that no one person or group can take over and control the network.
As such, it is no wonder that Algorand has been dubbed as one of the ‘Ethereum Killers’ and the number of projects building on it has been steadily increasing over the past year. In fact, as of July 2021, there are over 4.5 million Algorand Standard Assets (ASAs) with no secured, decentralized system to facilitate their movement. Without a decentralized platform, users are either forced to use a centralized platform or resort to using other platforms such as Discord or Telegram for a peer-to-peer trade.
With Algodex, those problems will soon be eradicated as they will deliver a fully Decentralized Exchange (DEX) for the Algorand network, allowing for ASAs — including Yieldly, Algomint wrapped assets, and NFTs — to be traded for $ALGO, thus increasing access across the entire network. Algomint’s wrapped assets include Bitcoin, Ethereum, and eventually ERC-20 tokens that can be transmitted on the Algorand network and traded on Algodex.
Algodex uses limit orders to conduct its trades and has 4-to-8-second trading times and full decentralization. The order book exists on the blockchain, making it unique in the DEX space. The backend servers are customized blockchain indexers that provide caching of the data which is then served to the users. To date, Algodex is one of the most decentralized limit order exchanges in existence.
The way Algodex is set up is that it was built specifically for ASAs and therefore automatically allows trading for any ASAs, including newly issued ones. The users’ funds, including open orders, are held in external wallets and escrow accounts owned by the users. The exchange operators do not possess technical access to any users’ funds, which gives users full security and confidence in their transactions.
There is also good news for all of us early adopters. Algodex will initially take no fees from the trades, although the small Algorand network fee will still apply. According to the team, Algodex will only start to generate fees from transactions upon Phase 2 of the Mainnet launch, which is expected to be in mid-2022. A NFT marketplace is also in the works and is part of the road map.
Source: Algodex Testnet
Algodex already has a fully functioning product on Testnet, with over 1.5 million $ALGO worth of assets traded there. There are dozens of new assets listed by users every day and till date, over 32,000 unique wallets have executed trades on it. You can give it a try yourself at testnet.algodex.com. All you need to do is to connect your Algorand wallet and get some free testnet $ALGO using the faucet and you’re good to go!
Algodex has also recently announced that the TGE of the native Algodex tokens ($ALDX) will coincide with its Mainnet release, which is expected to be sometime in Q1 2022. At this time, the team is continuing to improve the platform and its user experience, and will announce details of its upcoming TGE and Mainnet launch soon. Be sure to follow their official channels below!
⚙️ Find out more about Algodex:
Website | Twitter | Telegram | Reddit
