TokenInsight: ADTV of Most DEXs Below 0.1 Million, Against Industry's Trend in February
Decentralized exchange (DEX) is a cryptocurrency exchange which operates in a decentralized way –without a central authority. Decentralized exchanges allow peer-to-peer trading of cryptocurrencies. Currently, there’s no large-scale DEX, and the whole DEX industry holds only less than 1% of the total volume of cryptocurrency trading industry.
In February 2019, the daily trading volume of DEX is 10.42 million USD. However, the trading trend of the DEX does not indicate the correlation between the daily transaction volume of DEX and the total trading volume in the exchange industry. The daily trading volume of DEX in January 2019 is 11.07 million USD. Compared with the daily trading volume in January, the daily trading volume of DEX dropped by 5.9%, which is in contrary to the industry’s trading trend.
Currently, most of DEXs are constructed upon five major blockchain platforms, which are Waves, EOS, Ethereum, Tron, and BitShares. The largest DEX, Waves DEX, is built on Waves platform, with a 2.97 million dollars trading volume on February.
Most of the DEXs are built on EOS, Ethereum and Tron platforms, and the constrains of these platforms’ overall ecosystem impose a great impact on the development of DEXs, but in February, the number of active users on the three major platforms remains unchanged.
When digging deeper into the top 5 traded crypto-pairs, we found that the most popular tokens are exactly the ones that have largest capital volume, which are also frequently traded on centralized exchanges.
Out of 128 DEXs samples we examined, only 3 of them held a daily trading volume over 1 million USD, and 5 of them have more than 0.5 million USD trading volume. The daily trading volume of the majority of the DEXs is below 0.1 million USD.
Digital assets are subject to a number of risks, including price volatility and limited liquidity. The report is for information only and should not be the basis for making investment decisions or be construed as, investment advice or a recommendation to buy, sell or otherwise transact in any investment or participation in any trading strategy.
Executive editor： Red