Modern DEXs are designed to take full advantage of CEXs and DEXs by leveraging innovative technologies to enable more efficient transactions.
Due to the limitations of both modern CEXs and DEXs, many have suggested that for widespread asset adoption, a non-custodial platform that supports assets across multiple networks is required. In theory, this experience will allow users to control their funds at any time without giving up the flexibility of a promising user experience.
Polkadex The next iteration of the exchange has been proposed as a decentralized peer-to-peer order book based cryptocurrency exchange. The project aims to become a trading engine for Web3 by combining the advantages of CEX and DEX while eliminating the disadvantages of both.
To this end, Polkadex has tailored solutions based on cutting-edge trusted execution environment technology. The solution allows Polkadex to take custody out of the exchange operator’s equation, thus creating a non-custodial exchange that executes as fast as a centralized exchange, if not faster.
Much like centralized exchanges, Polkadex is designed to support cross-chain assets, albeit in a decentralized manner. To that end, Polkadex is not only developing THEA, a decentralized liquidity bridge that will first connect Ethereum (and other chains later) to Polkadex, but it also recently won a Polkadot parachain plug-in slot, which will allow it to connect to the wider Polkadot ecosystem.
Thanks to community-driven activity, Polkadex won the 16th auction, with the 3rd batch recorded as 973,000 DOT lent to its crowdfunding. As a Substrate-based parachain, Polkadex will support assets from the entire Polkadot ecosystem, including its parachains, and thanks to THEA, Polkadex will first support assets from Ethereum and other popular networks. This combination of interoperability layers will unite Ethereum, Polkadot, and later other blockchains under one decentralized exchange.
By leveraging a model that combines a Layer 2 trusted execution environment, parachains, and cutting-edge decentralized liquidity bridges, Polkadex makes it possible to exchange assets from different blockchains while guaranteeing users retain their own funds and smart contract secrets key. The exchange further offers complementary products, including PolkaIDO, a fully decentralized on-chain IDO launchpad that will seamlessly integrate with the Polkadex Orderbook, Parachains and THEA cross-chain bridge.
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