The world of cryptocurrency and blockchain continues to evolve and expand every day. User interest in decentralized exchanges and trading platforms, although there is much room for improvement.
Upgrading the user experience and bringing features that have helped centralized exchanges grow their user bases and volumes would dramatically reduce the hurdles for DEXes.
Autonomy Network, a decentralized automation protocol, is arming decentralized exchanges with features like limit orders and stop losses to help them boost user activity.
The Power of DEXes
There is a growing interest in trading crypto assets through decentralized interfaces. Rather than using a centralized exchange, the decentralized counterpart gives users more freedom.
Additionally, a DEX does not require users to give up custody of their funds, as interactions occur between wallets and smart contracts directly.
It is an excellent approach to the crypto industry that empowers users from start to finish.
However, decentralized exchanges are still developed by coders. More often than not, certain aspects need to be streamlined, or new features are to be added.
The lack of trader-friendly features such as limit orders, stop losses, and impermanent loss prevention has hurt the growth of DEXes.
Some consider this a downside to the decentralized approach of trading crypto assets, although there are solutions to circumvent all of this hassle.
The ultimate scenario for DEX developers is to beef up existing features – or introduce new ones – through an “add-on” system.
One can opt for a modular approach, although that can still create some issues when doing everything manually. Another option is to automate the process entirely, removing the need to redeploy contracts.
Does Autonomy Network Have The Answer?
Autonomy Network is a decentralized automation tool capable of powering Web3 applications and the people coding these tools.
Its on-chain conditional execution allows developers to automate any action in the future under any condition. The opportunities are virtually limitless, and decentralized exchanges may be one of the biggest benefactors of this approach.
Autonomy Network has a decentralized network of bots triggering requests when the contract’s conditions are fulfilled. DEXes, and their users, gain peace of mind knowing that the orders will be executed when the conditions are met.
Moreover, Autonomy is the only solution capable of providing impermanent loss protection and stop losses for DEXes worldwide.
These features are usually associated with centralized exchanges but can now be integrated into any decentralized trading platform too.
Therefore, the appeal of a DEX can greatly increase when these features are integrated, which can be done as an “add-on” rather than a complete redeployment.
It is a worthwhile venture to explore for any DEX seeking to grow its user base and volume.
There are many reasons why the Autonomy Network can prove beneficial to the decentralized exchange landscape.
Many features are waiting to be integrated, and the option of impermanent loss protection is in high demand. Moreover, adding such features in a more streamlined way without redeploying entire contracts will benefit developers and protocol users alike.
The future looks bright for DEXes thanks to new infrastructure making upgradeability a breeze. Additionally, other DeFi projects and protocols can benefit from this approach to code changes and upgrades too.