Binance Closes in on Launching New Decentralized Exchange
Over the last year and a half, cryptocurrencies have integrated themselves into the mainstream and are present no matter where you look. However, cryptocurrencies are still struggling with an issue of perception that has yet to be solved. Bitcoin has cut its ties to the dark web, the notorious unregulated part of the internet that saw Bitcoin connected to criminal activity.
Less Viable Criminal Tool
With the widespread adoption and ever-growing popularity of BTC, criminals are finding fewer uses for the cryptocurrency in an illegal sense and scam artists have seen their numbers decline in those willing to risk freedom through Bitcoin’s anonymity. As it stands, this provides positive news for Bitcoin and digital currencies in general.
On the other hand, the general opinion on the risky nature of cryptocurrencies and their exchanges, in general, is continuously backed by over twenty cyber-attacks on digital currency trading platforms that have resulted in billions of assets being stolen and leaving no trace behind. As the WSJ has reported, over $15B in crypto have been stolen so far.
Even though each hack has been a different one, the collected attacks share a common factor. Even with decentralization as a core element of cryptocurrencies and blockchains, exchanges are centralized and leave them exposed to similar hacks and cyber-attacks that continue pounding down on technology firms. One of the top leading cryptocurrency exchanges in the world, Binance, released a demonstration of their new and upcoming cryptocurrency exchange designed with full decentralization as a solution to many of the recurring and persistent complications many exchanges have.
Chief Executive Officer of Binance, Chanpeng Zhao, often referred to as CZ made the announcement on his Twitter account and labeling it as a rough alpha test version of the platform. Despite not actively developing the new exchange, CZ made the announcement due to the team expressing no interest in a public relations video.
Currently, the platform enables any user to design and create their own coins as well as distribute them, list a cryptocurrency on a decentralized platform and trade crypto-to-crypto. Long story short, Binance possesses every technical aspect it needs to operate like any other exchange with the added bonus of a decentralized system. As with the exchange’s initial development stage, the demonstration was presented via command line due to the yet to be completed visual interface.
Regardless, CZ has made it clear that the new platform is exceeding its development schedule by months in advance. Binance’s latest acquisition, that of Trust Wallet, adds another significant step for the new project's advancement. As of now, the Ethereum-compatible wallet is a standalone company although its wallet will be offered on the new exchange as a default one.
No More Centralization
After the launch of their new platform, Binance will establish itself as the first leading digital currency exchange to offer a public and easily accessible platform with complete decentralization. Houbi, a leading South Korean cryptocurrency platform has also revealed its intentions on the transition into a decentralized trading platform with their own public framework acting as the founding tech of the new transition.
In light of this, cryptocurrency enthusiasts, traders, and investors are essentially begging for a decentralized exchange. Vitalik Buterin, the co-founder of Ethereum, one again vocalized his hatred for centralized exchanges and adamantly expressed his hope for their major failure.
Despite this, CZ ended his comments by saying that the company still has much more to achieve and develop before the exchange becomes a reality and his team of developers is relentlessly working to make deliver the product and pull Binance to newer highs.