DEX vs. CEX

Legit discussion: are decentralized exchanges the future or a meme? Are centralized exchanges doomed to fail or will we always try to have some central authority to protect us? Privacy or simple user experience?

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SEC will fuck every centralized exchange in the ass eventually. So yeah, we need decentralized ones.

In my opinion, DEXs are equally caving against SEC as they start giving IP information and asking for KYC. Idex is prime example.

Why would I even use a DEX if it is not private and secure? Might as well sell myself to government overlords.

Bottomline is flaw in inherent architecture, a DEX should be completely decentralized so even if they want to, no one can shut it down.

It should be run by community, provide location privacy and should have inherent privacy.

the future for sure, however it will first be semi-decentralized (as I believe with most other infrastructure at play) then maybe in the further future some tihngs that can actually act fully decentralized will move that way

but doesn't IDEX situation show that DEXes are also buttfuckable by SEC?

friendly reminder IDEX was never a truly decentralized exchange, just opportunists cashing in on a buzzword
even the etherdelta guy would have been fine if he weren't a greedy fuck taking hefty fees and putting his name in public when he sold to chinks for $$$
regulations are not a challenge for real DEXes. volume is, because traders are stupid fucks with extreme shortterm vision
the solution is necessarily philanthropic: someone or a group of someone with enough clout need to leverage that to funnel an audience to a pure DEX. the nature of incentives makes it possible this won't happen for a long time, as it's so much easier to get idiots to sign up for centralized exchanges. but it is the inevitable future longterm, especially as ethereum scaling solutions improve

Idex is just a non custodial exchange. Not a decentralized one. They had ambitions to replace it with a decentralized structure, both in governance and validation node distribution but it's improbable to happen now.

not a truly dex

komodo barterdex and blocknet blockdx are true decentralized exchanges

This shit is happening and it's worrying man, i feel fiat gateways are just as or even more important

Thanks, I haven't knew that. Well, live and learn

I have to look into them. Do they have ok functionality or they are like Etherdelta lol?

How does a DEX steal your IP? The only way would be the website that interacts with the DEX, which itself would be a blockchain or smart contract. Its code would be immutable and transparent. So if you interact with the DEX directly or use an open source client, no government can stop you. If it if a true DEX. A lot of shit is probably claiming to be a DEX but is actually centralized, like idex.

For example ED, you can interact with the smart contract directly, you don't have to use the website. The government can't control at all who can use ED or identify people, only addresses.

Yes, real decentralized exchanges are an important part of the cryptocurrency revolution, because it allows completely open and free trading outside of government control / manipulation.

There is not such thing as a decentralized exchange.
It's just a hoax

IDEX is not a fucking DEX
anyone who has a basic understanding of ethereum and smart contracts can see this
its a centralised exchange running on eth

wrong

but what are the main milestones of DEX development in the future? I can think of two:

Scalability
complete monero-like privacy

Are there any else?

dexes need to be 100% hands off no human intervention needed, something like BCH DSV operated where an atomic swap happens completely on chain. Nobody to go after in that instance.

Actually, they are custodial because you have to deposit in their contract

Exactly right

centralized exchange will always be faster and more efficient and fair in pairing. but of course more up to manipulation. for those that value privacy and don't want to do high frequency trading the dex would be just fine however i don't see liquidity getting anywhere near the centralized exchanges any time soon.

but if we assume that a very scalable blockchain could be used, wouldn't DEXes be strictly btter than CEXes?

Liquidity is largely a function of the asset distribution, which is subsequently a function of price. The higher the price of an asset, the higher the distribution, the higher the relative liquidity.

no exchanges rely on real time aggregation of data and event processing which is most efficient and scales best in a centralized manner. it's only downside is trust.
no i meant specifically liquidity of dexes, you need some major exchanges to fold before dexes get customers in masses.