Key Takeaways:
- Learn about the recent surge in cryptocurrency trading volumes across decentralized exchange platforms.
- Check out the prospects of running a decentralized crypto exchange application for business in the bull market.
- Look at the points to consider before building your own DEX development solution for business in the competitive market.
The global cryptocurrency market has become an economic hotspot given that it is merely steps away from an official bull run, with BTC already breaching its ATH (All-time high). Such immense buzz surrounding cryptocurrencies has led to the uprising of decentralized finance (DeFi), with platforms experiencing a significant surge in user activity in recent months. DEX development solutions have especially become a haven for enthusiastic crypto investors who desire to control their holdings completely. This blog will focus on the latest advancements in decentralized exchange platform development and look at how it can become a viable business option in the future.
The Buzz Around DEXs in Numbers
If you have been updating yourself on the DeFi market in recent times, you might have come across the fact that decentralized exchanges (DEXs) are going hot. Largely dominated by the actions of several well-known projects, the buzz around DEXs has multiplied manifolds as people begin understanding the intricacies behind these platforms.
- According to DeFiLlama, the total value locked (TVL) across all decentralized exchange applications amounted to over $21 billion. While this value is a fraction of what these platforms achieved during the height of the 2021 crypto boom, the trajectory suggests a recovery from the bearish market, signaling good times.
- The top DEX development solutions ranked by the same metric (TVL) include Uniswap, Curve DEX, PancakeSwap, Balancer, Thorchain, SUN, Sushi, PulseX, Raydium, and VVS Finance. All these exchange applications have experienced a rise in monthly volumes ranging from 20.99% to 62.17%, showing an encouraging sign for the DeFi market.
- Nevertheless, most decentralized exchanges have exhibited a significant increase in trade volumes in the last month (notable by their double-digit growth). Such trends brighten the prospect for DEXs, with a crypto bull run impending (or, according to some experts, already underway). This offers an opportunity for projects to enter the space as new investors enter.
Why are DEX Development Solutions So Prominent Right Now?
If you have noticed the crypto market trends of late, you might have come across the fact that decentralized exchanges have witnessed a 70% uprise in terms of weekly trades. With networks like Ethereum, Solana, and Arbitrum reaping massive shares in the current DEX market, there is no wonder why these solutions are becoming immensely prominent.
- DEX development solutions’ nature of offering full custody of crypto holdings to users is a starring factor when it comes to the buzz around them. With centralized crypto projects facing severe backlash owing to arbitrary decision-making and security compromises, it becomes crucial for people to adopt DEXs.
- These platforms open listing and liquidity for almost any crypto coin or token as they do not restrict projects through stringent vetting mechanisms. While that might sound like a recipe for disaster, investors carrying out due diligence at all times can easily stay away from such ill-intended projects.
- Decentralized cryptocurrency exchanges also let people from anywhere around the world access cryptocurrencies without restrictions, as they do not need complex user verification. Instead, they utilize automated mechanisms powered by smart contract programs that tend to preserve user identity without revealing unnecessary details about people registering on them.
Is Decentralized Exchange Platform Development a Feasible Option Now?
With all that being said, you might think of running a decentralized exchange for business now. While decentralized exchange platform development has been around for a long time now, it has picked up steam again owing to the market’s affinity towards the model. To ensure successful operations, there are several options to consider while planning to build a DEX application.
- Running a decentralized exchange platform is more than a regular business as it demands community participation to ensure maximum decentralization through collective consensus. Leverage native tokens to open access to a decentralized autonomous organization (DAO) based on your DEX to let people vote on various business decisions.
- Consider using the community’s collective expertise to decide about listing new coins/tokens, elevating the DEX’s position in the financial markets. You can even use pre-made smart contracts that can utilize artificial intelligence and machine learning algorithms to vet applications for new coins, quickening the listing process.
- As the global crypto market prepares for an extremely optimistic phase, tapping into the DEX business model can bring you novel benefits. Executing the correct moves at the proper time can position your venture at the very top. Also, with reports indicating a rich influx of new investors, launching a DEX can be a lucrative idea.
Looking for the Best Way to Conduct DEX Development for Business?
The Process Behind Building a Powerful DEX
If you have planned to develop a decentralized exchange platform, there is a comprehensive process one should follow in order to launch a powerful application. With our experts, hassles related to developing DEXs are reduced as we provide top-notch services in all facets of building such platforms.
- Conceptualization: The DEX development process begins with confirming the platform’s concept from your business vision and forming sufficient documentation backing the idea.
- Prototyping: A prototype of the decentralized exchange is created using the necessary frameworks to provide the business owner with a rough draft of screens for approval.
- Platform Design: After getting approved, we design the DEX platform’s user interface (UI) and user experience (UX), ensuring that the platform provides accessible experiences while retaining branding aspects.
- Platform Development: Then, we continue to develop the platform’s front and back ends to ensure all functionalities work seamlessly, as intended, using various languages.
- Smart Contract Development: Now, we create smart contract programs that dictate various operations within the decentralized exchange using an appropriate programming language.
- Testing and QA: Our testers extensively check the DEX app for errors, fix them if any are found, and perform quality assurance checks to ensure that the application works flawlessly.
- Launching: Finally, we launch your new DEX platform on the blockchain(s) of your choice after promotions that garner buzz online and build a community around the project.
- Maintenance and Support: With time, we provide high-quality maintenance and support services to ensure the application caters to all user demands and traffic levels without hiccups.
Conclusion
Thus, we have seen how the buzz around decentralized exchange platform development has unfolded in recent times, primarily fueled by widespread optimism surrounding cryptocurrencies. With all that is happening, creating a DEX application could be a viable business option as people get drawn toward novel and lucrative ideas. If you have a possibly revolutionary idea for DEX development, consider working on it now, and our experts at Blockchain App Factory can provide you with the perfect solution. With years of experience and prowess in using advanced technological stacks, we can be your ideal partner in launching phenomenal exchange platforms. Talk with us today to start building your new DEX!
