The easiest thanks to creating your own DEX platform like Uniswap is simply to form a just like Uniswap, ie., building a DEX platform by inheriting all the features and functions of the Uniswap platform. There are many cryptocurrency exchange development companies that provide the simplest decentralized exchange script to start out your own DEX platform. Enkryptoz, one of them offers extended crypto exchange development services with a singular just like Uniswap DEX exchange to start your DeFi based DEX Platform like Uniswap. With our Whitelabel Uniswap Clone Script, you’ll launch your DEX instantly and may customize the trading features as per your requirements and market trends.
Difference between Uniswap and Traditional DEX Platform
DEX platform relies on an order book mechanism and in Uniswap there’s no order book.
In DEX, each new token must be manually listed, whereas Uniswap is out there for all ERC 20 tokens.
Traditional DEX doesn’t have pool features but Uniswap allows users to participate in pools and gain rewards.
Uniswap doesn’t require any deposit, gateways, or custody for your money whereas DEX requires custody.
Uniswap Liquidity Pools
In any centralized exchange, the worth of any asset is decided by two factors.
The highest price at which the trader wants to buy/sell that asset and
The lowest price at which the trader wants to buy/sell that asset
But in decentralized exchange Uniswap, the worth of an asset relies on the exchange contracts.
In Uniswap, all the Ethereum tokens, ERC 20 tokens are kept within the exchange contract. This decentralized smart contract acts as an identical engine and makes the trades execute faster and doesn’t await any desired sellers and costs of crypto assets. Thus, with this liquidity pools of Uniswap drive the worth of any assets and don’t use any order book to match the buyers and sellers.
Listed here are the trading features supported by Uniswap, a DeFi based DEX Platform.
Swapping
The most important feature of Uniswap is that it doesn’t restrict the trade of any asset pairs. Uniswap’s routing technology helps you to trade your own ERC20 token with any trading pair during a short time, by accessing the liquidity pools available within the platform.
Flash Swapping
Uniswap permits users to withdraw the reserves of any ERC 20 tokens and execute arbitrary logic at no upfront cost, through flash swapping. Thus, in Uniswap you’ll make multi-step transactions with free constraints.
Trading of any Ethereum Tokens
In Uniswap V2, the users can trade any Ethereum-based tokens, because it doesn’t support any listing process and charge any listing fees. Thus, in Uniswap V2, liquidity providers can combine any 2 ERC20 tokens as trading pairs.
No Custody for Funds
Uniswap features a smart contract that handles the trading and therefore the exchange doesn’t hold any user’s funds. Since, there’s no central authority to seize user funds, no requirement for KYC information to make accounts on Uniswap DEX.
No Order Book
For Price determination, Uniswap uses formulas supported token ratios and doesn’t use any centralized order books. This method prevents price manipulation and produces reliable prices of assets.
