DeGate is proud to partner with Bihu (http://bihu.com/), a premier crypto community with over 1 million users, creating a deep analysis of blockchain! We have an insightful article translated from Chinese and published with the permission of the author, WuBlockchain, (https://mp.weixin.qq.com/s/Llh6M7cCxrllglViYRmszg).
Learn more about the analysis of dYdX & other decentralized derivatives user experiences, future developments and shortcomings! Full article link, click here DeGate x Bihu: dYdX and Other Decentralized Derivatives Explode- Analysing User Experience, Future Developments, and Shortcomings | by DeGate Team | DeGate | Oct, 2021 | Medium
The breakdown of topics:
- Order book vs. AMM
- Order book leader (dYdX)
- AMM improvements
Some things to ponder upon
Significant drawbacks of a DEX order book namely, for the sake of transaction depth, the degree of decentralization can only be sacrificed.
Next, the dYdX two-layer network is suitable for transactions. Still, its token needs to be carefully scrutinized (it is not just overly centralized, BSC is also centralized but performs well, the key is to capture the value of the network).
Thirdly, DEX under the AMM mechanism has not yet formed a dominant situation. The weakness of AMM, as mentioned earlier, is that it is challenging to combine slippage with volatile losses.
Are your thoughts align with the author?
Do read the full article to gain valuable knowledge!