ALGODEX – Decentralized Exchange

Trading on controlled exchanges (CEX) has a flaw in this day and age, which is the need to go via an intermediary like Binance or Huobi,…

That is why decentralized exchanges (DEXs) were created to aid with the security of cryptocurrency transactions between buyers and sellers.

Third-party institutions including banks, payment gateways, governments, and so on will be substituted by blockchain technology while conducting transactions through decentralized exchanges.

Decentralized exchanges can also prevent price manipulation or phony trading volumes of coins and tokens, and they are far more anonymous than CEX exchanges because no KYC is required.

1: What is Algodex?

Algodex is a decentralized exchange with the order book that runs entirely on the Algorand blockchain itself.

Algodev, Inc. – the company behind Algodex – has just announced that it recently received an Algorand Foundation Grant. Algodex will provide a fully decentralized Exchange for the Algorand ecosystem. The advent of decentralized exchanges (DEXs) aims to make it safe for cryptocurrency transactions to be conducted directly between buyers and sellers.

In August, the project performed a system security check. Algodex is currently in testnet starting from September 2021. The project plans to implement the Mainnet release in Q4 2021.

The DEX will allow Algorand Standard Assets (ASA) – including Yieldly’s wrapper and NFT, Algomint – to be traded for Algos, contributing to accelerating accessibility and growth on the ecosystem.

Algomint wrapper assets including Bitcoin, Ethereum and eventually ERC-20 tokens can be spread on the Algorand network and traded on Algodex.

2: Highlights

• Algodex is a decentralized exchange with an order book that is completely based on the Algorand blockchain.
• Algodev, Inc., the firm behind Algodex, has just announced that it has been awarded an Algorand Foundation Grant. Algodex will give the Algorand ecosystem a completely decentralized exchange. The advent of decentralized exchanges (DEXs) attempts to make bitcoin transactions between buyers and sellers secure.
• The project conducted a system security audit in August. Algodex is now in testnet, with intentions to become live in September 2021 and execute the Mainnet version in Q4 2021.
• The DEX will allow Algorand Standard Assets (ASA) to be traded for Algos, including Yieldly’s wrapper and NFT, Algomint, hence increasing accessibility and growth on the ecosystem.
• Algomint Wrapped assets, including Bitcoin, Ethereum, and, ultimately, ERC-20 tokens, may be distributed and traded on the Algorand network and on Algodex.

3: The order book

In most DEX order books the user’s assets are still off-chain but the information will be maintained on the order books for faster execution of transactions.

Derivatives-based DEXs allow users to create derivatives trades in a decentralized platform. The DEX order in the ledger is usually slower than the DEX swap & Algodex was born to fix this.

Transaction speed will be improved by on-chain matching & funds will also be guaranteed to move off-chain quickly. On-chain smart contracts will also be used for order matching, which reduces the risk of price manipulation. The above anonymity of DEX transactions can also be improved by using zk-SNARK to authenticate transactions.

Web-based APIs can be used to provide users with familiar experiences.

4: Tokenomic

• Basic Information
  • Token name: Algodex token
  • Ticker: ALGX
  • Platform: Algorand
  • Total supply: 1,944,400,000

5: Team

1 Core team

• Alexander Trefonas: CEO
• Dominic Ma: Front-end Software Engineer
• Michael Feher: Back-end Software Engineer
• Ramya Trefonas: Business Development
• Ed Cartwright: E-Commerce Engineer

2 Advisor

• Ivan Bercovich: Senior Advisor

6: Roadmap ALGODEX

7: How to use ALGODEX – Algorand Decentralized Exchange

1.     Initial setup

• Set up a My Algo wallet at https://wallet.myalgo.com/
• Connect to Testnet on My Algo in the top right corner
• Access the Algorand Testnet Dispenser at

https://bank.testnet.algorand.network

or https://testnet.algoexplorer.io/dispenser and enter your My Algo wallet address to claim some free Testnet alias

• Connect your My Algo wallet to http://testnet.algodex.com in the top right corner of the Algodex “Transactions” page where it says “Connect Wallet”

2.     How to trade?

To place a limit order on Algodex, you must first decide which Algorand Standard Assets (ASA) to trade. Search between Testnet ASAs in the top left search bar. ASA can be searched by asset ID or asset name.

Once you decide on the ASA to trade, look for the order selection tab on the right side of the page.

1.Decide the “Price” (referred to as ALGOS) to execute the trade at.

2.Next, the number of assets to purchase in the “Quantity” field. Note: The “Total” field will be automatically calculated to show you the total unit price.

3.Click “Buy or Sell” at the bottom of the page to execute your order.

4.** Please disable your pop-up blocker **

The “My Algo” signing window will appear for you to sign transactions from your wallet. By default you will be in “Both” mode which means you will first take from existing orders on the order book and then place a new order for the remaining amount. In the advanced options you can specify whether you want to order Maker or Taker only.

Definitions

Maker: Create (or fulfill) a new order on the order book.

Taker: Withdraw (or take) from existing orders on the order book.

Maker/Taker: First take from existing orders – then create a new order for the remaining amount.

NOTES

To make transactions, even sell orders, you will need to maintain a minimum balance of algos in your wallet at all times due to the Algorand protocol. The UI doesn’t warn you about this right now. Please keep at least 10 algos in your wallet.

Since we are all waiting for the launch of the AlgoDex Mainnet Launch, you can familiarize yourself with the testnet and also read about the exchange from the notes above.

8: CONCLUSION

As you can see, the investment opportunity in this category in Algorand is likely to be large and promising. Because if the initiative is successful in launching the first DEX and attracting liquidity through proper liquidity incentives, it will lead the whole ecosystem.

Although Algodex is still in testnet and may not have obtained the greatest results, we may utilize the product to be eligible for the airdrop. Furthermore, we should actively monitor the ecosystem in order to uncover investment possibilities in initiatives inside the system as soon as possible. The ecosystem is the wave that every investor wants to ride, but in order to ride it, you must constantly have accurate, thorough, educated, and responsive monitoring.

Hopefully, the foregoing information has given you a better understanding of Algodex. Follow us to stay up to speed on the latest news!

Updating information at:

r/Algodex – Reddit

https://t.me/algodex – Telegram

@AlgodexOfficial – Twitter

@a3voices – Twitter

Algodex.com – Website