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Get a UNiswap like (DEX) Decentralized exchange platform

Introduce an exclusive Decentralized exchange platform in the market to gain success in the DeFi world.

NFT Marketing Agency

Developing a DEX platform like Uniswap

After the introduction of Decentralized services in the crypto world, the growth of DeFi applications and other protocols seems to be inevitable. The fact that decentralized finance does not include interference of third parties is elevating its growth to new heights. It is one of the most widely used platforms currently in the crypto world. Upon exchange the tokens in a decentralized platform, the users can contribute to the liquidity pool and an opportunity to gain interest.

The professionals at Zeligz web store are proficient in providing top-class decentralized services to beat the competitors in the market. We have already delivered several high-quality Dapps and services to our clients. Thus, the experience of developing numerous type of Defi platforms make us stand out in the market to be the best service providers.

Importance of Decentralized Exchanges

There was a time when the cryptocurrency exchanged used to be centralized. Those platforms had several drawbacks such as lack of security features, less protection to the funds, no transparency, private keys, etc. All of these complications were rectified with the introduction of blockchain technology as well as smart contracts to make the entire process of exchange or trade decentralized. More transparency has been achieved with the peer-to-peer marketplaces that were built using the Ethereum blockchain. The users are now able to have complete control over their funds.

The smart contracts make the process less sophisticated and the Decentralized exchanges developed with Ethereum blockchain gain more liquidity for the users. Thus, Decentralized platforms brought a revolution to provide a much better place to the users where they can trade their coins independently and securely.

The workflow of the Uniswap Exchange platform

Uniswap is a well-known name in the crypto industry as it is being used widely by the masses. It is the Defi exchange that is build using the Ethereum network. No third party is involved in the swapping of the tokens as it occurs in the decentralized environment. The value of the token is labeled using the token pools as the platform is also known as Automated Liquidity protocol.

The decentralized platform does not need order books. Instead, the Automated Market Markers are used to enhance the performance of the platform. These are smart contracts that include certain rules that allow traders to initiate trades by simplifying liquidity on exchange platforms. Individuals are allowed to lend their crypto assets on the DeFi platform to gain certain advantages. They can withdraw their assets whenever required.

There are two types of smart contracts used in decentralized exchanges. The exchange contract and the factory contract are the types of smart contracts.

The Uniswap DeFi exchange platform has its native token named, UNI. This token is given to the people connected as investors, developers, members, and advisors to the platform. This token provides the right to vote to the individuals. The votes are used to decide the updates and changes in the platform.

‘Explaining “SWAP”, an essential part of the Uniswap platform

This Decentralized exchange platform is open-source. The users can swap tokens on this platform by having an Ethereum address and a MetaMask wallet. The traders can choose the token they would like to exchange, the amount to be traded, and then the output token that will be received by the user will be calculated by the protocol. Upon completion of the swapping process, a dialog box containing the details such as the minimum value received the impact of the price and services charges. There is a platform service fee that has to be paid by the users.

How does a platform like Uniswap achieve liquidity?

  • All the users of the platform can play a role in providing liquidity to the DeFi Uniswap. When sending two ERC20 tokens, the value of both must be equivalent. Similarly, other pairs of tokens need to fulfill this requirement as well. When users contribute to the liquidity pool, they will be rewarded with liquidity tokens and other income. There is a formula that can be used to determine the functionality of the pool which is x*y=k.
  • Let’s assume the ERC-20 token of the liquidity pool as ‘x’. The USDT portion of the pool will be ‘y’. ‘k’ must be a constant that represents the liquidity of the pool and is the main substitute for the liquidity calculation.
  • A user trade two ETH tokens for $1000 in the liquidity pool. Now after completion of the trade, the USDT part of the pool will get lower whereas the value of the ETH will be elevated.
  • A user will receive a pool token after depositing his assets in the Uniswap liquidity pool. The users can collect these tokens and exchange them on Uniswap or other decentralized applications. Moreover, a liquidity provider fee is also paid to the users. Depending on the demands of the provider, DeFi liquidity pools can be established and removed.

Offers for the users of a DEX platform similar to Uniswap

The decentralized platform offers tons of benefits to the users of the platform which are listed below:

  • The users of the platform get complete control over their investments and funds in the platform.
  • Several trendy and exclusive tokens are supported by Decentralized exchange platforms like the Uniswap platform.
  • The need for KYC or other ID proofs is not required to begin trading on the platform.
  • To remove the long process of the transactions, a feature called Flash swap can be used.
  • The platform has a lower gas fee to be paid by the users.
  • The data and the crypto assets on the Uniswap platform are protected using certain security features.
  • In a few exclusive features, all the Ethereum tokens can be traded on the Uniswap platform. The only condition is that it has to be paired with an equivalent ERC-20 token.

Reasons to develop a Decentralized exchange platform like Uniswap

The decentralized exchange platforms such as Uniswap can help in enhancing the rate of engagement of the audience to your platform drastically. Below are the benefits one will get:

  • The trading activities such as staking, trading, liquidity pools, and Yield farming can make your business gain high returns.
  • The traffic to your platform as well as the engagement rate can be increased due to the popularity of the platforms such as Uniswap in the DeFi world. The idea to introduce your Decentralized exchange platform like Uniswap can turn out to be highly profitable.
  • You can witness an elevation in the revenue as well as the users as the DEX platforms occupy more than 90% of the exchange space worldwide.
  • There is less risk when developing a decentralized exchange and the investment amount is also quite small.
  • To improve the functionality and performance of the platform, we offer the development of a Uniswap like platform with a Binance smart chain.
  • TRON blockchain can also be used to develop the platform for additional security to the platform.

Get your dream project with impeccable DEX services from Zeligz web store services

We are a leading software development company, working on a diverse range of projects for years. Our experts in blockchain and decentralized platform development can help you to develop a platform that fulfills every requirement you want in your platform. Our creative team of designers can build a platform with an innovative design capable to attract and engage users. The marketing team of Zeligz web store can help you to expand your reach to enormous people across the world.

Not only the platforms like Uniswap, but we provide services for several other platforms that are trendy in the market by providing their spectacular services to the users. We suggest to our clients the best technologies available in the market to let them choose the one they find suitable to their requirements. We offer a decentralized exchange platform using different blockchain technologies such as TRON, Binance smart chain, or EOS. Contact us and get yourself a decentralized platform to ensure your success in the crypto industry.