What is a decentralized exchange and how does it work?
In recent years, the main driver for the development of the cryptocurrency market has been decentralized services and applications, or DeFi.
DeFi is financial instruments in the form of services and applications built on the blockchain.
The main task of decentralized finance is to become an alternative to the banking sector and replace the traditional technologies of the current financial system with open source protocols. That is, open access to decentralized lending and new investment platforms for many people. These platforms allow you to receive passive income from cryptocurrency assets, as well as safe on fees for transfers, loans and deposits.
What is Matcha?
Decentralized finance also has certain drawbacks. Most DeFi services have a complex user interface and a lot of specific terms, making them difficult to use and discouraging newbies. In addition, at this stage, DeFi applications are fragmented, which makes it quite difficult for users to track the state of the market.
DeFi aggregators are designed to solve both of these problems. These services collect information from various DeFi protocols and combine it into one simple and intuitive application. Thanks to this, users can use just one tool to monitor the state of many markets and make better decisions.
One such service is Matcha.
Matcha is a fairly popular liquidity aggregator that unites more than 30 trading platforms.
Next, we will take a closer look at what Matcha is, why this platform is needed and how to use it. Although traders who have worked in Forex may already be familiar with the concept of a liquidity aggregator. All brokerage companies have liquidity providers who provide quotes to the trading terminal. There are special programs that allow you to combine quotes from several liquidity providers and in this case the user gets the most favorable trading conditions. A trader can buy an asset from one liquidity provider (where there was the best buy price) and sell to another provider (where there was the best sell price).
About 20 cryptocurrency pairs are available for trading on Matcha. At the same time, the creators of the platform are constantly working to expand the list of available tools.
Types of orders
The Matcha platform is trying to expand its trading functionality.
Users can open not only regular transactions for the sale or purchase of cryptocurrency, but also place limit orders.
Which will be triggered when the price reaches a predetermined level. This expands trading opportunities.
An important advantage of trading with limit orders is that they are free. You do not need to pay a commission for them.
Limit orders are placed on Matcha free of charge for the following reasons:
- Limit orders are created and sent off-chain to the 0x Mesh, which broadcasts your order across the entire 0x network for execution. It doesn't require Ethereum gas.
- Цhen the limit order is executed, the transaction is settled on the chain and the recipient of the order pays the Ethereum transaction fee and 0x protocol fee.
The Matcha trading platform currently supports several Ethereum wallets:
- Coinbase Wallet
It is completely free to use the Matcha platform, but users have to pay fees for Ethereum gas and 0x protocol.
The Matcha platform is different from centralized cryptocurrency exchanges. Since Matcha is a decentralized platform, all operations on it take place without the involvement of a third party. All clients' tokens are stored in their own cryptocurrency wallets. They completely control them throughout the entire time of working with the platform.
Benefits of Matcha
Compared to centralized marketplaces, the Matcha marketplace provides users with greater privacy and security. When trading on Matcha in the UAE or any other country, you do not need to register and go through the verification procedure. You simply connect your cryptocurrency wallet to the platform and trade.
How to start trading on Matcha in the UAE?
To start trading on Matcha in the UAE, you need to have Internet access and free funds. Everything. You just go to the platform website, connect the Ethereum wallet and start working. If you don't have an Ethereum wallet, you can easily create one.
Connect wallet to Matcha
The Matcha trading platform is decentralized, so there is no need to register and verify. To start trading, you just need to connect your Ethereum wallet to Matcha. This is very easy to do. It will take 1-2 minutes. You just need to select the wallet you have and click "connect". Everything.
MetaMask is one of the most popular cryptocurrency wallets in the world.
To date, more than 10 million users have downloaded MetaMask in the Chrome browser extension store. The wallet supports not only ETH, but all ERC-20 tokens, that is, any cryptocurrencies launched on the Ethereum network.
The Matcha trading platform also works with MetaMask. If you already have a MetaMask wallet, you just need to click the "connect" button on the Matcha website.
Coinbase Wallet is a mobile cryptocurrency wallet from Coinbase. Supports over 500 cryptocurrencies and ERC20 tokens.
The Matcha trading platform works with Coinbase Wallet. If you already have a Coinbase Wallet, you just need to click the “connect” button on the Matcha website.
WalletConnect is a protocol that is supported by many cryptocurrency wallets as it allows you to easily connect to various Decentralized Finance (DeFi) DApps, including the Matcha platform. To do this, you just need to select a DApp and connect using a QR code or a link.
It is an easy to use web wallet that is also supported by the Matcha platform. You can connect Bitski to Matcha by clicking just one button.
Find the trading pair to trade
More than 20 trading pairs are available for trading on the Matcha platform. You can choose a cryptocurrency pair immediately on the main page or in the "Trade" section. Overall, it's worth noting that the Matcha platform is intuitive and you shouldn't have any questions about How to trade on Matcha in the UAE.
To understand how to trade on Matcha in the UAE, you need to go to the platform website. It has an intuitive interface. Almost anyone who uses it will immediately understand how everything works.
Make a trade
You can instantly start trading for this, you just need to choose the direction: "You Pay" and "You Receive".
Limit orders and OTC trades are also available for some instruments. After selecting the tool, you will have the corresponding menu items.
Alternatives to Matcha
Decentralized platforms have been actively developing in recent years and are the main drivers of the cryptocurrency market movement. Therefore, it is not surprising that now there are platforms on the market that are similar in functionality to Matcha.
Against the background of the emergence of a large number of centralized and decentralized exchanges, liquidity aggregators are becoming more and more in demand. If there is demand, then there is supply.
Currently, platforms such as B2BX and Paraswap can become an alternative to Matcha, but there are other projects as well.
B2BX. Uses B2B tokens of the ERC-20 standard. It has a unified integration mechanism with third-party services, cooperates with aggregators from other ecosystems - ENC integral, PrimeXM, OneZero. It works not only with crypt, but also with securities - what exactly to work with, each user can customize for himself.
Paraswap. One of the fastest projects optimized for traders and dApps. Compatible with ERC-20. Works with various exchanges and services - Bancor, Kyber, 0x, Uniswap, Curve and others.
The main difference of Matcha is its intuitive and simple interface, which is as user-oriented as possible. But if you still don't understand How to trade on Matcha, the platform has a detailed section with detailed answers to the most frequently asked questions.
Below, we will also cover the most popular questions about the Matcha platform. Below, we will also cover the most popular questions about the Matcha platform so that you can understand what is Matcha and how to trade on Matcha?
How does Matcha offer the best prices?
It's very simple, the platform analyzes liquidity from more than 30 trading platforms and provides the user with the most favorable price for buying or selling an asset.
How is Matcha different from other exchanges?
If we compare Matcha with its closest competitors (Paraswap, B2BX and others), then the main difference here will be a simple and user-friendly interface.If we compare Matcha with other cryptocurrency exchanges, in particular, centralized platforms, then there are many more differences. Decentralized platforms do not require registration and account verification, they are more secure and can be used in almost any country in the world.
What kinds of users and organization types does Matcha work with?
Matcha is a decentralized marketplace, so it can work with almost any private client and organization.
What languages does Matcha support in their product?
Currently, only English is available to users, but it is possible that the platform will support other languages in the future.
What other applications or services does Matcha integrate with?
Matcha works with popular cryptocurrency wallets, as well as a large number of cryptocurrency exchanges from which liquidity is drawn.
What type of training does Matcha provide?
A dedicated section has been created on Matcha to assist clients with answers to the most frequently asked questions. There is also a Telegram group.
Why you can trust Matcha to securely swap your tokens?
Decentralized platforms, including Matcha, provide more security than centralized cryptocurrency platforms. All operations on the platform are carried out without the participation of a third party, so the user's funds always remain in his wallet.The user always controls them and all responsibility for security remains on the client's side. The platform does not affect this in any way.
How Matcha is safer to use than a centralized exchange?
Decentralized platforms are much more secure than centralized platforms that hackers regularly hack and steal customer money. This is one of the reasons for the popularity of decentralized platforms.When using a decentralized platform, all tokens remain in the user's wallet. In turn, the centralized platform requires the transfer of funds to a third party.
Where you can use Matcha to trade?
You can trade Matcha in any country. You can use the platform both for exchanging tokens at the best price and for trading.
What exchange networks does Matcha aggregate liquidity from?
Matcha currently aggregates liquidity from a large number of cryptocurrency exchanges. The most famous of them are: Uniswap, Bancor, Crypto.com, Kyber Network, other
What Ethereum wallets are supported?
The platform currently supports the following wallets: MetaMask, Coinbase Wallet, WalletConnect, Bitski
How do I link Coinbase wallet to Matcha?
To connect Coinbase wallet to the platform, you must click the “Connect Coinbase wallet” button. The connection will take place within a few seconds.
How do you connect Matcha to ledger?
Matcha does not currently have direct support for hardware wallets. Therefore, you can connect Ledger to the platform through MetaMask.
How does Matcha connect to Metamask?
To connect Metamask to the platform, you must click the "Connect Metamask" button. The connection will take place within a few seconds.
Is there a Matcha token?
The platform does not currently have its own token. There is no information on the possible appearance of the token in the future on the project website.
Is Matcha crypto safe?
Yes. Like other DeFi, Matcha is highly secure, as all user funds remain in the user's wallet. The smart contracts used to conduct transactions are secure and verified by reputable monitoring companies.