STEEMIT CRYPTOACADEMY SEASON 2, WEEK3 // DECENTRALIZED AND CENTRALIZED EXCHANGES, BEST CRYPTO CURRENCY EXCHANGE OF 2021, HOW TO USE UNISWAP// POSTED BY PROF @yousafharoonkhan// done by @kelvincole

in SteemitCryptoAcademy3 years ago

Hi Steemians, always a pleasure to be on this platform. Good to know we are doing great. Am here to attend to the Season 2 week 3 home work by Prof @yousafharoonkhan

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DECENTRALIZED EXCHANGE allows the trader to have complete control of how he runs his business with his customer without been obliged to follow any laid down rules or regulations that may probably guide such exchange. Here, the trader is at liberty to conduct his business without fear of being punished or exposed to problems for not adapting or abiding by rules that regulates the exchange.

Decentralized Exchange allows the trader or investor the autonomy/ total independence to operate his business. In other words, the trader has complete control of how and when he runs his business without any recourse to Middlemen or intermediaries

Decentralized Exchange simply broken down, means MR Kelvin doing business with MR Peter in the exchange world base on MR Kevin's own tenet and not under any rules or regulations guiding his business with MR Peter.

CENTRALIZED EXCHANGE on the other hand allows the trader to operate in the exchange world only when he follows or abides by the rules guiding the exchange. Here, unlike the Decentralized Exchange, the trader is not at liberty to dictate how he does his business, but must strictly and religiously abide by the laid down rules and regulations that dictates the exchange world, in order to avoid been penalised. The Centralized Exchange recognises the role of the Middlemen who in one way or the other acts as a bridge between the buyer and the seller.
In Centralized Exchange, all existing asset of the trader is fully subjected to the dictate of the Exchange I.e, the exchange exercises complete influence over the trader asset and dictates how he wish to trade.
Also in a Centralized Exchange, all deals or business agreement between the seller and buyer is dictated/ handled or fully taken care of by the Middlemen who such transactions falls under their purview.

DIFFERENCES BETWEEN DECENTRALIZED AND CENTRALIZED EXCHANGE

  1. In the Decentralized Exchange, you can be guaranteed of continuity in operations whenever there is any technical issue or maintenance that may lead to a shut down, since the exchange is decentralized and the trader can transact with his buyer independently from wherever he is. but the Centralized Exchange, whenever there is a such down as a result of system failure or emergency repairs, the trader gets affected because the exchange is centralized and transaction between the seller and buyer can only happen through a third party(Middleman) who anchors the Centralized Exchange platform.

  2. The CENTRALIZED EXCHANGErequires that the potential trader/ user informations gets verified before he can commence trading. In other words, only after the informations provided by the trader in the cause of his registration has been carefully and meticulously verified, then can he begin trading. For the DECENTRALIZED EXCHANGE,the traders informations does not need to be verified before he can commence trading, hence the trader can conveniently transact with his buyer from wherever he is and however he wants to.

  3. In a Decentralized Exchange, where the trader is at liberty to transact with his buyer wherever he is without any limitations or regulatory restrictions, there exist no trading Fee and as such, it benefits the the trader since he is not under any obligation to pay any Fee ad may be required by the exchange. The Centralized Exchange on the other hand requires the trader to pay certain Fee as required by the rules and regulations of the exchange before the trader can transact with his buyer, and this fee is shared between the seller and the buyer in most cases.

  4. The Decentralized Exchange is considered safe in terms of capital exchange, because investment is not concentrated or domiciled in a central exchange platform. thus, the trader investment is well secured should in case there are cases of theft or system hacking. Meanwhile For the Centralized Exchange, the trader runs a risk of his investment, because in a situation where the central server is hacked or manipulated, and invested capital withdrew, his investment will be lost.

  5. Since the Centralized Exchange is more easy to operate and possesses less bottleneck for the trader, and base on market volatility, that ensures that the seller and buyer needs to consistently be on trade, especially on the coins with the highest volume, the volume of transaction done on the platform is usually very high. compared to theDecentralized Exchange that requires probably several procedures before commencing trade, hence mitigating the volume traded.

  6. Operating a Centralized Exchange is simple, easy as well as user friendly. it's features allows the trader to carry out his transaction fast and smooth without any impediment and as such, a new timer/ entrant into the exchange may experience less complexity transacting in the platform. For the Decentralized Exchange, that is less user friendly and as such a bit complex, transaction between seller and buyer may not be as fast as expected especially when involving in a consistent trade.

  7. As a result of the high volume sales involved in a Centralized Exchange,and the desire by both the seller and buyer to continually and consistently transact, the liquidity is usually very high, compared to the Decentralized Exchange where the liquidity is not as high as that of the Centralized Exchange due to less volume sales, features complexity etc.

MY TWO BEST CENTRALIZED EXCHANGE OF 2021 AND WHY TRY ARE BEST FOR ME

BINANCE: Binance being one of the best cryptocurrency exchange is unique in so many ways, as it offers trading on over 40 virtual coins, including Bitcoin, Litecoin, Ethereum.etc. it's transaction fee is low and it has a high liquidity. It encourages trade orders that are executed only at the limit price set by the trader, trades executed immediately at the best available market price as well as trades that becomes valid orders only when the price reaches a specified level.
Binance requires verification before you can start trading. it's unique features makes it easy and simple to operate. it also has is own token currency called Binance coin and it's crypto wallet allows it's traders to store electronic funds.
Since Binance exchange services was launched in 2017, it's services includes and not restricted to trading, fund raising, listin, de listing as well as withdrawal of cryptocurrencies. immediately a user account gets verified, his trade account is created and the trader can now go ahead to trade. find below my verified account.

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HUOBI
This is another unique cryptocurrency exchange. launched in 2013 initially aimed at the Chinese market but had spread to over 130 countries.
Though I make use of this exchange, but not as frequent as I do with Binance. Like Binance, Huobi is easy and simple to operate and I have full control over my asset because I manage my own private keys. The security is exceptional and it's customer support is top notch. This exchange floats it's own users protection fund where profits are kept and channelled for use in the future, thus acting more like an insurance policy aimed at annihilating fraudsters and theft of users asset in the platform
Huobi has a separate desk/ platform aimed at achieving greater efficiency and fantastic users experience which had made it to continue to grow/expand in the exchange platform with huge acceptance worldwide.

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INSTALL METAMASK, AND SHARE STEP BY STEP SCREENSHOT,(PRACTICE STEP BY STEP)

● From the Play store on my Android phone, I typed Metamask and click on the "install" icon

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● After installing the App, I click on the "Open" icon

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● Thereafter, I click on the icon "get started"

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● In the interface that appears, I click on the "create a new wallet" since I am a new user

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● The next interface requires that I provide a password that is not less than 8 characters, and it must be a password that I can easily remember

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● After inputting my password and confirming it, I click on the "create password" icon

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● With the next interface on securing your wallet, I click on the "start" icon to commence securing my wallet

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● I am prompted to write down my seed phrase and store in a safe place, because I may be required to use it later in order to complete my task. I click on the " start" icon

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● In this interface, my seed phrase are displayed but I can only see them by clicking on the "View". After viewing and saving the seed phrase, I click on the "continue" icon

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● After inputting my seed phrase and successfully confirming it, I click on the Icon "complete backup"

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● After completing the backup, an interface appears with congratulations that I have successfully protected my wallet. then I click on the icon "done"

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● In the net interface that will appear, I click on the "I agree" icon to officially create my account and commence trading.

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HOW TO USE UNISWAP EXCHANGE, AND SWAP/ BUY OR SWAP/ SELL ANY COIN (PRACTICE STEP BY STEP)

Uniswap being a decentralized exchange gives users exclusive control over their investment/ fund at all times. The Uniswap platform is built on the Ethereum blockchain which is arguably one of the best cryptocurrencies blockchain worldwide.
Uniswap as a decentralized exchange, makes it easy and realistic for users to swap an ERC-20 for another ERC, which invariably means that it support any ERC-20 wallet.

■ In order to commence with this process, we visit Uniswap here source

■ Thereafter, you click on the icon "Uniswap" at the bottom of the interface

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■ Click on the "connect to wallet" icon
■ Then select the "wallet connect" option

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■ On the new interface that pops up, you click on the icon "connect"

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■ Automatically, the Uniswap synchronizes into your MetaMask wallet account

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■ For me, I click on the "swap" icon to start a swap process

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■ Then in the next interface, I click on the "start swapping" icon.

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■ Since my aim is to swap 1USDT to UNI, thus, I will put 1 in the box has 0 and then select the coin intended for the swap, after which I click on the "Get quotes" icon.

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■ With the new interface, we will notice new quotes coming in every 40 seconds, and each new quotes indicating how Many UNI a 1USDT can generate, with the estimated gas fee indicated at the bottom of the interface
■ Finally, I do a right swap to commence a Complete swap process

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Many thanks Prof @yousafharoonkhan for the educative lecture and the opportunity to engage the home task

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First respected student Thank you very much for taking participate in Steemit Crypto Academy Season 2, Week 3 course class..

you did not show last trade of cex

  • i could not see your swap of any coin after connecting with uniswap

  • some text is re-written

thank you very much for taking interest in this class

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