First Experience using Loopring.io DEX
Loopring is currently an Ethereum token. From https://loopring.org, Loopring allows anyone to build high-throughput, non-custodial, orderbook-based exchanges on Ethereum by leveraging Zero-Knowledge Proofs. Loopring is claimed to be secure, high throughput, and low cost. Loopring Exchange (Loopring.io) is the first decentralized trading platform built on top of Loopring 3.0.
Loopring.io DEX Fees
- ETH 0.0001 (~$0.03) Registration + gas fee.
- ETH 0.0001 (~$0.03) deposit contract + gas fee and approval gas fee.
- ETH 0.002 (~$0.06) withdraw contract + gas fee and approval gas fee.
First Time on DEX
If this is your first time on decentralized exchange (DEX), you should know that the concept of DEX is to retain the ownership on you which is different from the centralized exchange that you probably know that whenever you deposit coins to these exchanges, you give up control over these coins to them in order to trade and do other financing. The most important factor for these exchanges are trust different from DEX which is programmed which if I'm correct, it is using smart contracts. Since this is an Ethereum based DEX, you need:
- Ethereum all the time for gas / transaction fee which in average ETH 0.006 (~$1.3) during the writing of this article although you are flexible to set the fee but affects the duration of the transaction.
- Wallet connect protocol such as WalletConnect, Metamask, Coinbase, and generally leads to Web3 the decentralized web.
- Other tokens that you want to trade.
Get Ethereum from someone, buy from centralized exchanges, earn or mine. Get any application that can perform wallet connect, here I use Metamask browser extension. You will have a public Ethereum address to deposit Ethereum and any of its tokens and don't forget to backup and secure your private key.
Using Loopring.io DEX
Normally, this is after registration but from my side I would like to share my referral link first. I'm a referral fanatic not only I enjoy marketing my referral link but using others' referral link to support the referral system. I was disappointed that I cannot find anyone on the web sharing their referral link. If you don't have anyone that refers you, I will be grateful if you use my referral link https://loopring.io/invite/1632.
After you connect and register, you can find your referral link to your account menu. Use it to invite people because you will get the following perk: if your daily average LRC balance is greater than 5000 LRC, you will earn 60% of the trading fee profit contributed by people you referred; otherwise, you will earn 30%.
Connect and Register
Suppose you have a wallet connect application, connect to the DEX and register. My referral ID is "1632" if you don't have any referrers.
The registration costs ETH 0.0001 (~$0.03) and transaction fee of usually ETH 0.006 (~$1.3).
Before deposit, you need to have your coins in your wallet connect application and especially Ethereum for transaction fee. In the writing of this article, the DEX supports:
- Ethereum (ETH)
- Loopring (LRC)
- Tether USD (USDT)
- ChainLink (LINK)
The deposit button can be found in two places. One in the account menu on the right, and two near the trade menu. Here I deposited USDT and there are two fees to pay. The first one is ETH 0.0001 (~$0.03) + gas fee for the deposit contract and gas fee for approval.
Here I deposited 10 USDT and I want to trade it for LRC. Take a look at the chart, see the order book for the supply and demand, and determine a price you are comfortable with. It doesn't matter if you want to take the current offered prize or make your own prize and queue in the order book because unlike centralized exchanges, there are no trading fees.
After you are done with your trading, you can withdraw the coins to your wallet connect application. They take ETH 0.002 (~$0.6) + gas fee and another gas fee for approval.
After I withdrawn the LRC that I have bought, I decided to stake it because I'm going to hold it anyway as a collection. The link to the staking pool can be found on your account menu. LRC is the Loopring protocol’s token. It can be staked by holders to earn protocol fees (a percentage of the volume flowing through all Loopring-based DEXes), and is staked by DEX owners as a bond for service-level guarantees.
If you are a programmer, you maybe interested in looking at the API. For example my friend is interested in making automatic trades (robots) based on his own indicator.