The decentralized finance (DeFi) ecosystem is growing rapidly. While there are still certain challenges such as ensuring robust security and improving user experience, the cryptocurrency sector really has come a long way, especially in the past 5-6 years. The fast-evolving crypto space is gaining many new traders and eager investors despite challenges such as finding the most competitive digital currency prices and adequate liquidity. Many traders are looking to carry out seamless trades across the wide range of DeFi platforms operating in the blockchain ecosystem.
In order to address these requirements, virtual currency traders are beginning to show a noticeable interest in crypto exchange aggregators like RocketX, which offers an intuitive interface to gain access to major trading venues and the option to exchange digital tokens across them in a frictionless manner. The key benefit of such services is that crypto traders are able to take advantage of the most competitive prices while having adequate liquidity to perform transactions.
DeFi Still Quite Challenging to Navigate for Most Traders
Trading and investing via DeFi platforms is gaining traction with increased crypto adoption and usability. However, this space remains a significant challenge for most digital currency traders. Although the decentralized finance space has grown considerably, it does have several problems that need to be addressed before we can expect mainstream adoption.
A key obstacle to overcome is the relatively fragmented state of the DeFi sector, in which there are various exchange services and apps that are not well connected. That’s because DeFi platforms might have been launched on different types of blockchain networks, which means these separate chains can’t interact with each other in a seamless manner. This problem is significant since it can lead to limited liquidity and/or it becomes harder to complete trades because there’s no single, large liquidity pool.
Another issue arises when decentralized exchange (DEX) services do not have enough liquidity, especially when compared to centralized (CEX) platforms. Due to these shortcomings, crypto traders are unable to get the best prices for carrying out their trades.
Another major drawback is the user experience (UX), with DeFi platforms often having a highly complex/technical user-interface that can be quite confusing to work with. Due to these issues, clients end up having to interact with decentralized applications (dApps) that are not very user-friendly.
These experiences can be quite frustrating for traders/investors who have become comfortable with the intuitive experience provided by more robust CEXes. Not only can DeFi apps be too technical for many users, there are also a lot of complicated concepts that need to be learned before traders can expect to become proficient.
The current lack of liquidity as well as the complex user interfaces leads to challenging experiences, with clients often finding it difficult to reliably complete transfers. It can also be hard to access crypto tokens required for traders and tracking digital assets across different platforms can be confusing as well. Due to all these challenges, virtual currency aggregators are being used as a reliable alternative.
Centralized Exchanges Pose Significant Challenges for Traders
CEXes or centralized platforms have their challenges as well, with the most obvious problem being their centralized design. Digital asset firms like Binance, Coinbase, Kraken, Gemini, OKX, and OkCoin maintain complete control of their clients’ assets and even their private data. In addition, CEX clients are not in control of their private keys, which essentially means that they have no choice but to place their trust in a platform.
They need to trust the service provider enough that they must be able to withdraw their money whenever they issue a withdrawal request. However, this has proven to be quite problematic in many cases, as the entire crypto space unpleasantly found out with the spectacular demise of FTX. Before it went down, FTX was one of the largest crypto exchanges in terms of scope of operations and trading volume.
Moreover, other problems with CEXs include having to deal with unpredictable downtimes because of technical difficulties and/or failures. It’s also possible that authorities order service providers to suspend their business. One other issue is the relatively limited number of crypto tokens listed by CEXes, and inadequate transparency stemming from their centralized services.
The Emergence Of Exchange Aggregators
With DEXes and CEXes having their drawbacks, experienced crypto-asset traders are now working with aggregators to enhance their trading experience. The majority of these platforms tend to limit their focus on a particular type of exchange, which just means they are typically a DEX or a CEX aggregator.
Decentralized exchange aggregators have no centralized entity or authority that oversees the transactions being completed. A few good examples of major DEX aggregators include 1inch, CrowdSwap, and OpenOcean (among others). These platforms are able to link to several different DEX platforms, thus bringing together the liquidity on each into a single, larger, consolidated pool.
In addition to these capabilities, they aggregate their order books. After this, they examine the smart contract data from different platforms in real-time. They also help with facilitating clients’ trades via the most ideal channel, a practice that’s commonly referred to as best or optimal price routing.
Meanwhile, CEX aggregators perform similar functions and they offer a way for clients to interact with centralized exchanges without users depositing their assets with them. But these platforms are quite limited due to the relatively few digital tokens listed for trading.
Notably, CEX aggregators provide access to enhanced liquidity, meanwhile, DEX aggregators aim to offer the greatest number of options for traders with their large numbers of listed tokens. However, for the best of both services, traders may consider accessing a hybrid aggregator.
Hybrid Aggregator Experiencing Increased Usage
This happens to be where RocketX plans to make a major impact, with its service aggregating over 250 CEX and DEX platforms into one accessible portal which lets users work with a seamless user interface/API. RocketX is described as one of the crypto sector’s largest “super-aggregators.” The service aims to lead the way for users who want to easily access the entire cryptocurrency market from a single interface, while taking advantage of the most competitive prices being quoted in real time.
Since it covers a relatively large number of exchanges while supporting major blockchain or distributed ledger technology networks, RocketX provides access to over 15,000 digital tokens. It’s also non-custodial, meaning that clients are able to maintain control of their assets when trading via CEX and DEX platforms.
Another key function allows traders to connect several different wallets, enabling them to exchange tokens between them with low swapping charges. Additionally, interoperability across multiple chains is possible with just a simple click, which means that clients may trade tokens across different chains at the most reasonable prices. It also offers features which enable clients to easily compare the price of different tokens via numerous CEXs and DEXs through a single interface. In addition to this, its price data is being updated in real-time.
Furthermore, the RVFScan.io tool available via RocketX allows traders to take advantage of advanced analytics and be able to track the performance of various crypto tokens. There is also an attractive referral and affiliate program for clients so that they can refer their friends and be rewarded with commissions of up to 50% of their transaction fees.
It’s worth noting that privacy is optional, with clients being able to trade within the daily limits of CEX platforms without having to complete KYC checks. For traders who are willing to undergo KYC checks, they may take advantage of unlimited trading experiences via any platform. As noted by RocketX, clients only have to complete its straightforward KYC check once and then they can gain access to all of the CEX platforms being supported.
RocketX’s utility token RVF offers a number of attractive benefits to its holders such as significantly lower fees – which is based on the number of tokens they are holding in their wallets.
According to its clients, one of the most appealing aspects about RocketX is its API, which allows developers to easily integrate its portal into third-party dApps. This allows them to provide an integrated and frictionless cross-chain trading experience at the most competitive prices, without users having to exit their dApp.
A Highly Intuitive Crypto Trading Experience
RocketX offers a secure and intuitive platform that enables clients to trade tokens effortlessly across multiple chains or protocols with just a few easy clicks. Traders also benefit from significantly lower gas fees and being able to identify the best rates available.
When interacting with a hybrid aggregator such as RocketX, there is no need to check or worth with several different CEXes and DEXes for the cheapest prices, which means traders are able to focus their attention on studying crypto market developments so they can carry out the best trades.