In Brief<\/p>\n
Loopring Exchange, a decentralized exchange that doesnt force users to relinquish control over their funds, launched a public beta today on the Ethereum mainnet with four trading pairs. It claims to be the first publicly Ethereum-based DEX that uses a technology called zkRollup, as well as cheap and fast.<\/p>\n
Decentralized exchanges, unlike centralized exchanges, dont hold user funds in wallets owned by the exchanges, and arent owned by a centralized party. Recall how hackers can steal funds from exchanges, or how exchanges sometimes run away with customer funds? Decentralized exchanges, at least in theory, avoid those vulnerabilities. Sometimes.<\/p>\n
Loopring also doesnt ask for any identifying information from its customersapart from an Ethereum addresskeeping things anonymous.<\/p>\n
But most decentralized exchanges are expensive and slow. Loopring promises to be none of these.<\/p>\n
In part, thats because it uses zkRollup, a technology that allows hundreds of transactions on the Ethereum blockchain to be rolled-up into a single transaction. It sits on top of Ethereum, and means that the network can run faster and smootherno more bottlenecks, which occur when the network gets too full.<\/p>\n
The zk part stands for zero-knowledge proof, another way of making things quicker. According to an explainer on the matter on EthHub, zero knowledge reduces the amount of information contained in a transaction, saving on computing and storage resources.<\/p>\n
Looprings not overpromising just yet: we admit that the current implementation is far from being perfect at the UX level, wrote Daniel Wang, Founder of the Loopring Foundation in a blog post today. It takes up to two weeks to process deposits and withdrawals, its relayer is still quite centralized, and the beta only supports one million users.<\/p>\n
Wang will have to scale his own, uh, scaling solution, for the project to succeed. We are not thrilled it is not designed for the masses just yet, he wrote.<\/p>\n
In the past few weeks, DeFi, the catch-all term for decentralized financial solutions like what Loopring is offering, has had a terrible time. With a series of daring hacks, and increasing noise around the over-centralization of DeFi solutions, Wang has his work cut out.<\/p>\n
Have a news tip or inside information on a crypto, blockchain, or Web3 project? Email us at: tips@decrypt.co<\/a>.<\/p>\n <\/p>\n See original here: <\/p>\n A supercharged DEX launches on Ethereum - Decrypt<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" In Brief Loopring Exchange, a decentralized exchange that doesnt force users to relinquish control over their funds, launched a public beta today on the Ethereum mainnet with four trading pairs. It claims to be the first publicly Ethereum-based DEX that uses a technology called zkRollup, as well as cheap and fast. Decentralized exchanges, unlike centralized exchanges, dont hold user funds in wallets owned by the exchanges, and arent owned by a centralized party Continue reading