Automating The DEX Order Execution Process Is The Next Frontier In DeFi
Engaging with decentralized exchanges instills a feeling of empowerment. Users can interface with smart contracts directly, removing the need for accounts and third parties taking custody over funds. Automating the order execution across decentralized exchanges is the next frontier to explore.
What we are going to learn?
DEX Order Execution Can Use An Upgrade
Anyone who has ever interfaced with a decentralized exchange will acknowledge that these experiences need some work. The interfaces are not always as user-friendly as a centralized trading platform. Moreover, users often find themselves searching for specific tokens accessible on DEXes, even if the interface may not yield any search results right away.
All of the above is the downside of dealing with smart contracts and clunky interfaces. It also makes the concept of DEX order execution a bit more problematic, as one would need coding skills to maximize the opportunities across decentralized exchanges. Unfortunately, most people will not be interested in coding a bot, forcing them to rely on centralized exchanges that may not carry the coin they want or spending hours looking at DEXes to perform a few trades.
If the mainstream is to be brought into the crypto world, something will need to change. DEX Order execution is functional in its current form, but it is not necessarily appealing to those who are not involved in cryptocurrency today. The system needs to expand and improve, and automation can play a crucial role in these proceedings. Rather than trusting a third-party trading bit, there are other solutions out there to achieve this goal.
Automating DEX Order Execution Is Key
The automation of DEX order execution can introduce many benefits. It is not just for those already entrenched in cryptocurrency, but it can also entice more people to explore what this industry offers today. However, that will only be possible if the cost of automation is on par with its efficiency. Autonomy Network is on the right track to make this possible through its AutoSwap service.
For those unaware, AutoSwap is the first solution to bring limit orders and stop losses to PancakeSwap. The AutoSwap solution runs on Autonomy Network and provides these order types – along with impermanent loss protection and recurring payment features – to decentralized exchanges, soon the Binance Smart Chain. In addition, AutoSwap will support Ethereum, Avalanche, Polygon, Solana, and other networks in future iterations.
Implementing AutoSwap will help bring centralized exchange features to the DeFi industry. Users will enjoy better risk management and a chance to boost their returns without having to look at charts all day. Autonomy’s technology lets traders automate orders and other trading processes to run 24/7. DeFi enthusiasts can set up arbitrary actions to be triggered under any condition without compromising decentralization.
Leading DEXes across various blockchains have shown an interest in Autonomy and how it can help automate DEX order execution. In addition, as decentralized platforms continue to note strong trading volume increases month over month, the lack of limit orders, stop losses, and impermanent loss protection becomes a topic of debate. With Autonomy, those solutions will be decentralized, further empowering users.
The addition of AutoSwap to PancakeSwap is an exciting development. It is one of the top decentralized exchanges on the market today. Its users can benefit from the new order types and impermanent loss protection, enhancing the overall trading experience when dealing with tokens on the Binance Smart Chain. A successful run on this platform and other DEXes on BSC will bring more attention to what Autonomy is capable of.
Moreover, the rollout of these features across other prominent blockchains is something to look forward to. SokuSwap has integrated the solution, and Pangolin will experiment with these new features on Avalanche. It is now up to Sushiswap and Uniswap to implement this technology and provide its users with optimal automated DEX order execution.