Matcha trading

What is a decentralized exchange and how it works?

Decentralized exchanges are those exchanges, the main difference and advantage of which is to work on the basis of a distributed ledger. Such companies are a kind of platform for users to search for new orders to sell or buy a cryptocurrency asset.

Such exchanges do not store user funds, do not collect personal data about them, and do not have servers - all work between participants takes place directly, using peer-to-peer data exchange.

At first glance, all cryptocurrency exchanges may seem very similar, and making a choice, especially if you are a beginner, can be quite difficult. In order to choose a truly decentralized company for yourself and not get confused by a large number of modern proposals, it is important to know how CEX differs from DEX:

• Centralized exchanges usually have their own manager. Such managers are entirely responsible for the activities of the exchanges, the state of the documentation and everything that happens on the service. Decentralized companies, in turn, have no control - here the work is monitored by the participants themselves, who are equal participants in the process.
• Centralized exchanges use servers for their work, on which all user information is stored, including data on transactions, profits and other working information. Decentralized companies use blockchain technology in their work, and unlike centralized counterparts, they are practically immune to hacker attacks or network freezes.
• The activities of decentralized companies are very ambiguously regulated by law. While centralized companies most often have formal registration and management, decentralized exchanges are not regulated everywhere. Singapore and the United States of America already have a regulatory framework for dealing with these companies, but many other countries still do not have such laws.

CEX and DEX have certain advantages and disadvantages. Here the choice depends on the preferences of the user, his goals and objectives.

When choosing a decentralized exchange, it is important to carefully study the rules for using the service; it will not be superfluous to read reviews of cryptocurrency bloggers and comments from real users.

What is Matcha?

With the rapid growth in the number of decentralized platforms, it has become difficult for many users to choose the most suitable platform. The choice can be facilitated by special platforms - liquidity aggregators.

These are platforms that collect liquidity from other exchanges and provide users with the best possible exchange rate. One such platform is Matcha.

Matcha is a DEX exchange and liquidity aggregator that brings together over 30 other exchanges.

Available assets

Most DEXs have a limited set of trading tools and functions. This is due to the peculiarity of their organization and construction. In this regard, CEX has undeniable advantages.

Matcha does not differ from other DEXs and also offers users a not very large set of trading instruments, more than 20.

Types of orders

To open a trade order, you need to go to the "Trade" section. Here you need to select the instruments for exchange, after which you can simply open an order for an exchange in one direction or the other.

Matcha regularly works on expanding its functionality and regularly adds new features. So, for some cryptocurrency pairs, limit orders became available. They can be exposed both indefinitely and for a specified period of time.

This somewhat expands the possibilities for exchange, but still the functionality is inferior to CEX.

Supported wallets

The advantage of DEX, including Matcha, is the very simple registration procedure. To do this, it is enough to connect a cryptocurrency wallet to the platform. The procedure takes no more than 1 minute and is completely confidential.

So far, the platform supports the following wallets:

• MetaMask.
• Coinbase Wallet.
• WalletConnect.
• Bitski.

Matcha fees

The platform is free, but users will have to pay some commissions when making trades. These are Ethereum gas fees and small fees for using the 0x protocol.

Matcha's features

Matcha offers clients more favorable conditions for exchanging cryptocurrencies by aggregating liquidity from other trading platforms. The platform sets prices on all connected exchanges (more than 30) and directs users' bids for the most advantageous offers.

Benefits of Matcha

Compared to CEX, Matcha has all the advantages of DEX platforms. It provides a higher level of anonymity and security.

Compared to other DEXs, Matcha boasts a more user-friendly interface. Even users who did not know what is Matcha before will be able to quickly figure out how the platform functions.

How to start trading on Matcha in Somalia?

How to trade on Matcha in Somalia? Very simple. Connect the wallet to the exchange and start trading.

To do this, you need to go to the "Trade" section or click on the icon of the most popular cryptocurrencies for exchange on the main page of the site. Next, you will be taken to the page where digital coins are exchanged. Everything is simple and clear there, even for a person who did not know what is Matcha before.

Connect wallet to Matcha

How to trade on Matcha? The first step is to connect a cryptocurrency wallet. This is done in two clicks. Click on the "Connect wallet" button and click on the icon of your wallet.

MetaMask

MetaMask is a popular cryptocurrency wallet that works as an extension for Firefox, Google Chrome and Brave browsers. Currently, the wallet is used by over 1 million people.

This wallet is supported by the Matcha platform. The connection takes place in a matter of seconds.

Coinbase Wallet

Coinbase Wallet is a standalone wallet developed by Coinbase. The application allows you to make financial transactions. Has a currency conversion calculator and a number of other useful features.

This wallet is supported by the Matcha platform. The connection takes place in a matter of seconds.

WalletConnect 

Wallet connect is an open protocol for connecting a mobile wallet to decentralized applications (Dapps).

Thanks to this protocol, you can work with DEX from your mobile phone or computer.

Wallet connect can be easily connected to Matcha with just one click.

Bitski

Bitski is another user-friendly web wallet that easily connects to the Matcha trading platform.

Find the trading pair to trade

Immediately after connecting the wallet, you can start exchanging tokens. To do this, you need to select the cryptocurrency pairs you are interested in. The selection of tools on Matcha is not the largest, but there are plenty to choose from.

In total, more than 20 coins are available for exchange.

Make a trade

The trading terminal is as simple and intuitive as possible. Choose the instruments of interest and the direction of exchange and click the "review order" button.

To place a limit order, you will need to enter additional parameters (price and time of placing the order).

Alternatives to Matcha

The Matcha platform is not alone in the liquidity aggregator niche. There are other platforms that have similar functionality.

In this regard, Matcha stands out for its clear interface and dynamic development.

Matcha FAQ:

Below we will break down the most frequently asked questions in order to better understand what is Matcha and how to trade on Matcha in Somalia.

DEX liquidity aggregators have not yet become widespread, so many users do not know why they need this platform and how to trade on Matcha.