The growth of bitcoin and altcoins is attracting new investors, however, due to forced verification on top exchanges, many people prefer to use crypto exchangers.
The number of exchangers has grown rapidly in the last few years and as of the end of 2021, there are hundreds of services for exchanging cryptocurrencies for fiat, or vice versa. And it is they who, like no one else, will tell market newcomers about the advantages of exchangers over exchanges.
The main problem of crypto exchanges
First of all, beginners have the need to register on a crypto exchange, but right at the start, many are didn’t satisfied with the mandatory account verification. So yes, the provision of documents and selfie photos is a mandatory requirement of exchanges, which actually creates a barrier for ordinary investors. That is, already at the first stage of interaction with clients, the exchange cuts off potential investors. However, most investors pass verification and do not see anything wrong with it.
Why should you use exchangers?
Crypto exchanges are becoming popular due to their ease of use and lack of user verification. It is to them that investors have more confidence than to exchanges, primarily because of anonymity, speed of work, and in some cases, benefits.
Despite the rapid development of trading terminals and exchanges in general, people are more comfortable exchanging cryptocurrencies where there are fresh reviews and ratings. Now anyone can go to the monitoring of best change exchangers, choose a direction, click on the exchanger and make the exchange directly. It is also important to leave a review about the exchanger so that the next cryptocurrency holders understand whether it is worth dealing with it or not.
Our recommendations for using crypto exchanges:
- Always read the latest reviews on both best change and the exchanger itself
- Avoid exchangers that require scans of documents for exchange
- Pay attention to the commission is charging (it has included in the cryptocurrency rate or charged separately)
- If there are complaints about the work of the exchanger in the reviews, it is better not to use this one.
- Large reserves are always important (they indicate the seriousness of the service)
Cosmos Blockchain DeFi Exchange Review
DeFi projects scare away many crypto investors with a complicated interface and high commissions on the Ethereum network. However, the DeFi sector is developing and not so long ago, an interesting Osmosis project appeared, the main goal of which is to facilitate asset trading and the supply of liquidity.
What is Osmosis? What are its distinguishing features? Should You Use Osmosis? The answers are in our review!
What is Osmosis (OSMO)
Osmosis is a decentralized exchange and it is supported by the Cosmos which allows you to trade in assets and staking, conduct exchanges, supply liquidity to pools, etc. The Cosmos blockchain gad chose for reasons of good scalability, low fees, and high speed. Unlike Ethereum-based Defi exchanges, Osmosis allows you to exchange assets almost instantly, and the commission on operations is very meager.
Like many other exchanges, Osmosis has its own OSMO token, distributed to Osmosis active users through liquidity mining, airdrops, and a trading interface. OSMO token holders can earn passive income through staking for a certain period of time.
Since Osmosis came into power by the Cosmos, the exchange supports assets created on this blockchain-like ION, DVPN, IRIS, XPRT, and dozens of others. The commissions always come in the OSMO tokens exclusively.
Consider the distinctive features of the Osmosis exchange:
- The largest exchange based on Cosmos
- The extremely simple user interface, available in English
- Support for multiple liquidity pools
- Ability to arbitrage tokens Support for staking and swaps with low fees
- Portfolio monitoring tool
- Swap fees have formed by the liquidity providers
- Support for seven fiat currencies, including the US dollar, euro.
How to use Osmosis?
In order to make a deposit, the user must have a Kepler wallet (as a browser extension in Google Chrome). The only wallet supported for transactions on Osmosis.
After connecting the wallet, go to the tab on the right “Asset”, which will list all the assets available for trading or staking. Fortunately, Osmosis does not have its own wallet, which makes the project truly decentralized, anonymous, and secure.
Liquidity supply. Users can add liquidity to the pool and earn fees for pool swaps (around 0.3% on average) and LP tokens.
Osmosis allows other projects to add incentive mechanisms to pools. For example, if the Cosmos Hub community pool wants to incentivize liquidity for an ATOM-stablecoin pair. It can distribute ATOM rewards using the Osmosis reward system. To add liquidity to the pool, you need to decide on the pool, then click on “Add liquidity” at the top of Osmosis and that’s it.
Staking tokens. It is only available through the Keplr wallet, as are project management votes.
Briefly about the exchange token OSMO
The OSMO tokenomics is as follows: The total issue is 100 million OSMO with the ability to issue new promotional coins.
Staking Reward: 25%
Team: 25%
Liquidity Reward: 45%
Total Pool: 5%
Notably, the OSMO is not a token as supported by any centralized exchange so, you can only buy it on Osmosis.
Summing up
Osmosis is positioned as the first successful exchange based on Cosmos. Its main advantage is 100% uptime and its growing popularity in the DeFi sector. In addition, Osmosis can be considered as a project for short-term investments. But it is definitely not suitable for long-term investments due to the significant risks of liquidity mining, DeFi, etc.
