In our latest Learn 101 livestream session, crypto experts shared insights on the shifting dynamics of the stablecoin ecosystem.

 are making a comeback, but this time, the competition is heating up. While 

 continues to dominate the market, a new wave of 

 is emerging, each with its own proposition. From institutional-backed tokens to 

, the race is on to determine which stablecoin will take the lead. What sets these newcomers apart — and could any of them realistically challenge USDT’s throne?

, we tackle the big question: Newcomers vs. USDT: Who Will Win?

, provides a recap of our Learn 101 livestreams, offering you comprehensive expertise and insights from leading figures in the crypto industry in case you miss the livestream.

Joining the livestream on Apr 24, 2025, were two distinguished guests: Paz Gonzalez, trader and founder of 

magazine, and Jip Molenaar, full-time trader and co-founder of Tribe Capital. Under the moderation of Sabrina Chua, Crypto Evangelist and Senior Content Strategist at Bybit, this episode takes a deep dive into the shifting dynamics of the stablecoin ecosystem.

Why the world is suddenly crazy about stablecoins

Stablecoins are once again making headlines — but what’s driving this renewed momentum? Several key developments have pushed stablecoins into the mainstream conversation, including Donald Trump’s recent proposal for a 

. According to Paz Gonzalez, these announcements signal a broader shift tied to the weakening influence of the US dollar. In times like these, stablecoins could gain mass adoption, giving governments a way to reassert monetary control through a digital proxy.

Jip Molenaar agrees with Gonzalez, adding that Bitcoin is unlikely to become the world’s primary currency, despite what many once believed. Instead, Molenaar sees Bitcoin’s future role as that of a store of value — 

 — while stablecoins will take on the role of everyday money, used for payments, bill settlements and daily transactions. 

, Molenaar argues, has helped bring digital assets into the political mainstream, making the concept of crypto usage more palatable to the general public than ever before.

Molenaar also shares his personal experience transitioning from euros to USDT, a process he describes as challenging and significant. Living in Europe, switching to a US dollar–pegged stablecoin wasn’t easy — and that’s precisely why he believes most users won’t readily jump to new alternatives. For many, USDT and 

Paz sees Fidelity’s entry into stablecoins as a bullish signal for the industry. As a well-established and trusted financial institution, Fidelity’s involvement could sway skeptics who have traditionally avoided crypto. Its participation brings credibility — and potentially, a new wave of adoption.

He also emphasizes that the legitimacy of any currency, fiat or crypto, depends upon being backed by a clear source of value. Historically, 

. For stablecoins to earn that trust, the same principle applies — they must be transparently backed. Today, more investors recognize that leading stablecoins are supported by reserves, and are subject to increasing regulatory oversight.

However, despite this progress, Molenaar remains cautious. He warns that another event like the 

 is still possible if stablecoins aren’t properly backed and transparently managed. Without clear support mechanisms, he believes trust will erode — and widespread adoption will stall.

USDT currently holds the largest market share among all stablecoins and is the most actively traded. Molenaar attributes this dominance to the convenience and wide acceptance of USDT across trading platforms. He points out that the infrastructure for USDT is already deeply entrenched in the crypto ecosystem, making it far easier to execute trades and move funds. Because of this strong foundation, he believes it will be extremely difficult for any competing stablecoin to unseat USDT.

Gonzalez agrees: while she personally holds some USDC, she says that when people ask her to send a stablecoin, it’s almost always USDT. Even though USDC has made efforts to challenge USDT’s dominance, Gonzalez doesn’t see that happening anytime soon — if ever. She also underscores the fact that stablecoins like USDT aren't meant to be investments in the way Bitcoin or altcoins are. Instead, they serve more practical purposes, facilitating transactions and providing stable on-chain alternatives to fiat.

Molenaar adds that older generations, particularly baby boomers, tend to wait until new markets are validated by trusted institutions before getting involved. With firms like Fidelity now backing crypto through 

 (ETFs) and exploring stablecoin adoption, that validation is underway. Because Fidelity has integrated USDT into its ecosystem, Molenaar believes that conservative investors will naturally gravitate toward it over less familiar alternatives.

Gonzalez also shares her approach to risk management. Rather than going all-in on one asset, she diversifies and experiments cautiously — allocating small amounts to new opportunities. 

, for example, is one method she uses to generate passive income while testing out new protocols or tokens.

When it comes to adoption, Gonzalez sees real-world use cases driving interest in stablecoins. She mentions the new Wyoming stablecoin, which offers local taxpayers a slight reduction on their annual tax bills. While its benefits may currently apply to a small group, she believes this kind of practical utility is crucial. To achieve broader adoption, stablecoins — including smaller, emerging ones — need meaningful use cases tied to local economies. 

Still, for global accessibility and widespread usage, she maintains that a well-established option such as USDT is essential.

Stablecoins and trading — what really matters to traders

Molenaar is all-in on USDT, choosing to avoid the risks that come with lesser-known stablecoins. For him, USDT offers the highest liquidity and the lowest risk, due to its widespread adoption. While he's open to switching if a new, dominant stablecoin emerges, he’s not willing to gamble on smaller or less established options at this time.

Gonzalez adds an important perspective: stablecoins don’t just enable transactions — they also reflect the health and movement of the broader crypto market. Since stablecoins support liquidity within cryptocurrency networks, their flows can signal shifts in underlying asset trends. Traders are beginning to pay more attention to this relationship.

While most stablecoins are backed by USD, some stablecoin creators are now exploring alternative pegs, such as gold. But for Gonzalez, the backing isn't the main concern: usability is. She prioritizes the ease with which a stablecoin can be used for trading. In her view, investors today care more about functionality and integration with platforms than the specific assets backing the coin. 

Molenaar agrees, adding that ease of use often comes down to habit — knowing the ins and outs of how to trade with a particular coin saves time and effort. He also points out that staking stablecoins typically yields higher returns than do traditional bank savings accounts. That’s one reason he keeps minimal funds in banks — in addition to his distrust of the traditional banking system. He prefers to let his funds work for him through stablecoin staking.

Gonzalez also sticks with USDT because of its simplicity and reliability. She takes a cautious, thoughtful approach to her finances, due to her awareness of how hard she works to earn her money. When trading with USDT, she invests time in researching opportunities. Therefore, she believes that having a deep understanding of stablecoins is crucial in order to make smart financial decisions.

Both Molenaar and Gonzalez highlight the importance of using a trusted platform when holding and trading stablecoins. Molenaar uses Bybit because he feels confident his funds are secure there, and Gonzalez echoes this sentiment — rather than spreading her assets across multiple exchanges, she sticks with Bybit for its reliability and trustworthiness.

This episode of Learn 101 offers a thought-provoking look at the battle between emerging stablecoins and the reigning stablecoin leader, USDT. While newer stablecoins may bring niche advantages and localized utility, USDT’s deep liquidity, global reach and entrenched usage continue to give it a clear edge. For now, USDT remains the go-to choice. But as the ecosystem continues to evolve, the race is far from over.

Intermediate

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Learn Live ICYMI: Can the upcoming stablecoins beat USDT?

Bybit Megadrop is a token launch platform that lets users earn free airdrops by subscribing to Fixed-Term Bybit Savings plans and completing simple tasks.

The crypto world never sleeps — and neither do opportunities to earn. One of the most exciting ways to get in early on promising projects is through token launches, whereby new cryptocurrencies are introduced to the market. Traditionally, early participation comes with barriers: you might need to stake, trade heavily or rely on luck in oversubscribed launchpads.

Bybit Megadrop changes the game by offering a more rewarding and accessible way to earn free tokens before they hit the market — all while growing your savings.

In this article, we’ll explain what Bybit Megadrop is, how it works, the benefits of joining, how to participate and whether it’s the right fit for your crypto strategy.

 is a token launch platform that lets users earn free 

 by subscribing to Fixed-Term Bybit Savings plans and completing simple tasks.

This new platform integrates Bybit Earn with early-stage 

 projects, giving users exclusive access to rewards before tokens go live on the Bybit Spot market. Think of it as a smarter, more educational and risk-free way to “airdrop farm” — but with real structure and substance.

Bybit Megadrop combines savings, learning and rewards into a unified experience. Here's how the flow works.

1. Subscribe to a Fixed-Term Bybit Savings plan

To participate, users must first subscribe to a Fixed-Term Bybit Savings plan using eligible tokens specified on the event page. These tokens could include MNT, USDT, USDC or BBSOL. This isn't just a gateway to Megadrop — it's also a way to grow your holdings. While your funds are locked for a fixed period, you earn interest through Bybit Earn.

This subscription acts as your entry ticket to Megadrop.

Once you’ve subscribed, you’re entitled to a portion of the airdrop rewards from the featured token’s project. These airdrops are typically distributed before the token is publicly listed on Bybit, giving you early exposure and the potential for upside if the token gains traction post-listing.

The amount of airdrop you receive depends upon your subscription amount, the total amount subscribed by all participants and whether you complete additional side tasks.

Please note that you will need to claim your airdrop rewards manually once the event ends.

3. Complete side tasks for bonus airdrops

To boost your airdrop share, you can complete optional side tasks. These tasks are simple, and are meant to educate users about the project and keep them engaged on the Bybit platform. Examples include:

Completing more tasks will grant you more points, which essentially results in a larger share of the token airdrop pool.

Bybit Megadrop isn’t just another airdrop campaign — it’s a win-win experience for users looking to maximize value with minimal risk.

The best thing about Bybit Megadrop is that when you subscribe to a Fixed-Term Bybit Savings plan, you don’t just earn the plan's regular APR — you also get free airdrop tokens. It's passive income layered with passive rewards.

Taking part in Bybit Megadrop will enable you to obtain tokens before they hit the Spot market, which could offer potential upside if the token rallies post-listing.

The barrier to entry is low, and there’s no need to buy or stake new tokens. You simply use what you already have in savings, and get rewarded on top of your fixed return — with no strings attached.

Looking to upsize your earnings? Simply complete more side tasks to earn more points. This way, you’ll be able to increase your chance of getting more tokens airdropped to your account.

Now that you have a better understanding of what Bybit Megadrop is, let’s explore how you can get started. If you don’t already have a Bybit account, you’ll need to create one. You can also check out our 

: Log in to your Bybit account and hover your cursor over the 

Select the event you would like to participate in. You will then need to subscribe to a Fixed-Term Savings plan on Bybit Earn to accumulate points. The eligible plans will be listed under the corresponding project on the Megadrop page. 

You may also complete tasks with point multipliers to earn points faster.

Once the event ends, the airdrop you receive will be based on your share of points earned in each pool.

Bybit Megadrop is designed for all types of crypto users, from beginners to veterans, and offers a compelling, low-risk way to access new token launches.

If you're someone who’s already using Bybit Earn, then Bybit Megadrop is a natural next step. It enhances the value of your fixed-term savings by layering on free token airdrops from promising web3 projects. You get to earn both APR and tokens, without having to take on additional investment risk.

Even if you’re new to Bybit, Megadrop makes participating in token launches easier and more rewarding. There’s no need to buy new or volatile assets — just deposit what you already have into a Fixed-Term Savings plan. That’s it — and you’re now eligible for airdrops.

For users who enjoy completing tasks or learning about new projects, the optional side missions are a fun way to earn additional tokens while becoming more familiar with the web3 ecosystem. If you're a retail user looking to stretch your capital, these tasks give you a chance to unlock a much larger share of rewards.

In short, if you're looking for a safe, flexible and engaging way to access new tokens early (without spending more or risking your funds), then you’ll absolutely want to consider joining Bybit Megadrop.

Bybit Megadrop combines the best of both worlds: steady earnings from savings and exciting token rewards from new projects. It’s a win for long-term holders, risk-averse users and web3 explorers alike.

Ready to try it? Subscribe, complete a few tasks and claim your share of the next big token — before anyone else!

Beginner

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Bybit Megadrop: A smarter way to earn airdrops from new tokens

Tezos’ Rio upgrade enhances staking flexibility, speeds up operations 3x, and allocates 10% rewards to boost L2 adoption via the Data Availability Layer (DAL). 

The S&P 500 futures rose after news of US-China trade talks, rebounding from Tuesday’s 0.77% decline as investors await the Fed’s rate decision and Powell’s guidance. Gold climbed above $3,400, buoyed by a weaker US dollar and risk-off sentiment, and is technically bullish with momentum targeting a retest of the $3,500 record high ahead of the Fed’s policy decision. The Coindesk Indices, which tracks the broader crypto market, rose 1.64%, with Bitcoin up 0.69% and Ether down 1.87%, in the past 24 hours. Trade these markets and more with up to 500x leverage on Bybit MT5 using this 

Today's top performer is KAITO, which surged 39.2% after Kaito AI announced $71M in distributed rewards and unveiled upcoming products.

Kaito (KAITO), founded in 2022, is a $1,099/month AI-powered crypto search engine that aggregates data from web3 sources like Twitter, Discord, and forums, using advanced AI to deliver context-rich, sentiment-filtered insights. Kaito AI has 

 over $71M in rewards to users within 5 months of launching Yaps, excluding the upcoming $KAITO airdrop, with more products like Kaito Earn, Connect v2, and Capital Launchpad on the way.

Check out the latest prices, charts, and data of 

 upgrade enhances staking flexibility, speeds up operations 3x, and allocates 10% rewards to boost L2 adoption via the Data Availability Layer (DAL). It reduces staking cycle times from 3 days to 1, tightens baker inactivity rules for better network resili`ence, and strengthens Tezos’ position for L2 scalability and user experience improvements.

Yesterday, BTC spot ETFs saw total outflows of $122.4M, with $89.9M from GBTC and $32.5M from non-GBTC funds.

, a decentralized bandwidth marketplace, launched its node for users to earn points and qualify for a future airdrop by sharing unused internet. Users can run a free node, earn 1 point every 10 minutes, and boost earnings via quests and referral codes.

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Tezos Rio upgrade boosts staking speed and L2 incentives with improved network resilience

In this article, we’ll look into Bybit Pay, how it works and provide you with a step-by-step guide to sending and receiving payments on Bybit Pay.

 is a next-generation payment solution that enables users to send and receive crypto or fiat with just a few taps via QR code or internal transfer. Whether you're settling bills, splitting payments with friends or running a global business, Bybit Pay simplifies cross-border transactions within a secure and intuitive environment.

In this article, we’ll walk you through Bybit Pay, show you how it works and provide you with a step-by-step guide to sending and receiving payments on Bybit Pay.

 is a powerful payment service designed to connect your crypto wallet to real-world financial needs. Whether you're sending money to friends or making payments to merchants, Bybit Pay allows seamless transactions conducted in both crypto and fiat — all from within the Bybit platform.

Its mission is to bridge the gap between digital assets and traditional finance by enabling users to spend their crypto effortlessly, just like they do with cash. With support for currencies like BTC, ETH and USDT (and even fiat such as BRL), Bybit Pay turns your crypto into a practical tool for everyday payments.

Bybit Pay makes it easier than ever to use your crypto. Whether you're paying online, transferring funds to a friend or scanning a QR code in-store, Bybit Pay supports seamless payments in both crypto and fiat funds.

Bybit Pay simplifies spending both locally and globally.

Bybit Pay operates through two main methods: QR code payments and internal transfers. Users can scan a QR code to pay merchants or friends, or send funds directly using a phone number, email or Bybit UID. It supports both crypto and fiat, with seamless access via the Bybit app or website.

: While the Bybit Card functions like a debit card for in-store purchases, Bybit Pay enables direct wallet-to-wallet transfers and merchant payments, without any need for physical hardware. It’s faster, flexible and perfect for global digital transactions.

How to send crypto and fiat with Bybit Pay

Bybit Pay makes it easy to send crypto or fiat to other users or merchants. You can pay by scanning a QR code, or via internal transfer using a phone number, email or UID.

2. Choose your payment method, and enter the recipient’s email, phone number or Bybit UID.

Enter the amount you wish to send. Tap on the 

 to convert from fiat to crypto, if needed. Add a note (optional), avoiding special characters.

5. Review the details, and confirm your payment after completing two-factor authentication (2FA).

Once your funds are sent, your payment history is viewable at the bottom of the Bybit Pay screen or by tapping on the 

Bybit Pay makes sending crypto as easy as sending a message.

How to receive crypto and fiat on Bybit Pay

Receiving payments on Bybit Pay is simple and flexible. Users can receive crypto or fiat via either internal transfer or QR code, depending upon the sender’s preference.

The sender can use any of these details to transfer funds directly from their Bybit Pay interface.

Bybit Pay makes receiving crypto fast, flexible and borderless. The following is a step-by-step guide for requesting a payment using a personalized QR code — right from the Bybit app.

. This opens your personalized payment interface.

 to enter a fiat amount, and the amount will automatically convert to crypto.

: Your QR code updates in real time in order to reflect the specified details. Simply show it on-screen or use the 

: After the sender has completed the transfer, go to 

 to confirm receipt and track incoming funds.

Bybit Pay bridges crypto and traditional finance, offering seamless, secure and instant payments — all from one place. Whether you're sending or receiving crypto, or spending it globally, it’s never been easier to do. 

 today to experience secure, borderless crypto and fiat payments — right from your app or browser.

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How to send and receive payment using Bybit Pay

DeFi

Decentralized exchanges are being touted as the 'next big thing' in the DeFi space. Read all about how they work here.

DEX.jpeg

 makes it possible to exchange assets of value on a peer-to-peer basis without relying on any centralized entity to govern the transaction. But when it comes to purchasing and exchanging crypto assets, users still tend to favor centralized platforms.

Decentralized exchanges (DEXs) are, however, gaining in popularity. Yet, just like anything else, DEXs have their pros and cons. In this article, we will talk about DEXs and compare them to their centralized alternatives. Let’s first, though, look at decentralized finance (

Traditional financial institutions imply control of a single, central source. DeFi stands for “decentralized finance,” a collective term for various financial applications, products and services that don’t need intermediaries like banks, credit units or insurance funds. 

While all these intermediaries were indeed useful in the past, helping different parties conduct deals and providing the security of their funds, the traditional systems of finance have lost the trust of the public over time — for various reasons. 

DeFi systems, on the contrary, do not need the superstructure of third parties because they are automated and run on the blockchain. Thanks to 

, it’s become possible to set up agreements that are fulfilled automatically. This means cheaper transfers, low-cost transactions and investments, and more efficient access to the funds for all participants. 

, as the whole crypto ecosystem would not be possible without decentralized means of payment. With the growth of interest in the field, the number of tradable coins and tokens increases as well, having started with 

Not every project can handle the fees imposed by centralized exchanges to provide their users with easy access to their native tokens. As a result, the demand for decentralized exchanges has grown as well.

Decentralized exchanges (or DEXs) are cryptocurrency exchanges that don’t require the services of third parties for operations with crypto assets. Thus, they allow traders to conduct deals directly with each other. Their functions are similar to those of traditional centralized platforms, but in contrast to them, DEXs provide a direct peer-to-peer trading mechanism based on smart contract execution.

Such a type of trading presupposes that all the participants in the deal keep control over their digital assets and private keys, with no necessity to pass them to any intermediary or custodian. In other words, DEXs function as platforms for users to search for matches on their buy and sell orders, without a central authority responsible for asset storage and swapping.

As the idea of creating such platforms was put to practice in 2013–2014, it isn’t easy to define which platform became the pioneer in this field, since different resources give different names. 

Today, numerous decentralized exchanges with different functions can be easily found on the web. GitHub alone lists over 250 fully operational DEXs at the time of writing. The most popular examples include 

, Compound, Curve Finance, 1inch Exchange and PancakeSwap.

It’s worth mentioning, though, that in reality, many online exchanges calling themselves decentralized are not absolutely decentralized. They use their own servers to store the trading data, though they don’t have access to users’ private keys.

DEXs perform similarly to their centralized counterparts in some ways but are different in others. There are several types of DEXs available to users, but the main feature that is common to all of them is that orders are executed on-chain. Some DEXs offer cross-chain token sales (e.g., AnySwap), but usually they are focused on a single blockchain (e.g., 

 or Binance Chain). There can be three differentiated basic categories of DEXs: on-chain order books, off-chain order books, and automated market makers. 

 implies that each order and each transaction is recorded on the blockchain. This requires lots of network nodes and hence seems rather impractical, as operations often cannot be performed in real time.

As for off-chain order books, such DEXs cannot be called entirely decentralized as records of transactions are carried out of blockchain, which may require the third party to be involved. Some specialists call such exchanges hybrid, since they combine the functions of centralized and decentralized exchanges.

These are protocols that provide liquidity to specific markets through automated algorithmic trading. This model doesn’t require any order book.

In fact, most DEX servers still host order books, but they don’t keep private keys. 

The purposes of decentralized and centralized exchanges are the same: they give access to high-quality financial tools and services for any person who requires them (and has a connection to the internet). The main difference between them is in the form of management.

The centralized exchanges are managed by a definite organization or individual who is responsible for the protection of the users’ personal data and funds. These entities have absolute control over the exchange and make decisions on the exchange’s functions and development themselves.

The decentralized platforms are managed in an automated manner, and their participants are often involved in the process of decision-making. These exchanges provide the technical possibility for the direct interaction of the participants and voting for or against important proposals.

Currently, a centralized model is dominant. As has already been mentioned above, the number of decentralized exchanges is over 250, while the number of their centralized counterparts exceeds several thousand. 

 reports that by the end of 2020, only 19% of all trading platforms are decentralized, while trading volumes provided by these platforms make up around 1%. DEXs are still in the early development stage, but they undoubtedly implement an innovative concept that is demanded by cryptocurrency markets.

No doubt, DEXs have been a breath of fresh air to the world of online exchanges, but they have both advantages and disadvantages. 

Most of such platforms’ strong points result from their distributed architecture and the absence of a single management center. Here are some of the key advantages that they provide:

Decentralized exchanges provide complete anonymity for their users. In the majority of cases, they don’t require any form of sign-up process. That is why no personal data is collected. Investors don’t have to pass KYC and AML compliance procedures or other identity checks. 

There are some legal requirements that cannot be neglected by central authorities, but they don’t work in the case of a truly decentralized platform. Of course, the legislative system will adapt to this kind of exchange with time, but now, thanks to DEXs, it is possible to trade in a completely anonymous manner.

Perhaps the biggest problem with centralized exchanges is the risk of being hacked, as the central storage of users’ funds turns into a honeypot for any attacker that manages to get through. The news about hacking attacks on popular platforms shows up in the media regularly, despite all the security measures put in place.

This results from the custodial nature of centralized exchanges, which means that they hold their investors’ assets themselves. Decentralized exchanges, on the other hand, are noncustodial. They allow users to integrate directly with their wallets. There is no single access point to all the assets and users’ data. This makes hacking more difficult and less profitable because an attacker would have to break into every individual account, instead of stealing from a central hub.

DEXs have no access to users’ funds, which not only lowers the risks of hacking attacks, but also lessens interference from the third parties, either from the management of the exchange or the local authorities. The funds will not be frozen, the withdrawals will not be delayed or denied, and the exchange will not be blocked by legislative authorities.

The absence of third parties makes the transactions much cheaper, compared to their centralized counterparts. While centralized exchanges usually impose taker and maker fees, with DEXs users only have to pay a network fee.

Thus, decentralized exchanges provide users with a much cheaper and safer solution, compared to their centralized alternatives. However, there is another side of the coin as well (so to speak). What about the downsides?

The same peculiarities of the decentralized exchanges’ architecture and full users’ control that result in the advantages mentioned above lead to a number of disadvantages and problems.

Many trading options such as stop losses, margin trading, technical analysis tools and lending are not available on the most decentralized exchanges. To begin trading, it is necessary to become familiar with browser extensions and smart contracts — and the interfaces are often not user-friendly. Decentralized platforms rarely support fiat currencies, and the process of depositing funds may turn out to be rather confusing and complicated.

Decentralized exchanges struggle with liquidity. They support diverse trading pairs, while the number of users is much lower. Their liquidity mainly depends on the number of participants actively trading on the platform, which makes things more complicated since centralized exchanges remain more popular these days.

The distribution of blockchain nodes means low throughput. Centralized platforms demonstrate higher indices because they have centralized servers. That is why the average order execution of centralized cryptocurrency exchanges is much faster. Slower performance on DEXs may lead to so-called “price slippage” when a transaction cannot be executed, due to changes in the prices of the cryptocurrencies that are swapped.

DEXs don’t have customer support that is able to influence the transactions or the users’ accounts. If anything goes amiss, users will have nob one to assist them.

Despite these obstacles, DEXs are still much more reliable and safer when compared to centralized platforms. Moreover, they are a much better fit for experienced users who understand the risks and are ready to take responsibility for their activities there.

The rapid growth of decentralized exchanges has turned out to be a challenge for market regulators, and has raised new legal issues. The status of DEXs is ambiguous because some of their features, like anonymity, contradict some requirements of  applicable legislation.

Different countries try to solve this problem in different ways. The US makes efforts to apply the existing legal basis, while the authorities of Singapore strive to create a new regulatory system for such exchanges. Nonetheless, there is no unequivocal position on DEXs in these countries, while  still others don’t regulate such platforms at all.

One of the main difficulties connected with the regulation of decentralized exchanges is that in most cases, they are not controlled by a definite legal entity or person. This leads to problems with the definition of a responsible person if violations are found. There can be considerable difficulties with regard to the regulation, per se, of trading activities. That is why it is impossible to apply measures and rules to them that are applicable to centralized exchanges.

DEXs resolve most of the issues that centralized platforms struggle with, as they provide users with a much more secure solution to exchange their funds. The recent introduction of Uniswap technology has made it possible to quickly switch ERC-20 tokens, and has pushed the use of decentralized exchanges to new heights.

However, their popularity is still way lower while the legalization questions remain unsolved. DEXs definitely have lots of potential, but they still have a long way to go before they go mainstream.

What Are Decentralized Exchanges (DEXs) and How Do They Work?

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