DEXter is a decentralized, non-custodial exchange (you and only you hold your private keys). DEXter is fully build on Tezos. In decentralized exchanges, you sell and receive straight from your own blockchain address. You don't need to transfer your coins to an exchange wallet first. You simply authorize a transaction straight on the blockchain from your wallet, to the receiver wallet. DEXes are the ideal solution for buying and trading crypto without the dependency on third parties.
DEXter was announced in July 2019, and has been in development ever since. DEXter was third party-audited Trail of Bits, and its smartcontracts have been formally verified by Nomadic Labs. DEXter can be used on desktop web browser and is integrated in the Magma mobile wallet which has been created by the makers of DEXter.
At this point, tzBTC and USDtz are the only two stable coins that are supported by DEXter, but more tokens will be added down the line. Support for Ledger Nano will be added soon too.
DEXter uses an automated marketmaker. This means it runs on liquidity that is added by people that join the market as liquidity provider. Anyone can be a liquidity provider and ad liquidity to the liquidity pool. Traders pay 0.3% fee for their trades and the fees will be divided among the liquidity providers. This is similar to other DEXes like Uniswap.
DEXter is on of the first components of DeFi on Tezos and will certainly not be the last. More updates on Tezos DeFi in the next few weeks.
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