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The long-awaited zero-fee trading platform, StellarX has left its testing phase and become fully operational. The exchange, which is a full-featured trading app for Stellar’s universal marketplace is a decentralized network that makes the cross-asset transfer of value possible according to an announcement on the StellarX blog on September 28, 2018.
Asset Trading With a Difference
StellarX entered beta testing in July 2018. The launch announcement revealed that the exchange had gone live 24 hours ago.
Stellar aims at making the platform “the most popular place to trade on in the world.” The company claims to be the only exchange that allows completely free trading as opposed to legacy exchanges that charge fees per trade. Unlike a “free” custodial platform, like Robinhood, StellarX is quick to point out that it does not profit from its customers’ idle funds.
According to Stellar, decentralized exchanges (DEX) offer a more user-friendly experience, but platforms like Ethereum-based IDEX and EtherDelta require gas fees, which can be very expensive depending on the amount of congestion on the Ethereum network. Gas is the internal pricing for running a transaction on Ethereum and is directly proportional to the network congestion.
In the words of the development team:
“We take no fees and, even above that, we refund all network costs, something no other decentralized exchange can match.” Currently Stellar charges a fixed transaction fees for each transaction which is extremely low – 0.00001 XLM, roughly equivalent to $ 0.0000245.
Users Control their Assets
StellarX users will be the only one controlling their assets. The exchange has its fee, which is written out of agreements with deposit partners. The aim, according to Stellar is not to obtain a “cut,” but to fundamentally redefine how users around the world can move around assets.
The statement reads in part:
“Trades and orders are native to Stellar, not a layer that has to be superimposed via relayers and smart contracts. And Stellar’s consensus mechanism requires neither ‘work’ nor ‘stake’ — that is, it doesn’t use your capital to function. Thus, we don’t need your capital to function either.”
The team claims StellarX has a real fiat onramp, which is first ever for a decentralized platform. Any holder of a U.S bank account will also be able to deposit dollars directly into the application through Automated Clearing House (ACH).
StellarX supports Euro (EUR), Nigerian Naira (NGN), Philippine Pesos (PHP), Chinese Yuan (RMB), the British Pound (GBP), and Hong Kong Dollar (HKD). The exchange will support major cryptocurrencies such as Bitcoin (BTC) and Ethereum (ETH).