US investors permitted
Counterparty DEX Review
A trading cryptocurrency guide must provide reviews of all of the top crypto exchanges out there, so that you can find the best cryptocurrency exchange site for you. This review of Counterparty DEX consists of four parts: general information, fees, deposit methods and security.
Counterparty claims to extend Bitcoin’s functionality by “writing in the margins” of regular Bitcoin transactions. This allegedly opens the door for innovation and advanced features not previously available with ordinary Bitcoin software.
According to Counterparty, the Counterparty protocol is open source and extensively tested. The exchange allows users to create and trade any kind of digital token. Furthermore, the exchange enables anyone to write Smart Contracts and execute them on the Bitcoin blockchain. By using Bitcoin’s decentralized ledger network and Counterparty’s built-in scripting language, real-world scenarios can now be transformed into code and executed automatically with no need for an intermediary.
Counterparty DEX is a so called “decentralized exchange”. Decentralized exchanges are becoming increasingly more popular. They are definitely gaining market shares against their centralized counterparts. One decentralized exchange that has grown very big lately and that you should also check out is Mercatox.
Decentralized exchanges do not require a third party to store your funds. Instead, you directly control your coins and you conduct transactions directly with whoever wants to buy or sell your coins. However, decentralized exchanges as opposed to regular top crypto exchanges normally have an order book with lower liquidity than the regular top crypto exchanges.
US-investors may trade on Counterparty DEX.
Counterparty DEX Fees
The most important lesson to learn when it comes to picking the best cryptocurrency exchange site is that you must always check the fees. We have not been able to find Counterparty DEX’s trading fees. This is potentially a risk for you as an investor. If the exchange does not inform of the trading fees, there is a higher risk that they are high. Accordingly, we strongly urge you to make your own analysis of the trading fees at Counterparty DEX before depositing any funds at Counterparty DEX and before concluding that Counterparty DEX is the best cryptocurrency exchange site for you.
Counterparty DEX does not accept any other deposit method than cryptocurrencies, so new crypto investors are restricted from trading here. If you don’t have any crypto but want to start trading here, you will first have to purchase cryptocurrencies from another exchange and then, as a second step, deposit them here.
Counterparty DEX Security
Counterparty DEX’s security score is F, when performing the test at Observatory by Mozilla (https://observatory.mozilla.org/). This is below industry average when it comes to top crypto exchanges.
Finally, as mentioned above, this is a decentralized exchange. Decentralized exchanges are still a minority on the cryptocurrency exchange market, with the centralized exchanges still dominating the field (mostly due to better liquidity). In any event, if you’re looking for a decentralized exchange, you could also check out the following quite popular ones: