Advantages of decentralized exchanges:
1. From a business perspective, the decentralized exchange model is simple, requiring only asset custody, matching transactions, and asset liquidation. There is no need for non-trading functions that need to be undertaken like centralized exchanges, such as account systems, KYC, exchanges, etc.
2. Everything is realized through open source smart contracts, and asset custody, matching transactions, and asset clearing are all placed on the blockchain.
3. The use of smart contracts to achieve a decentralized transaction mechanism solves the risks of internal operation risks, business ethics risks, and asset misappropriation that seriously affect user asset security caused by human factors in centralized exchanges.
4. The user account key is in the hands of the user. As long as individual users do not disclose the key, it is still relatively safe. Even if the server is attacked, the assets on the exchange are still safe.