DEX wallets offer the keys to crypto that remains hostage to network fees

in LeoFinance3 years ago

A popular DEX wallet like Trust or Atomic may give you the luxury of owning your own keys but isn't much good when gas fees exceed the transaction amounts. The network fees required to trade are ridiculous and unacceptable.

Kucoin exchange offers many incentives as far as an exchange goes and manages to absorb the usual gas fees associated with a DEX wallet such as Trust and Atomic. Trading on-chain is day and night compared to what a decentralized wallet offers. KYC is not even required unless you plan to transact more than 5 BTC worth of transactions on a daily basis.

The network fee to required convert $39.63 worth of $FARM to ETH costs is $57.59 and would be an extremely bad offer for someone not good at mathematics.

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Transferring funds from a DEX wallet is also prohibitively expensive. I managed to transfer 43.96925429 to my KuCoin exchange account by manually reducing the network fee to 0.004378 ETH ($7.94 USD). Reducing the gas fee down from the suggested amount took several attempts trying to find the lowest amount that was accepted without failing.

Once on the exchange, the remaining AMPL tokens were easily converted to BTC and KCS at a very minimum cost. Trading on the KuCoin exchange is relatively cheap and easy.

Holding KCS tokens benefits a user in 2 ways. Trading fees are reduced by 20% if a user opts to pay them with available KCS tokens held in the main account. Users holding at least 6 KCS tokens also benefit by receiving a daily bonus proportional to how much KCS tokens are held. Daily snapshots are taken at 00:00 (UTC +8) and the earnings are distributed 2 hours later at 02:00 (UTC + 8). The snapshot checks every account including main, trading, and margin. Anything in Pool-x that is unstaked, unlocked and tradable is also counted.

Conclusion
The usual "Not your keys, not your money" slogan doesn't hold much H2O in the real world when the decentralized wallets are prevented from accomplishing any of the transactions they were designed to do.

An exchange like KuCoin has been through rough times but historically compensated any losses through insurance. Holding a small amount of crypto on a centralized exchange is generally considered OK, but even the larger amounts are covered on a reputable exchange like KuCoin.

The HODL suggestion isn't practical on the platform if Publish0x users can never earn enough in a lifetimes to make the HODLing worthwhile.

Now would be a good time to open an account at KuCoin and start enjoying your Publish0x earnings if you don't already have an account. Farm tokens will have to be dealt with elsewhere, but AMPL and ETH can be easily traded on KuCoin.

Posted Using LeoFinance Beta