People's interest in crypto and blockchain technology has recently skyrocketed, and cryptocurrency tokens are being treated as an asset class and traded on exchanges, centralized and decentralized (DEXs) alike. With the development of DeFi, more crypto users are turning to DeFi protocols for exchanging and trading crypto assets. However, choosing the right platform to suit your needs among a staggering number of cryptocurrency exchanges out there can be pretty challenging.
Our IDEX review will reveal everything you need to know about the IDEX decentralized exchange, its features, services, trading fees, etc., to help you decide if it's a suitable platform for you.
IDEX is a decentralized exchange that combines the best features of centralized and decentralized exchanges to create a user-friendly ecosystem for trading digital assets.
Let's take a closer look at what you can expect from the IDEX trading platform!
What is IDEX
The IDEX decentralized exchange was created in 2012 and is currently registered in crypto-friendly Panama. The platform is hosted on both Ethereum and Binance Smart Chain. As of recently, it's also available on Polkadot as a part of the project IDEX Multichain. IDEX uses order books to initiate and execute exchanges of supported cryptocurrencies and Layer-2 Optimistic Rollups for maximum functionality and speed on Ethereum. Users can exchange cryptocurrencies supported by Ethereum, Polkadot, and Binance Smart Chain. The project aims to enable thousands of transactions to be executed within seconds.
IDEX is a decentralized exchange with elements of centralized exchanges, ie, users need to complete Know Your Customer verification to open an account; it offers a stop-loss function commonly found on centralized exchanges, etc.
According to cryptocurrency tracking platform CoinGecko, IDEX is currently the 52nd decentralized exchange by daily trading volume ($4.4 million).
The IDEX exchange is built on Ethereum and supports ERC-20 token transactions and ERC20 token trading pairs. It employs smart contracts that allow users to manage their private keys and trade in a secure, peer-to-peer environment. Additionally, IDEX is a crypto-to-crypto platform, which means this DEX does not support fiat-to-crypto trading and fiat deposits.
IDEX Exchange features
IDEX was founded and developed by Alex Wearn and Philip Wearn in 2017 under the brand Aurora. In 2019, Aurora rebranded to IDEX aiming to create the first real-time non-custodial exchange that combines a centralized system for matching orders and decentralization. The website's interface is rather intuitive. Let's look into IDEX exchange's key features:
- Peer to peer (P2P) trading
- Responsive customer support
- Confirmation before processing the deposit
- Ethereum and Binance Chain support
- High security
- 14 trading pairs, including ETH/USDC, IDEX/ETH, MATIC/USDC, etc.
IDEX exchange also features several essential crypto tokens, such as Flexacoin, Fantom, Chainlink. In addition, it also features smaller coins, like Celsius, Everex, and Quant, before they hit centralized exchanges, allowing you to get in early before something hits an exchange with more volume.
Security and Privacy
Security and privacy are two essential parameters of DEXs, and this IDEX review wouldn't be complete if we didn't assess how safe the platform is. In the absence of intermediaries, DEXs provide a non-custodial framework in which users have control of their private keys and cryptocurrency funds. Most DEXs have no counterparty risk. IDEX is no exception, and IDEX reviews generally praise the exchange for being relatively safe and secure. As IDEX exchange runs as a node on the Ethereum network, it utilizes the security perks that come with it, such as encrypted ways of trading.
Moreover, IDEX exchange security is enhanced with HTTPS technology (hypertext transfer protocol secure) and provides users with a private key to eliminate the necessity for third-party intervention. The exchange's smart contracts keep funds locked until the private key signs a transaction to move them. All funds are held in smart contracts on the Ethereum blockchain, so there's no threat of someone hacking into a wallet reserve because IDEX doesn't hold user funds in one. The network also communicates through external data, ie, IDEX connects to networks like Ethereum and Binance Smart Chain, requiring oracles for an added layer of security. The network uses an automated system for incentivizing node operators that validate transactions and other operations on the network. IDEX, the utility token, is used for securing the protocol through staking as Node operators need to stake IDEX to operate the network.
The Ledger Nano S integration is another advantage of IDEX, and, along with its overall security measures, it makes for one of the most secure trading experiences out there.
Various tutorials and guides on the IDEX exchange website are designed to help customers resolve any issue they might encounter. Additionally, the exchange is active on social media with a growing number of followers who can help each other. Aside from the community, IDEX offers a help page on its website, a “live chat” box in the bottom right corner of the screen, and an array of FAQs. They also have communities on Telegram, Reddit, and Discord.
Now let's continue our IDEX exchange review by introducing the trading process on the platform!
How to Trade on IDEX
Once on the exchange, you'll have everything you need to trade, such as your wallet balances, the trading chart, order book, trading pairs, etc., displayed on a single page. Our IDEX exchange review will help get you started and signed up for the platform.
The easy part about using IDEX is that it does NOT require registration. Instead, the website lets users unlock their existing MetaMask wallet, Trust Wallet, Toshi, Blue Wallet, etc.
Once you unlock the wallet through the website, you are good to go. IDEX has the option to enter a pre-existing private key or choose the type of wallet as a shortcut.
The website offers 14 trading pairs, which is not a lot, but you can get to trading straight away. However, if you don't have a wallet locked and loaded, you can use the one IDEX offers.
Setup a wallet
Many cryptocurrency traders prefer digital ledger wallets, and IDEX offers you the option to create one right on the website. After clicking on the “New wallet” icon, you'll be required to create a wallet password.
NOTE: You cannot change your password once it's encrypted, so choose wisely.
Then you'll receive a JSON file, sent directly to your email, containing the private key of your new wallet. Download and save it on your user account. The system will require both the JSON file and the password to give you wallet access.
You can skip this step if you are using a pre-existing wallet with crypto funds already in it. However, if you are using the wallet you just created on IDEX, it's essential to deposit crypto funds to start trading.
There are several free wallets to choose from that allow you to deposit funds directly from your bank account. The fiat funds can then be transferred to crypto. IDEX accepts deposits in ETH tokens that can be later traded for one of the 12 tokens available on the platform. The website will ask you for a deposit confirmation, so make sure to double-check the amount displayed in the confirmation box. Once the transaction goes through, it's not reversible.
Our IDEX exchange review will now look through the different types of orders available on the platform. There are several:
- Market order : Market order entails trading crypto on the spot at the current price. It's a simple order type that doesn't include a prognosis of any kind or particular knowledge of the market.
- Limit order : A limit order is an order to buy or sell a coin with a restriction on the maximum price to be paid or the minimum price to be received.
- Limit maker: This type of order only adds liquidity to the order book.
- Stop-loss order : Stop-loss order is designed to buy/sell an asset once it reaches a specific price.
- Take profit : This type of order specifies a specific price at which to close out an open position for a profit.
IDEX allows you to create market/limit orders, and unlike other DEXs, you can cancel trades without paying gas. Once you select the order type that best suits your needs, you're all set to start trading!
Trading on IDEX Exchange
As mentioned, the exchange features only crypto-to-crypto transactions of ERC-20 tokens. The trading page gives you a TradingView chart of the selected token pair, and on the right part of the screen, you can see the order book for your convenience. Once you start the process and commence a transaction, you'll also see your trading history.
IDEX tokens and staking
The IDEX token is the primary token of the platform and performs several important tasks. Users benefit from token ownership in several ways.
Users can stake IDEX and use it as the main payment method on the network, while IDEX represents the underlying asset for all operations on the network. Users who stake their IDEX tokens earn rewards, typically equal to 50% of the transaction fee. The staking functionality supports the platform's financial stability and helps maintain the exchange's infrastructure.
Now let's get more information on IDEX withdrawal fees.
According to the IDEX exchange website, the platform's Hybrid Liquidity (HL) automatically manages gas rates to reduce the costs and eliminate failed trades. Users pay gas fees directly to move their funds into IDEX smart contracts. Gas fees for subsequent transactions, such as trade, withdrawals, liquidity addition/removal, are deducted from the user's balance to “offset settlement gas costs,” similar to the collection of trading fees.
Trade Settlement : Here, the fee is typically paid by the taker. It's calculated by deducting the current gas price from the number of assets withdrawn to the wallet.
Withdrawal/Deposit: IDEX features no deposit or withdrawal fees, only the ones applicable to the trades and the takers.
|TradeType||makers||takers||pool earnings||Protocol Earnings|
|limit||0.10%||0.25%||N / A||0.35%|
Frequently Asked Questions
IDEX exchange is relatively safe and uses several protocols designed to maximize security. Any private keys that are accessed directly on the exchange are always encrypted. They are stored in the browser memory; however, they cannot be obtained from outside of the IDEX app. Additionally, you can plug in your existing wallet, which is fast and convenient.
Does IDEX Exchange Require KYC
Know your customer (KYC) is a popular mechanism used by many exchanges; however, it requires personal information, which many traders see as jeopardizing their privacy. IDEX does not require KYC if you don't open an account on the platform. As mentioned, you only need a Metamask or any other compatible wallet to trade on IDEX.
How to Withdraw Funds From IDEX
Fund withdrawal is relatively straightforward. Click on “Balances” on top of the navigation bar, and after you locate the assets, tap on “Withdraw.” Enter the amount you wish to withdraw or click on “Maximum” if you want to take all of it. The system will require confirmation, after which the transaction will appear in your balance history section.
Where Can I Purchase IDEX Tokens
You can purchase the IDEX token right on the platform and Binance exchange, Gate.io, Balancer, and Uniswap V2.
Our IDEX exchange review covered all the basic features and services the exchange offers, including its most prominent Pros and Cons. We hope, after reading it, you became better informed on the IDEX withdrawal fees, trading pairs, supported order types, etc.
To sum up, IDEX is perfect for users wishing to trade ERC-20 tokens on a secure and fuss-free platform. The exchange might seem confusing for beginners, but the staking option, the reward system, and the intuitive interface make IDEX a reliable option for proficient crypto traders.
Here are some FAQs to consider for any questions you might still have.
NOTE: Always do your own research before investing in cryptocurrencies and double-check your trading amounts.