Love to see this, I no longer have to use Binance to swap Hive assets. I'm considering providing liquidity to the $LEO : $CACAO pool but I'm too greedy and I still need to run the numbers to see what is more profitable when $LEO foes a 50x - if holding or riding the wave up in the LP
My humble experience on LeoDex was pretty smooth and rewarding.
As I uploaded the image below and shared on Twitter, I was able to trade USDC for HIVE and vice versa on LeoDEX with almost no fees. Moreover, the hidden fees on centralized exchanges exceed the amount we pay on an ordinary DEX.
We need to keep in mind that it is not an easy task to make Layer 1 to Layer 1 transactions on-chain. There will always be a "better" form as the crypto ecosystem develops but the current mechanism on Hive <-> Layer 1 trades on LeoDex is beyond the expectations.
I have a couple of more screenshots shared on Twitter. Below I added one that brought me more HIVE for a stablecoin trade.
The bad news is you lose 10% of the value in the conversion. VISA only charges 3%. If you change for Hive dollars savings, it will take a whole year to recover the costs because it would be a similar cost selling it back to CACAO. Now, it is probable a user would want to trade from something other than CACAO and that would be even more cost. Then there is the Maya chain fees
I wrote an article a month or so ago about going to fiat to Hive dollars with an average loss of 3.5% each direction. The pursuit of profits from trading leads to people having the very problems that bitcoin was meant to solve:
In order to get the best fees, we use centralized exchanges. Centralized exchanges then control our money just like in fiat with the banks controlling our money.
The DEx has a flaw that the base coin is not a stablecoin. It ought to be. Stablecoins trade with lower spreads. It should trade to and from dollars directly with no LEO, Hive Engine or Hive in between.
Did you watch the video from the OP? The value sent is displayed in dollars and the value returned is displayed in dollars. Now, it is great to be transparent. It is better than not. There is a massive loss of value in the new coins compared to what was put in.
That being said I still say that the best thing about DExes is that you do get your money back. If you trade in the DEx (on Maya), you will pay fees. The non-Hive assets have fees for just transferring. Then there is withdrawal fee from Hive-Engine to L1 Hive. I don't know about Arb-LEO vs. Hive-Engine Leo specifically.
Total cost of each step includes deposit, withdrawal fee, trade fee and spread difference. Sometimes these are constant values and sometimes a percentages. If you are one of those who trade thousands of dollars at a time, the fee percentage could be significantly different. Possibly worse or better.
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Love to see this, I no longer have to use Binance to swap Hive assets. I'm considering providing liquidity to the $LEO : $CACAO pool but I'm too greedy and I still need to run the numbers to see what is more profitable when $LEO foes a 50x - if holding or riding the wave up in the LP
My humble experience on LeoDex was pretty smooth and rewarding.
As I uploaded the image below and shared on Twitter, I was able to trade USDC for HIVE and vice versa on LeoDEX with almost no fees. Moreover, the hidden fees on centralized exchanges exceed the amount we pay on an ordinary DEX.
We need to keep in mind that it is not an easy task to make Layer 1 to Layer 1 transactions on-chain. There will always be a "better" form as the crypto ecosystem develops but the current mechanism on Hive <-> Layer 1 trades on LeoDex is beyond the expectations.
I have a couple of more screenshots shared on Twitter. Below I added one that brought me more HIVE for a stablecoin trade.
The bad news is you lose 10% of the value in the conversion. VISA only charges 3%. If you change for Hive dollars savings, it will take a whole year to recover the costs because it would be a similar cost selling it back to CACAO. Now, it is probable a user would want to trade from something other than CACAO and that would be even more cost. Then there is the Maya chain fees
always this bad awakening with the fees at the end. ouch.
10% seems rather steep, even compared to other services in the crypto industry...
I wrote an article a month or so ago about going to fiat to Hive dollars with an average loss of 3.5% each direction. The pursuit of profits from trading leads to people having the very problems that bitcoin was meant to solve:
In order to get the best fees, we use centralized exchanges. Centralized exchanges then control our money just like in fiat with the banks controlling our money.
The DEx has a flaw that the base coin is not a stablecoin. It ought to be. Stablecoins trade with lower spreads. It should trade to and from dollars directly with no LEO, Hive Engine or Hive in between.
probably best you do more research
are you sure about that? I have seen many use the dex and actually getting money back rather than paying for fees
this guy has probably never even opened the UI haha
Totally baseless claim. Sure, it can sometimes be a high fee but it can also pay you for the swap
Timing matters. Just like doing a market order on any exchange
Did you watch the video from the OP? The value sent is displayed in dollars and the value returned is displayed in dollars. Now, it is great to be transparent. It is better than not. There is a massive loss of value in the new coins compared to what was put in.
That being said I still say that the best thing about DExes is that you do get your money back. If you trade in the DEx (on Maya), you will pay fees. The non-Hive assets have fees for just transferring. Then there is withdrawal fee from Hive-Engine to L1 Hive. I don't know about Arb-LEO vs. Hive-Engine Leo specifically.
Total cost of each step includes deposit, withdrawal fee, trade fee and spread difference. Sometimes these are constant values and sometimes a percentages. If you are one of those who trade thousands of dollars at a time, the fee percentage could be significantly different. Possibly worse or better.
you don’t know because you’ve never used it. I would recommend doing some research
P.s. most people care about $$ in and $$ out.
Not sure where you get 10% from but that's a totally baseless claim
I've swapped often with a +% EV
What that means is that I've swapped and made money instead of paying fees.
It depends on timing and swap amounts. So before claiming something like this, have some numbers and usage under your belt
Credit: fun.miner
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