Uniswap is under “centralized power” crisis. How can NGKEX avoid it?
After pushing the Uniswap’s daily trading volume to break a record high end of last month, the Delta.Finance was officially blocked by Uniswap on the grounds of “fake trading volume”, but the matter is far from over.
The developers of Delta.Finance believed that Uniswap did not handle this matter very well, and then someone followed Delta’s practice by relaunching a token called “You don’t blacklist delta financial”, which continued to disrupt Uniswap statistics data. This also puts Uniswap into a controversy over the use of centralized power.
Uniswap believes that Delta project’s behavior of generating a large amount of trading volume with a small amount of funds is suspected of “fake trading volume”. However, Delta believes that Uniswap is unreasonable in handling this matter, and the act of directly blocking the project is suspected of “centralized power abusing.”
Regardless the purpose of Delta caused Uniswap to encounter data problems, there is no doubt that Uniswap’s vulnerabilities are highlighted. It cannot provide users with security guarantees.
So, if it is NGKEX, how can this crisis be avoided?
First, address the issue of fake trading volume. The NGKEX uses modern solutions such as decentralized oracles, which collect data from multiple sources and use tokens to incentivize data providers to report facts.
However, oracle has certain limitations. NGKEX also adopts two trading volume evaluation standards, ERV and confidence score, which can effectively avoid the problem of volume boosting.
However, the developers of the NGKEX project stated that the best way for a platform to prevent malicious behavior is to comply with regulations and constantly update the audit mechanism and smart contract code, ensuring that the platform status is up to date to prevent malicious players from exploiting loopholes.
Secondly, address the issue of centralized power. The NGKEX project developer stated that NGKEX always adheres to the principle of decentralization, and it will not artificially interfere with the player’s trading volume, nor will it artificially change the data. If the player finds that the data has been changed, then it will be the changes made by the nodes on the chain due to malicious behavior.
At the same time, NGKEX will put all data on the chain to ensure that all data is transparent and cannot be tampered with.
In addition, the project team adopts a decentralized design in every way to ensure that NGKEX is truly decentralized, instead of using a centralized operation to analyze website like Uniswap.
In the long run, no matter what kind of DEX platform, if you want to develop steadily in the DEX field, you should always follow up and iterate the technology to ensure a smooth and reasonable platform operation. At the same time, the principle of decentralization should always be adhered to better uphold the true characteristics of the blockchain.