There are quite a few cryptocurrency exchange platforms available these days. Most of them are centralized and operated by the platform owners. At the same time, there exists a few decentralized platforms that facilitate trading as well. These platforms involve a book ordering system and have some shortcomings that the decentralized platforms would cover. The two popular platforms Uniswap and Crypto.com, work on this aspect. They work similarly in few areas, but there are a lot of significant differences between them.
Uniswap vs Crypto.com
The main difference between Uniswap and Crypto.com lies in the saving rates if you are planning to use the platform in the longer run. Uniswap offers 0.5% to 6% Annual percentage returns while Crypto.com offers 2% to 6% on an average. At the same time, a good amount of trade on crypto.com can increase your interest rates as the deposits increase.
Uniswap is a decentralized crypto exchange platform that helps you create tokens as well as trade by paying a nominal fee. As it is unique when compared to centralized platforms, it has many benefits when it comes to trade. Also, the fee is completely null when it comes to new coin introduction too.
Crypto.com is a crypto trading platform that supports investors in investing in cryptocurrencies. As a user, one can trade and invest money to earn interest as well. It is a Switzerland-based company that facilitates the exchange of cryptocurrencies effectively. The best part is, you can also get an instant loan from the platform and buy the digital assets as well.
Comparison Table Between Uniswap and Crypto.com
| Parameters of Comparison | Uniswap | Crypto.com |
| Coin Rates | Uniswap is a bit higher on the Dollar as well as GBP rates | Crypto.com has a lower value when it comes to Dollar and GBP values |
| Coin Rank | The cap rank is 10 | The cap rank is 37 |
| Saving Rates | Uniswap can help you earn up to 7% every year | Crypto.com helps you earn up to 6% every year |
| Exchange Fees | Exchange Fees is more when compared to Crypto.com | The trading and exchange fee is less in Crypto.com |
| Transaction Time | It is the fastest and more secure | Transaction time is a bit slow but highly secured |
What is Uniswap?
Uniswap is a unique crypto trading platform that uses an automated liquidity protocol. It is a decentralized platform. That means to say. None controls the transaction. More importantly, it is not operated by a single entity.
Uniswap was developed on Ethereum Blockchain. It is completely compatible with
- MetaMask and
- MyEtherWallet
As such, the centralized platforms are profit-driven. If you have to list new coins, then there is a fee involved in it. However, Uniswap being decentralized, a user can create his decentralized exchange. It is mainly because that the platform is open-source. A user can copy the code easier to create his/her exchange. Also, the user can list the tokens for free.
As against the centralized pattern, the merchants or the traders must give up control over the funds while here you have complete control over it. Uniswap works on two important smart contracts.
- Exchange
- Factory
The Factory contract helps you to create new tokens while the exchange contract facilitates trade. The more prominent liquidity problem with the centralized platforms is easily overcome in this platform. As against other exchanges, Uniswap works on an Automated market maker system to determine the price of the token.
The main problem of the user waiting for the buyer to approach the seller is overcome in this platform. The platform does not care about the depth of the orders.
What is Crypto.com?
If you are planning to invest in cryptocurrencies, the platform suggested will be Crypto.com. While many platforms work on the same structure, crypto.com is more secured and lucrative for traders, investors as well as users.
As a user, you can
- Buy
- Sell
- Trade
- Invest
- Pay bills
Using this platform. With a whopping 10 million app installers to date, the platform offers you to buy and sell products with cryptocurrencies. The app, as well as the website, is incredibly safe to trade. The best part is, there are no hidden charges for the transactions. It is estimated that you can earn up to 6.5% on your cryptocurrency. At the same time, you can still earn 12% on stable coins.
As you can track the cryptocurrency using the application, you can also convert the crypto to fiat funds. The cryptocurrency deposit earns you interest annually, and this is an excellent move by the platform developers.
The best part about the platform is, it has numerous cryptocurrencies in it, and you can transact using any currency. The difference amount is also indicated, and the platform charges a minimal amount as a fee for the transaction.
Main Differences Between Uniswap and Crypto.com
- The main difference between Uniswap and Crypto.com lies in their coin rates. Uniswap has a higher dollar and GBP value when compared to Crypto Coin.
- The saving rates of Uniswap are impressive. You can earn up to 7% annually while Crypto.com is not way far, but you earn a bit less when compared to Uniswap.
- Uniswap is the fastest in its transactions, and Crypto.com is a bit slow.
- Uniswap offers transaction at a higher speed, but the exchange fee is more when compared to Crypto.com
- The number of cryptocurrency in the Uniswap platform is less, while Crypto.com is seasoned and has numerous currencies to transact with
Conclusion
Both the platforms are impressive in terms of decentralized transactions. Crypto.com might be slow in its exchanges, but it is incredible when it comes to the variety of cryptos available. The protocol used in Crypto.com allows you to do multiple transactions at the same time. All the more, both the platforms are decentralized, but the protocol used by Uniswap creates an inclination towards customers. The liquidity protocol and automated market maker system are quite advanced when it comes to Uniswap’s functionality.
References
- https://arxiv.org/abs/1911.03380
- https://mpra.ub.uni-muenchen.de/103925/