Dex.Blue is a non-custodial and hybrid-decentralized exchange (DEX) enabling trustless and real-time trading of tokenized assets on the Ethereum blockchain. It offers an advanced range of trading features and tools to help intuitive, safe, and highly functional trading for all types of traders.^[1]

History

Dex.Blue was founded by German entrepreneurs Magnus Hinkel and Raban von Spiegel in 2018.   Dex.Blue is registered and located in Estonia.   The exchange went live on September 12, 2019.^[3]

Overview

Dex.Blue offers real-time trading of Ethereum tokens. It provides off-chain order matching with on-chain escrow and settlement. On top of its proprietary order book, dex.blue also aggregated all available liquidity from Kyber Network, Oasis, and Uniswap.^[2]

The user can access dex.blue using Web3 wallets like Metamask, Fortmatic, Torus, Portis and hardware wallets like Ledger and Trezor or trading login-password combination. It also supports the open-source protocol' wallet connect' using which a user can connect mobile wallets as well.^[3]

Features

Types of Orders

The trader has many options of placing an order: market, limit, and stop-limit order. In addition, it not only offers Ethereum pegged pairs but also accepts fiat pegged orders as well.^[3]

Trading Fees

There are no fees on deposits and withdrawals but the user needs to bear the user-defined gas fee, which is paid to the Ethereum network. The exchange doesn't take any fee from makers but takes a fee from takers and it ranges from 0.20 to 0.25%, depending on the trading volume (calculated in USD) over a period of 30 days. Additionally, there is a gas fee, paid to the Ethereum network for trade settlement. This gas fee is split 50:50 between the maker and the taker.^[4]

Liquidity Aggregation

Liquidity aggregation is one of the key features of dex.blue. It is a hybrid-decentralized order book exchange. Apart from its own market liquidity, it also aggregates additional liquidity from top decentralized exchanges Kyber Network, Oasis, and Uniswap. The dex.blue order books show the combined liquidity of its available liquidity sources for a specific Ethereum (ETH) token.^[5]

When trading on dex.blue, the market order will be executed across all the available liquidity sources, and the rest of the types of orders including Limit Order, Stop-Limit Order, or Fiat pegged Order will be executed against whatever liquidity source crosses the user's rate first. This can be one single source or a combination of multiple of them. This way a user is able to trade large orders at 0% slippage, as they can let their order fill partially step-by-step until the order has entirely been matched.^[4][5]

Listed Tokens

dex.blue allows for the trading of ERC20 tokens. These are either paired with Ethereum (ETH) or Dai (DAI). The currently listed cryptocurrency tokens are tabularized below.

Paired with ETH	Paired with DAI
Balancer (BAL)	BAT
Basic Attention Token (BAT)	ETH
Compound (COMP)	LEND
Gnosis (GNO)	LINK
Kyber Network (KNC)	MKR
Aave (LEND)	REP
Chainlink (LINK)	REN
Maker (MKR)	SAI
Kleros (PNK)	SNX
Augur (REP)	Wrapped Bitcoin (WBTC)
Ren (REN)
SETH (sETH)
Synthetix (SNX)
Tellor (TRB)
UMA (UMA)

Security & Privacy

Иecause of its decentralized nature, dex.blue doesn't have any control over the customer funds at any point in time. The trader is the only entity that can control their funds as they are the single custodian. The dex.blue smart contract is non-upgradable, which prevents any entity to get in control of the smart contract from acting maliciously and potentially putting all users’ funds at risk. Every change to the production environment is closely monitored and reviewed. No changes are possible without the signing of the team's core developers.^[3]

Delegated Signing Keys

dex.blue allows the use of 'Delegated Signing Keys'. It means a user can place the trade by signing their wallet from their different address registered on the Ethereum blockchain. It means a user can place orders on any device, using any browser, just by logging in with a username and password. Traders who use automated or algorithmic trading tools can use API keys on centralized exchanges and manage cold-wallet funds with a hot wallet. Institutions can use this feature to create sub-accounts for their traders with no possibility to withdraw funds.^[1]

The wallet holding the funds (“delegator”) has to register the “delegate” in the smart contract. Once this “delegation transaction” is mined the smart contract will accept orders signed from both addresses. The right to deposit or withdraw funds always remains with the delegator.^[3]

Fund Recovery Tool

Fund Recovery Tool is a unique feature from dex.blue, which allows users to recover funds if the trading platform goes down due to any reason. Users can just go to https://recovery.dex.blue/ or download a browser-based copy of the fund recovery page and save it. By signing the wallet on the page and using dex.blue's smart contract address, the user will have access to their tokens and in order to recover them, those tokens should be blocked. To ensure trade settlement for all market participants, blocked tokens can be withdrawn after a waiting period of 24 hours.^[3]