Angus Adams (Analytics Advisor at DXS), introduced the audience at the recent Unbounded Capital Annual Investor Summit in New York to their groundbreaking web3 trading platform DXS.
Angus Adams notes that DXS is a formidable player in the web3 trading space, compared to his presentation at the London Blockchain Conference, where he presented DXS’ advantages over the popular retail trading app, Robinhood, he compared it this time to other decentralised finance apps.
With a commitment to being regulated, transparent, and secure for users as well as with innovative features, DXS is poised for continued growth and aims to redefine the landscape of decentralised finance.
Regulation matters for DXS
Adams provided a comprehensive overview of DXS, drawing comparisons with dYdX, the market leader among decentralised exchanges, to emphasise their differences. While both platforms have many things in common, they differ in two key points.
For example, both operate non-custodial and leverage web3 technology, ensuring user-friendly onboarding through tools like MetaMask or Trust Wallet. Additionally, both platforms allow leveraged trading in both upward and downward market movements, employing smart contracts on the blockchain for transparent and efficient execution of business logic.
However, the main differences are that DXS trades globally regulated markets, while dYdX serves decentralised price feeds. Adams explained why this difference is crucial.
‘Basically, the only real reason why you would want to keep your price feeds decentralised is to keep your entire platform, in the case of dYdX, decentralised, so you don’t have to comply with regulations. At DXS, we don’t really care about decentralising price feeds. We’re more than willing to subscribe to a centralised provider and import these feeds in a centralised manner because we’re more than happy to be regulated,’ he said.
Using the BSV blockchain for immutable records
In this context, Angus Adams introduced a mechanism on DXS where trade parameters are locked on the BSV blockchain. Adams described BSV as an immutable layer of blockchain ensuring transparency and preventing any disputes about market manipulation.
The presentation featured a demonstration where a user opens a $00-long position with 30x leverage on the gold market. The process is seamlessly recorded on the independent third-party blockchain providing users with clear visibility into their trade parameters.
The key metrics for DXS
Having established how DXS stands out in comparison to its direct competitors, Adams presented important figures and benchmarks of his company. With a three-year presence in the market, DXS has gained substantial traction, facilitating 1.1 million trades across 200 markets, and accumulating a total trade volume of $4.3 billion. While still relatively small in the Web3 trading landscape, DXS has distinguished itself as a feature-rich platform with direct access to Ethereum and a liquid market.
Adams shared key financial insights, disclosing approximately a thousand customers generating an average monthly revenue of $22 per user. Acknowledging a smaller customer lifetime value compared to competitors like dYdX, Adams attributes this to DXS’ cautious approach to risk management. As DXS plans to lift market limits, he anticipates a boost in customer lifetime value, providing more flexibility for future customer acquisition efforts.
The focus then shifted towards growth strategies, with a unique emphasis on providing users with a ‘bounty balance’ – a small amount of free money that users can use to open trades on the platform. Adams envisions the platform’s expansion through referral schemes, allowing users to earn additional funds by referring friends to the trading platform.
Demo of the DXS App
The demonstration concluded with a glimpse into the user experience through a 60-second video. The desktop app enables users to start trading with free money in just 60 seconds, emphasising simplicity and accessibility. The demo showcases the steps for logging in, choosing a US dollar Stablecoin, and opening a trade in various markets.
The inclusion of challenges and referral schemes adds a gamified element to the trading experience, allowing users to unlock additional funds and enhance engagement. Adams noted that DXS is going to ramp up its reward system substantially to attract more users in the future.
