Mdex, a decentralized exchange (DEX) launched in January 2021, has swiftly overtaken established platforms like Uniswap, SushiSwap, PancakeSwap, and 1Inch in popularity. By March 2021, it claimed the top spot on CoinMarketCap for decentralized transaction protocols, surpassing Uniswap.
The platform stands out with its dual-chain model, operating on both the Ethereum network and the Huobi Ecological Chain (HECO), reaping the benefits of Ethereum’s liquidity and HECO’s low transaction fees. Mdex’s performance on HECO surpasses Uniswap with significantly lower costs and faster transaction speeds.
Mdex currently leads the DEX market in transaction volumes, holding a market share of 38-40%. Its 24-hour volume reaches around 1.7 billion USD, doubling that of Uniswap. The surge comes as governance tokens of major DEXs hit new highs.
Despite the majority of DeFi projects being ERC-20 assets on Ethereum, the network’s high fees and slow speeds might push DEX projects to look elsewhere. Uniswap’s early entry gave it an advantage, but the network’s congestion is now a significant hurdle.
If Ethereum’s second-layer solutions don’t address these issues promptly, Uniswap could lose its dominant position. Concurrently, Huobi is intensifying efforts to expand and develop the HECO ecosystem, potentially altering the DEX landscape.