The DeFi universe has been growing rapidly ever since mid-2020 when crypto users finally started paying attention to ways to earn money from crypto outside of trading and investing. With the COVID-19 pandemic sending the stock market towards its bottom, investors suddenly realized that crypto can be, and is the safe haven that is claimed to be for all these years.
So, many started buying cryptocurrencies to preserve their wealth. However, crypto is still extremely volatile, of course, and while the fears of the crash and death of the industry were gone, it was still questionable how long users might have to wait for the prices to recover from potential crashes. This led them to discover that there are activities that they can engage in, which allow using existing crypto to earn more crypto, but in a much safer way than trading, and a much faster way than waiting for years for investments to pay off.
As a result, DeFi skyrocketed, and it never lost the attention of the industry ever since. Now, there are numerous projects that are emerging in order to help users access and manage the DeFi sector, with ShapeShift FOX Token being one of them, and the one that we are interested in today.
How does ShapeShift FOX Token (FOX) work?
ShapeShift is a free, open-source platform that aims to allow users to trade, track, buy, and earn cryptocurrencies. It is 100% decentralized and community-owned, which also makes it very private and safe. It doesn’t hold your assets for you, meaning that you are the only one who can access them, but also that you are the only one who can properly secure them.
The project is also multi-chain, given the fact that it uses the power of THORChain and 0x, which allowed it to list 750 coins and enable thousands of trading pairs, all of which you can access instantly, with no ID, no added fees, and no intermediaries of any kind.
What problems does ShapeShift FOX Token (FOX) fix?
ShapeShift FOX Token is more than just a regular exchange or a coin belonging to an exchange. It also offers to solve certain issues that the industry is struggling with and provide new solutions, such as:
Interoperability
ShapeShift prides itself in being a free, open-source platform that is community owned, non-custodial, private, and – multi-chain. Thanks to this, the platform allows cross-chain swaps powered by THORChain and 0x.
A trading platform and portfolio manager for user self-sovereignty
As mentioned, ShapeShift is a platform that allows users to trade, track, buy, sell, and earn cryptocurrencies whenever they wish. Unlike centralized custodians who require users to deposit their funds into their wallets and then hold the funds for them, ShapeShift allows users to always be in control of their assets. All they need to do is connect their favorite wallet or wallets to the platform, and start using them. It is not necessary to create an account, confirm your identity, or anything of the sort — simply connect the wallet and you are ready to go.
Over 750 supported cryptocurrencies
Thanks to being a multi-chain project/platform, ShapeShift allows users access to more than 750 supported digital currencies. This means having access to thousands of trading pairs, and it makes it one of the biggest decentralized exchange/trading platforms in the industry.
Benefits of ShapeShift FOX Token (FOX)
Next, let’s take a look at what benefits you can expect to receive from this project personally if you opt to join it and use it.
No trading fees
One of the biggest advantages of this platform, and one of the biggest reasons why users like it so much is the fact that ShapeShift doesn’t have any fees that users would be obligated to pay. Miner fees are all that is required, but there are no service fees, exchange fees, or any other kind, making ShapeShift the true DEX.
Governance
The project has its native token, the Shapeshift FOX token (FOX), and if you are a FOX holder, you gain access to the project’s DAO. This means that users who hold the FOX tokens have the ability to participate in the project’s governance and help decide the way in which the project will develop. They can vote on various proposals submitted by other users, or they can come up with proposals themselves, and let others vote on them.
Keep your private keys
While centralized exchanges require you to hand over your tokens into their care, ShapeShift allows you to keep your private keys yourself. That means that you are the only person who can access and manage your tokens. This is why it is important to properly secure them, as anyone who obtains your private key might be able to access your tokens and potentially steal them. The good thing is that there is no other entity in the world that can access your coins when under your management, but the bad one is that you are responsible for their security, so you should definitely educate yourself and ensure that you know what you are doing.
Final Thought
ShapeShift is a project in the true spirit of DeFi — a cross-chain, decentralized platform that offers services the kind of which will be present throughout the cryptocurrency industry once Web3 emerges. It is available on a variety of devices, too, so you can access it and trade wherever you may find yourself. Moving forward, it might even end up becoming one of the biggest and most popular DEXes in crypto.
