Guide to Gaintdex Exchange: How to Trade on gaintdex.com
Navigating Latest Decentralized Exchange
This guide to Gaintdex will cover everything you need to know about Gaintdex exchange and how to trade on Gaintdex.
Gaintdex is the newly launched decentralized exchange in the cryptocurrency market. There are not many coins are listed in the beginning and all of the listed coins will be compliant with Ethereum token standard called ‘ERC20’.
What is a Decentralized Exchange?
Compared to large, centralized exchanges, decentralized exchanges do not rely on third parties to hold participants’ funds. The trading within the decentralized exchange occurs directly amongst buyers and sellers in a peer-to-peer (P2P) network via an automated process. This way, there is no single point of failure. Time and time again we hear stories of crypto exchanges going bust, losing customers’ funds, server downtime or downright manipulation. These risks are common to a centralized exchange.
Why Should You Trade on Decentralized Exchange?
The most obvious benefit of a DEX is the same as with any decentralized application, which revolves around the philosophy of cutting out the middlemen and returning interactions to peer-to-peer, permission less models without central authorities. More specifically, decentralization creates censorship-resistance, which in the case of decentralized exchanges means that no central authority could forcefully impose regulations, or even ban currencies and/or the exchange itself. This is especially important considering that many countries are clamping down on cryptocurrency trading.
(For the Metamask user just click Connect to Metamask)
Step 1: Create an Gaintdex Account
The first step is creating a wallet within Gaintdex. Go to the “Account” section and click on “New Account”.
A pop-up will thereafter appear, detailing your new Gaintdex wallet’s public key and private keys.
There are two long strings of alpha numerals (a bunch of random letters and numbers):
Public Key: The first string of alpha numerals (in this example it starts with 0x1c03……..5D39) represents your Gaintdex public key or public address.
Private Key: The second string of alpha numerals represents your private key. (in this example it starts with 6b0eb……c051)
Be sure to keep your private key secure, and ensure that NOBODY has access to it. Losing your private keys means losing your funds. Here are ways that you can secure your private keys:
- Write it down manually into a piece of paper and store it somewhere safe
- Copy it online into wordpad/notepad and save the document on your thumb drive
- Copy it online into wordpad/notepad and save the document in an encrypted format
Step 2: Transfer Your Ethereum (ETH) to Your Gaintdex Public Address
The most common Ethereum (and ERC20 coins) wallet is MyEtherWallet (MEW), which is free. Assuming that you’re using MEW, send the exact amount of ETH that you want to trade with from your MEW wallet to your Gaintdex public key/address.
Step 3: Choose the Token You Want to Buy/Sell
Select the token that you want to buy/sell from the drop-down menu at the top of the website.
Step 4: Transferring Funds from Your Gaintdex Wallet to the Gaintdex Smart Contract
Why must you do this? Well, Gaintdex is a decentralized exchange and therefore, it uses smart contracts to execute your trades. In the “Balance” section, you’d see 3 columns: Deposit/Withdraw/Transfer
Here’s what the column represents:
- Token: This is the ticker/symbol of the token you’re planning to trade and the base currency (ETH)
- Wallet: This is the balance that you have in your personal Gaintdex wallet
- Gaintdex: This is the smart contract that you’ll use to create buy and sell orders
In order to start buying a coin, you have to transfer ETH from your Gaintdex wallet to the Gaintdex smart contract. Click on the “Deposit Green Icon” column and enter the amount of ETH that you want to deposit into the smart contract to start buying the token of your choice.
As you can see, I’m going to transfer 0.3 ETH from my wallet (yellow box) to the smart contract (red box). Don’t transfer ALL of your ETH as you need a little ETH left to pay for the cost of executing the transaction. The transaction fees will be deducted from your wallet. Once you’re done, click on the “Deposit” button in blue.
Once the transaction is successful, you’d see that the “Gaintdex” column (which represents the smart contract) will be credited with the amount of ETH you will use to buy the token of your choice (in this case it is 0.3 ETH). You can now trade!
Step 5: Execute Buy Orders
There are 2 ways that you can execute your buy order:
- Creating a new order by manually filling up how many coins you want to buy, at what price, and the total ETH that will be used. You can enter all these information in the “New Order” section, and click the “Buy” column. Once you’ve done that, you order will be shown in the order book under “Buy Orders”. This could be very tricky and should only be used by those who know what they’re doing and had prior experience before.
- The easiest way is to directly buy from a sell order in the order book, which was manually created by someone who wants to sell his tokens. This is what we will do
What is an Order Book?
The order book is simply a compilation of all buy and sell orders, which can be seen here:
Sell Orders: Orders that are created by those who wish to sell their tokens and are coloured in red, arranged from the most expensive at the top to the cheapest asking price at the bottom
Buy Orders: Orders created by those wanting to buy the tokens and are green in colour, arranged from the cheapest at the bottom while the highest bid price is at the top
How Do You Buy from the Order Book?
- Since you’re a buyer, you want to buy at the cheapest price that someone is willing to sell at. Click on the lowest sell order. This shows that a seller is prepared to sell at the lowest price. You’ll then see a pop-up which describes the buy order:
- Once you’ve executed the buy order, it will show up in “My Transactions” section under the tab “Trades”. If not click refresh It will show up in your trading history.
What if My Transactions are Too Slow?
If your transactions are always pending and take forever to be confirmed (as the Ethereum network could be clogged up), you have to manually increase your fees to speed up your transactions. You can do so by going to your account and selecting “Gas Price”.
Gas price represents the fees that you pay to execute your transactions, and the higher fees you pay, the faster your transactions will be confirmed. In times where the Ethereum network is flooded with transactions, you must increase the default gas price in Gaintdex to execute your transactions quickly. You can check the recommended gas price at ETH Gas Station, which is measured in Gwei.
According to at ETH Gas Station, the recommended gas price is 3 Gwei, which is very cheap since the default gas price set in Gaintdex is 5, as can be seen below:
If the recommended gas price is lower than the default gas price as stated in Gaintdex, then you don’t have to change it. But if the recommended gas price is much higher than Gaintdex’s default and you want your transactions to be confirmed quickly, then manually change Gaintdex’s gas price to the recommended price.
Step 6: Execute Sell Orders
There are 2 ways that you can execute your sell order:
- Creating a new order by manually filling up how many coins you want to sell, at what price, and the total ETH that you will receive. You can enter all these information in the “New Order” section, and click the “Sell” column. Once you’ve done that, you order will be shown in the order book under “Sell Orders”This could be very tricky and should only be used by those who know what they’re doing and had prior experience before
- The easiest way is to directly sell to a buy order in the order book, which was manually created by someone who wants to buy tokens. This is what we will do.
How Do You Sell to the Order Book?
- Since you’re a seller, you want to sell at the highest price that someone is willing to buy at. Click on the highest buy order. This shows that a buyer is prepared to buy at the price
Step 7: Withdrawing the Tokens to Your Gaintdex Wallet
Now that you’ve executed your trades, it’s time to withdraw your coins to your Gaintdex wallet. In the “Balance” section of Gaintdex, click on the “Withdraw” tab. Deposit all your coins in Gaintdex’s smart contracts to your Gaintdex wallet by clicking the “Deposit” button.
Last Step: Transferring Funds from your Gaintdex Wallet to Your Personal Wallet
The last step entails transferring all the tokens in your Gaintdex wallet to your personal wallet (MEW is the most common wallet used by many). Go to the “Transfer” column under your “Balance” section and:
- Specify the quantity of tokens that you want to transfer out of Gaintdex
- Specify your personal wallet address in the “Address” field where your tokens will go to
Good Luck & Stay Safe!
Official Website — www.gaintdex.com
Telegram — https://t.me/gaintdexofficial
