Blockbasis is a newly introduced DEX (decentralised exchange) built on Bitshares where users are able to deposit, withdraw, transfer and trade cryptocurrencies like Bitcoin, Ethereum and Litecoin, without the risk of losing your funds because the platform got hacked.
How so? Simply because of the attractive capabilities of a DEX. This means that despite Blockbasis’ getting hacked, malicious attacks will never obtain access to your wallets.
Not Your Keys, Not Your Coins
The catchphrase in the cryptocurrency community goes “Not Your Keys, Not Your Coins”. Contrary to other cryptocurrency platforms, when you sign up on Blockbasis you will receive a passphrase, a unique keyword phrase that unlocks your wallets to be able to transact like withdrawing, transferring or trading funds.
This adds an extra layer of security, similar to what you know from two-factor authentication. This provides Blockbasis with an elegant experience, where users only need an email and password to login, similar to any other platform, which can be restored if you forgot your password. Once logged in a user can see wallets, transaction history, and only when the user wants to exchange one coin to another, transfer to another user, or withdraw funds altogether, then the user is asked for the passphrase.
Everything is logged on the blockchain
With the key choice to entrust users with their private keys / passphrase, Blockbasis has another advantage up their sleeve. All transactions that users make are logged on the blockchain, meaning all transactions are public and 100% transparent.
Why is this a key benefit? Many cryptocurrency exchanges have mismanaged their user’s funds, simply because there was no way for the user to know for sure if their cryptocurrency funds or transactions actually got reflected on the blockchain. By using the blockchain, users of Blockbasis will always be able to confirm their trades, transfers, deposits and withdrawals.
If you are curious for more, you can sign up to Blockbasis here.