What does “Testnet” mean?
A blockchain testnet is an instance of a blockchain network that is used primarily for testing and experimentation. Unlike “mainnet” coins, testnet coins have no monetary value attached to them, which removes the risk of losing funds when creating experimental software. Many of the biggest blockchains provide testnet chains, including BTC, ETH, LTC, USDT, and many more. Testnet chains are often up-to-date with their mainnet equivalents.
When will we switch to Mainnet?
We (the Hydranet team) are excited about the mainnet release of the Hydranet DEX, dubbed “Pheonix”. However, we are careful not to release a product that is not finished. This was tested by the previous management and was, least said, no path to success. Please check our social media channels and website to get the latest information about the roadmap towards the mainnet release of the Hydranet DEX.
Can I access my funds from other devices?
Yes! Hydranet DEX features 24-word seed phrases for backing up on-chain funds and Lightning Channel backups for off-chain funds. You can watch our guides on how to back them up and restore them.
How will you increase the trading volume for Hydranet DEX?
We strongly believe that Hydranet DEX’s ecosystem represents an entirely new generation of foundational technology, featuring nearly-instant, trustless, low-fee, off-chain trades between otherwise-incompatible blockchains (BTC/ETH, BTC/USDT). The utility of this ecosystem is not something that should be understated. This type of DEX technology has immense potential to redefine how crypto is exchanged in the long-term and serve as a “golden catalyst” for DEX adoption. The Hydranet model strives to be highly accessible by offering an unrivaled amount of coin pairs and interoperability between blockchains with a competitive fee model that on-chain and rollup DEXs have no way of directly competing with. We believe that this combination of high utility, high accessibility, and highly competitive fees will make the Hydranet DEX equally appealing to market makers, whales, and small traders alike. We believe that the Hydranet model strikes just the right level of balance and necessity to attract organic growth and demand from multiple ends of the crypto industry. As development continues, we intend to build upon this inherent potential with further incentives, including a public API, arbitrage and market maker bots, trading competitions, and holder appreciation.
Will Hydranet DEX be able to access liquidity from CEXs?
Yes, indirectly via arbitrage bots connected to centralized exchanges. The arbitrage bots will mirror the liquidity on the CEXs onto the Hydranet DEX, and keep the trading pair prices similar to the prices on the CEXs.
Which coin pairs will Hydranet DEX support?
The initial pairs will be revealed in the next days. Stay tuned!
Is using the Hydranet DEX risk free?
There is always a risk associated with any contract interaction, and there exists an extra degree of risk using L2 protocols compared to on-chain trading. However, there are solutions that mitigate these risks (watchtowers, for instance) and we are constantly working and updating these.
How can I trust the DEX?
We are proactively seeking audits and plan to open-source some parts of the DEX code in the long-term.
Can I create stop-limit orders?
That's currently not possible.
Does the orderbook work offline?
That's currently not possible. The HUB must be online and the Client must be connected to it for the orderbook to function.
What is the HUB?
The HUB is the node in the Hydranet DEX that connects all the user Clients. The HUB hosts the orderbook with which users trade, and route payments between the transacting parties. Importantly, the HUB will never control any user funds. Users are always in control of their funds!
Do I need to create channels and make rentals manually in order to use Hydranet DEX?
The Simple Swap UI can do all of this automatically for you, with manual channel management always available for more precise control. Trading on the Hydranet DEX can be done with as little as a one-deposit and 3 clicks.
What are rental channels?
Rental channels are channels with liquidity rented from the HUB. These are needed to be able to receive (buy) other currencies.
How much (and how often) are the channel fees?
Opening a channel requires a one-time fee that varies based on the current on-chain traffic. Rental fees are 0.004% / hour of the rented volume.
Why are there channel rental limitations in place?
The available rental funds in the HUB are limited. To allow several Hydranet DEX participants, we have introduced minor channel rental limitations until we have reached a high rental fund capacity.
Why would I use the Hydranet DEX over any other DEX?
Because it’s faster, more scalable, more private, and has lower blockchain fees than other DEXs.
Is the Hydranet DEX private?
Yes. As trades are executed off-chain, privacy is high. The trades can’t be tracked via explorers.
Who is the target group for the Hydranet DEX?
Everyone benefits from using the Hydranet DEX: normal users get unique beneficiary features such as custody over funds and privacy, bots get CEX-like order execution, and HDX holders can participate in the DEX’s success.
Can the Hydranet DEX get shut down?
We are constantly working on increasing the scale of decentralization to make this as difficult as possible.
Will there be a web application?
There is no web DEX in development at the moment, but we plan to research this after the Hydranet DEX reaches mainnet.
How and where can I get support if I have technical problems?
The best place to ask for support is on the Hydranet Discord. You can also e-mail the Hydranet team at [email protected].