Last updated on July 5, 2022
Choosing the right exchange to conduct your crypto trades on is a vital step towards improving your ROIs. The market is filled with exchange options at this time. Each of these platforms offers different features, coins, and fees. Selecting the right exchange to meet your trading needs is a critical component of your strategy. As such, it’s worth the effort to do a little extra research to ensure you make the right selection.
Both the Gemini exchange and META exchange offer unique features to users. One is a highly regulated centralized exchange that is geared towards institutional investors and the other is a community-led effort designed to provide an alternative to the status quo. Here’s some valuable insight into the Gemini Exchange vs META Exchange debate.
What is the Gemini Exchange?
Gemini is a New York-registered centralized cryptocurrency exchange. The platform is one of the best-known centralized trading options available today. Gemini is one of the top-performing centralized custodial exchanges in the market. It serves a vital role in helping institutions convert fiat to crypto to enter the decentralized economy.
As a fully regulated network, all users must complete full KYC and AML regulatory requirements. You will need to have your identity verified and link a bank account to use the full breadth of the features of the network. For large institutional clientele, this approach is ideal.
Notably, the exchange was founded by Cameron and Tyler Winklevoss, AKA, the famous Winklevoss twins. These two Harvard graduates are best known for becoming one of the first Bitcoin billionaires. They also received notable media coverage when they sued Facebook founder, Mark Zuckerberg, claiming he stole the concept from ConnectU, a platform started by the duo years earlier. The twins remain a pioneering force in the market and have gone on to create a variety of other products to drive large-scale crypto adoption.
What is META Exchange
The META Exchange is a core component of the METANOMICS ecosystem. This inclusive DEX (decentralized exchange) demonstrates how far the concept of trading has come in the crypto market. Unlike CEXs that operate as a middle man to facilitate trades between users, DEXs connect traders directly using advanced smart contracts.
The META exchange enables you to trade tokens directly from your wallet. The main advantage of this approach is the added security. It also means that you are never separated from your digital assets. The META Exchange was built to support high-speed trading from a global client base. As such, it has performance on par with the NASDAQ.
What Problems was Gemini Exchange Built to Alleviate?
The Gemini Exchange helps to reduce hesitation on the part of large traditional investment firms. For years, analysts have predicted a flood of institutional funding entering the cryptomarket. However, these firms need to meet certain regulations to participate in the market. Gemini fulfills these goals as a US-regulated cryptocurrency exchange.
The network operates as a regulated cryptocurrency exchange, wallet, and custodian. The network took the unique route of filing for status as a New York State limited liability Trust rather than a Bitlicence. This strategy enables the exchange to function similarly to Wall Street exchanges rather than as a crypto platform.
The Gemini exchange is licensed and insured. All fiat deposits are FDIC insured up to $100,000 just like your local bank account. Additionally, the platform integrates enterprise-level security features such as cold storage wallets for user funds and 2fa support. These features have helped the network retain its status as secure. The exchange has never been hacked and has earned a reputation as one of the most secure CEXs available to US investors.
What Problems was META Exchange Built to Alleviate?
The META Exchange reduces a variety of problems faced by investors today. For one, it reduces centralization in the market. Large CEXs such as Gemini act as choke points in the sector. These platforms create areas of centralization that open up attack vectors and reduce protections against censorship.
Non-custodial
This platform operates as a non-custodial DEX (decentralized exchange). It enables users to trade digital assets in a peer-to-peer fashion directly from their wallets. DEXs are more secure than CEXs because they never hold your crypto directly. Additionally, since there’s no centralized wallet holding millions in crypto from users, there is little reason for hackers to focus their efforts on these platforms.
For example, whenever a CEX is hacked or is conducting a major upgrade, you may find that you are unable to access your account. Given the volatility of the crypto market at times, this inability to access your funding can result in major losses. The same goes for network upgrades. It’s even been posted by users online that CEXs will intentionally limit the trading of assets when extreme volatility is in play.
The META Exchange provides a manner for investors to trade digital assets directly. This ensures that only you have access to your funds. You are never locked out of your account, or have to wait for a network upgrade to complete to access your coins. In this way, DEXs improve the investor experience considerably.
Lack of Privacy
Another major issue that the META Exchange helps to eliminate is privacy concerns. In the digital age, it’s vital to protect your privacy. Unlike cash, a digital thief can target you from a distance and attack your holdings without ever appearing in your location. In many instances, a long-term phishing attack can be used to slowly get enough information on you to eventually steal your identity.
When users trade on CEXs, they must provide a lot of personal and banking information. This data is then stored by a third party to meet regulatory requirements. Sadly, these groups aren’t great at protecting your information. Even the largest and most advanced tech firms like Microsoft and Apple have had their data breached and users’ information stolen.
DeFi users recognize that privacy is paramount to their security. They use non-custodial platforms like META 1 that don’t require you to submit your information. Instead, the network simply requires you to connect your wallet to start using the features. This approach is more convenient and it prevents the risk of future identity theft due to data breaches.
Volatility
Another problem that the META Exchange helps to elevate is volatility in the market. Volatility is good for day trading but it can be a real problem for savers. Recognizing that volatility is an issue, especially for those new in the sector, the META Exchange introduces a new type of stablecoin into the equation.
The META 1 stablecoin is a multi-asset-backed protocol that derives value from a basket of gold-related assets. The token is decoupled from the volatility of the market using this structure. This theory was put to the test recently during the massive sell-offs. The META 1 stablecoin maintained its value and even grew 1.25% since the start of the month.
The META 1 stablecoin enables traders to exit the market to a safehaven asset without the added costs of using fiat currency. Additionally, it’s a better store of value than fiat currency because as the gold-related assets appreciate, the token’s value rises accordingly. This approach means that savers can grow wealth and escape inflation.
It’s better than Fiat Stablecoin
It’s crucial to understand why the META 1 stablecoin is better than fiat pegged alternatives found on other exchanges like Tether USD (USDT). Fiat stable coins suffer from the same bad monetary decision that makes fiat currency a problem for many savers. Notably, politicians make laws that have no fiscal understanding which results in inflation.
This loss in buying power affects fiat pegged stable coins the same way it affects fiat currency. As such, those who are saving using these options are losing money as the interest rates paid on these assets can’t keep up with inflation and the rising cost of living. META 1 provides a better alternative that’s secure and self-appreciating.
How Does Gemini Exchange Work?
The Gemini Exchange combines a variety of features to provide an institutionally friendly approach to the market. The network leverages a secure custodial wallet, a native stablecoin called GUSD, a mobile app, a savings account, and more. Here are some of the top features that helped Gemini rise to its top position.
GUSD
GUSD is a fiat-pegged stablecoin that enables investors to avoid market volatility. The coin is backed by US dollars held at State Street Bank and Trust Company and offers 1:1 transferability back to US dollars at any time. Notably, Gemini is transparent with the token’s backing. They conduct third-party audits frequently to provide investor confidence.
Mobile Dapp
The Gemini mobile Dapp is a core component of the system. This interface enables users to participate in the network from anywhere globally and on the move. The Dapp was built to streamline trading activities and features an interactive dashboard with all the top features only a click away.
Gemini Saving
Another cool feature offered by Gemini is savings accounts. The exchange partnered with BlockFi to provide this DeFi feature to its clients. The interest rate for this account is 8.6% APY, which dwarfs the 0.25% paid out on fiat bank accounts in the US.
Flexa
Gemini users can spend their crypto how they like. The network enables users to purchase products at participating retailers using cryptocurrencies via the Flexa feature. Anyone can spend Gemini dollars (GUSD), Bitcoin, Bitcoin Cash, and Ether at top retailers. For example, Nordstrom, GameStop, Whole Foods, and Home Depot are all popular options.
Nifty Marketplace
The Gemini Nifty Marketplace is a new feature that the exchange added to support the budding NFT sector. Users can research, buy, and sell digital art and collectibles on this market with ease.
How Does META Exchange Work?
The META Exchange provides users with everything they need to transfer to the digital economy. The META Exchange leverages the lightning-fast META blockchain to provide responsiveness and transaction throughput on par with the NYSE. Consequently, the platform has near-instant finality.
Joining the META Exchange is easy. The protocol has a fiat to crypto portal called Onramper. This feature streamlines the entire process. You can convert over 50 different fiat currencies to META 1 coins using the interface. You can save time and money converting tokens directly rather than using a CEX or third-party like many DeFi networks require.
The META Exchange includes a high yield saving account feature called the META VAULT. This option pays out 10% interest on your holdings. The national average for fiat currency savings accounts is only 0.03%. The META VAULT provides a profitable alternative that is both low risk and very simple to use.
For new DeFi users, the META VAULT is ideal because they can secure consistent returns without any risk of losing their saved assets in the process. Best of all, your savings account interest gets paid out directly to your network wallet. From there, users can decide to stake their rewards and earn even more profits.
META VAULT VISA
There is also a META VAULT VISA debit card feature that allows you to spend your crypto anywhere that accepts VISA. In the past, you needed to find a vendor that accepted cryptocurrencies or convert your tokens to fiat to spend your crypto in most venues. The META VISA Debit changes all of that forever.
This flexible card converts your crypto to fiat the moment you swipe it. The process takes the same time as a normal VISA transaction and the vendor receives fiat currency. In this way, META 1 pushes the boundaries of DeFi and blurs the line between the traditional and decentralized economies.
Gemini Exchange vs META Exchange – Clash of the Titans
After reviewing the facts, it’s easy to see that these platforms are designed to service opposite ends of the investor spectrum. Gemini was built from the ground up to provide confidence and a regulated trading experience to large institutional investors. Reversely, the META exchange focuses on providing a secure trading experience to individual investors. Notably, businesses, investment firms, and governments are not even permitted to hold META1 Coins. As such, both of these exchanges have a bright future in their respective niche markets.