Buy Mdex in Canada

A free beginner guide on how to buy Mdex in Canada.

What is Mdex?

MDEX is a new decentralized trading protocol that was only launched in January 2021, but which has already usurped Ethereum’s Uniswap and SushiSwap, Binance Smart Chain’s PancakeSwap and the 1inch exchange in popularity, flippening Uniswap as the number 1 ranked DEX on CoinMarketCap as of March 2021.

MDEX is an automated market making (AMM) decentralized exchange protocol that operates on the concept of fund pools, sharing some similarities with standard DEXs, but differentiating itself from competitors by using a dual-chain model modeled on both the Ethereum network and the Huobi Ecological Chain (HECO). This allows it to benefit from both the super-low transaction fees of HECO and deep liquidity of the Ethereum ecosystem.

As a trading platform built on top of HECO, MDEX is currently leaving Uniswap behind in terms of cost and speed. The estimated cost for token swaps could drop as low as $0.001 for each trade. In addition, the transaction speed on the HECOChain-hosted DEX can achieve finality in as little as three seconds.

At the time of this writing, MDEX dominates the DEX market’s trading volumes, commanding around 38-40% of the total market share, with a 24 hour volume of nearly $1.7 billion — this is twice that of previous leader Uniswap, which holds around a 23% share with $1.1 billion in volume. This comes as the governance tokens of the leading DEX protocols are soaring to new record highs.

The vast majority of DeFi projects live on the Ethereum network as ERC-20 assets, but considering its status quo of expensive gas fees and slow transaction speeds, the world's number two blockchain will to step up its game soon or risk having its DEX projects migrate to other more efficient chains for good.

Most newly-developed protocols heavily consider scalability factors in their choice of blockchain networks if they want a fast adoption rate. Uniswap at least had an early-mover advantage, since it launched before the Ethereum network became heavily congested — and some say that Uniswap itself is one of the main reasons for the network’s congestion), However, Uniswap’s market majority could change really fast if second-layer solutions are not rolled out in time and deliver their expected results.

Meanwhile, Huobi is aggressively expanding its reach in the space, firmly intent on further developing the HECO ecosystem.

Check out Uniswap here.

1. Create accounts

In order to buy Mdex in Canada you will need both a Canadian (local) exchange account and a global exchange account. You will need to buy one of the main cryptocurrencies on the Canadian exchange and then transfer that to the global exchange you registered with which trades Mdex.

The first step in this process is to gain the ability a mainstream cryptocurrency with Canadian dollars. For this you will need a local exchange account, currently we recommend Newton or Shakepay.

If you want to buy Mdex right now, without going through the full verification process, and if you want to buy only a small amount ($375 CAD or less) consider using Coinbase.

For a more comprehensive guide and comparison of the various exchanges, see the Exchanges Guide.

Next, you will need to create an account on a global exchange. This will allow you to trade the cryptocurrency you bought in the previous step for Mdex. Unfortunately, it's not possible yet to do it all on the same exchange. Which is why you need to use multiple exchanges.

We recommend using Binance

For a more comprehensive guide and comparison of the various exchanges, see the Exchanges Guide.

In order to fund your local exchange accounts you will need to verify your identity. This often involves sending in copies of your drivers license, a utility bill, and in many cases a selfie of you holding your ID. This is normal ask for verification on exchanges.

As for verification on global exchanges, the verification is usually faster and less intense, as long as you are strictly using cryptocurrencies and not doing fiat transactions. For example on Binance you do not need to verify if you are withdrawing 2 BTC or less.

2. Buy your cryptocurrencies

Now that you have both a local exchange account and a global exchange account it's time to make your purchases. You need to buy XRP or ETH, transfer it to a Global exchange, and then place an order to trade it for Mdex.

The first step is buy one of the main cryptocurrencies that you can trade for alt coins. If you are on Newton I'd buy XRP, if you are on Shakepay buy BTC.

If you are not using Binance, it is a important to verify that your global exchange will trade the cryptocurrency you are buying in this step for Mdex.

Login to your local exchange and buy your desired amount of Mdex in XRP or ETH. We currently recommend buying with XRP as it provides a faster network transfer time and cheaper network fees than Bitcoin/Ethereum. BTC is ok if you are using Shakepay as they will cover the network fees to transfer to Binance or another exchange.

The next step is to transfer your XRP or BTC from your local exchange account to a global exchange. For example, from your Newton or Shakepay account to your Binance account.

This involves getting the funding wallet address from Binance account and withdrawing to it from your Newton or Shakepay account.

You will need to wait for the transaction to complete. Once you see the funds appear in your global exchange account you are ready to proceed to the next step.

The next step is to actually buy Mdex. In your Binance (or similar) account place an order to trade the crypto currency for Mdex.

The fastest way is to place a market order which buys Mdex for the current market price on the exchange. However, consider using a limit order to get a better price, but remember if the market price does not hit your limit price your order will not be filled.

3. Storing your Mdex

If you just bought some Mdex you are currently storing it on the exchange you bought it on. This is OK if the value is small. However, if you own a significant amount it is best practice to transfer your cryptocurrencies to a wallet that is not an exchange.

If you are just getting started you will probably want to use a software wallet. They are typically free and are considered more secure than leaving Mdex on a exchange.

Feel free to do a google search to research what wallets are available and know what the options are.

Once you have decided on a wallet, follow the instructions to get it setup then withdraw your Mdex from your exchange account. It is common for a small network fee to be associted with the withdrawal.

The safest way to store Mdex, or any cryptocurrency, is with a hardware wallet that is not connected to the internet. This is to prevent it being stolen or hacked from a exchange or a wallet connected to the internet.

Consider looking at the Ledger line of hardware wallets. They have been in the industry a number of years and offer one of the widest selections of devices.

This is generally not recommended. However, you might want to do this if you are actively trading Mdex. Be aware you are taking an extra risk. Exchanges have been known to get hacked or disappear, search QuadrigaCX scandal.

The main advantage of doing this is instant access to your Mdex, and saving the fees associated with transactions and withdrawing.

Always consider the reputation and size of the exchange if you are storing a cryptocurrency asset on it.

Generally speaking, I do not keep a balance on any of the local exchanges. If I am going to hold a balance of a cryptocurrency coin/asset on an exchange it will be Binance as they have the most robust platform. However, use this information at your own risk. The safest place for your crypto assets is a hardware wallet like Ledger.

Regardless of the exchange, if you are holding assets on the exchange, make sure you enable two factor authentication and use a separete secure password on the account.

Summary

  1. Create an account on a local exchange.
  2. Create an account on a global exchange.
  3. First, buy XRP or BTC on the local exchange and transfer it to Binance.
  4. Next, trade XRP or BTC for Mdex
  5. Store your Mdex, consider getting a software or hardware wallet.