Korea’s second-biggest cryptocurrency exchange Bithumb has announced that the company will be launching a decentralized exchange in the coming months, Business Korea reports.
The new exchange, dubbed Bithumb DEX, will be unveiled by an overseas subsidiary be the end of this month. Bithumb is working with global blockchain firm One Root Network (RNT) who will be providing technical support once the new exchange opens.
The announcement forms part of Bithumb’s larger plan to expand into the global cryptocurrency market through various overseas expansions.
An official from the industry said, “Bithumb is one of the leading global exchanges in terms of transactions but it is true that most of its users are Korean. The latest decision seems to be the company’s strategy to compete with other leading exchanges in the global market by opening a decentralized exchange that receives attention in the global market.”
A decentralized exchange differs from the centralized version in that a decentralized exchange doesn’t have to rely on a third-party service to trade cryptocurrencies, instead favoring an automated process. This results in a higher level of security and the ability to diversify services.
The world’s largest crypto exchange, Binance announced announced recently that it too was in the process of launching a decentralized exchange which is set to launch by 2019.