🛡️ Addressing Centralization Concerns
Recently, Feeless has faced some criticism regarding its centralization. In this article, we aim to clarify how our DEX architecture works and the design choices that allow us to remain flexible and transparent. Let’s start by reiterating that Feeless is not a centralized exchange (CEX), but a decentralized exchange (DEX), and we’ll explain why.
Feeless is based on a fork of the Balancer protocol, one of the most well-known and widely-used DEXs. This ensures the transparency and security of a decentralized platform, as the entire logic of swapping and pool management takes place via on-chain smart contracts. However, it is also true that, like most Web3 solutions, Feeless is a hybrid solution. It is important to underline this: there is no truly 100% decentralized Web3 application, as off-chain logic continues to play an essential role in many aspects of the infrastructure.
🌐 Chain Flexibility: Currently on IOTA, Tomorrow on Other Chains
Currently, Feeless is deployed on the IOTA EVM testnet, but we are free to choose other next-generation chains, such as Hedera. The decision to use IOTA at the moment was primarily driven by the advanced scalability and low fees of this blockchain, aspects that we consider fundamental to providing an optimal user experience. This flexibility allows us to adapt our architecture in the future and migrate to other networks based on market needs and the technical characteristics of different blockchains.
📊 Subgraph and Decentralization
Our subgraph is currently managed on our Kubernetes cluster. This is only a temporary solution: The Graph protocol does not yet support decentralized subgraph management on IOTA EVM networks. Once this becomes possible, we will migrate to a decentralized management model, consistent with our long-term vision. In the meantime, we continue to develop our subgraph to ensure maximum transparency and data availability.
💻 Hosting the Vue.js Application
The front-end application of Feeless, developed in Vue.js, is currently hosted in our Kubernetes cluster for convenience, but it can easily be deployed on any static hosting platform, including a decentralized IPFS (InterPlanetary File System) approach. This is one of the most appreciable features of our approach: it is possible to easily migrate the application to a fully decentralized infrastructure when platform adoption requires it.
🔍 Audits and Managed Pool
We have received feedback about potential audits needed when implementing more advanced features, such as our managed pool and a milestone-based liquidity bootstrapping pool to modulate liquidity release at the end of a campaign. This type of pool is designed to support decentralized crowdfunding and serves as the foundation for the crowdfunding application currently under development.
Audits will be crucial to ensuring user and investor trust, especially with the introduction of new features that manage liquidity dynamically and adaptively. We are committed to ensuring that every line of code is verified and that the implemented logic is secure and transparent.
🔗 Decentralization as a Goal
Feeless is not just a project for trading digital assets, but also an example of the evolution of Web3 applications. Temporary centralization of some components is often a necessary choice to ensure performance and stability, especially in the early stages of development. However, our goal is to gradually migrate all possible components towards decentralized solutions, in line with the vision of open finance and community participation.
Oracles play a fundamental role in this transition, enabling integration between on-chain and off-chain logic, and providing crucial information for the operation of liquidity pools and other advanced features of our DEX. We are constantly working to improve the decentralization of the infrastructure and ensure maximum transparency and security for users.
🚀 Looking Forward
We are also eagerly awaiting the release of IOTA 2.0, which will enhance the perception of complete decentralization of level 2 EVM chains.
📢 Follow Us
For more information, visit our website.
Stay updated by following us on Twitter, join our community on Telegram: @feelessltd, and subscribe to our newsletter.
