Decentralized Digital-Asset Exchanges: Issues and Evaluation

Recently, Decentralized Digital-Asset Exchanges (DDAE) have received significant attention. This paper proposes six criteria to evaluate DDAE based on the Principles of Financial Market Infrastructure (PFMI), evaluate current DDAE systems with respect to two main protocols: inter-chain and exchange protocols. This paper introduces four inter-chain protocols and six exchange protocols, summarizes these protocols into several technical models and analyzes their characteristics. These analyses provide technical reference for the DDAE design in the future.