CZ proposed a new idea, called "Dark Pool DEX", which is a decentralized exchange, but unlike ordinary DEX, it hides order and wallet information from others. Why do you do this? Because the order book of DEX is now public, once the big players place an order, others can see it, and then snipe these large orders through preemption or MEV, causing the big players to lose money. Dark Pool DEX wants to use the high technology of zero-knowledge proof to encrypt transaction details, protect big players, and allow them to trade with peace of mind.
Advantages:
Anti-sniping: large orders will not be seen by others, and transactions are safer, especially suitable for wealthy people or institutions.
Market stability: no one knows the settlement point of large orders, so the market is not easily messed up by malicious intent.
Technical Bull: It can promote the development of privacy technology, and DEX may be more advanced.
Disadvantages:
Opaque: Blockchain emphasizes openness and transparency, and dark pools hide information. Some people think this goes against the spirit of decentralization.
Technical difficulty: Encryption technology is complex, and transactions may become slower and more costly if not handled properly.
Regulatory troubles: This method of hiding information may be watched by the government for fear of money laundering.
Difficult to use: For ordinary people, it may be more complicated to use, and the experience may not be good.
