There are several security features that decentralized exchanges (DEXs) can implement to protect users’ assets and prevent unauthorized access to their accounts. Some of these features include:
1. **Non-custodial:** DEXs do not hold users’ assets, which means that they do not have control over them. This reduces the risk of funds being stolen or lost due to exchange hacks or mismanagement.
2. **Encryption:** DEXs can use encryption to protect users’ personal and financial information, as well as the integrity of their transactions.
3. **Multisignature:** DEXs can use multisignature (also known as “multisig”) technology to require multiple parties to sign off on transactions before they can be executed. This can help to prevent unauthorized access to users’ accounts.
4. **Smart contracts:** DEXs can use smart contracts to facilitate trades and enforce the terms of a transaction. This can help to ensure that trades are executed accurately and transparently.
5. **Auditing:** DEXs can undergo independent security audits to identify and address potential vulnerabilities in their systems.
An option to allow users to revoke token approvals/permissions within the platform. Most users do not know this, and this could lead to devastating results.