Xu Mingxing: The biggest risk of BRC20 DEX is compliance risk

ChainCatcher message, OKX founder Xu Mingxing tweeted, "Due to the Bitcoin network not supporting smart contracts, my understanding is that BRC20 DEX actually allows users to deposit tokens into a centralized wallet for exchange, and then sends them to the user's wallet.

I believe the biggest risk of this model is compliance risk, that is, the centralized wallet accepts deposits but does not perform any KYC and AML controls. The security of the wallet is also very critical." (source link)