Cryptocurrency has taken the world by storm during the last few years. An entirely new financial market was created almost overnight which has captured the imagination of all its participants. Cryptocurrency is even starting to attract institutional money from investment banks, hedge funds, and other proprietary trading firms. Despite the rapid growth, traders remain extremely frustrated by having to deal with the fragmented nature of centralized crypto exchanges.
A Change is Needed
When cryptocurrency first began, there weren’t many participants and the trading volume was relatively insignificant. But, over time, that has radically changed. Some tokens now have a capitalization in the billions and are being traded 24-7 by institutions all over the world. Despite the volume, significant problems exist with the current way that exchanges work. Some of those problems include the following:
- Constant fear of hackers
- Exchange manipulation
- Fragmented liquidity
- Risk of identity theft
One of the biggest issues regarding centralized exchanges is the risk of being hacked. These hack stories seem to always be circulating around the internet. While experienced traders may have the tools to avoid becoming a victim, potential new traders have zero interest in dealing with this. And it’s not just the small exchanges that are at risk. Even large exchanges, such as Mt. Gox and Binance, are subject to being hacked.
Another huge risk is having to deal with token manipulation. Unfortunately, there are many altcoins that just aren’t that popular at the moment. In these cases (and there are currently many), exchanges want to charge the token owners in order to “pump” the volume. It’s dishonest and unethical. It hurts crypto traders and it scares away potential new listings.
The risk of identity theft is also a very real possibility. Most exchanges have a daily limit on trading and withdrawals. If a trader wants to increase those limits, they need to submit their identification, such as a passport or other government ID, through an email. In today’s world with so many reports of data theft, especially in the world of cryptocurrency, does anyone really feel comfortable doing that? I certainly don’t.
One last huge problem is fragmented liquidity. Unlike the equity markets, where the prices and bid/ask sizes are standardized, it isn’t the same in the world of crypto. Each exchange maintains its own bid/ask size, its own bid/ask prices, and its own volume. Someone may see a favorable price on one exchange but because they don’t have an account there, they can’t trade it. It’s a huge problem that needs to be addressed in order for the industry to progress.
Although it will take a lot of work to solve all these issues, ICTE may have the answer for several of them.
What is ICTE?
Interplanetary Crypto Token Exchange (ICTE) is a cross-blockchain exchange federation with distributed IEO capability that vastly improves upon the archaic model of cryptocurrency exchanges. Because ICTE is an exchange federation comprised of several regional cross-blockchain exchanges, the liquidity pool will no longer be fragmented as it currently is under the centralized exchange model. Traders will no longer have the frustration of having to have multiple exchange accounts in order to trade size or receive favorable prices.
ICTE Business Model
ICTE will generate the bulk of its revenue from the following:
- Transaction Fees
- IEO Listings
- Membership Dues
- Validation Expenses
- Market Data and Enterprise Sales
Even during a fairly slow trading period like now, the 24-hour total volume across all cryptocurrencies was $54 billion. If ICTE can penetrate that market and make a compelling case of why traders should shift away from the centralized model, the business could stand to reap a windfall. Factor in the potential revenue from market data and enterprise sales and the figures quickly become compelling.
When looking around at different crypto projects, one thing I’ve been disappointed with is that the management’s experience doesn’t necessarily correlate to the business they’re trying to build. Fortunately, that isn’t the case with ICTE. The company is led by an extremely competent team with experience in different areas such as trading, market making, and FinTech. That experience is likely to pay big dividends as the business progresses from concept to a full-blown realization.
The next few years will be quite fascinating to see how the cryptocurrency market evolves. It has come a long way since 2010, but it still has so much further to go. There are still some very serious issues and problems that need to be fixed in order for crypto to get to the next level. ICTE may help bring about those changes thanks to its interesting and useful business model.
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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.
XNO Token of Xeno NFT Hub listed on Bithumb Korea Exchange
Hong Kong, Hong Kong, 25th January, 2021, // ChainWire //
Xeno Holdings Limited (xno.live ), a blockchain solutions company based in Hong Kong, has announced the listing of its ecosystem utility token XNO on the ‘Bithumb Korea’ cryptocurrency exchange on January 21st 2021.
Xeno NFT Hub (market.xno.live ), developed by Xeno Holdings, enables easy minting of digital items into NFTs while also providing a marketplace where anyone can securely trade NFTs.
The Xeno NFT Hub project team includes former members of the technology project Yosemite X based in San Francisco and professionals such as Gabby Dizon who is a games industry expert and NFT space influencer based in Southeast Asia.
NFT(Non-Fungible Token) technology has recently gained huge focus in the blockchain arena and beyond, making waves in the online gaming sector, the art world, and the digital copyrights industry in recent years. The strongest feature of NFTs is that “NFTs are unique digital assets that cannot be replaced or forged”. Unlike fungible tokens such as Bitcoin or Ether, NFTs are not interchangeable for other tokens of the same type but instead each NFT has a unique value and specific information that cannot be replaced. This fact makes NFTs the perfect solution to record and prove ownership of digital and real-world items like works of art, game items, limited-edition collectibles, and more.
NFTs are already being actively traded in markets globally. For…
Should Crypto Projects Devote Resources to Community Growth and Marketing?
2020 has been an incredible year for crypto as investors have generated windfall profits and crypto projects have seen their businesses gain the spotlight they’ve been looking for. While Bitcoin has received most of the attention after major institutional investors announced they were accumulating the increasingly scarce asset, many altcoins have also seen their fair share of glory. When looking at all the big winners of the past year, the first project that probably comes to mind is Chainlink, having appreciated by more than 550% YTD and now valued at over $4.5 billion. But, the actual biggest winner of the year is HEX with a YTD return of over 5,000%.
I mention both of the above projects as they have each taken slightly different paths to achieve greatness. Chainlink has devoted resources toward building a fundamentally sound business with many strategic partnerships while HEX has spent vast sums of money on marketing and promotion. Both approaches are valid, but one thing is certain, it is absolutely imperative for crypto projects to let the crypto community know what makes them special. Of course, one of the reasons that makes crypto so valuable is the powerful blockchain technology that most projects are utilizing.
Cryptocurrency vs. Blockchain Technology
It’s important to make a distinction between blockchain technology and cryptocurrency. Although they are often used interchangeably, they are different. Blockchain technology and crypto were both created after the 2008 financial crisis, but cryptocurrency…
XENO starts VIP NFT trading service and collaborates with contemporary artist Hiro Yamagata
Hong Kong, Hong Kong, 24th December, 2020, // ChainWire //
The XENO NFT Hub (https://xno.live) will provide a crypto-powered digital items and collectables trading platform allowing users to create, buy, and sell NFTs. Additionally it will support auction based listings, governance and voting mechanisms, trade history tracking, user rating and other advanced features.
As a first step towards its fully comprehensive service, XENO NFT Hub launched a recent VIP service to select users and early adopters in December 2020 with plans for a full Public Beta to open in June 2021.
“NFTs are extremely flexible in their usage, from digital event tickets to artwork, and while NFTs have a very wide spectrum of uses and categories XENO will initially focus its partnership efforts and its own item curation on three primary areas: gaming, sports & entertainment, and collectibles.”, said XENO NFT Hub president Anthony Di Franco.
He also added “This does not mean we will prohibit other types of NFTs from our ecosystem However, it simply means that XENO’s efforts as a company will be targeted into these verticals initially as a cohesive business approach.”
Development and Procurement Lead, Gabby Dizon explained, “Despite our initial focus, we found ourselves with a unique opportunity to host some of the works of Mr. Hiro Yamagata. We are collaborating with Japanese artist Hiro Yamagata to enshrine some of his artwork into NFTs.”
Mr. Yamagata has been…