By
Wanguba Muriuki
July 29th, 2020
Sometimes to create an innovative solution it is necessary to combine the best sides of something already existing. And the hybrid platform EXPREAD can prove it.
Being a brainchild of an anonymous developer Bitcoin boasts of very specific peculiarities: decentralization, immutability and trustlessness. Bitcoin is a currency that isn’t owned by a concrete individual or company and there is no a single entity or institution that is able to execute control over it.
It can’t be stolen from you, there is no such a force that can freeze your account or can stop you from spending money without obtaining access to your wallet’s private key. Due to Blockchain you are able to truly own your money which was impossible with any previous financial instruments. The only thing you have to rely on is the algorithm. Your activity and results do not depend on any third-party guarantors and regulators, banks and governments.
Nevertheless, a lot of crypto traders today prefer to transfer control over their funds to third parties. Such intermediaries are usually centralized exchanges that let us quickly and comfortably trade and purchase crypto assets but often at the cost of our privacy and safety. After putting your money on an exchange it doesn’t belong to you any longer. You entrust it to an intermediary like you entrust your funds to a bank. It looks like a fiasco.
Centralized exchanges by their nature are deprived of the most number of security benefits that cryptocurrencies offer us. They can be easily hacked, moreover, heists, inside jobs and malfunctions are not unusual there.
As opposed to centralized exchanges decentralized ones fueled by smart contracts were offered. Nevertheless, their ineffectiveness due to slow trading engines, lower liquidity and a limited set of trade instruments has been already proven. Decentralized exchanges are so unattractive for traders that they prefer to risk on a centralised exchange than to spend time for ineffective solutions.
But technological progress is not static. A new player entered the game. And it is called EXPREAD.
EXPREAD is a hybrid solution designed to combine the advantages of centralized and decentralized exchanges. Like its centralized predecessors EXPREAD can boast of its sophisticated functionality and high performance of its trading engine. From its decentralized ancestors it has taken such benefits as higher security, fully transparent and auditable operations, as well as joint governance.
Leo Liu, CEO and co-founder of EXPREAD explained that “by introducing a new paradigm of operating crypto currency exchanges, EXPREAD platform aims to liberate the space while eliminating the high barriers of entry”.
Being unsatisfied with the current situation in crypto-exchange ecosystem EXPREAD team developed the concept of synergy value in the liquidity aggregation. A great number of individual exchanges leads to creation of isolated pockets with low liquidity that do not have a capacity to accommodate large volume traders. As a result disappointed customers just do not have a chance to execute the orders with the best price available in the market.
EXPREAD will offer the community a unique solution. It represents itself a unified trading engine with multiple exchanges built on top of it. The entire system is designed to distribute the reserves of the liquidity with an aim to avoid single point of failure. Every such exchange will be taken as an individual centralized entity but at the same time a seamless network with one order book, trading engine and liquidity pool will connect them creating a whole ecosystem. These shared resources will contribute to generation of synergy value from higher volume of offsetting orders, deeper market depth, effective price discovery and lower bid-ask spread for the end users.
But the liquidity problem is not the only one that will be solved. Due to the shared liquidity pool the barriers of entry in terms of initial capital required will be significantly reduced. So, EXPREAD opens unique opportunities for those who want to create their own crypto-exchanges. EXPREAD exchanges do not put forward requirements regarding a number of buyers and sellers to be operational. Exchange owners can focus on building and supporting their own network, community and existing client base, where they are able to create an atmosphere of confidence and trust, to develop their crypto-exchange practice.
One of the project’s primary goals is to build a loyal and engaged community. EXPREAD CEO Mr Liu said: “2018 promises to be an important year for our platform as the team puts forth a global agenda in order to ensure its fast and sustainable development through acquiring strong partnerships and further funding”. “We are inviting the active crypto enthusiasts to join our telegram global community in order to gain more insight directly from the founders and technical team of the platform,” he added.
With an aim to make the community a driving power of the platform’s development, EXPREAD has implemented an internal governance mechanism to see whether the entire ecosystem is moving in the right direction.
