Connect with us

Market

Game Changer for DEX Industry

Published

on


For the time being, the DEX industry is still in its infancy. Facilitating swaps of tokens on the same blockchain is possible, but the time has come to explore the next frontier in the form of cross-chain trading.

Decentralized exchanges continue to make their mark on the cryptocurrency. To take things to the next level, big changes will need to be made. Tapping into cross-chain liquidity needs to be the priority for all providers. 

Current DEX Landscape

Glancing over the current statistics for all major DEXes in the world, it is evident there is no real competition. Uniswap dominates the weekly volume with over 64% of all trades. This is well ahead of Curve (14.4%), 0x (7.79%), Sushiswap (6.94%), and Balancer (2.32%). In terms of actual trading volume, we are talking about roughly $3.05 billion in the past 7 days. Not a bad overall figure, but clearly lower compared to centralized exchanges.

One of the key reasons why this deficit remains in place is the lack of cross-chain support on decentralized exchanges. All of the platforms mentioned above fish in the same Ethereum pond, so to speak. None of them is capable of attracting liquidity from other ecosystems, unless assets are tokenized on Ethereum first. It creates a big hurdle to entry that shouldn’t even be there in the first place. 

In fact, when looking at all of the DEXes tracked by Dune Analytics, none of them supports cross-chain support. That may be because they are not tracking all platforms, as there are a few projects on the market already. In my opinion, this clearly illustrates there is a market segment waiting to be explored. 

Why We Need Cross-chain Trading

To the average onlooker, cross-chain trading support may not seem all that important. After all, virtually all centralized platforms support the conversion between different assets. While that is certainly true, the same can clearly not be said about DEXes. This seems to reinforce the idea of how cross-chain trading can only work when centralized intermediaries are present. In reality, that is not a mandatory requirement by any stretch of the imagination. 

Centralized exchanges are rather vulnerable to attracts and human “misdoings”, as we have seen with both OKEx and BitMEX in recent times. These incidents are a stark reminder of why this industry needs leaderless solutions for trading. At its core, Bitcoin was created to cut out the middlemen. For reasons unknown, a large portion of its trading volume comes from platforms controlled by the same middlemen. 

Being able to swap value from one chain to another without intermediaries, oversight, or even account registration is crucial in my book. It is a crucial step toward unlocking the full potential of decentralized cryptocurrency trading. There are a few core benefits to explore:

  • The potential creation of brand new trading markets
  • Sourcing more liquidity than ever before
  • Users remain in control (your keys, your coins)
  • No account signup required

Keeping all of those advantages in mind, it almost seems like a no-brainer to explore cross-chain trading on decentralized exchanges. 

This Concept Is Not New

Back in 2019, the Wanchain team introduced its cross-chain DEX prototype. The team acknowledges the potential of tapping into cross-chain liquidity for decentralized trading. Considering how this announcement is over a year old, one could argue it may have been ahead of its time. After all, we are nowhere near mass DEX adoption either.

Fast forward to today, and there are a few other examples tapping into the cross-chain aspect. I find Switcheo an intriguing example, as it has a working system that allows users to explore USD, BTC, ETH, and NEO markets. Granted, it uses tokenized versions of Bitcoin on both the NEO and Ethereum blockchain, but it is a start. 

The platform also raised $1.2 million from investors, including well-known DeFi supporter MXC Exchange. Even centralized exchanges acknowledge there is a lot of potential to be unlocked where DEXes are concerned. 

A project such as Polkastarter is worthwhile too, in my humble opinion. Although it is not a DEX in the traditional sense, it provides cross-chain rails to be integrated into any decentralized exchange or dApp. Solutions like these will be in higher demand as more time progresses. 

Last but not least, I want to take a closer look at Chocoswap, a DEX aimed to be built on Ontology. It too is a cross-chain DEX that aims to allow for trading between different ecosystems. While it has not launched on the mainnet yet, I find it heartwarming to see numerous projects explore the boundaries of cross-chain trading in a decentralized manner. 

Closing Thoughts

For the time being, the DEX industry is still in its infancy. Facilitating swaps of tokens on the same blockchain is possible, but the time has come to explore the next frontier in the form of cross-chain trading. It will take time to build the necessary infrastructure, but that is to be expected.

I wonder if the future will involve more synthetic tokens as well. As we have seen with Wrapped Bitcoin, it is one of the top DeFi assets when ranked by market cap. In fact, this asset has received a lot of attention primarily due to decentralized finance. 

Other synthesized assets have also made their mark on the industry, including CDAI – which has a higher market cap ($1.394 billion) than DAI ($955.653 million) – as well as CETH, RenBTC, and others. It is a very interesting space to keep an eye on, and we have only just begun exploring the possibilities.

Ultimately, I hope to see proper decentralized cryptocurrency trading take form. Not with synthetic assets or bridged tokens. Instead, we need to find ways to make all blockchains talk to one another to exchange value. For now, that seems like a faraway dream. That said, the cryptocurrency industry can make anyone’s dreams come true. 

next Altcoin News, Blockchain News, Cryptocurrency news, News



Source link

Up Next

Bitcoin Gets Ready for a New Type of Hedge

Don't Miss

Family Offices May Now See Bitcoin as Alternative to Gold: JPMorgan Report

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Market

JPMorgan Acquires Nutmeg Robo-Advisor, Furthering UK Retail Banking

Published

on

By


Before the deal, JPMorgan and Nutmeg had partnered late last year to offer clients an assortment of globally diversified exchange-traded funds (ETFs).

JPMorgan Chase & Co (NYSE: JPM) said Thursday it has closed a deal to purchase Nutmeg, an online investment management service, for an unnamed price. US biggest bank hopes the agreement, which awaits regulatory approval, will complement its launch of a standalone digital bank brand in the UK during the year.

Using the latest technology from Nutmeg will help boost JPMorgan’s retail and institutional push since the company aims at establishing as many branches as it can outside the US.

With over £3.5 billion (4.9 billion) worth of assets under management, the decade-old Nutmeg is one of the UK leading and award-winning robo-advisors. The company offers various investment accounts including Individual Savings Accounts (ISAs), general investment, and pensions accounts.

Additionally, its competitors include Wealthsimple, Moneybox, and Moneyfarm. Before the take-over, Nutmeg had raised over $150 million in investments from Goldman Sachs and the British venture capital firm – Balderton Capital.

JPMorgan CEO Jamie Dimon stated last year that the banking giant would be “much more aggressive” in adding assets by conducting more acquisitions. The bank may also be stepping up to competition from adversary Morgan Stanley (NYSE: MS) which, in recent years, has spent $20 billion in merger agreements with E-trade and Eaton Vance.

Dimon also mentioned leveling up against blue-chip tech firm Alphabet Inc (NASDAQ: GOOGL) and other fintech firms such as PayPal Holdings Inc (NASDAQ: PYPL).

JPMorgan Stock Market and Nutmeg Acquisition

Before the deal, JPMorgan and Nutmeg had partnered late last year to offer clients an assortment of globally diversified exchange-traded funds (ETFs). This is not the first time the bank has partnered with a company then acquired it later. In October 2020, JPMorgan partnered with 55ip, a tax-smart fintech start-up, then bought it a couple of months down the line.

Differing regulatory guidelines in Europe and the UK made it necessary for JPMorgan to purchase the robo-advisor, rather than use investment technology available in the US. However, its US-based investment service You Invest is currently doing well, with assets valued at about $50 billion, as Dimon states.

JPMorgan’s tech initiative marks one among many happening in Britain’s retail banking sector. Banks such as Revolut, Starling, and Monzo manage digital-only checking accounts which have attracted a host of clients. Going by data from Innovate Finance, FinTechs in the UK probably make up the world’s largest markets, having pulled in $4.1 billion investment from venture capitalists as of last year.

JPMorgan Securities served as financial advisor in the JPMorgan-Nutmeg transaction, while Freshfields Bruckhaus Deringer acted as legal counsel. Arma Partners was Nutmeg’s financial advisor and Taylor Wessing was legal counsel.

As of June 17, 2021, at 7:59 p.m. EDT, JPMorgan stock closed at $151.76, down 2.89%. In the after-hours session, it was trading at $151.48, down 0.18% in 24-hours.

next Business News, Deals News, FinTech News, Market News, News

A financial analyst who sees positive income in both directions of the market (bulls & bears). Bitcoin is my crypto safe haven, free from government conspiracies.
Mythology is my mystery!
“You cannot enslave a mind that knows itself. That values itself. That understands itself.”



Source link

Continue Reading

Market

MSFT Stock Still Attractive following Appointment of Microsoft CEO Satya Nadella as Chairman

Published

on

By


The tech giant Microsoft announced yesterday that its CEO Satya Nadella had been named chairman of the board.

Microsoft Corporation (NASDAQ: MSFT) stock is trading today at around $258.06 (+0.26%) following the announcement that Chief executive officer Satya Nadella has been appointed as its new chairman, in place of John Thompson.

Microsoft Corporation stock has always been deemed a finished product and unlikely to produce anything great in the long run because they are already big. Many investors are skeptical about the long-term outlook of Microsoft stock regardless of its advantages as a huge tech company. Microsoft Corporation has however recorded impressive numbers this year as continues to grow despite having a $2 trillion market cap.

Microsoft Corporation’s total revenue saw a $6.7 billion rise year over year in its Q3 fiscal of 2021, with every sector of the tech giant, contributing to this growth. Microsoft’s commercial cloud revenue, Azure, and Dynamics 365 grew 33% year over year to $17.7 billion. The tech company’s cloud computing business, Azure, saw its revenue rise by 50%.

The company paid out $16.1 billion in dividends to shareholders over the trailing 12 months ending March 31, with a dividend yield of 0.9%. Although Microsoft’s dividend yield may look small, its current quarterly dividend of $0.56 is up from $0.36 just five years ago and is currently only paying out 30% of its free cash flow in dividends, to make room for annual dividend increases.

Microsoft, shuffling its leadership also couldn’t have come at a better time. The tech giant announced yesterday that its CEO, Satya Nadella has been named chairman of the board. Nadella who according to a statement from Microsoft was “unanimously elected” to replace John Thompson, has served as the chief executive officer of the tech company since 2014 and has played an integral role in pushing the company to what it is now a trillion-dollar corporation.

Nadella saw the billion-dollar acquisition of LinkedIn, ZeniMax, and Nuance Communications. Thompson, who took over as chairman from the company’s co-founder Bill Gates in 2014, will serve as a lead independent director, according to Microsoft

The appointment of Nadella as Microsoft Chairman comes after the company was subjected to intense criticisms of an unprofessional workplace and sexual harassment allegations after news broke on an affair between its co-founder Bill Gates and an employee back in 2000. Bill Gates’s representatives acknowledged the relationship which reportedly happened while he was chairman of the board.

Microsoft’s board has revealed that it launched an investigation into the matter two years ago but declined to comment on whether its board has decided to let Bill Gates go.

next Business News, Market News, News, Stocks, Wall Street

Crypto fanatic, writer and researcher. Thinks that Blockchain is second to a digital camera on the list of greatest inventions.



Source link

Continue Reading

Market

Apple to Debut Faster Watch with Temperature and Glucose Testing Capabilities, AAPL Stock Slightly Up

Published

on

By


Beyond the company’s move in seeking advancement in its smartwatch, it is also working assiduously to explore new areas, notably in the Apple car pursuits.

American multinational technology company Apple Inc (NASDAQ: AAPL) is set to debut a faster model of Apple Watch as the tech giant seeks to beat competitors in terms of product performance. Per a Bloomberg report citing people close to the company’s plans, the proposed new Apple Watches will also brandish the abilities to check temperatures and user’s blood glucose levels.

The Apple Watch was debuted in 2015 and has grown to become a vital part of the Cupertino-based company’s product suite. While the watches have seen bigger upgrades in times past, the currently scheduled boost will place it at the echelon of smartwatches with unique capabilities in the market. The temperature check feature became a necessity following the advent of the COVID-19 pandemic, and the increased demand for handy temperature checkers.

As against the usual format for checking blood glucose levels, the feature designed into the Apple Watches will not involve pricking fingers for traces of blood. Instead, the Apple technology will analyze the blood without being invasive, according to the Bloomberg report. The new model dubbed the Apple Watch Series 7 also has a faster processor, improved wireless connectivity, and an updated screen. 

The Apple Watch with the temperature capability may not be hitting the market until the next year 2022, while that designed to check blood glucose may take a couple more years before it is available commercially.

Apple stock is currently trading at $127.79 in the pre-market, representing a growth of 0.35% from the previous close.

Beyond Apple Watch, the Company Is Expanding Its Product Suite

One of the major tenets of the top technology companies including Apple is the ability to innovate and match with the competition. Beyond the company’s move in seeking advancement in its smartwatch, it is also working assiduously to explore new areas, notably in the Apple car pursuits.

While the details of the Apple self-driven car production remain sketchy, CEO Tim Cook once confirmed the firm is building its tech in autonomous systems. Per his word;

“We’re focusing on autonomous systems. It’s a core technology that we view as very important. We sort of seeing it as the mother of all AI projects. It’s probably one of the most difficult AI projects actually to work on.”

Many have attributed this comment to the proposed self-driven cars which have been spotted on many occasions being tested by the company on the streets of California. The latest update from the Apple cars involves the potential pursuit of a partnership with either Contemporary Amperex Technology Co. Ltd. (CATL) and BYD Ord Shs A (SHE: 002594) for Lithium Iron phosphate batteries supply, according to an earlier Coinspeaker report.

The deal has neither been confirmed by either Apple or the two companies, however, people close to the matter noted the conditions to set up a plant in the United States set by the former is of disinterest in CATL. The cost considerations and the unrest between Washington and Beijing are the major considerations to pull the deal through.

Apple’s ties with Chinese firms are well engrafted as the assembling of the proposed upgraded main Apple Watch will be done by Luxshare Precision Industry Co Ltd (SHE: 002475). The Apple Watch SE is billed to be assembled by Foxconn Technology Co Ltd (TPE: 2354) alongside Taiwan’s Compal Electronics Inc (TPE: 2324).

next Business News, Market News, News, Stocks, Technology News

Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.



Source link

Continue Reading
Advertisement

Trending