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LIQNET – liquidity focused cryptocurrency exchange

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LIQNET - liquidity focused cryptocurrency exchange

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LIQNET.COM is a Singapore-based cryptocurrency exchange. But really it’s very different from any exchange you’ve seen before. More correctly would be to call LIQNET an exchange aggregator. LIQNET collects orders from other cryptocurrency exchanges into one single interface and allows users to trade at the best prices and large volumes.
So why is liquidity important? Liquidity is always a problem in a bear crypto-market. For a crypto whale, low liquidity basically means that you will not be able to buy or sell a significant amount of coins and miss out on profits or even lose money. According to a research conducted by the Blockchain Transparency Institute, more than 80% of  the volume exchanges show is fake. These exchanges are trying very hard to show that they are active and they have users and liquidity. Well, LIQNET is thinking outside the box here and aiming to disrupt the market with their own liquidity pooling technology.
Why liquidity matters?
The situation on the cryptocurrency market is completely different than on the currency market. Large transactions with cryptocurrency have a very serious impact on the change of quotations. This is due to the fact that the liquidity of cryptocurrency is rather low, and the lower the liquidity, the smaller the transaction can lead to a serious change in prices. So large traders face the problem that they have to pay significantly more than they planned because of this. There may simply not be enough coins for a deal at the exchange these large players have chosen.
How LIQNET works
LIQNET is a meta-exchange that collects orders from other exchanges through open APIs and allows them to be traded in one place. In addition to obvious convenience, this functionality greatly increases liquidity for LIQNET clients, and this is an increase in trading speed and, as a result, traders’ profits. This also has the added benefit that LIQNET is not competing with these exchanges, as it trades using their API and pays fees! So in effectiveness, LIQNET is a new generation of exchange built above existing infrastructure and improving on the negative aspects of exchange usage.
LIQNET’s liquidity collection mechanism is called LEN – a proprietary technology of the company. The name stands for Liquidity Exchange Network. It collects and combines the orders of clients of the exchange and the orders of other sites into one order book. So LIQNET clients can trade in this huge stream of orders and they have an edge over those who sit on the same exchange or try to monitor several separate platforms. Additionally, LIQNET allows for complex trading instruments some other exchanges don’t have, such as take profit, trailing stops, Iceberg, IFD, OCO, IFDOCO orders and more.
Safety first!
The head office is located in Singapore, where there are very strict cryptocurrency laws. This means that LIQNET complies with the most advanced international standards.
For the server part, they use a geo-distributed private cloud, while the client part consists of a web terminal. They cooperate only with experienced and reputable players, and each version of the exchange is subject to a strict independent security audit. There is a two-factor authentication, KYC through a reliable partner.
There are also other solutions:

  • Cryptocurrency storage on site [geo-distributed hot, cold wallets, addresses with multi-signatures for each currency];
  • Background clearing [checks the correctness of current balances and when there is a difference, it sounds the alarm and transfers funds to cold wallets and addresses with a multi-signature];
  • Storing the cryptocurrency outside the site [takes into account the working capital distributed over the crypto-transactions, allows you to transfer cryptocurrency between exchanges and the site];

You can read LIQNET’s whitepaper for more safety solutions here.
LEN utility tokens: discounted fees & immense growth potential
LEN token is the main community-building tool of LIQNET. Its owners will receive discounts on trading, so they will have a certain closed club of privileged investors. They will be able to communicate with each other in chat rooms and forums. LIQNET’s founders will listen attentively to the opinions expressed in them and will try to improve the exchange for customers every day. There are several key benefits token holders get.
First, holding tokens grants a discount of up to 90% on exchange fees. $10 worth of tokens grants you reduction of fees by 90%. Since average commission on the site is 0.15% this means that when you are trading from $6,666 you are already profiting from owning tokens and saving money on fees!
Second, holding tokens grants you voting rights like choosing what trading pairs appear on the exchange and ways to spend collected commissions. 1 LEN token = 1 vote.

  • Choosing trading pairs to be added in the future in addition to the pairs that will be added by the LIQNET developers;
  • Increase of the exchange’s marketing budget;
  • Increase of deposits on other exchanges to provide better liquidity for the LIQNET platform;
  • Choosing additional sources of liquidity for LIQNET in addition to the ones added by the LIQNET developers;
  • Buy-out of the tokens on our platform at current prices to support the demand for them thus evading low price token sales and, therefore, the access of users to ultra-high discounts in large volumes, which can lead to a drastic decrease of the volume of the exchange’s fees.

Third, and most important, LEN tokens have an excellent growth potential because LIQNET has strong fundamentals and an experienced team. Around a third of top exchanges have their own utility token and it can be a very strong investment instrument because it is tied to a working product. For example, you all know Binance and BNB – at creation BNB cost around 15 cents, now its over $6. Thats 40x. At its peak it cost $25 – thats 166x. And this is not only limited to BNB – other exchanges with their own token saw it grow 5 or even 10 times from the starting price.
You will also be able to earn by inviting your friends to LIQNET! And this referral system has tiers, if people you invite bring in more people, you will get a % from those people as well.
What’s really awesome about our multi-tiered referral program is that even after the ICO ends the referral system will keep working and you will be able to earn with the structure you create.
About LIQNET
LIQNET was founded in 2015 by Roman Shirokov, Vyacheslav Kasatkin and Yevgeny Tarasenko. All of them have a proven track record in finance, stock and forex trading and information technologies. These guys saw the problems of current trading platforms and created a solution based on their experience.
LIQNET is a fully licensed exchange and you can be sure that your funds will be safe. They hold several EU financial services licenses, for exchanging a virtual currency against a fiat currency, providing a virtual currency wallet service and operating as a financial institution. Join LIQNET’s Facebook and Twitter to stay updated on news and events!

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Biraajmaan covers market trends of major cryptocurrencies. As a graduate in engineering, his interests lie in Blockchain technology. With over a year as a journalist, his articles focus on US and UK markets.
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