Home / Ethereum / Decentralized network exchange Kyber Enable ~ 120,000 Ethereum ERC20 tokens for payments

Decentralized network exchange Kyber Enable ~ 120,000 Ethereum ERC20 tokens for payments



  Con-Thousands of-ERC-20-Token-Around-Kyber-Network-Makes-It-Possible-Pay-With-Everybody-of-them

The ERC-20 token has been adapted to create thousands of tokens and coins – 119,876 tokens, to be precise, however the number grows every day and the only way to really use them is to find platforms and use cases that can be applied. Unfortunately, many of these tokens and altcoins only work on a few websites, which means users have to search far and wide to find out a case that can help.

According to the CEO and co-founder of the Kyber Network exchange, Loi Luu, it all boils down to their usability in the Luu said: "What we observe is that most tokens are only used on exchanges for trading purposes or within their specific platforms if the platform is live ". On this note, Luu aims to make it possible for all these types of tokens are applicable to payments.

In an announcement that Luu only looked for CoinDesk to announce, he and his team are working to extend the platform's in-platform liquidity contract. The contract currently allows companies to process ERC-20 token payments, regardless of the individual token. Luu expressed the need for the company to "make chips usable anywhere." In theory and in practice, the adjustment allows companies to be paid with Ethereum tokens. The best part of the token is that, even if it does not accept it somewhere, Ethereum tokens can be converted.

Luu has been in the business for quite a while, so he has some personal experience with this type of transition. He is responsible for the foundation of Oyente, which is a specific security tool for Ethereum. He also participated in the development of Zilliqa, which uses sharding to improve platform scalability. In the end, these projects led him to Kyber Network, which allows users to immediately exchange Ethereum with other tokens in their own exchange. However, some investors note that Kyber Network still has to prove that it is a decentralized exchange.

Luu says the network is already involved in several collaborations, including Etheremon, MyEtherWallet and Coinbase. He noted: "With Kyber we are aiming to connect between ERC-20 tokens and use cases, so that tokens can be used seamlessly for payments, as collateral for loans, investment in funds, and so on. it will certainly create more token usage cases. "Speaking of how they want to integrate the protocols they have in place, Luu explained," Well done, this protocol may be the level of transaction for the economy. decentralized, facilitating the exchange of value in all parts of the decentralized ecosystem. "

In addition to the possibility of improving the usability of ERC-20 tokens, the Kyber network also stated that it will have a concession for developers who "will provide financial support to projects built in and around the Kyber chain liquidity protocol." The process has evolved rapidly, adding Canal and MoatFund to startups that will receive funding.

Liquidity and contracts

One of the biggest problems in the cryptocurrency sector is liquidity, which includes what is available and how stable the tokens are. This was an important topic for Luu's research, and was the catalyst for his foundation of Kyber Network in the first place. However, this is not very different from what DEX does, considering it is just another case of use.

Luu elaborated, saying: "In terms of technical architecture, it's no different," Luu told CoinDesk. "The decentralized exchange was a case of using the chain liquidity protocol, it is only one way to use the chain liquidity protocol we are building up to now."

At the moment, there are two main parts of the contract Khyber. C & # 39; is the part that manages the instant conversions and the other part that contains the liquidity. Everything happens on the blockchain and there is no need to use an intermediary for this. As Luu states, "These properties are fundamental to an open protocol because they allow innovation without authorization and trustless collaboration among all parties seeking value exchange."

Decentralized applications

Anyone who dedicates their tokens to one of the above pools has the option of withdrawing them whenever they need them. While this may seem like a way to bring down prices immediately, there's been a lot of work to make sure that the Kyber contract is secure and that the funds are secure within the code.

Together with their audits, the Kyber contract leaves liquidity providers responsible for their funds, so there is no risk of loss despite potential security risks. This is why technology is enough to push companies and financial services to accept various payment solutions.

Luu said, "This protocol allows many transaction and payment streams to happen atomically and in one pass between several parties." These use cases would otherwise be very difficult or impossible to reach. "Luu believes that this technology has the potential to support the needs of dApps and the Ethereum ecosystem.

Initially, Luu said,

"From the vast majority of interesting payment models and financial usage cases require multiple token exchanges across multiple parties, this mechanism is critical to enabling innovation in many classes of dApps. "However, summing up this decision, he said:" It is essential to make the tokens much more liquid and useful by allowing them to be easily spent by users and integrated into dApp by developers. "


Source link