To discover Liqnet, a cryptocurrency exchange with a unique liquidity pooling technology. The platform aggregates liquidity from various avenues to solve the problem of dividing users and their trading orders by forming a portfolio of orders combined with the best depth and market prices. Liqnet serves both private individuals and legal entities from different jurisdictions.
So, what makes the Liqnet exchange unique? It is the LIS (Liquidity Exchange Network) feature, which allows you to collect and integrate the orders of the stock exchange and those of third-party platforms into a single order package. This makes all orders available for trading by all Liqnet clients. In addition, LEN token holders receive preferential terms.
Liqnet's team believes that at the end of the decade the global cryptocurrency trade has spread across various platforms, leading to a serious liquidity fragmentation. The lower the liquidity, the lower the average volume of a trading position compared to the stock market and other classic markets. Moreover, in times of sudden market movements, it may be insufficient even for the negotiation of low volumes of digital resources.
The LEN mechanism
The LEN functionality is what makes the Liqnet platform unique. This mechanism allows the exchange to collect and combine purchase / sale orders via APIs of other platforms located anywhere in the world, thus forming a unified order portfolio. In the end, orders are combined and users are able to bid with the best prices and minimum spreads.
As a result, users get access to the individual order book, in which they see both exchange orders and orders from other platforms. Since the platform is able to aggregate sufficient liquidity of various instruments, it can implement the trading of futures and deliverable options for those with the highest liquidity. The LEN functionality allows the Liqnet system to obtain an improved model from the standard market depth model. This ultimately offers greater liquidity at the point of supply and demand.
ICO with a finished product
Users can access the trading through a unique and professional web terminal that includes the following:
- A chart that comes with a set of tools for technical analysis
- All types of orders and their execution policies
- Tools for scalping trading, market-making and others
The finished product is already integrated with the LEN technology. The project has obtained licenses for activities in the EU with integrated Metatrader5.
High level of security
The project has thoroughly tested server-side security. In the first quarter of 2019, Liqnet is implementing a secure service that allows users to receive cryptocurrency payments: maximum capacity and minimum risk.
Comparison with traditional exchanges
Compared to traditional exchanges, Liqnet has the ability to execute large orders at the best price, unlike traditional exchanges that offer minimum volumes at the best price. In addition, Liqnet offers minimum spreads and has the ability to exchange large volumes without the need to move the market, contrary to traditional trades that offer greater circulation, and when trading large volumes, there is the possibility of moving prices on a particular platform.
Finally, Liqnet offers the best services all under one roof while on traditional platforms, there is a need to monitor different platforms.