Eko Fras
Eko Fras
Sep 5, 2018 · 5 min read

Daex coin

DAEX(Digital Assets Exchange) is a distributed digital asset clearing ecosystem built using a blockchain-based multi-asset clearing and settlement protocol. By decoupling assets and transactions, the system will provide exchanges, corporations and individuals with a full range of clearing and wallet solutions which address key issues in the digital asset ecosystem, such as credibility, availability and the security of their digital assets. In this way, the ecosystem will protect the interests of investors while promoting the fair and stable development of the industry as a whole. Key DAEX partners include Qtum Foundation, 8 Decimal Capital, DFJ Dragon Fund, IDEL, J One Capital, JRR and various other prominent investment organizations.

DAEX Project Overview

DAEX is creating a clearing and settlement ecosystem for centralized exchanges. The ecosystem will include a clearing chain, identity chain, settlement chain and the DAEX Wallet.

Centralized exchanges that are part of the ecosystem will have all their trades cleared on a public chain, which will establish a transparent and trustworthy trading infrastructure for their customers. The tokens (DAX) will be used to perform clearing of trades that take place between users who are part of the ecosystem, similar to how centralized exchange tokens, but in a distributed and transparent way.

The DAEX Ecosystem Proposition

The DAEX Clearing Chain uses ASPoS (Accumulative Signatures for Proof-of-Stake) as its consensus mechanism. APoS is an in-house developed algorithm that DAEX developed and bases each node’s stake on its deposit amount, activity levels and Clearing Value Factor (CVF).

They claim that ASPoS ensures nodes are rewarded based on how they contribute to the ecosystem, and penalizes malicious nodes by making them forfeit their deposits. Exchanges that join the DAEX ecosystem will have all trades cleared on the DAEX Clearing Chain (clearing happens after the trades are matched, and currently this part of the process is not transparent within centralized exchanges).

Another part of their proposition is allowing users to access their assets via the DAEX Wallet. Essentially, this provides access to any exchange within their ecosystem through one universal wallet. This not only transfers full control of assets from the centralized exchange (they currently store all their customers’ assets in hot/cold wallets until the funds are withdrawn) to the trader, but provides an efficient method for them access multiple cryptocurrencies across multiple exchanges.

DAEX Team

Benjamin Gu (Chairman) – Benjamin Gu has experience in the clearing and settlement field for US options-based securities. He held several management level positions and is a master graduate from the University of Science and Technology of China. Benjamin was involved in the development of ENCORE, which is the system used today for clearing of all US-based options.

Jason Tang (Chief Architect & Co-Founder) – Jason Tang holds two patents in Mainland China related to development of blockchain technology. He used to work for China Zheshang Bank and was involved in the first blockchain project implemented across all commercial banks, and the first accounts receivables platform based on blockchain technology.

Hana Zhang (Co-Founder) – Hana Zhang is a cryptocurrency exchange investor and a member of IDEL (International Digital Economic League). In China she is an opinion leader in the blockchain space, and has worked for fortune 500 companies such as A.T Kearney, Dun & Bradstreet and Euromonitor International.

DAEX: Strengths and Opportunities

One strength of the project is the transfer of asset ownership from the exchange to the trader. It is common knowledge that centralized exchanges have been a target for hacking groups, even since the early days of bitcoin’s existence (Mt. Gox).

The DAEX solution will make exchanges distribute their pool of assets so that their customers each have their own wallet (the DAEX Wallet) that they access with a private key. With this infrastructure change, centralized exchanges will not need to focus heavily on protecting their hot/cold wallets like they do today, and traders will have their assets stored securely, without having to rely on an exchange to keep their assets safe.

The DAEX ecosystem strongly assists the establishment of newly formed exchanges, or exchanges that are not yet mainstream but are looking to expand. With centralized exchanges becoming increasingly popular, there are many challenges they face in such a competitive market.

One way the DAEX ecosystem can assist them is by immediately bringing them access to other traders who are using the DAEX Wallet. This will allow the exchange to obtain new customers, which should help generate higher liquidity on their platform.

DAEX has recently entered the Korean, Thai and Indonesian markets, with further plans to expand in Asia. Thailand recently implemented a new crypto regulation framework, and the Thai SEC have already received more than 20 applications for new digital asset exchanges.

The Korean government is alsorecognizing cryptocurrency exchanges as regulated financial institutions, and the nation is expecting more exchanges to establish in the near future. It is obvious DAEX have spotted an emerging market that they can tap into and serve.

DAEX is an open and distributed cryptocurrency clearing ecosystem that aims to provide clearing solutions for cryptocurrency exchanges. The clearing as a service (CaaS) is based on distributed ledger technology and smart contracts.

Clearing and settlement rules are preprogrammed into clearing smart contracts on the DAEX clearing chain. The clearing process is automatic without people’ s interference. The objectivity of clearing is guaranteed by the consensus mechanism on the clearing chain. Also, customers’ digital assets are registered and stored on the DAEX’ s clearing chain. No other institutions or individuals can access these assets without the owner’ s permission. 
 
FOR CRYPTOCURRENCY INDUSTRY
A decentralized clearing and settlement ecosystem based on DLT

FOR CRYPTOCURRENCY EXCHANGES
A bridge for connecting multiple centralized exchanges.

FOR CRYPTOCURRENCY TRADERS
A reliable custodian of multiple assets. Accessible with secure a multi-segment key.
 
SECURE
A joint custodian organization for all registered assets within DAEX ecosystem. A multi-level encryption mechanism for DAEX Wallet

TRANSPARENT
A public clearing chain that enables transparent accounting information. Allowing everyone to witness and share the benefit of DAEX’s clearing ecosystem.

PEN
An open ecosystem supports trading and clearing.An infrastructure supports future derivatives business.

thank you

By ,Eko prasetyo

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