What Smart Exchange means and why do you need it
Limitlex’s CEO explains the concept behind the Smart Exchange and its benefits for the cryptocurrency trading
Igor Kregar is an entrepreneur with over 20 years of experience and many successful projects. He is an agile thinker with a natural sense for entrepreneurship. Once he sets his eyes on a project he is dedicated and follows it through from concept to completion. As a trader, Igor was aware of the disadvantages of the popular exchanges.
Evgenija: The idea about a new and improved exchange came to you spontaneously. It was an answer to a need that the existing exchanges weren’t addressing. How was the concept developed?
Igor: I’ve been following the blockchain and crypto sphere for quite some time. Having had some insights into Forex trading and experience with stock trading, I decided to give cryptocurrencies a shot. I opened accounts on a couple of exchanges and began day trading. I soon realized these markets not only move faster than anything seen in the traditional finance world, but are also much more unpredictable and volatile. Cryptocurrency day trading is extremely focus intensive, and it requires lots of emotional discipline and almost a 24/7 attention for quick reactions due to high volatility.
Being caught in this whirlpool, I was thinking of ways that would make it less time and energy consuming, and the answer was obvious — automated features.
For example, you have many currencies in your portfolio and at some point decide to sell them all. In order to do this on the exchanges I was using, you have to set a new sell order for each and every single currency, and all I could think was, why can’t you just do it with one click? That’s how the ‘Sell All’ feature was born, and the rest just followed.
Evgenija: Limitlex will be the first Smart cryptocurrency exchange. You’re not throwing around with fancy words, and there is merit to what you’re saying. Can you explain the ‘smartness’ of the exchange more thoroughly?
Igor: Time and energy are people’s most valuable resources. The Limitlex exchange will enable its users to efficiently manage those resources while trading. Therefore, the smartness lies in two main underlying principles: automated features and intelligent structure for portfolio management.
Automated features will help traders in several ways:
- automated trading — where the system will carry out orders automatically based on the rules/algorithms traders will set;
- simplified trading processes — for example, ‘bulk-trading’, which enables users to buy or sell multiple cryptocurrencies according to their desired parameters with only a few clicks;
- opening up opportunities they would usually miss — for example, with copy-trading or random-trading features they will more likely trade currency pairs they would usually overlook, often with a better than average profit.
The intelligent structure for portfolio management will allow for countless combinations of sub-accounts and using different trading strategies and automated features in each sub-account. Traders will have a detailed overview of their portfolio and performance tracking, based on the criteria they’ll set.
These principles are automating the process to an extent, therefore making it more efficient. By using your time, attention and energy more efficiently, you’re prone to seizing more opportunities, making better decisions, and not wasting time and energy while doing so. I have no doubts that this concept is solving issues most traders face when using crypto exchanges, and it has the potential to change the crypto trading as we know it today.
Evgenija: Having more time on their hands is certainly something no trader would decline. What’s the progress so far and when will traders be able to use the perks of Limitlex?
Igor: We have gone already a long way and I’m proud of our team and achievements.
Crypto enthusiasts can already pay with cryptocurrencies using the Limitlex payment gateway solution for merchants. This is something we were working on recently and is already functional. We have already entered into a strategic partnership with one of the largest ERP/POS vendors in the region, Comtron. Comtron has integrated the Limitlex payment gateway into their POS terminals, and this deal equips over 1,000 merchants (bars, restaurants, retail venues) with the tech needed to accept payments in cryptocurrencies with automated conversion into EUR. Furthermore, we are just in the process of signing new contracts with larger retail networks, so soon many more stores and retail venues will be able to use our system for accepting payments in cryptocurrencies.
The main events are approaching as well. We’ve been dedicatedly working on developing the exchange and are now in the final phases. Also, a Demo Experience platform will be launched soon. The Demo Experience will give traders a chance to try out some of the more ‘cool’ features and advanced portfolio management. To spice things up, we’re challenging every trader to try it out in the upcoming Limitlex Trading Championship. We will reward the best traders with handsome prizes! With a system like ours, there are truly limitless opportunities :)
Evgenija: How do you prepare for major industry changes?
Igor: A trend we are noticing is that institutional investors are entering the crypto market, and that more and more traditional financial firms are getting interested in providing cryptocurrency trading to their clients. So this is an area we will step in with our White Label Partnership program. It will allow financial firms to provide cryptocurrency trading to their clients, under their own brand name, but without any hassles in regard to software development and maintenance since it will all run on our system. We’ll provide them a turnkey solution on the technical level, so they can fully focus on acquiring customers for trading. As a matter of fact, we are already discussing possible cooperation with some of the larger players in the traditional financial sector.
On a more technical level, the trend is moving towards decentralized exchanges. The current reality, however, is that blockchain technology is not advanced enough to allow the necessary speed, complexity and cross-chain transactions for any kind of serious trading. That’s why we will start off with a centralized architecture, then — as an intermediate step — continue with a hybrid solution. The hybrid solution will provide speed, advanced trading features and fiat transactions on the centralized part, but also allow the utmost security, transparency and ‘trustless’ settlements on blockchain on the decentralized part. And later, as the distributed ledger technologies advance, we may more fully embrace the decentralized architecture.
Evgenija: The complexity of trading is growing as the number of cryptocurrencies and trading platforms increase. How will Limitlex tackle the common challenges of the industry?
Igor: Limitlex won’t be your ordinary exchange, and I have no doubts it will be a huge success with rapid growth as its advantages will be obvious. It’s bringing user-driven innovations that will revolutionize the way people trade.
Limitlex simplifies the trading processes for lay users, while providing advanced functionalities for professional and institutional traders and B2B partners (merchants and white-label operators). We intend to enlist many coins and tokens, also supporting newly issued tokens which often have hard time getting listed on a reputable exchange.
Liquidity is an important factor for any new exchange and that’s why we’re already networking with market makers, professional traders’ communities, institutional traders and white label partners, so we will ensure good liquidity from the very start.
With regard to the issues of security, we are taking these into account very seriously, that’s why we invited into our team some of the best security experts in the region. We are adopting industry best practices for ensuring the safety and security of our platform and users’ assets.
Evgenija: The collaboration and general acceptance of entrepreneurs and entrepreneurial pursuits within the crypto community is common. Who have you looked up to as an inspiration, mentor or guidance within the community?
Igor: I have utmost respect for the Binance founder, Changpeng Zhao. He seems to be a great developer and team leader, and his quick success brought some fresh air into the industry.
Also, Vitalik Buterin and his contribution to the industry. I don’t agree with him, though, about the role and importance of centralized exchanges. I am of the opinion that centralised exchanges are very important at this stage for bringing crypto closer to the mainstream audience as well as to institutional investors. I do agree that in the future decentralised exchanges will be taking up a more important role, but as already mentioned, the technology still needs to be much improved before decentralised exchanges can be useful for any kind of serious trading.
Most importantly, I am grateful for being part of the global crypto community. And I’m very appreciative of all the advice and support received from fellow crypto entrepreneurs in the Slovenian crypto community! Anyone interested in trading and crypto is welcome to join, and can do so by participating in the Telegram conversation where the latest news are posted. I’m looking forward to meeting all of you!