Describe MARKET Protocol in two sentences.
MARKET Protocol provides the open source building blocks powering decentralized derivatives trading and exchanges on the Ethereum blockchain enabling users to trade on-chain, off-chain and cross-chain relationships.
Who are you, what is your background and what is your current role in the MARKET Protocol?
Seth Rubin, co-founder and CEO. I was a derivatives trader for almost 13 years prior to MARKET. I have experience growing and running a number of 24 hour algorithmic desks trading interest rates, commodities, equity indices and more.
How did you become interested in blockchain?
I first got exposure to blockchain in 2015 as a trader interested in the way BTC moved.
Do you think decentralization is important and why?
Yes, custody of funds issues first sold me on the idea decentralized exchanges. I don’t believe a single centralized group should control access and make decisions affecting all users.
How was the idea for MARKET Protocol born?
As traders from the traditional trading space, we were shocked that custody of funds and security issues were normal in the crypto space. It’s still wrong that the solution is for traders to remove their funds from exchanges when not trading. This is a band aid. Not a solution.
Why is now the time for MARKET Protocol to exist?
MARKET is very important to the blockchain space in general. Businesses and individuals cannot hold tokens when the price moves 10–20% a day. MARKET Protocol allows users to decouple price volatility from token utility allowing the space to scale.
What do you love about your team, and why are you the ones to solve this problem?
Our founders have worked together for cumulatively, over 30 years. We have successfully built and run multiple trading desks. We have the right domain knowledge to build a solution that effectively allows traders to manage risk and speculate on price. We understand what it takes to make markets in nascent illiquid products because we’ve done it before.
In a few sentences, what does MARKET Protocol offer and to whom?
MARKET offers traders an ability to hedge existing crypto asset positions allowing holders of utility tokens to hedge their price while maintaining custody of the underlying tokens. Traders of MARKET contracts can gain cross chain exposure without dealing with multiple exchanges or wallets. Finally, MARKET allows holders of ERC20 assets to invest in traditional off-chain relationships like Stable Coin/AAPL.
What’s most exciting about your traction to date?
It’s been most exciting to speak with businesses that were previously impossible to scale without hedging token or crypto exposure. MARKET Protocol contracts will allow these businesses to manage risk and grow.
What does MARKET Protocol look like in 2 years?
In two years we hope to see many different types of contracts traded in a safe and solvent environment. We would like to see many traditional relationships migrate from centralized exchanges to the platform, in addition to new contracts we can’t conceptualize now. MARKET Protocol allows users to define whatever relationships they would like to trade. We hope to see some integrations, like wallet or other dApp integration providing value add services to their user base.
We hope to see nodes offering their traders price exposure to assets they would otherwise be unable to provide. We would like to see traders trading MARKET contracts instead of worrying about taking custody of the underlying assets.