Introducing Swarm Markets unified exchange for securities and crypto
World’s first licensed high-liquidity DeFi protocol
The great schism between crypto and traditional finance is over. Financial institutions and retail investors can finally transact together with the convenience and transparency of decentralized finance (DeFi) on the first licensed exchange for crypto and securities — ending the era of two separate financial systems that started with the creation of Bitcoin in 2009. Swarm Markets’ new platform is a single destination for trading cryptocurrencies alongside asset backed securities and other asset classes from the traditional finance world.
Swarm Markets has built a platform where anything from Wall Street and anything from crypto is possible, using battle-tested DeFi protocols and operating under the jurisdiction of BaFin, Germany’s financial regulator.
Hedge funds, banks, and family offices have been forced to watch crypto’s meteoric rise from the outside because the lack of licensed exchanges on which to trade has excluded them from participating. Meanwhile, the crypto market has been starved of the immense capital from traditional markets. Crypto traders have also been denied the opportunity to participate in some of the most interesting and profitable asset classes because trading securities on unregulated exchanges is illegal.
The launch of Swarm Markets’ regulated exchange opens up the world of crypto to everyone, regardless of compliance requirements, and serves as an onramp for digitizing traditional finance world asset classes so they can be traded on the blockchain.
A historical moment in the finance world
Swarm Markets arrives at an inflection point when Bitcoin is receding from an all-time high in the wake of enforcement announcements by financial regulators at the same time as DeFi protocols are exploding into the mainstream. DeFi markets grew from $1 billion to over $10 billion total value lock (TVL) in 2020 and have already tripled in value so far in 2021. DeFi protocols have been tested and the viability of the markets has been proven, but there is only so much room to grow the DeFi market cap unless DeFi becomes more inclusive.
Swarm Markets is a unified exchange that welcomes individuals and entities of all kinds, opening the gates to an unprecedented flow of new capital into crypto markets and closing the rift between crypto investors and stock market traders. Creating a federated financial market where all can transact together is how Swarm Markets will boost the crypto market cap from billions to trillions of dollars.
Laying the first stone
Swarm Markets’ initial release allows users to trade cryptocurrencies like ETH and BTC directly via code in a smart contract that acts as an automated market maker (AMM), optimizing for the best price without the need for a central authority. Users who make their crypto available for trading earn a share of all transaction fees in return for being liquidity providers. Swarm Markets is powered by the SMT Token which provides incentives to platform users, like transaction fee discounts and even greater rewards for liquidity providers.
New users can onboard in minutes with instant approval to transact up to EUR €5,000 on the platform and get an automatic upgrade to unlimited trading after human review. The DeFi community will recognize all the trading advantages of platforms like Uniswap and Balancer, but with lower fees, the security of a regulated exchange, and liquidity that is only possible when sharing a trading pool with banks and funds from Wall Street and London.
Announcing the Summer of Swarm
If 2020 was “DeFi Summer,” then 2021 will be the Summer of Swarm. Trading and staking crypto is just the first step towards a unified financial market.
Swarm Markets aims to be the one-stop-shop where asset holders can onramp assets into the protocol and create financial products that come with an embedded compliance wrapper just by virtue of being issued under Swarm Markets’ license. Our unique position as a licensed platform gives us wide latitude to develop new financial products side-by-side with institutions who are eager to finally take part in pushing forward the future of finance.
The possibilities will expand as Swarm Markets becomes the best of both worlds: a DeFi exchange where you can trade and stake tokens based on all kinds of assets, such as NFTs, commodities, and traditional market securities.
Join now
Visit swarm.markets to start taking advantage of Swarm Markets’ high liquidity pools and keep on the lookout as we roll out new features, tokens, and services for institutions as part of the Summer of Swarm. Join our social channels and stay tuned for more announcements all summer long.
