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Board Trading Discussion
Why Is It Essential To Have One Security Token Exchange?
by
bytebulls
on 13/07/2020, 05:57:28 UTC
With the rise of Bitcoin in 2009 and the hype of blockchain as the underlying technology around it since 2013, it has changed the fundraising scenario of the world forever. In the digital currency market, there is now a term that is heard more frequently: security token offering (STO). STO is becoming a powerful and valuable alternative to private equity and venture capital financing for global companies and investors.

What is STO?
Security Tokens Offering, also known as STO, is similar to ICO in some sense but a much-regulated environment where the fundraisers cannot just disappear to obscurity.
In simples way, STO is the way of tokenizing securities and issuing them as cryptographic tokens over a blockchain to achieve several benefits that aren’t present in traditional securities. Security tokens are just like stocks, bonds, LP shares, funds, etc. but wrapped in a digital tokenized form. Any of the companies or organizations dealing with these traditional securities can issue blockchain. These security tokens which are offered are just as eligible as traditional securities to pay dividends, share profits, give voting rights, etc. to its holders.

The benefits of STO
Security Tokens Offering bring many opportunities for improvement to traditional financial products by eliminating middlemen (usually some form of banker) in the investment transaction process. The elimination of middlemen will reduce transaction fees, speed up transaction execution, free market exposure, and expand the potential investor base, which can realize automated services and avoid manipulation by financial institutions.

Real-time online market
The 24-hour non-closed trading time throughout the day will apply to all time zones. The blockchain ecosystem is a technology stack. “All day without a break” is a self-explanatory standard for cryptocurrency trading.

Lower transaction fees
Security Tokens Offering can reduce the need for most intermediaries in transactions, thereby reducing fees, and smart contracts will also reduce the dependence of transactions on lawyers in the future.

Increase liquidity and market depth
Startup equity, LP shares, and fine art are all illiquid assets. Security Token Offerings (STOs) have the potential to unlock liquidity. They make small, private non-liquid securities accessible to everyone.

Compliance automation
unlike many legacy stocks, security tokens are programmable. You can command security tokens to do anything — automate corporate governance, proxy voting and dividends.

Asset interoperability
The biggest benefit of tokenization mainly depends on the ability of computer systems and software to exchange and use information. In a word: interoperability.

Larger investor base
When asset owners can provide transactions to anyone connected to the Internet, the potential investor base will increase significantly. Compared to those investors and institutions that are only recognized by the United States, asset owners will be more willing to show investment opportunities to potential investors worldwide. More choices will bring a healthier competitive environment, and will be a long-term net profit for financial markets.

Build a Security Token Exchange with Market-leading Features

Security token exchanges, which fall under the bracket of Alternative Trading System (ATS), are the platforms where buying and selling of security tokens are initiated. As STOs have emerged as a reliable method of fundraising, the demand for security token exchange development is also increasing. If plan to build your own security token exchange, businesses and individuals can reinforce their exchange with the following features:

ERC1400 — STO Technical Standards. The new standard is mainly to combine the interchangeability of Token with security-related business scenarios and design a set of universal interfaces. The new Token proposal focuses on the supervision function, the purpose is to facilitate users to issue securities on the Ethereum network in a legal and compliant manner.

Powerful matching engine — to match buy and sell orders with minimum latency.

Secure crypto wallet — to provide exchange users with a secure infrastructure to send, receive and store their security tokens. Fortifying the wallet with multi-sig feature can enhance the security paradigm manifold.

KYC and AML Verification –geography-based KYC helps verify user identity while following the right protocol. This allows secure access to the security token exchange by only legitimate and authenticated users.

Multi-currency Transactions –to enable a seamless integration of multiple cryptocurrencies and fiat currencies into the exchange as per your business needs.

Payment Gateway Integration — to allow exchange users to buy and sell security tokens using fiat currencies via a credit card, debit card, and other payment systems.

Multi-language support — to expand the reach of your security token exchange globally.

In sum, there is no doubt that the STO financing channel provides a convincing alternative for private equity and venture capital. Although STO is still improving, this strategy is very important to your business. ByteBulls, as a White Label Crypto Exchange solution provider, will take care of all these aspects like security, performance, user experience, and the SEC compliance that need to be handled during security token exchange development and toil relentlessly to deliver a product that helps you accomplish your business goals.

Schedule a free demo of ByteBulls security token exchange or connect with us to share your needs for a custom exchange: https://t.me/kate8806


For more details:
Website: https://www.whitelabel-exchange.com/
Telegram: https://t.me/kate8806
Skype: katherine_5065
WhatsApp: +1 978 885 3218
Email: hello@bytetrade.io
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Topic
Board Bitcoin Discussion
Topic OP
Why hasn’t Bitcoin’s price skyrocketed?
by
bytebulls
on 09/07/2020, 08:35:25 UTC
When examining the issue of BTC’s current lack of price action, it is worth pointing out that if one were to look at the currency’s value movements at this exact point following its 2016 halving cycle, it would become quite apparent that the asset was behaving pretty much in the same way as it is now. In fact, it was a year and a half after its 2016 halving, around mid-December 2017, that BTC proceeded to reach its all-time high value of around $20,000.

Additionally, the volatility and uncertainty surrounding traditional financial markets have failed to translate into a direct increase in demand for Bitcoin because the coronavirus-induced panic has seemingly highlighted the need for alternative monetary systems rather than push Bitcoin to the center of the global finance stage. For example, when the coronavirus began to grip the world at the start of the year, BTC fell from almost $8,000 to around $3,600 on some exchanges, all in a span of less than three days between March 11 and 13, placing its safe-haven status under question.

Similarly, when stock markets all over the world were fluctuating wildly all throughout May, BTC also followed suit by mirroring the value drops being showcased by many traditional assets and commodities across the board, thereby worsening its perceived stability in front of investors all over the globe. On top of all this, the currency’s poor usability also seems to have limited its potential for widespread adoption at the time when it counted.

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Topic
Board Service Announcements
ByteBulls White Label Crypto Wallet Solution — Your Best Choice
by
bytebulls
on 07/07/2020, 08:44:50 UTC
In today’s world, the digital economy is developing rapidly, the consistent changes of cryptocurrency exchange platforms prompt more users to use cryptocurrency wallets.

Cryptocurrency wallets make you easy to withdraw, deposit or transfer cryptocurrencies. In today’s modern age, the demand for cryptocurrency wallets seems unstoppable. More and more individuals and companies are rapidly trying to enter the billion-dollar market by using white label wallet solutions. A white label cryptocurrency wallet solution reduces development costs and speeds deployment.

Bytebulls Solutions leading the way
Starting your business in the digital economy is a daunting task, but ByteBulls has extensive development experience and proven products in this area, our experts have formulated a mission-driven solution to navigate your crypto wallet development journey. Our white label cryptocurrency wallet is fortified with market-leading features such as mnemonic phrases, multi-signature support, QR code scanner, cross-chain asset exchange, and more. We leverage our expertise to deliver a customized cryptocurrency wallet in just 1 week.

Best aspects of white label wallet of Bytebulls Solutions

Our white label cryptocurrency wallet ensures composure of all the features that would require making a crypto wallet stand tall in the market.

For deposit, withdraw and trading
The best wallet is the one that provides an easy interface for deposit, withdraw and trade cryptocurrencies. Our wallet solution not only offers a user-friendly interface but also allows easy management of user portfolio by providing a real-time view of transactions.

Simple User Interface (UI)
Thanks to an excellent UI/UX design team, ByteBulls solutions did an excellent job at advertising a user-friendly, straight forward UI featuring a few buttons to quickly and easily buy and sell crypto. Professional UED team updates products iteratively, providing industry-leading user experience. Furthermore, our white label wallet supports both IOS and Android platforms.

Best Overall
Our subject matter experts and blockchain engineers worked together to identify the right features of a secure, user-friendly wallet and integrated the same into the wallet. Our white label wallet, with market-ready back-end, easy-to-customize front-end and advanced features for best-in-class security and performance, is an ideal solution for anyone looking to quickly launch their cryptocurrency wallet into the market.

If you are planning to tap into the crypto market with your wallet, embrace our white label wallet solution to act quickly and gain an essential competitive edge.


For more details:
Website: https://www.whitelabel-exchange.com/
Telegram: https://t.me/kate8806
Skype: katherine_5065
WhatsApp: +1 978 885 3218
Email: hello@bytetrade.io
Post
Topic
Board Service Announcements
Decentralized Exchanges Are Ushering In New Development Opportunities?
by
bytebulls
on 02/07/2020, 03:52:40 UTC
For a long time, decentralized exchange (DEX) has been considered to be able to subvert traditional exchanges with the charm of non-custodial transactions without permission. Although the real disruption has not yet been achieved, as almost all DEX platform tokens performed better this year than centralized exchange platform tokens, investors have increasingly valued this result.

Decentralized exchange (DEX) tokens’ year-to-date returns are more than five times that of their centralized counterparts according to the latest Defi report by cryptocurrency research platform Messari. DEX tokens have increased on average 241% so far this year while centralized exchange tokens have only increased by 44%.

And that’s not including some recent upswings. The report said that Kyber’s token (KNC) was leading the charge with an increase of more than 420%, however after the report was published, KNC nearly doubled in price and LRC increase by 46%, while the top centralized exchange tokens have reduced on average.


Up to now, the annual growth rate of the top 5 DEX tokens has exceeded 100%, making it the best performing crypto asset. These include well-known tokens such as Kyber and Bancor, as well as other tokens that have received more attention, such as Airswap, Loopring, and IDEX. Centralized exchange platform tokens are still growing this year, but the increase is generally in double digits. Obviously, one main trend has emerged, and DEX has aroused increasing interest:
 
The proportion of DEX transactions in the overall transaction volume has increased

Regarding the first trend, the daily spot trading volume of DEX increased from less than $5 million at the beginning of the year to approximately $25 million. The total trading volume of DEX is not only increasing but also faster than the centralized exchange, because the percentage of the total trading volume of DEX has increased from 0.25% to 0.5%.

One factor that may cause this situation is the increasing popularity of DEX aggregate transactions, which optimize the trading experience by introducing smart order routing into the decentralized financial world. By allowing traders to split orders at different locations, they can get a better transaction price, which is crucial in today’s digital currency market that sacrifices costs for various features of decentralization.

Another way for DEX to compete for market share in centralized exchanges is to increase throughput and reduce latency. ByteBulls white label cryptocurrency exchange solutions adopt a technical combination based on DPOS + PBFT consensus mechanism, cross-chain support and network-wide shared order book with an automatic on-chain matching engine, in addition, ByteBulls also has CCXT Certified Trading API. It can complete an order within 3 seconds, and finally realizes the same trading experience as a centralized trading system.

DEX is unlikely to compete with the scale of the centralized exchange’s revenue in the near future. Head-centered exchanges are liquid, and the existing user base provides them with clear advantages. However, DEX always has the advantage of their ability to automate revenue in a completely transparent manner. Although any centralized exchange can prove that a certain percentage of revenue has been destroyed, they cannot enable token holders to verify each transaction and allocate commissions as expected.

Therefore, although the market value of DEX tokens and the related volume-based gains may be much smaller than the centralized exchange tokens of cryptocurrency giants, But the recent and upcoming DEX token economics and scalability upgrades are helping these. So far this year, the market has rewarded those who use DEX. DEXs are ushering in new development opportunities.

As a Blockchain Solution Provider, ByteBulls aims to improve the current DEX marketing situation with an innovative DEX solution. Based on market status, ByteBulls decentralized Exchange Solution has made improvements and optimizations, considering the advantages and disadvantages of centralized and decentralized exchanges, and hope to build a prosperous decentralized exchange ecosystem with good user experience, which everyone has the opportunity to participate in.
Schedule an obligation-free call with our experts to learn how you can capitalize on the upcoming crypto opportunities.

For more details:
Website: https://www.whitelabel-exchange.com/
Telegram: https://t.me/kate8806
Skype: katherine_5065
WhatsApp: +1 978 885 3218
Email: hello@bytetrade.io
Post
Topic
Board Speculation (Altcoins)
Topic OP
Is Ethereum (ETH) Price on Course to $300
by
bytebulls
on 24/06/2020, 06:09:34 UTC
An article on cointelegraph  hurts that eth will rise to $300, how do you think?

Quote
Essentially, Ether is currently acting above the 100-day and 200-day moving averages, which is a bullish indicator. Alongside with that strong signal, the volume has been increasing as of late.

Often, volume precedes price, and combining this fact with the sideways range ETH has been in, an increase in volume shows accumulation.

Similarly, the price has been in an uptrend since March 12, as the cryptocurrency is continually flipping the previous resistance into support. The former support/resistance flip was done with the $217–$222 area.

Such an S/R flip implies further upward strength, with $250 as the next target. The price of Ether is staying fairly close to this resistance zone.

If ETH breaks $250, then the $290 level may not hold like last time, as that’s not a significant resistance zone. More likely, ETH/USD may see a quick rise to $330 or even $360.

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Topic
Board Service Announcements
Where is the tokenization industry headed?
by
bytebulls
on 23/06/2020, 06:12:12 UTC
An article on cointelegraph explains the future of tokenization like this:
One of the main reasons tokenization has become drastically more popular in recent years is that it has the potential to increase the core value of the rights through increased utility and liquidity. Tokenized rights can be traded on the market with less friction, increasing the liquidity of the rights. Tokenized rights integrate across systems, allowing limitless integration, and increase the utility of the rights.

This allows for the formation of entirely new asset classes that were impractical or simply impossible to create prior to the advent of blockchain technology, potentially unlocking hidden troves of wealth stored in physical possessions; creating new investment models that can be accessed by anybody; and allowing brands to become far more decentralized entities.

The future of the tokenized asset industry is clear. Anybody or anything with significant potential to accrue value over a fixed period has the opportunity to be tokenized and sold over the internet. This could be anything, ranging from celebrities to online personalities, up-and-coming athletes, brands, companies, patents, and just about anything that has an attributed value.

How do you think about this?

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If you want to issuse your own token, ByteBulls can always help you.

For more details:
Website: https://www.whitelabel-exchange.com/
Telegram: https://t.me/kate8806
Skype: katherine_5065
WhatsApp: +1 978 885 3218
Email: hello@bytetrade.io
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Topic
Board Service Announcements
How To Make Money From Your Crypto Wallets
by
bytebulls
on 22/06/2020, 08:40:16 UTC
As Cryptocurrencies are gaining mainstream adoption and are rapidly being used by the general public, more and more investors and companies are turning to the digital currency field. They start their own business activities in this field by creating their own exchanges, setting up own crypto wallet, or issuing their own tokens.

Crypto wallets, as an indispensable tool in the field of digital currency, are used to store, send, and receive crypto assets in a secure and efficient manner. ByteBulls, based on the experience of serving customers in the past, summarized a few points on how crypto wallet owners make money from their wallets.

1. Transaction fee
2. Staking
3. Launch of a new coin or token
4. Consultation fee

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A business model of cryptocurrency wallet generates huge earning opportunities for crypto wallet owners. If you are considering developing a white label crypto wallet or a customized wallet, ByteBulls white label crypto wallet solution can help you build a feature-rich crypto wallet.

For more details:
Website: https://game.bytebulls.com
Telegram: https://t.me/kate8806
Skype: katherine_5065
WhatsApp: +1 978 885 3218
Email: hello@bytetrade.io
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Topic
Board Bitcoin Discussion
Re: United Nation Expert admit Digital Currencies Could Replace Bank Accounts
by
bytebulls
on 17/06/2020, 06:15:43 UTC
Legal digital currency refers to the digital form of currency issued by the central bank according to law, with unlimited legal compensation, with functions of value scale, circulation means, payment means and value storage. The central bank has done a lot of work in the promotion of digital currency from the completion of the design of digital currency to the general acceptance of the public to partial replacement of cash. In this process, commercial banks will play an important role. Commercial banks have mature credit network infrastructure, payment network infrastructure, and relatively complete IT service systems. Therefore, under the binary model of central bank digital currency, the central bank plays the role of issuer, and commercial banks play the role of distributors.
Post
Topic
Board Service Announcements
Re: Crypto Swap — Instantly Exchange Crypto Assets
by
bytebulls
on 16/06/2020, 07:02:31 UTC
okay, and do you have explanation video ?

we currently use uniswap

You can contact our account manager directly:
Telegram: https://t.me/kate8806
Skype: katherine_5065
WhatsApp: +1 978 885 3218
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Topic
Board Service Announcements
Topic OP
Crypto Swap — Instantly Exchange Crypto Assets
by
bytebulls
on 16/06/2020, 05:37:09 UTC
The frictionless and global nature of blockchain brings ownership online and makes it widely and instantly transferable. Even then, it’s difficult to directly connect with others and make trades. because no exchange has all the coins, it necessitates creating multiple accounts, with the added verification and security risks this entails. But Crypto Swap is powering a new system of trade. Relying on the superior performance of the ByteTrade blockchain, the ByteBulls team has developed a peer-to-peer crypto swap trading on the ByteTrade blockchain.

What is Crypto Swap?
Crypto swap service completes the exchange of various digital currencies on the same platform through integrated API. Crypto Swap allows users to quickly and easily exchange one crypto asset for another, without having to create different accounts and without ever leaving your crypto swap platform. In short, crypto swap service allows you to instantly swap one digital asset for another. Crypto swap service is not only simple but also secure and limit free.

ByteBulls Crypto Swap Service provides trustless peer-to-peer trading between counterparties, without the need to give up custody, pay trading fees. We’ve built something scalable, portable, and secure, designed for any token, on any website, on any device, and in any language. Today, ByteBulls Crypto Swap Service is live across the web, available on desktop, tablets, and mobile, supporting more than 10 of our top community languages. What’s more, through ByteBulls Crypto Swap Service, the exchange can share all the liquidity on the Bytetrade chain without the need to develop and operate complex maker software.

Why choose ByteBulls Crypto Swap Service?
Using Crypto Swap Service can allow users to quickly move out of a volatile asset, hedge against real-world events in time, and simply try new crypto assets. But the benefits of Crypto Swap Service, developed by ByteBulls, are not only these:

Naturally secure, peer-to-peer trading
Peer-to-peer trading is secure by nature. Transactions are explicitly acknowledged and permitted by user through the use of a personal digital wallet.

No trading fees
Whether users are buying or selling, they don’t need to pay trading fees to most crypto swap platforms. Only need to pay the miner fees for processing orders on the relevant blockchains.

Highly Customized UI/UX
Easy-to-use design is used, simple and snappy user interface makes users buy or sell their favorite tokens in under a minute.

The continuous development of technology has brought new vitality to the cryptocurrency industry, as well as new opportunities for investors. Do you want to bring more possibilities to your cryptocurrency business?
You can tap into the flourishing crypto market with many software solutions such as crypto swap service, cryptocurrency exchange development, crypto wallet development, Blockchain game solution, and coin/token/stablecoin development.

For more details:
Website: https://game.bytebulls.com
Telegram: https://t.me/kate8806
Skype: katherine_5065
WhatsApp: +1 978 885 3218
Email: hello@bytetrade.io
Post
Topic
Board Bitcoin Discussion
Re: Some of the benefits of Bitcoin ...
by
bytebulls
on 16/06/2020, 03:40:50 UTC
Compared with traditional currencies, Bitcoin transactions are more secure, transparent and anti-counterfeiting. Bitcoin uses an encryption algorithm that hackers cannot crack. And Bitcoin is easy to track, and all Bitcoin transactions are publicly archived on the network, which can effectively prevent illegal activities. Finally, Bitcoin's automatic authentication mechanism also makes it impossible to be forged.
Post
Topic
Board Bitcoin Discussion
Re: Bitcoin versus Inflation
by
bytebulls
on 16/06/2020, 03:35:02 UTC
In theory, Bitcoin can be used as a hedging tool for major inflation and depression scenarios such as gold. The reason is simple because it is digital, easy to access, speculative, strong liquidity, scarce and limited supply.
At some point, if the amount of Bitcoin available is less than the demand, then in terms of value, the price of each BTC unit should increase.
Therefore, in addition to possible inflation, hyperinflation and depression, Bitcoin has at least played a balancing role.
Post
Topic
Board Altcoin Discussion
Topic OP
Crypto Industry Entering New Era as Institutional Traders Get Invested?
by
bytebulls
on 16/06/2020, 03:28:02 UTC
A growing number of indicators suggest that institutional players are continuing to enter the digital asset markets, which have been dominated to date by high-net-worth individuals and actively trading crypto enthusiasts.

There are more and more institutions investing in cryptocurrencies. How will this affect cryptocurrencies?

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Post
Topic
Board Trading Discussion
Merits 4 from 1 user
Topic OP
How to find the best withdraw fee rate for your exchange?
by
bytebulls
on 15/06/2020, 06:54:47 UTC
⭐ Merited by suchmoon (4)
Withdraw refers to the process of transferring crypto assets from one exchange to another exchange or a personal wallet. Taking Bitcoin as an example, when we carry out a "withdraw" operation on the exchange, after inputting the withdrawal address and amount of BTC, the actual amount received is the amount after automatically deducting the withdrawal fee. The fee that is automatically deducted is called the withdrawal fee, and this fee will be used to pay the miners. The transfer fee of cryptocurrency will be used as an incentive mechanism to encourage miners to compete for bookkeeping to provide sufficient computing power for the cryptocurrency, thereby ensuring the security of cryptocurrency networks.

So how is this fee paid to the miners? This involves the definition of on-chain transaction cost. In fact, this fee is not directly sent to the miner after the user confirms the withdrawal, but the users' transactions are packaged and posted

together to the blockchain by the exchange. Therefore, the transaction fees are also paid to miners by the exchange on behalf of users. This transaction fee is called the on-chain transaction cost.

1. Existing withdrawal fee model
Fixed fees: The amount is a constant.

Proportionate fee: Charge withdraw fee according to certain proportion. 

Withdraw fees = amount * withdraw fee rate.

Dynamic fee (mainly for ERC20 tokens): Withdrawal fee for ERC20 token = fixed fee price/ average price of this cryptocurrency in the previous day (fixed fee price is a fixed amount of ETH, this amount can be adjusted monthly based on actual on-chain transaction cost).

2.What is the difference between the withdrawal fee and the on-chain transaction cost?
Everyone may be confused about this. In this case, the only difference between the withdrawal fee and the on-chain transaction cost is that the user hands the withdrawal fee to the exchange, then the exchange gives this withdrawal fee to the miners as an on-chain transaction cost, isn't it? Actually, the difference is more than that. The exchange does not just do a simple transfer of these fees. 

Taking Bitcoin as an example, when a user initiates a transfer on the Bitcoin network, usually the user needs to pay a certain transfer fee to the miner.  The transfer fee is generally 0.0001 to 0.0015 BTC, but because the capacity of the block to accommodate the transaction record is limited, the miner preferentially packages transactions with high fees, so transactions with high fees can be confirmed faster. Especially in the case of block congestion, higher fees can greatly increase the probability of transaction being confirmed. Then the evaluation work falls to the exchange. The exchange can evaluate the network congestion of the blockchain network, and then pay the appropriate amount of processing fees to ensure that the users' withdrawals get packaged and confirmed as soon as possible. When the block is abnormally congested, it may be necessary to pay a fee several times higher than usual to ensure that the transaction is packaged and confirmed.

Therefore, the exchange eliminates the task of evaluating the status of the block for users, and users only needs to perform a few simple steps to complete withdraw, and the remaining complicated work can be left to the exchange.

 3. How to price withdrawal fees
The withdrawal fee must be priced at least greater than the on-chain transaction cost
As mentioned before, when the block is congested, the exchange may need to pay on-chain transaction cost several times higher than usual, but the exchange generally does not increase the users' withdrawal fee due to short block congestion. Therefore, we need to measure the on-chain transaction cost and withdrawal fee to ensure that the withdrawal fee is higher than the on-chain cost.

Refer to the withdrawal fees charged by competitors
In order to ensure that the exchange does not lose its competitive advantage in the market, and under the premise of ensuring that the withdrawal does not lose money, we also need to refer to the situation in which competitors' platforms charge fees for withdrawal.  If the cost gap is too large, it may cause users' dissatisfaction. At this time, it is necessary to reevaluate the withdrawal fee and make corresponding adjustments.

Current pricing strategy of the exchange
Although the premise of pricing the withdrawal fee must at least be able to offset the cost of the on-chain transaction cost, based on the offset cost, how to price the withdrawal fee also needs to depend on the current pricing strategy of the exchange. If the exchange currently does not need to make a profit relied on the withdrawal fee, we can appropriately reduce the pricing of the fee, thereby attracting a number of rate-sensitive users, and it can promote the users’ activities. If the exchange currently needs to make a profit relied on the withdrawal fee, then we need to appropriately increase the pricing of the fee within a certain range.

whether there are any major technical adjustments to the project?
When the blockchain network is congested, the exchange may need to pay on-chain transaction cost several times higher than usual, but at this time the exchange will not easily adjust the users' withdrawal fee. However, if there are major technical adjustments to the project, resulting in permanent changes in the on-chain transaction cost, the exchange needs to adjust the withdrawal fees according to the actual situation.

4.Withdrawal fee pricing experience
ERC20 token
ERC20 token is relatively special and there are many tokens. Multiple considerations are required to ensure reasonable pricing. The current fee withdrawal mode adopted by exchanges is a dynamic fee model. However, this model can only be guaranteed to be relatively reasonable, and it cannot be guaranteed to be absolutely reasonable. Therefore, we need to regularly evaluate the withdrawal fee of ERC20 token and the on-chain transaction cost. If the on-chain transaction cost of a certain asset is much greater than the withdrawal fee of the ERC20 token, we need to consider charging a separate fee for this currency.

Other cryptocurrencies
For most cryptocurrencies, it is only necessary to evaluate the fees on the blockchain and the withdrawal fee, and then make evaluation and adjustments
Post
Topic
Board Trading Discussion
Topic OP
How to set the transaction fee rate for your exchange?
by
bytebulls
on 10/06/2020, 09:29:28 UTC
The transaction fee rate system is an extremely important part of the exchange.  This section will introduce the overall rate system of the cryptocurrency trading platform, including pricing strategies for transaction fee rate.

1. Meaning of transaction fee rate
For exchanges, the pricing of the transaction fee rate is directly related to their income.

For users who are sensitive to the fee rate, their profitabilities are affected directly by the rate. Favorable rates for users can allow users to obtain profit opportunities when prices fluctuate within a narrow range. In this way, the exchange can make considerable profits by smaller margins with greater trading volume.

Exchanges can indirectly guide and promote customers' trading behavior through good fee rates.

2. Transaction Fee Rate pricing strategy
Transaction fee rate pricing is a way of doing business for exchanges. At different stages of the business, different pricing strategies need to be formulated based on different goals. Exchanges generally use four pricing strategies: competitive pricing, defensive pricing, revenue pricing, and instructional pricing. The following will briefly analyze the four pricing strategies.

2.1. Competitive pricing

Applicable scenarios: early stage of new business, old business catching up with competition, and downturn of the industry.

Pricing strategy: At a lower rate than the competitors’, attract rate-sensitive users to trade on our exchange. Income can be appropriately traded. 

Case: In the initial stage of contract business, zero-rate or even negative rate for Makers is used to attract users, and second-tier exchanges fee rates are generally lower than first-tier exchanges.

Case study: The Huobi contract was launched later than the OKEx contract. When the business was first launched, in order to attract users, the strategy of 0 fee rates for both Maker and Taker sides was adopted. Compared to OKEx's Maker 0.02% and Taker 0.03% fee rates, users can earn an additional 0.02% to 0.03% in each transaction on Huobi. At this time, since Huobi was the catcher, its contract fee income was relatively low, so it could be coped with.  If OKEx followed to decrease the fee rate, the fee income of OKEx will decline sharply because fee income from contract transactions accounted for 80% of the total fee income.

This is a typical barefoot competition that is not afraid of shoes. The weaker side is relatively weak and has controllable losses, so it can adjust its strategy flexibly.  The strong side seems to be strong, but when dealing with the competition of the weaker side, there are many factors that need to be considered, and their strategies cannot be adjusted at will.

2.2. Defensive pricing

Applicable scenario: Competitors attract rate-sensitive users from your exchange with low fee rates, and your exchange's trading volume drops sharply.

Pricing strategy: Synchronously decrease the fee rate at a rate slightly higher than or equal to the rate of competitors, cooperate with your brand and word of mouth, and reversely attract competitors' users to come to your side to trading. The decrease in revenues from the reduction in fees can be offset by the increase in trading volume.

Case: Binance continues to indirectly decrease the fee rate in the form of increasing the referral commissions ratio, and Huobi Global launched the All Star VIP 6th Anniversary Fee Promotion to compete with it.

Case study: The transaction fee is an important income of Huobi, and the fee rate of Huobi has always been the highest point in the industry. Facing Binance's competitive strategy of constantly attracting Huobi rate-sensitive users with low fee rates, Huobi cannot rashly follow the fee reduction and enter the rate-killing market, otherwise it will fall into the rhythm of the other party and its revenue will also fall sharply.  But how to deal with the competition of Binance? At this time, need to analyze the advantages and disadvantages of Huobi and do defensive pricing.

The core of defensive pricing is to identify its own advantages and the scope of impact, make targeted adjustments to make losses controllable and even attract users from competitors.

The advantage of Huobi is that its own brand and reputation have always been the leader in the industry. At the same time, its transaction fee rate has always been the highest point in the industry. Therefore, lowering the rate will allow users to feel obvious concessions and win users' favor. In addition, not all users are sensitive to the rate, so the adjustment of the fee rate can be concentrated in the rate-sensitive range, without requiring much additional adjustment. Huobi finally launched the All Star VIP 6th Anniversary Fee Promotion, which was mainly aimed at professional users and implemented as an event. The core of the plan is:
1. Huobi can control the whole plan flexibly, because Huobi made it as an event. The plan could be adjusted anytime according to the actual situation during the event. And when the event ends, Huobi can also decide to extend the event deadline or not based on the actual situation;
2. Mainly for professional users, so ordinary users who are not sensitive to the rate are not affected, and basic income can be guaranteed.

2.3. Income pricing

Applicable scenarios:
1.Unilateral market with sufficient profit space.
2.Your exchange has a leading position in the industry, and is preferred by most users.

Pricing strategy:
1.When the market is unilateral, the user's profit margin is large enough, and the transaction fee rate has little effect on users' revenue, then you can increase the rate appropriately by trial operation;
2.When an absolute leading position occupied, you can try monopoly pricing to make up for the expenses incurred in the previous period.

Case: Huobi set 0.2% as a fee rate in 2017-2018, and the transaction fee rate of Huobi's OTC is high as Huobi's OTC business has a leading position.

Case study: It was a big bull market for 2017, and users' profits are several times profitable, so the 0.2% fee rate had little effect on users' profit. At this time, a high fee rate could be used to earn higher transaction fees when users were not sensitive.

2.4. Instructive pricing

Applicable scenario: When the market Taker and Maker are out of balance, the exchange can guide users to the missing side through the fee rate.

Pricing strategy: When one party is out of balance, the strategy of the missing party can be appropriately reduced. In extreme cases, the exchange can set a negative fee rate to attract users.

Case: negative fee rate for Makers in contract trading, and 0 fee rate for some spot trading pairs;

Case study: Market depth is an important indicator of trading. In order to ensure the smooth trading for users, the exchange needs to have sufficient user orders to form a good market depth. When the contract business started, there were fewer users and fewer pending orders, resulting in poor handicap depth and easy to occur Wearing. At this point, the negative rate for Maker could be applied, and when users place pending orders, they can get additional benefits. This directly stimulated many users to switch to become the Maker, forming a good market depth. Subsequently, the contract business developed rapidly, and this strategy could be stopped after the number of users increased, and the depth of the market was guaranteed. 

Post
Topic
Board Bitcoin Discussion
Re: What is a Smart Contract?
by
bytebulls
on 10/06/2020, 06:13:31 UTC
In the context of blockchain and cryptocurrency, the definition of a smart contract is:
- Stored and replicated on a distributed storage platform (such as a blockchain)
- Executed/run on a computer network (usually the same network running the blockchain)
- And may cause the ledger to update (pay with cryptocurrency, etc.)
- Pre-written logic (computer code)

A smart contract is a small program that "If that happens, execute that result",  smart contracts are run and verified by a large number of computers to ensure credibility.
If the blockchain provides us with distributed trusted storage, then smart contracts provide us with distributed trusted computing
Post
Topic
Board Service Announcements
The Importance Of Liquidity For Crypto Exchange
by
bytebulls
on 10/06/2020, 05:56:36 UTC
Liquidity generally refers to the ease with which an asset can be exchanged for cash without affecting the price of that asset. To maintain the balance of any market, maintaining liquidity is of prime importance. As the number of cryptocurrencies is growing, so is the crypto market. But not all cryptocurrency exchanges can capture a large customer base.

It is necessary to admit that the importance of liquidity for crypto exchanges and traders. As more liquid the exchange would be, more users would be attracted to it.
 
Importance of liquidity in cryptocurrency exchange
Market stability
The more liquid a market is, the more stable it is. Due to the volatility in the pricing of cryptocurrencies, majorly bitcoin, the market has become more unstable and variable, when buying or selling Bitcoin, there are always plenty of traders on the other side willing to fill the order with minimal impact on the asset’s price. Regular fluctuations in the pricing affect the reliability of crypto assets. Thus, with efficient liquidity in a crypto exchange, the manipulation in pricing could be controlled and stability in functionality would be experienced.
Better and fair prices are involved
A large number of buyers and sellers in a liquid market contribute to a fair price for the participants. For example, a robust marketplace with high trading activity ensures that sellers could sell their digital assets at competitive prices while buyers could bid at higher prices. This creates an equilibrium market price that is fair for both buyers and sellers.
Transaction time
With higher liquidity and more traders, orders get filled much faster than low liquidity environments. While this is obviously convenient and better user experience, it is also advantageous for higher frequency traders. Particularly in times of high volatility, being able to enter and exit a position quickly can make a serious impact on profits.

More about liquidity here:
Quote

Despite knowing the benefits of liquidity, many businesses overlook the need to implement high-liquidity options during white label crypto exchange development.

If you are planning to build your crypto exchange, ByteBulls White Label Crypto Exchange is always your best choice.  We fortify your exchange with high-liquidity options and industry-leading features to achieve world-class security and performance.

For more details:
Website: https://www.whitelabel-exchange.com/
Telegram: https://t.me/kate8806
Skype: katherine_5065
WhatsApp: +1 978 885 3218
Email: hello@bytetrade.io
Post
Topic
Board Trading Discussion
Topic OP
What are the most effective campaigns for a crypto exchange?
by
bytebulls
on 08/06/2020, 06:06:11 UTC
1.Most popular crypto exchange promotion campaigns:
1.1 Divided by purpose of activity
Acquisition
Examples: referral rebate, replenishment ticket channel for new users, Buy BTC with 50% off through OTC, airdrop for sharing posters, etc.
Activities focus: instant gratification, users can get a reward for doing a certain action, and stimulating users to take the first step.

Users Retention
Examples: superhot mechanism, holding reward, old customers rights, etc.
Activities focus: Delay satisfaction, and use a reward that is relatively large in the future to attract users.

Activation
Examples: fee rate experience event, giveaway event by trading
Activities focus: In a specific user group, the probability of users receiving rewards or benefits is extremely high, and users can calculate their own probability of winning, which can activate users.

Promote trading
Examples: Trading competition
Activities focus: clear rewards, professional users have clear profit expectations. Professional users include market makers, high-frequency traders, large currency holders and large transaction traders.

Compete with competitors
Examples: contract‘s 0 fees, OK’s negative Maker, some trading pairs 0 fee rate in a limited time, etc
Activities focus: effectively curb the development of competitors by less cost.

Increase asset precipitation
Examples: Net deposit reward (Net deposit = total deposit amount - total withdraw amount)
Activities focus: Pay attention to net deposit and users' holdings, whichever is the lesser to give rewards. Give users guidance on obtaining assets from external platforms. At the same time, set the anti-swipe strategy to limit the number of users to wash trade inside the exchange.

Increase effective users
Examples: if the trading volume reaches a certain number, users can participate in the giveaway, and if they hold a certain level of positions, then they can get rewards
Activities focus: set certain conditions, utilize users' profitability to guide users to become effective users.

1.2. By activity time
Regular activities
Examples: referral rebate, superhot mechanism, holding reward, universal fee rates, etc.
Scope of application: 50% -60% of the overall target is abstracted into regular activities for execution so that the basic target of the goal can be controlled;
The characteristics of regular activities: Many a little makes a mickle. The effect is not outstanding in a short time, but the effect can be great in a long time.

Periodic activity
Examples: staking to get dividends, regular destruction of platform coins/tokens, etc.
Scope of application: 30% -40% of the overall target is abstracted into periodic activities, give users predictable surprises regularly.
The characteristics of periodic activities: it has a certain periodicity.  Rewards can be expected, and this kind of activity gives users a short-to-medium-term expectation.

Temporary activity
Examples: trading competition, net deposit reward, negative Makers, rewards for sharing posters, etc.
Scope of application: 10% -15% of the overall target is abstracted into temporary activities for emergency situations.
The characteristics of temporary activities: strong uncertainty, attractive rewards, can attract enough users to participate in a short period of time to achieve the goal.

Combined activities
The essence of an activity is to sacrifice some profits to get the income we want, so no activity is perfect. If the activities are carried out in sequence, a feeling will be produced, which is eat cold medicine for headache, but cold medicine causes leg pain, then take a pain reliever for leg pain, but it causes foot pain. There is nothing wrong with each time segment, but it is slightly absurd for a long period of time.


Combined activities refer to combining multiple activities together, nesting each other, using the advantages of each activity, and complementing each other to form a small-scale positive cycle, and the effect of 1 + 1> 2 is obtained. For example, a small trading competition is embedded in the holding reward event. During the event, holding rewards events are used to attract ordinary users to participate, forming buying orders, and alleviating the selling pressure of trading competition. At the same time, the trading competition stimulates professional users to trade, which facilitates form the entire network trading master disk.

The combined activities have higher requirements for the participating project parties. If the project parties have weak market value management capabilities, combined activities are not recommended.

2.Strategy of operational activities
Stones of other mountains can be used for jade. E-commerce is a typical industry that sets annual operating goals through regular activities, periodic activities, and temporary activities. Take JD.com as an example: 

50% -60% of annual transaction volume depends on regular activities, such as free shipping for members, regular coupons, JD seckill sales, daily specials, brand flash sales, etc. 

30% -40% of annual transaction volume depends on periodic activities, such as 6/18, 11/11, 12/12, Super Category Day, Super Brand Day, etc.

10% -15% of the annual transaction volume depends on temporary activities, such as poverty alleviation projects, summer high-temperature subsidies sales event, mobile phone shopping festivals, and so on.

With the experience of e-commerce activities operations, we can formulate a set of activity strategies applicable to cryptocurrency exchanges. For example, the KPI target of Exchange A this year is to achieve a total trading volume of 100 billion USDT. According to the previous target experience, it is split into 10 billion, 20 billion, 30 billion, and 40 billion each quarter.

Assuming that the target for the first quarter is 10 billion trading volume, then the trading volume of 5 billion to 6 billion should be completed by conventional activities, such as referral rebates, community KOL's excitation, universal fee rate adjustments, and listing of new assets. If regular activities fail to reach the expected transaction volume, the underlying strategy needs to be adjusted in a timely manner.

The other part 3 billion to 4 billion trading volume should be completed by periodic activities, such as FastTrack, Prime, etc. After each event, review the market to confirm whether it has reached the expectations. If it does not meet the expectations, a solution needs to be given immediately, and strive to resolve in the next event.

3.Activity Minefield

When doing operational activities, it is often unavoidable to encounter various types of minefields. The following summarizes some common types of activity minefields and proposes corresponding solutions.

Trading competition minefield
Trading competitions usually form trading hotspots and stimulate users to trade.  The trading competition period should be the best period for the user's trading experience. We expect users to feel the excellent trading experience of the exchange during the trading competition and then stay.

In order to obtain trading competition rewards, users often do self-trading or wash trading. They use the price gap of the market to make crazy transactions at the middle price, which will cause the trading volume to skyrocket, but no change in liquidity. After entering the market, normal users find that the trading volume has increased sharply, but they cannot trade. At this time, they will question whether the exchange cheats. In addition, because there is no trend in liquidity, users cannot trade freely and users cannot obtain profits as well. As a result, they will have poor trading experience. This directly leads to the damage to reputation of the exchange and the losing users, so trading competitions should strictly limit the self-trading and wash trading.

Net deposit activity minefield
The purpose of net deposit activity is to increase asset precipitation of the exchange and prepare for subsequent tradings by using a certain cost. However, the goal of this activity won't be reached if users use internal transferring. For example, both acount "A" and account "B" are registered accounts of the same

exchange. If "A" transfers assets to "B", "B" may get rewards due to the net deposit activity, but the assets of the exchange doesn't increase. As a result, this activity will not bring asset precipitation to the exchange, resulting in wasted activity funds, and they will not be able to obtain transaction-level dividends due to increased asset precipitation. The behavior transferring from "A" to "B", we call it "Internal deposit". Therefore, anti-"internal deposit" strategies should be set up for net deposit activity to limit users' internal transfers and guide users to deposit assets from other platforms outside of the exchange. 

In addition, the main point of the anti-"internal deposit" strategy is to set a certain threshold to limit the wash-trading, but the user's normal deposit and withdrawal requirements shouldn't be affected. It is suggested that the withdrawal limit can be adjusted appropriately. Not only the net deposit amount, but also the data of the user's account position should be considered when giving a user rewards. In this way, most of "internal deposit" behaviors could be avoided, and other users can deposit and withdrawal normally as well.

Bonus hunters
Bonus hunters refer to users who exploit rule loopholes to maliciously obtain rewards. This type of user is generally a machine registration, active only during the event, and usually a silent user.

For such users, exchange operators can establish a bonus hunters database and update it regularly. Exchange can indicate in the event announcement that if users get the reward maliciously, they cannot get the reward. At the same time,


synchronize it with colleagues in relevant departments such as customer service and key customers, and take measures in advance.

4. Activity funds source
For the operation activities of cryptocurrency exchanges, the activity funds generally come from the project party or the exchange itself, and the form of funds is usually tokens of the project party participating in the activity and USDT.

Project party
For the project party, the purpose of sponsoring the activity is to increase effective users and increase the popularity of trading across the network. If the activity itself can bring more users to the project party or increase trading heat, the project party is usually willing to sponsor the event.

Activity costs are divided into security deposits and actual activity costs. The security deposit is based on the agreement and can be refunded after the event.  The actual event cost will be directly consumed and will not be refunded.

Exchange
For exchanges, the purpose of providing activity cost is to attract new users, increase asset precipitation, and stimulate trading volume (especially at milestone nodes such as halving and fork), exchange hopes to use less or
controllable costs to attract more users, and gain transaction fees by directly or indirectly stimulating trading volume.


Post
Topic
Board Bitcoin Discussion
Re: Documented Timeline of Exchange Hacks
by
bytebulls
on 08/06/2020, 05:59:13 UTC
The skills and knowledge of criminals are improving and the methods of hack have become more complicated. Tracking stolen cryptocurrencies is quite difficult. Therefore, each user should have a basic understanding of the exchange’s team and security level before investing.
In the current technical environment, I prefer to trade on a decentralized exchange, because my assets are more secure in a decentralized exchange or wallet
Post
Topic
Board Bitcoin Discussion
Re: bitcoin is ...... ? What does your auto fill suggest ?
by
bytebulls
on 05/06/2020, 05:48:09 UTC
These are mine: 
bitcoin is anonymous
bitcoin is decentralized
bitcoin is dead