Today, we are going to focus on two decentralized exchanges: one from an Irish team and the other, already operating Bancor.
There is a project of setting up a new decentralized crypto exchange in Europe, and the project is led by two Irish entrepreneurs: Joe Haslam and Conor O’Connor. The Irish dependent reported that they plan to launch Local Token Exchange (LTE) in August. The exchange will give room for the trading of over 100 cryptocurrencies by the end of the year. The platform already has nine employees and six advisors.
O’Connor, the co-founder, explains that most crypto transactions take place on centralized exchanges and there are very few decentralized trading platforms that are operating at the moment. “Our approach is peer-to-peer and it democratizes the process. Our transactions take place using smart contracts and escrow.”
Joe Haslam, his partner and also a lecturer in entrepreneurship at the IE Business School in Madrid said: “When my students look at what’s happening in Venezuela, say, or the fact that the Turkish lira lost 20pc of its value against the dollar this year, I lose their interest very quickly talking about the traditional worlds of finance and accounting when crypto allows a 21-year-old to raise $25m in 15 minutes, as Reuters reported last year.”
The team is yet to implement their project due to a financial constraint that another crypto exchange working on the decentralization basis, is saying that to maintain such a platform is quite challenging.
Bancor reported on Monday that it had experienced a “security breach”. The company has assured its customers in a tweet that “No user wallets were compromised,” and informed them that the platform is currently under maintenance.
In a bit of update to users, the exchange later added that the details of the breach are still under investigation, with some findings already revealed. The tweeted statement makes mention of a wallet used to upgrade some smart contracts. The wallet was compromised and used to withdraw ethereum from the BNT (Bancor’s native token) smart contract. The amount stolen is about 29,984 ETH: an equivalent of $12.5 million