Millionaires Peter Thiel and Alan Howard have returned a new $ 10 billion cryptocurrency exchange
Billionaires Peter Thiel, Louis Bacon and Alan Howard are sponsoring a new exchange of cryptocurrency assets as they make a strong commitment to decentralized finance by radically shaping trade and investment in digital assets.
Block.one The project, led by software company Block.one, will be called Bullish Global and has capitalized more than $ 10 billion in cash and digital assets before it was launched this year.
Richard Li Hong Kong businessman, German financier Christian Angermayer, Michael Novogratzen Digital Galaxy and Nomura Japanese investment bank have also sided with the group.
The decentralized finance or DeFi market has grown from about $ 15 billion to $ 65 billion since the beginning of the year, according to analysts at JPMorgan. Collaborators say DeFi has the power to disrupt traditional markets by keeping a watchful eye on banks, brokers or exchanges by building a system that avoids record-keeping and trading functions.
Block.one said it will offer the opportunity for automated markets in a decentralized exchange, a development that can offer investors a radically different way to trade in the markets.
Instead of using the traditional creative market to persuade buyers and sellers to trade on exchanges, investors will be able to store their assets in a smart contract and allow them to manage the purchase and sale of automated computer code with stakeholders. The smart contract will store funds and take data, as well as settlement and compensation.
Asset owners are sparked by sharing the set of fees generated by trading activities. This would replace the so-called “spread” that market makers earn with the difference between the price they pay to buy assets and the level at which they are sold. The process has been compared to YouTube because investors can create and upload their own content, avoiding established intermediaries.
With all the information, including market data and transaction history, publicly available but anonymous, some experts have said it is the most difficult market in the world to trade cryptocurrency.
Binance’s blockchain has seen an increase in the volume of trade in decentralized cryptocurrency exchanges in other speculative cryptocurrencies in which traders have experimented with technology and exploited profits in recent months.
Uniswap’s monthly trading activity has repeatedly surpassed Coinbase, a listed cryptocurrency exchange. Dave Olsen, president of Jump Trading, the founder of the e-marketplace, said last month in his corporate webcast that DeFi was a “game changer” for the next 10 years.
“In today’s financial markets, intermediaries, who are looking for income, can very well be interrupted because the parties can interact directly. [block]string, ”he said.
“Bullish’s large size and scale With Block.one’s experience in high-performance blockchain engineering will make Bullish a tremendous player from day one,” said Novogratz, a longtime investor in cryptocurrency technologies.
Bullish will use $ 100 million, 164,000 bitcoins, $ 20 million for its crypto token EOS and $ 300 million more in strategic investments for a $ 10 billion capitalization. Block.one will use its own blockchain, EOS.IO, to manage the business.