ecXX Review: Innovative Singapore Exchange May Challenge Majors
The demand for professional crypto trading solutions is growing. Singapore-based exchange ecXX aims to become the world’s leading digital asset exchange.
Although ecXX is a newcomer to the digital asset space, it has cemented partnerships that could propel it into a pole position in the global crypto market. In addition to offering advanced crypto trading across numerous tokens, ecXX has addressed custody, which is one of the most important issues facing digital assets.
Retail crypto investors aren’t as preoccupied with how their assets are stored at an exchange, but institutional investors have to be. ecXX is the first digital exchange to create a partnership with Ledger, which is one of the best companies in the world when it comes to storing digital assets safely.
ecXX is also planning on launching an IEO later this year, as it builds out its digital asset platform. The company has already had success in finding backers, and will probably be able to carve out space in the crypto markets.
ecXX Raises the Bar With Ledger Tie-Up
Custody is one of the most important factors for any institutional investor. It doesn’t matter how well an exchange is built if it can’t ensure the safety of an investor’s holdings.
ecXX recognized the need for a much higher level of security for crypto holdings and made the move to create a cold-storage option by using Ledger Vault. Not only is this a quantum leap in terms of exchange security, but it also effectively removes counterparty risk from the investor/exchange equation.
Demetrios Skalkotos, the Global Head of Ledger Vault said,
“Secure storage of large digital asset funds is complex, and institutions are looking for safe, comprehensive and integrated storage solutions. This integration (with ecXX) will ensure that investors have total control and peace of mind that their assets are secure, while not sacrificing convenience.”
Centralized crypto exchanges are a somewhat new idea. Unlike an exchange in the established financial system, a centralized crypto exchange is effectively both the trading mechanism and the counterparty for an investor.
The Mt. Gox debacle is a perfect case study in why this arrangement is a massive problem for institutional investors.
Most crypto exchanges don’t have a transparent financial position, and assessing their creditworthiness is a crapshoot. Without the ability to assess counterparty risk, most institutional investors are unable to enter any deals whatsoever.
Removing The Exchange as a Counterparty
When an investor uses the Ledger Vault, they are no longer subject to ecXX as a counterparty. This might seem like a small change from any other centralized crypto exchange, but from an ownership perspective, it is enormous.
Instead of trusting ecXX as the custodian of assets, an investor can choose to put their holdings into Ledger Vault, and completely remove counterparty risk from the equation. A detailed discussion of the capabilities that Ledger Vault offers is beyond the scope of this article, but it is one of the best options out there for enterprise-level crypto ownership.
From a practical perspective, the addition of Ledger Vault to its platform eliminates the chance of a ‘Mt. Gox’ scenario, and allows investors to establish definitive ownership of more than 1,000 unique digital assets.
Clearly, ecXX is thinking big and taking the steps to realize its vision.
ecXX Delivers Trading Excellence
ecXX has designed an exchange platform that is easy to use and supports the most popular tokens in the world. In addition to BTC, ETH, LTC, and XRP, ecXX is adding tokens like TOC and JSE to its lineup.
The exchange itself uses a high-speed matching engine to deliver the best prices possible. The matching engine was designed specifically for the platform and is regularly tested to ensure maximum efficiency.
ecXX went live earlier this year and plans to expand the number of tokens that it supports as it develops further. Most of the major tokens are traded against USDT, and there are some BTC and ETH crosses as well.
Bullish Bets on the Crypto Sector
ecXX had no problem raising $44 million USD from investors like CapitalX, Epsilon Investment, and Ariki Asia before it launched this past March. The crypto market is looking up, and everyone involved in ecXX is positive on the sector going forward.
It is easy to understand why so many retail and institutional investors are positive on digital assets. The last twenty years have seen a radical shift in monetary policy, and many young people simply don’t trust fiat currency.
The global banking system is also inefficient and has monopolized both retail banking, and international money transfers. The cost savings that digital assets create are enormous, but they also hod the key to a new era in microfinance.
It is fair to say we are at the beginning of a monetary revolution and ecXX is setting itself up to be a player in one of the most compelling sectors in the world.
Singapore is Crypto Central
ecXX is at ground-zero of the crypto development explosion.
Singapore has distinguished itself as the premier destination for crypto development. ecXX is committed to working within the laws and regulatory structure that Singapore is creating for digital assets.
Branson Lee, the CEO and Co-Founder of ecxx.com commented that:
“We see regulation and government licensing as critical factors that will drive the future of the blockchain and cryptocurrency space. As such, we intend to work closely with the regulators to have the right licenses in place for ecxx.com to grow into a leading digital asset exchange and a dominant player in the cryptocurrency market.”
Lee is likely correct and has helped to position ecXX in perhaps the best nation for crypto development going forward. While many other advanced nations have taken a harsh stance against cryptos, Singapore is working to integrate them into its state-of-the-art economy.
Open Arms for Financial Innovation
Leading Singaporean political figure Chan Chun Sing recently confirmed that the nation-state was making efforts to digitize the economy to the fullest extent possible.
His comments came after it was announced that the Inland Revenue Authority of Singapore (IRAS) is working on a plan that would eliminate the Value Added Tax (VAT) on digitally traded tokens.
ecXX is planning to launch an integration with Wirecard so that Singapore residents can seamlessly enter the crypto marketplace. The Wirecard integration would make KYC checks simple, and fiat-crypto transactions would be made like any other transaction.
It would be hard to imagine this level of synergy in any other nation. Given the existing wealth in the Singaporean economy, it is easy to see how ecXX may become the go-to platform for a new crop of crypto buyers.
ecXX is Making the Most of a Massive Opportunity
The last two years have been wild in the crypto markets. After a record-setting run that saw BTC prices rise nearly 20x in a year, the entire crypto space fell just as quickly.
It appears that there is still a tremendous amount of interest in the crypto sector.
Both investments in crypto technology and major crypto prices are stable and rising. Crypto exchanges that address institutional issues like custodianship are putting themselves in a great position, which makes ecXX a noteworthy entrant into a popular space.
As the industry evolves companies that secure an early advantage will likely be in a more secure position as time goes on. Keep an eye on ecXX’s upcoming IEO, and further developments from the company.
ecXX has demonstrated that it understands the value of innovation, and may be able to realize its goal of becoming the world’s leading digital asset exchange.
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Nicholas Say, Khareem Sudlow