Digitex Futures partnered with Matter Inc, developers of the Ethereum’s scaling framework known as Plasma
Introduction
Some weeks ago I started writing a series of articles about Digitex Futures, in which it was explained how this revolutionary project was planning to disrupt the futures market by creating a new exchange where people could trade cryptocurrencies futures without having to pay any sort of fee, effectively receiving 100% of the profits from their trading activities.
In the first article their strategy to monetize their platform was explained, in short words, they are using their own token sales to gather the resources they need to continue with the maintenance as well as with the further development of the platform, and since their token is required to participate in the exchange and place orders, traders will naturally be there providing demand for the token.
Then, I took the time to write several other articles where certain specific features of this exchange were properly explained and discussed. However, as it is usually the case with innovative projects in the blockchain scene, there are always new collaborations & partnerships being created with the goal of having different teams working together in developing solutions that can be useful for everyone involved, and this was exactly what happened a few days ago at the Malta Blockchain Summit.
What is the Malta Blockchain Summit?
Given the incredibly high amount of new projects and innovations constantly being created in the blockchain industry, there is the natural need for there to be summits, conferences and events, where people involved with these new creations can exhibit their products & services to everyone who decides to attend, with the goal of meeting potential partners and clients. This is a very common dynamic and it happens in every industry we could imagine, and in Malta, there is a very popular Blockchain Summit where leaders of the industry go there to present their latest creations.
In the case of Digitex, they recently did a live presentation at the Malta Summit, where for the first time, people were able to see the Digitex Futures exchange being used in real time. This presentation was handled by Adam Todd, who is the CEO of Digitex, and he was able to explain everything regarding how to navigate throughout the easy-to-use interface that was developed for this platform, as well as showing all the different features traders will find when they start using this exchange, which by the way, is going to be officially launched in December, so for those who want to get involved as soon as possible make sure to register on the waitlist.
Announcing the partnership with Matter Inc.
Even though the live demo was surely very exciting for those traders that have been waiting to see this new exchange in action, the biggest surprise in relation to Digitex, was the official announcement of a partnership with Matter Inc, this team is the one behind the development of one of the most important protocols for Ethereum, known as Plasma.
Ethereum, as some of you will surely know, have suffered from a lack of scaling capabilities, which means the blockchain might come to a halt if the number of transactions exceeds the processing capacity of the network, and fixing this issue is crucial for the future success of the project, what Plasma basically does, is to facilitate the creation of secure off-chain transactions to avoid overwhelming the network, and once these off-chain transactions are settled, then this information is included in Ethereum’s blockchain, this way, the number of on-chain operations are reduced and more activities can take place without overloading anything.
However, in the case of Plasma, these off-chain transactions can be quite sophisticated because they could act as a complex network on their own, and even serve as regular blockchains, kind of like having several child-blockchains inside a root blockchain, but not only that, Plasma also allows for these child-blockchains to have their own “child”, very similar to having different smaller branches, all connected to a single root. The end result of this system, is to optimize the computational resources from the main network, allowing it to process more transactions than was otherwise possible.
When it comes to Digitex, they are going to be the first crypto exchange in implementing this technology, which means this project won't have any scaling issues for the foreseeable future, but there is also another benefit of being able to implement the Plasma protocol, and it consists in offering the best possible protection to users funds.
Instead of traders sending their money directly to Digitex, they are going to send it to an independent smart contract that runs on the Ethereum network, and by communicating with this smart contract, Digitex is going to confirm the balance each user has deposited, this is an added level of security because users funds are going to be held by a fully transparent smart contract, so rather than trusting an exchange, they will be trusting code that is completely verifiable and secure.
This way, the partnership between Digitex and the developers of Plasma, will not only increase the scaling capabilities of this exchange, but it will also increase the security for each and every single user that decides to do his trading activities on this platform.
By using this state-of-the-art technology, Digitex can easily differentiate themselves from their competitors, and offer their clients a platform that is compatible with one of the most sophisticated protocols there are in the blockchain industry.
Summary
A few days ago, at the Malta Blockchain Summit, the first ever live demo of the Digitex Futures exchange was presented to the public, and even more exciting, it was also announced that a new partnership between Digitex and the developers of Plasma, Matter Inc, has been reached.
Plasma is a new protocol that allows Ethereum to scale more easily, and thanks to this partnership, Digitex will have not only increased scaling capabilities, but it will also have a new and sophisticated mechanism to increase the protection of users funds through the utilization of independent smart contracts on the Ethereum blockchain.
More news regarding the implications of this new partnership will be shared on the official blog in the coming weeks and months.
For more information about Digitex, make sure to check the following links:
Project Website
Products & Services: exchange & dgtx token
Digitex Team
Digitex Story
Facebook
Medium
Twitter
Youtube
LinkedIn
DISCLAIMER
The information contained within this post shall not be taken as a financial advice. I am not a financial advisor and none of your investment decisions should be carried out based on any information presented here. You can lose all of your money by investing. The information presented in this article is for educational and entertainment purposes only.
I was not aware about how using plasma protocol would strengthen the Digitex Futures platform but now I know. Scaling and Security - Both of them got covered. Thanks @dedicatedguy for sharing your thoughts and research about the project.
I am glad you found this article informative mate!
Cheers!
This is a brilliant idea and a brilliantly written post! Plasma sounds like a great initiative and kudos to Digitex for jumping onto that opportunity. Great partnerships help to advance prime companies. Thanks for letting us know about this!
Jeff
Thanks for your kind words mate!
The team at Digitex were wise enough to take this opportunity and there will definitely be benefits in working together with the Plasma team.
You really did an excellent job explaining what Plasma does and how Digitex will use Plasma in their own transactions. It sounds like a brilliant way to not bog down the Ethereum blockchain and its a wonder why this is the first time I'm hearing about something like this. Very revolutionary partnership here that sounds like its really going to change the way transactions are conducted for traders! Thanks for sharing!
Ivy
Hello @ivyriane! I agree with you, this partnership will certainly have several positive implications for both digitex and its users.
Thanks for stopping by!
This is a good information I read when I woke up this morning.
Digitex was incredible for using plasma. And one thing that i've learned from digitex future, it has an automated market maker.
That's right, they have some cool features and having an automated market maker is one of those :)
This is fantastic. I don't think there's any better alternative for Digitex than this particular option. Plasma technology will prefect their hybrid model.
Digitex and Plasma are certainly a good partnership and they will both surely benefit from this.
Best of all, Digitex Futures is a pioneer in adopting this new form of Plasma technology combining the best of centralized and decentralized, providing speed and security.
Indeed they are the first one doing this type of collaboration, and announcing it one month prior to the launch of the exchange was a good timing!
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