QUOINE: EMPOWERING TRADERS WITH LIQUID'S PRIME BROKERAGE
In the last article we went through the advanced architecture of Quoine's LIQUID platform and saw how with the innovative mechanisms it is able to connect across exchanges and execute trades and conversions in real time. In this article we shall discuss LIQUID Platform’s Prime Brokerage.
So what does Prime Brokerage mean?
Prime Brokerage refers to a suite of services that provide users with tools to reduce counter-party risk and increase Return on Investment.
The whole point of trading is to make profit right? Liquid isn't just going to connect you to sellers and buyers, the platform is also designed to equip traders with all the advanced tools they need to make proper assessments and execute strategies that will maximize profit. Liquid Prime Brokerage includes "Direct Market Access", Fiat Management, and Credit Facility as its main services.
Liquid gives its users a very advantageous position in the trading system. Most exchanges don't support all the tokens in circulation. This means the average trader will most likely have to register accounts with more than 3 different exchanges in order to truly diversify his/her crypto portfolio. Some traders even have accounts on more than 10 exchanges! This is not ideal for so many reasons.
By spreading your crypto across many exchanges you waste a lot of money making transfers. You also cannot monitor all your holdings and their trends at the same time. Except you have a lot of money at your disposal, you wont be able to make big purchases. Chances are that you won't make much profit if you spread your crypto investment thin across different platforms.
Liquid solves this with its interconnected network of exchanges. Now users can trade on any platform even without having an account or deposit there!
Let's look at a few benefits you can gain from using Quoine's Liquid Platform.
REDUCTION OF COUNTERPARTY RISK
QUOINE is legally compliant. It is already regulated by the Japan Financial Services Agency and was licensed as a Digital Currency Exchange in 2017. This means traders can rest assured that their investments are in safe hands. Traders can now use Quoine's Liquid Platform as a door that opens to many markets(through Quoine they can access all other exchanges).
INCREASE IN CAPITAL EFFICIENCY
With Quoine's Liquid Platform traders save up on expenses they would've lost to fees trading on different exchanges. QUOINE also provides funding facilities that will allow traders conduct speedy crypto and fiat transfers.
NETTING OF POSITIONS
Different exchanges operate as isolated ecosystems subject to market forces of demand and supply. Sometimes this fragmentation leads to a variation in the prices of tokens in each exchange(e.g. Token XYG may be trading for $2.5 on Exchange A while trading for $2.1 on Exchange B). By using Quoine's LIQUID platform, traders can easily locate and take advantage of this price variation to buy low and sell high thereby maximizing profit.
DIRECT MARKET ACCESS
Liquid provides advanced trading dashboards that will enable traders to efficiently manage their portfolios, place orders, monitor risk and observe all global markets on major exchanges round the clock. Traders on the Liquid Platform have the advantage over other exchanges because with Liquid's Smart Order Routing their placed orders are quickly filled even when the buyer/seller at the other end of the trade isn't using the same base currency/quote currency pair.
Recall
Base Currency - The particular crypto currency you are buying e.g. STEEM, Bitcoin, Qash, etc.
Quote Currency - The fiat price equivalent you see e.g. USD, EUR, Naira, etc.
So you will have something like this-> BTC/USD
FIAT MANAGEMENT
Fiat is hard to move internationally. This is one of the reasons why cryptocurrency was created. QUOINE supports fiat-for-crypto trades and has taken steps to ensure speedy transactions. QUOINE has a long-time good relationship with several keys banks around the world. With the special arrangement set up with these banks, QUOINE will be able to optimize fiat transfer. QUOINE also intends to obtain a Funds Transfer Service Provider License and any other license necessary to provide optimum financial services.
CRYPTO/FIAT CREDIT
As part of its financial services, Liquid Platform's Prime Brokerage will provide Crypto/Fiat Credit facilities for its users. Traders can use their crypto as collateral to obtain loans in order to take advantage of trading opportunities. This will be executed using smart contracts. The QUOINE custom token (QASH) can also be used as collateral for trading.
REAL TIME REPORTING
Liquid's Prime Brokerage users will have access to customized activity statements. This will give traders a report-format summary with detailed information about their account activity. With this traders will be able to review their transactions, balances, trade patterns, profit/loss margin and more.
In the next article we will look at a couple of Real Life User Case Scenarios where Quoine's LIQUID platform can be applied.
If you would like to learn more about this lovely project you can join their telegram group, or follow any of their social media accounts
Telegram | Twitter | Facebook | Instagram | Medium
LIQUID also has its own dedicated channels through which you can better connect and participate within the community.
Liquid Telegram | Liquid Twitter | Liquid Facebook | Liquid Steemit | Liquid Instagram | Liquid Youtube | Liquid LinkedIn | Liquid Reddit
You can also visit any of these links for interesting information about the project
Project Website: https://quoine.com/#products
Products & Services: https://www.liquid.com
Project Token: https://coinmarketcap.com/currencies/qash/
Quoine Team: https://quoine.com/#mission
RELATED ARTICLES
https://www.investinblockchain.com/liquid-platform-launch/
https://www.businessinsider.sg/daostack-announces-new-gen-exchange-listing-on-liquid-by-quoine-2/
https://bitcoinexchangeguide.com/quoine-crypto-companys-liquid-ico-platform-adds-new-features/
DISCLAIMER: The information contained within this post shall not be taken as financial advice. I am not a financial advisor and none of your investing should be carried out based on any information presented here. You can lose all of your money by not investing wisely. The above information is for educational and entertainment purposes only. Kindly Endeavor to DO YOUR OWN RESEARCH.
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