Hacking attempts are nothing new for the cryptocurrency industry, even when it comes to exchanges, the central entities that deal in these digital assets on a day to day basis.
Cryptocurrency exchanges have been falling prey to cyberattacks over the past few years, causing traders and these companies themselves to suffer great losses..
Exchanges operate by trading highly secure cryptocurrencies, they run their operations by using dated methods and systems that are susceptible to hacks.
The market is calling for an exchange with enhanced security, 24/7 live customer support and fair fees for all traders.
To answer this calling, the latest innovative cryptocurrency exchange to launch is the London Crypto Currency Exchange (LCCX), which aims to provide cryptocurrency traders with a safe yet fast way to perform their day to day activities without having to worry about losing their assets. In addition, the exchange comes with the added advantages of low transaction costs and a highly efficient infrastructure.
The platform is currently holding its initial coin offering (ICO) with its native token, dubbed the London Exchange Token (LXT).
So let’s go through the details of this project and learn more about it in order to determine the effectiveness of its value proposition.
More about london crypto currency exchange (LCCX)
As the name suggests, LCCX is a London based entity. It aims to set itself apart by not being a run of the mill cryptocurrency exchange, but by establishing itself as a financial institution that will operate on a blockchain platform and will also follow the complete set of rules and regulations imposed by its region of operation.
The result on paper: customers being provided with technologically advanced services while having the peace of mind of operating in a lawful environment.
Apart from using blockchain for maximum security and efficiency, LCCX aims to operate under the regulations of the Financial Conduct Authority (FCA), the main financial regulation watchdog in the U.K. By doing this, it wants to ensure that it is performing its operations while complying with the law, and thus establishing cryptocurrency trading as a viable business operation within the region.
LCCX will list more than 200 cryptocurrencies after its launch, and also mentions that it is developing its own matching engine on its blockchain. This matching engine is projected to perform over a million trades per second.
Due to having its own blockchain platform, LCCX also promises to provide an insurance-covered exchange fee of no more than 0.5 percent per trade.
The exchange will also hold 60-75 percent of its users’ assets in cold storage at all times, so that it could ensure that they are safe from hacking attempts.
In addition to having its customers’ funds insured against hacks, LCCX also swears by transparency and lists its complete address and contact information on the website to establish its accountability.
Along with that, the exchange also aims to provide next-level customer support by providing services such as live chat for its customers’ convenience. Furthermore, it will also provide an initial coin offering (ICO) underwriting service to facilitate the launch of new coins through its platform.
More about the LXT token
The LXT token is an ERC 20 token, and LCCX aims to launch 100 million LXT through the Ethereum network.
The token will be priced at $0.15, with the ICO ending on April 30, 2018 and the tokens being distributed by May 7, 2018.
The token will be utilized to supplement the exchange’s operations such as trading and withdrawal fee, as well as the payout for referrers, and bonuses given away in competitions.
Out of the 1 million tokens that will be created, 60 percent will be distributed during the ICO; with 18 percent going to the LCCX team; 14 percent allocated for advisors and early investors, and 8 percent being reserved for bounty and referral programs.
The 18 million tokens allocated for the LCCX team will be vested over a period of 18 months, with 1 million tokens being released to the team every month.
Furthermore, every three months, LCCX will be using 15 to 25 percent of its profits to buy back LXT from the market and burn it. The burning will take place to slowly decrease the total supply. This practice will end when 50 million LXT remain in the market.