Review on Loopring [NEO] by onur bln

Name: Loopring [NEO]
Item: Loopring [NEO]
Rating: 4

October 22, 2020

Loopring

Blockchain technology also strengthens real ownership - ownership of digital assets and soon, ownership of legacy financial and physical assets. This technology and the crypto assets it supports have upset traditional currency concepts and will form the basis of next-generation financing.

Ironically, however, most crypto asset holders continue to trade these assets on Central Exchanges or CEXs, temporarily relinquishing their ownership (keys) to intermediaries and avoiding the primary utility and virtue of the asset. Over the years, users have lost more than $ two billion in cryptocurrencies on these custody platforms. More depressingly, it is often difficult to distinguish whether the assets were stolen by external hackers or an insider business by malicious owners.

We believe that crypto asset trading should and will be risk-free and worry-free in terms of oversight. Traders should have strong cryptographic guarantees that their assets cannot be mistakenly taken from the platforms they trade by hackers, stockholders, and even state-level competitors. The solution is to trade on decentralized exchanges, also called Decentralized Exchanges or DEXs - backed by the underlying blockchains and smart contracts where these assets live locally.

We also think that trading crypto assets on DEXs will be cheaper compared to CEXs because security is essentially carried over for blockchain and cryptographic processes rather than large, expensive, flawed human teams. These cost savings can also be reflected on users. Finally, the liquidity will be more fluid and can be aggregated on a much larger scale if not globally.

Loopring's goal is to design and engineer the best-in-class orderbook-based DEX protocol on Ethereum. We've achieved this with Loopring v3 - using a state-of-the-art build called zkRollup. We want to make this infrastructure available to the entire industry, empower people and projects to create highly scalable non-surveillance crypto exchanges, and improve the overall trading experience and peace of mind for crypto asset holders. We hope that by pleasing owners, users and regulators, our effort will accelerate the adoption of blockchain technology and cryptocurrencies.
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