What is a Loopring Coin?
Loopring Coin (LRC) is a decentralized exchange based on Ethereum. Loopring allows users to trade different cryptocurrency tokens. It can also be used to create platforms that perform other financial transactions with electronic money. The project started in the summer of 2017.
The Concept of Loopring
The Initial Coin Offerings (ICO) is one of the most controversial aspects of the blockchain industry. On one hand, the ICO allows thousands of start-ups around the world the opportunity to avoid recourse to traditional venture capital and achieve tremendous success in their efforts.
On the other hand, it carries enormous risks. This new start-up from China wants to try to resolve this contradiction.
The Loopring platform, based on Ethereum's open-source code, uses a function that represents the ecosystem as a source platform. According to cryptocurrency founder Daniel Wong, the project will restore the former confidence in ICOs and make it an ideal tool for collecting seed capital.
What the Loopring Founder Says
“Loopring is a completely innovative solution that addresses the real-economy sector, not just the decentralized mechanisms of the digital currency. Most of the problems with changing the currency of various electronic platforms are in the phase of interacting with the traditional finance world.
It's about optimizing the process of ICO placement, but with the launch of a slew of fraudulent projects, the ICO does not have the best reputation in the world and our team wants to change the way things are done.”
Functions of the Loopring Platform
Loopring is a fully autonomous trading platform designed to convert coins of various digital services. It is designed to address the issues facing current blockchains in the cryptocurrency ecosystem. The main drawback of the stock markets was their excessive centralization and, accordingly, dependence on the influence of external factors.
Such resources are more vulnerable to tampering and hacking attacks that can result in a loss of millions of dollars. In some cases, the centralized nature of platforms that are currently used can seriously affect users' freedom.
One example is the recent decision by one of the largest digital exchanges, Coinbase, to freeze accounts of traders from the US states of Wyoming and Hawaii in connection with the decision of US regulators.
Loopring has no such disadvantages and acts as an absolutely decentralized stock exchange service, which ensures a high transparency and liquidity of assets. The website does not require users to send their coins to unverified third parties for storage.
Instead, resource users can constantly monitor their tokens on the platform, relying on their protection against threats, such as exchange hacks, bankruptcies, or massive DDOS attacks.
How It Works
Jobs placed on the Loopring platform will run in automatic mode. The trading accounts remain under the control of users, even though they are protected by a smart contract. The mechanism that manages the platform divides the bids into several parts and then determines the time and place to trade those fragments.
The project uses the advanced logic of game theory to optimize the results of operations. It is important to note that Loopring is “blockchain agnostic” and is compatible with all types of blockchains that support smart contract technology. Once a particular digital currency type is connected to the service, users can trade all tokens based on the ERC 20 standard with Loopring.
The main developer and founder of the project is Daniel Wang. He is known through his work in large IT companies, such as Yunrang, JD, Coinport Exchange, and Hygene Online. He has a wealth of experience in the field of blockchain projects.
The next member is the marketing director, Jay Zhou who is responsible for the marketing and advertising strategy of the platform. Another key member of the team is CEO of the platform, Johnston Chen.
In addition to these members, the Loopring team includes:
- Experienced programmer, Freeman Zhong. Previously, he worked at the National Bank of China.
- Google’s leading researcher Hos Ma, who also holds a senior position at Coinport.
- Joe Michael, a specialist in the field of blockchains.
- Peter Depaulo, the encoder, known for its work on the Studiosunfish platform.
- Leon Vang, the head of the Department of Scientific Research at Google.
To start the exchange of tokens on the platform, you can download the client application. The software is available for both mobile devices and desktop computers.
Loopring has successfully completed the ICO. Currently, resource developers are working to complete the full version of the platform. The finished product should be completed in the first quarter of 2018.
Loopring can become a worthy competitor to the 0x service. Its strengths include an experienced development team, good overload resistance, stability, and extensive tools. Among the negative points is the relative youth of the project, which follows inadequate infrastructure development.
The developers at Loopring want to present to the world one of the most technologically advanced, secure and functional electronic platforms, capable of catching up with the top Altcoins. However, since the process is a slow one, only time will tell how successful they’ll be. If you’re interested in purchasing Loopring, it’s important to keep up-to-date before investing.