It’s all happening in the crypto-derivatives market right now. Hot on the heels of the news thatBakkt will launch its institutional futures platform in September, Digitex Futures has now confirmed that it will launch its zero-fee retail futures offering on the public testnet on November 30. In collaboration with its development partner SmartDec, Digitex will undergo a period of testing with a limited group of traders. Thereafter, the exchange will open for a full public launch.
SmartDec has confirmed that the initial Digitex public testnet launch will support up to 10,000 concurrent users who will participate in the virtual trading of BTCUSD perpetual swaps. Based on Ethereum’s Plasma technology, the platform can manage speeds of up to 50,000 transactions per second.
The testing phase is expected to last a few months, after which the public launch will enable traders to participate in futures trading without paying any maker or taker fees. This model is in contrast to all other existing crypto-derivatives platforms on the market today, which charge a per-transaction fee.
Due to the promise of zero-commission trading, the Digitex team is anticipating significant demand for the service. The company has collected over 1.5 million signups to its waitlist, along with amassing a sizable following of over 150k followers on its various social media channels.
How Does a Zero-Commission Exchange Work?
Digitex is able to offer zero-commission trading through the utility of its exchange token, DGTX. All trading and account balances will be denominated in DGTX, meaning that traders need to hold DGTX to access zero-fee trading.
The company operates a treasury, which is releasing 10 million DGTX tokens in quarterly increments for the next two years. These token sales will fund the ongoing operations of the exchange, which includes further development work to bring the exchange to a decentralized offering.
After the existing tokens are sold out, token holders will participate in regular votes on the issuance of further DGTX tokens. The company believes that demand for the DGTX token will drive the price upward, offsetting any inflationary effect of token issuance.
It does appear that demand is there – DGTX previously rose to an all-time high of $0.16 in October 2018, at the height of the crypto winter. There was another spike up to $0.14 in April this year in anticipation of the initial launch date. However, due to problems with a previous development partner, the launch was delayed, much to the disappointment of Digitex’s supporters.
Digitex subsequently engaged its current development partner, SmartDec. The Moscow-based firm has a solid form in Ethereum smart contract programming and auditing. It’s worked with several big-name clients in the fintech and cryptocurrency space, and scooped the top prize at multiple Ethereum hackathons, including the ETHParis event earlier this year.
Since SmartDec took over the development, the firm has been issuing progress updates every two weeks, providing increased transparency and confidence in the delivery of the Digitex platform. Digitex confirmed the news of the public testnet launch only once SmartDec had initially released the date on its company blog.
Speaking exclusively to AMB Crypto about the new launch date, Digitex CEO Adam Todd had this to say:
“I’m 100% confident in this launch because it’s being completely managed by SmartDec, one of the most respected Ethereum development and smart contract security auditing companies in the world. I’m working full time with the SmartDec team in Moscow and have seen first hand the level of attention and resources they are throwing at this.”
Zero-fee trading could prove to be a game-changer for cryptocurrency futures markets. Adam Todd made his trading career on the back of a short-term trading strategy known as scalping. Rather than holding onto a few trades in the hope of a win, scalping involves taking smaller profits from many fast and frequent transactions.
However, Todd has stated that he doesn’t believe it’s possible to implement a profitable scalping strategy based on the current maker and taker fee model operated by the existing crypto derivatives platforms. Therefore, he’s firmly eyeing up the market share of short-term traders for rival platforms like BitMEX and OKEx. Todd stated:
“As well as being a game-changer for short-term traders, zero-fee trading will be a catalyst that will lead to massively liquid futures markets which will, in turn, attract more and more traders, further increasing liquidity.”
He elaborated on the future of the Digitex platform beyond the launch:
“In the coming years, Digitex will become a state-of-the-art trading platform that stays laser-focused on providing retail traders a level playing field where there are no mechanical edges working against its traders. We’re also at the cutting edge of Ethereum scaling solutions research meaning that Digitex will play an active role in bringing mass adoption to blockchain technology.”
To get the word out to the wider crypto community, the company will be running a launch campaign in the coming months, with the hashtag #unleashthebeast. As the world’s first zero-fee trading platform of its kind, Digitex is indeed set out to prove that it’s an entirely different animal from its peers.
TradeStation Crypto Gets Approval for US Expansion
Crypto brokerage firm, TradeStation Crypto now covers more states in the United States.
TradeStation Crypto, a cryptocurrency brokerage firm announced the expansion of its services to two new states in the United States.
According to reports, TradeStation Crypto expansion to South Dakota, and Alaska increases the grand total to nineteen different states within the United States.
Therefore, the residents of South Dakota and Alaska now get the opportunity to apply for an account to trade cryptocurrencies.
Quoting the official post: “TradeStation Crypto, a subsidiary of TradeStation Group, Inc., is pleased to announce that residents of South Dakota and Alaska may now apply for a TradeStation Crypto account to trade cryptocurrencies.”
Besides, cryptocurrencies like traders in Bitcoin (BTC), Bitcoin Cash (BCH), Ethereum (ETH). As well as, Litecoin (LTC), and XRP becomes available for interested traders. Also, the brokerage firm revealed plans to add more cryptocurrencies to the platform in the future.
James Putra, Director of Product Strategy at TradeStation Crypto commented on the development.
He said: “We’re excited that traders in South Dakota, Alaska and our long list of other states now get another way to participate in the cryptocurrency markets through a trusted and familiar brand.”
Notably, the platform claims they’re the first crypto offering that uses an online brokerage model that self-directed traders expect for other asset classes. Instead of being a crypto exchange, the platform reportedly aggregates multiple pools of liquidity in a consolidated market data feed combined with an intelligent order-routing system. Therefore, giving customers better visibility and trade execution.
Further emphasizing their progress, James Putra said: “Last month we announced our crypto offering availability for traders across Illinois. As well as, Rhode Island, Washington, and Wisconsin.”
About TradeStation Crypto
The platform is a subsidiary of TradeStation Group, Inc. commenced operations last year. According to reports, the US-based firm offers cryptocurrency brokerage services for self-directed online traders.
Last month, TradeStation Crypto announced its expansion to four new US states. They include Washington, Rhode Island, Wisconsin, and Illinois.
Crypto Today: Bitcoin and its peers are subject to a reversal
Here’s what you need to know on Friday
BTC/USD is currently trading at $9716 (+1.50%), remaining at risk underneath the $10,000 price mark.
ETH/USD is currently trading at $266 (+4.50%), critical support at $250-40 remains intact, as part of the double top, the neckline area.
XRP/USD is currently trading at $0.2760 (+2.50%), vulnerabilities remain underneath $0.3000.
Among the 100 most important cryptocurrencies, the best of the day are ALGO $0.45345 (+22.55%), LRC $0.047042 (+17.49%) AION $0.134455 (+13.75%) The day’s losers are MANA $0.055078 (-11.42%), ABBC $0.118961 (-9.30%), LSK $1.53 (-5.25%).
Chart of the day: BCH/USD weekly chart (Evening star formation proving to be problematic)
IOTA is continuing to release new information in response to a Feb.12 hack on its official wallet.
According to a status update, the IOTA Foundation strongly recommends users of the Trinity Wallet to immediately change their passwords and use the seed migration tool to protect their assets. Trinity users who opened or updated their wallets between December 17th, 2019 and February 18th, 2020 may be vulnerable.
The Cardano (ADA) distributed ledger technology (DLT) project has successfully carried out the Ouroboros Byzantine Fault Tolerance (OBFT) hard fork, a huge milestone that lays a solid foundation for the launch of Shelley, according to a tweet on February 20, 2020.
The Malta Financial Services Authority (MFSA) claims that it has never approved major cryptocurrency exchange Binance to operate in the country. The MFSA issued a public statement, stating that Binance “is not authorized by the MFSA to operate in the cryptocurrency sphere.” The agency outlined that recent media reports referred to Binance incorrectly as a “Malta-based cryptocurrency firm,” while the exchange “may not fall within the realm of regulatory oversight.”
Belgium’s Financial Services and Markets Authority (FSMA) has updated its blacklist of cryptocurrency-related websites associated with fraudulent activity. The FSMA made the update following a number of complaints from Belgium-based users who dealt with fraudulent offers of investment in digital currencies, according to a Feb. 21 announcement. After the latest revision, the FSMA’s list now includes a total of 141 websites offering cryptocurrency-related services.
The Organization for Security and Cooperation in Europe (OSCE) conducted a training course on combating dark web-facilitated crime. Law enforcement representatives from Central Asian countries were taught how the darkweb and cryptocurrencies function, in order to better combat drug-related crime.
Fidelity International has invested $14 million in Hong Kong-listed digital asset firm BC Group. The funding form the arm of US asset manager Fidelity Investments, which claims to have 23 million retail accounts, is part of a $36 million round that the public technology startup raised earlier this month in a share placement.
Quote of the day
Bitcoin is actually digital real estate, but i don’t have time to try to convince you, sorry
Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Consolidation process underway
- The main technical indicators are retracing and confirming a consolidation in the short term.
- Tom Lee anticipates a parabolic rise in price when Bitcoin overcomes the current phase of distrust.
- Market sentiment collapses and enters a “fear” zone.
The Crypto board continues to be immersed in an emotional leg-breaking, consistently punishing the emotional state of the traders with its continuous changes of direction.
Today the tone is slightly positive, and the Top 3 components regain the levels of support lost yesterday.
Tom Lee, the co-founder of Fundstrat, has stated at the Coingeek 2020 in London that when the Bitcoin reaches a critical size, it will experience an upward momentum similar to that experienced by Tesla in recent months.
Lee admitted that the current market is still tiny:
“The percentage of cryptography of traditional liquid assets is 0.1%. It’s much smaller than people think,” he said, adding, “Until crypto gets bigger, it’s largely a retail market. What happens when institutions start buying crypto? Well, FOMO is going to take action.
Later in his speech, he raised the parallel with what happened with the actions of the automobile company founded by Elon Musk:
“In four months, the institutions went from an underweight Tesla to a market exposure that is 0.7% Tesla exposure; they added a market cap of $140 billion. The day the institutions decide they want to be cryptographic in terms of market weight, they will see the same kind of parabolic movement, almost in an instant”.
Looking at statistics from alternative.me, the fear and greed index is currently at 44, the same as yesterday, indicating that the crypto market is still in “fear” mode. If trading above the $9000/BTC mark the market is afraid, I can’t even imagine at what price level the emotional state would change to “euphoria”.
ETH/BTC Daily Chart
The ETH/BTC pair is currently trading at the price level of 0.02705. Technically, it is significant that consolidation is occurring above 0.026.
Above the current price, the first resistance level is at 0.0275, then the second at 0.029 and the third one at 0.030.
Below the current price, the first support level is at 0.0265, then the second at 0.025 and the third one at 0.023.
The MACD on the daily chart is sloping towards the quick average and threatens a bearish cross over the weekend. The opposite scenario is a further upward rebound.
The DMI on the daily chart shows the bulls dominating the ETH/BTC pair, although it maintains the bearish profile of the last few days. Bears are increasing their trend force a bit, but are still far from being able to threaten the dominance of the buying side.
BTC/USD Daily Chart
BTC/USD is currently trading at the price level of $9753, above the price congestion support level by $9625.
Above the current price, the first resistance level is at $10600, then the second at $11250 and the third one at $13862.
Below the current price, the first support level is at $9150, then the second at $8750 and the third one at $8400.
The MACD on the daily chart continues the downward trend but does not increase the gap between the lines or the slope. The setup suggests that the bearish consolidation continues.
The DMI on the daily chart shows absolute indecision on both sides of the market: both bulls and bears ties at the 20 level of the indicator.
ETH/USD Daily Chart
ETH/USD is trading at the $263.7 price level, and despite today’s rise, it fails to regain the first resistance level at $265.
Above the current price, the first resistance level is at $290, then the second at $306 and the third one at $315.
Below the current price, the first support level is at $250, then the second at $238 and the third one at $230.
The MACD on the daily chart shows a recent bearish cross. If it develops as it did for the BTC/USD, the result will be a consolidation move in a downward direction.
The DMI on the daily chart shows the bulls losing strength continuously. The bears are increasing their power at the same rate as the buying side is losing it.
XRP/USD Daily Chart
The XRP/USD pair is currently trading at the price level of $0.2759.
Above the current price, the first resistance level is at $0.285, then the second at $0.29 and the third one at $0.30.
Below the current price, the first support level is at $0.268, then the second at $0.255 and the third one at $0.24.
The MACD on the daily chart shows the most aggressive bearish cross profile among the Top 3. This setup is a clear reflection of the volatility that exists in the price of the XRP/USD pair.
The DMI on the daily chart shows that bulls and bears are already very close to the shock point. From this setup, we can expect an increase in volatility due to uncertainty.