Loopring — All you want to know about a novel decentralized cryptocurrency system

The world of cryptocurrency has undergone significant changes, in a considerable small time period. It has evaluated very rapidly and keep in evaluating day by day, even at the moment you and I are discussing this. The initiation was done by the introduction of Bitcoin. The promise of these systems is to offer you a decentralized system, where separating cryptocurrency from a centralized system. As a method to fill this gap, the new cryptocurrency type called as Loopring has evolved. It is one of a novel ways, not only providing you an automated decentralized execution, but also gives you a crypto token exchange platform. It shields users by counterparty risks and reduces the trading cost. Let’s know about this deeply, as its sounds interesting.

What is Loopring?

This is an open protocol for building decentralized exchanges. This is started by Daniel Wang. The protocol is completely free, extensible, and serves as a standardized building block for decentralized applications (dApps). This is currently lies at the 95th rank.

The key advantages of Loopring

This has a reduced counterparty risk where the funds remain controlled by the owner at a time. It has shared orders, where the orders can be split across exchanges. This can be done at different times for improving prizes. This is ring-matching, which means orders are not bordered to two parties. This is cross chain, where functions with all Blockchain with smart contract support system.

Wanna know the history of Loopring?

Danial Wang founded this Loopring cryptocurrency. He was also the co-founder of Yunrang Technology. This was created to solve the centralized exchange risk problems. All the transactions in the platform pass through the smart contracts of Blockchain system. How this works?

Even with decentralized exchanges like Ether Delta, IDex, or Bitshares, where you must deposit your funds onto the platform, usually via an Ethereum smart contract. But in this method, you do not require to deposit finds into an exchange in order to begin your trading. Usually, users’ wallets are not blocked by orders. This provides a complete autonomy over your funds while trading. Not only that, it allows you to cancel, trim, or increase an order before it is executed. After pricing an order, you could even move funds from your wallet entirely.

When you are about to make a trade, you should submit an order through the loopring.io wallet, signing off on it with your private key. Then this order is directing to both smart contracts on the Loopring network and a series of off-chain relay nodes, ensuring when your order is matched, the funds in your wallet will be exchanged for the traded coins. And the off-chain relays are responsible for maintaining an order book and spreading orders to ring-miners. Ring miners make sure that orders can fully fill or partially fill through order rings, till the desired trades are finalized for all parties engaged.

The exclusive team of Loopring

The co-founder and CEO of Loopring is Danial Wang. He is a Google Tech Lead, Co-founder of Yunrang Technology and Senior engineering director at JD.com. And he is the co-founder and CEO of Coinport Exchange and a senior director too. Jay Zhou is the CMO of Loopring and consultancy founder of E & Y, PayPal risk operations. And also, Johnston Chen is the COO. He is also Chief Information Officer at 3NOD and Product expert in Finance industry. In the Loopring team, there are other members and advisors too.

Characteristics of Loopring

Non-custodial and on-chain management

This does not need to send tokens to any custody by users. During the entire life cycle the tokens are remaining in blockchain addresses of users. This does not lock assets of users, where the Loopring always adjust order amounts automatically. And also, this always protects and save users from threats, which can happen while transactions.

Blockchain agnostic

It has been ensured that the Loopring’s generic design ensuring that it may deploy on top of any public blockchain. It is integrating with blockchains as a part of their unique codebase.

Ring matching

This has a ring matching, where this method facilitate a ring match format on the orders to match them. This provides high price improvement by matching orders in the form of order-rings. There are 2 to 16 orders in each ring. And tokens transmission is happens automatically in a circular manner while happening a ring settlement.

Anti-front running

Orders and rings can not be stolen by any party such as Blockchain miners, middlemen due to their advanced technology. It is a patented one called as “Dual Authoring”.This makes genuine orders for its users.

Competition to Loopring

Loopring is entering the field of centralized and decentralized exchanges, while there are other competitors there acting for the same target. 0x is a one competitor, but it allows anyone to run a node as a decentralized exchange. But unlike Loopring, it doesn’t draw from multiple exchanges, as all liquidity comes from exchanges established on 0x’s platform. And also, there are other competitors as Bancor, Blocknet, and Kyber Network.

What are their current researches and developments are?

Let’s see what are the recent updates related to Loopring. This is the way of expanding their transactions more easily and more user-friendly.

Loopring protocol v3

According to their head, Loopring founder Daniel Wang; they are doing something wonderful with Loopring v3 currently. They have been working on a new fee model and a staking system for Loopring v3. These are currently developing. Some details are required to finalize this. It is definitely, the new model will be more flexible and efficient. Also, they are engaging in implementation new fee model, even though some changes are there to be done. They have further improved the performance of Loopring v3: the maximum throughput with data availability increased from 120 TPS (trades per second) to 160 TPS. And also, the maximum throughput data availability has grown up from 450 TPS to 525 TPS. This has led to a reduction of cost per settlement. Last year has become a good milestone of their journey to success. They have done ERC223 support and hybrid trading with these tokens and ERC20 tokens, released mobile wallet for iOS and Android. Also, they have implemented decentralized governance and additional blockchains (NEO and Qtum). So, the current roadmaps of their developments have shown up a greater success.

Oedax Protocol v1

Oedax v1 means Loopring’s Open End Dutch Auction eXchange, which is undergoing further testing. And also, this is a cool and easy protocol for building crypto auction dApp. This easy protocol has many benefits.

Lightcone Relayer v2

The Loopring team has focused on prototyping of Loopring v3. The very core of this lightcone is request handling, block proof generation and verification.

What is meant by Loopring 2019 Development Roadmap?

There are two broad buckets, which are reflecting by Loopring’s core research and development 2019. They are innovation plus focus.

Innovation means; maintaining a highest attention and respecting for Blockchain advancements and determining to absorb and to adopt new technologies. This will automatically leads to continual improvements and optimizing the protocol. Innovation can have several examples in roadmap. They are improve protocol 2.X, research and development for Loopring 3.0, side chains and cross chains and explore new trading models.

Focus means; giving up non-core researches and development of technology and products, focusing on strengths and strategic projects only. Focus can be illustrated by relay, mobile app and loopring.js.

Conclusion

This is a risk free method. Therefore, your funds are always within your control, as this is taking place in decentralized system. This is a very beneficial aspect to its users. Also, decentralization is another advantage, where you have a fully control about your funds. By this, you will be able to know when and what your trade aspect is.

Loopring is a complete eco-system made out of ring miners, asset tokenization service (ATS), loopring protocol of smart contracts (LPSC), relay mesh and wallets etc. The aspect of a decentralized exchange flatform, Loopring offers many advantages to its users to fill the crypto space. Also, this has an innovative mining process. In the new era of cryptocurrency trading, Loopring will fill a good gap while serving its users in its best way. The cryptocurrency trading is growing rapidly, providing opportunities to us to move with this adventurous commercial world. This is the best virtual transaction method to need to hug immediately, by saying bye to your traditional methods.

And we hope you got a better understanding about Loopring and its functions from its basics to somewhat a deep level.

Website — https://loopring.org/

Telegram — https://t.me/loopring_en

Content owners telegram — @BittRexy