Introduction
Technology keeps on getting more advanced day by day, we can see ages back right from the way we spend money either by the use of trade by barter, paper money and now the new era "Digital Currency" also known as Cryptocurrency. Since bitcoin was launched, there as been an advancement which as led to the success of the cryptocurrency technology resulting to the establishment of a lot of exchange platforms which deals with the exchange or trading of cryptocurrency assets.
Most of this exchanges as really helped in the conversion of several coins or assets but some bottlenecks are being encountered from high rate of transaction fee, security breaches, setup cost, maintenance cost, lack of scalability and many more.
The Liquidity Network Technology as come to the rescue of crypto users by implementing the Liquidity Network ecosystem in making a more effective and decentralized exchange which would be able to perform instant, more secure and easy transaction.
What is Liquidity Network?
Liquidity Network and Exchange is a non-custodial exchange platform which offers both financial and off-chain services in the built blockchain technology.
Cryptocurrency market currently have millions of users both trading or holding funds on exchanges, making millions of users adapt more to blockchain. The Liquidity Network alongside the exchange platform would grant enough support to users more securely and also undergo reduction in transaction fees.
The Liquidity Ecosystem has been designed to perform scalable, instant, secure and easy transactions whixh provides an exchange which never holds any funds while performing atomic swap off-chain.
There are two vital components which the liquidity ecosystem is built on. They are:
- The Liquidity non-custodial hub(hub No-cust)
- The Revive.
Challenges Encountered On Cryptocurrency Exchange Platforms
We all know cryptocurrency exchanges are used for the trading or exchange of cryptocurrency assets . There are many challenges that as been encountered which must overcomed for global mass adoption of cryptocurrency and blockchain. Some of this challenges are:
Scalability : Most transactions perfomed on exchanges are so low that it as resulted in a drastic delay in transaction. Due to the delayed transaction, there would be a low rate of trading on the exchange platform.
Cost of trading: The cost of trading is another problem which as to be tackled, most of the exchange platforms charges very high for transaction of assets from one node to another. Due to the high rate of transaction fee, there's a lot of discouragement in the trading on the platform.
Insecurity: Few years back, it was noticed that some exchange platforms were being attacked due to security breaches or hacking where millions of funds were stolen. With this kind of exchange platform, there would ve lack of trust and discoyragement to continue traing on the exchange.
How Liquidity Network and Exchange Will Solve All Challenges
Looking at all this challenges, the team of the Liquidity Network implemented liquidity in order to solve some of the bottlenecks encountered on exhanges.
Here are some areas which would be solved by the Loquidity Network:
a) Zero Transaction Fee: We all know, it's a bit annoying not knowing the right exchange to be used to send and receive crypto assets or tokens, also with all additional transaction fee just for a transaction to be successful. The Liquidity network will make it more easy for members of a payment hub to pay their fellow member at a zero transaction fee cost.
With [Liquidity] network having one of the best and simple routing designs, it will offer a very swift and also enhance off-chain establishment in order to reach trading speed of traditional centralized exchanges.
b) Off-chain Transaction Settlement: In the [Liquidity Network] technology, more effective ways as been improvised to improve off-chain transaction settlement, transaction can either be done by two or N-party(more than 2 users) of users.
- In the two users channel, transactions can either go unidirectional, bi-directional, linked payment and a 2-party payment hub.
- In the N-party payment hub, transactions are done very fast, very cheap and also allows participation in the hub. It also provides a designed route where funds can only be transfered between users and are not in any way held by the liquidity network not the server. As the server doesn't hold funds, the main function or advantage of the server is to create a faster means of computing all transactions in the hub.
c) True Decentralization and Efficient Transfer of Funds: In the verge or process of making an efficient way in the transfer of funds and also in achieving decentralization, one need to know that the [Liquidity Network] Technology does not hold any private keys. All funds held by users are owned via their private keys.
In order to achieve decentralization, the Liquidity Network Technology as profered solution in making transaction seamless and scalable in such a way that it can be handled by millions of users per hub thereby leading to a reduction in the maintenance and setup cost.
Use Case/ Application
The Liquidity Network can be applied in so many sectors but let's focus on the airdrop sector for now.
Pencoin is a Blockchain project which special purpose is for the buying and storing datas of cars and other equipment, but for it to be well known, they will have to launch an airdrop. Pencoin are not really comfortable with the idea of sending airdrop tokens alongside there wallet info in order not to lose trust from customers.
Doing their own research, they stormed Liquidity Network which platform will help them run airdrop without holding users private keys.
Conclusion
Liquidity Network has been a life saver to most challenges faced by blockchain technology, from the reduction in transaction fee, scalability insured and lot more.
The Liquidity Network project will massively grow to see the global adoption of cryptocurrency and the Blockchain technology.
Liquidity Network Website
Liquidity Network Wallet
Liquidity Network WhitePaper
Liquidity Network NOCUST Paper
Liquidity Network REVIVE Paper
Liquidity Network Apple App Store (IOS)
Liquidity Network Google Play Store (Android)
Liquidity Network Telegram Group
Liquidity Network Telegram Announcement
Liquidity Network Twitter
Liquidity Network Github
Liquidity Network Blog
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