Exchange Union is a platform that aims to bridge digital currency exchanges for enhanced trading. Read our Exchange Union review to find out how it works.
What Is Exchange Union?
Exchange Union is a platform created by the founder of Huiyin Blockchain Venture. The platform comes with its own coin called the Exchange Union Coin, or XUC, a cross-exchange token designed to improve functionality, efficiency, and customer service standards across the digital currency community.
Exchange Union’s XUC was built to bridge digital currency exchanges around the world to realize investors’ cross-exchange trading, cross-exchange clearing, deposits, and withdrawals across different exchanges and currencies.
In layman’s terms, XUC is designed to make it easier to transfer value between exchanges while minimizing transaction fees and maximizing liquidity.
Obviously, the cryptocurrency world has hundreds of different exchanges. These digital exchanges are isolated from each other – which seems to go against the global nature of cryptocurrencies. Many of today’s cryptocurrencies find themselves restricted by language barriers and geographic borders, for example. This leads to price inefficiencies: the price of digital assets can vary by 10% across trading platforms.
Exchange Union’s XUC token aims to solve that problem by encouraging inter-exchange trading.
The platform is being launched by a group of major Chinese investors, including Huiyin Blockchain Ventures. In fact, the founder of Exchange Union is James Wo, who is also the Founder and Chairman of Board at Huiyin.
How Does Exchange Union’s XUC Token Work?
XUC plans to “bridge the gap” between digital asset exchanges by encouraging efficient inter-exchange trading. XUC operates as a “universal coin” that can be widely accepted and circulated. Exchanges don’t have to list the same cryptocurrencies as each other in order to use XUC.
Exchanges benefit from the additional transaction fees, while customers benefit by having better cross-exchange compatibility.
The first phase of Exchange Union’s project is to create a universal currency that bridges the gap between exchanges. The second phase, meanwhile, will see the development of an Exchange Union consortium working to improve credibility and reputation of exchanges across the industry.
How will that consortium work? The consortium will be founded with the goal of achieving crucial goals, including:
- Streamlining inter-exchange transactions by eliminating transaction fees
- Setting up consensus algorithms
- Offering enhanced features to its members (KYC)
Overall, the consortium will work to standardize, modernize, and optimize digital asset exchanges across the industry. Today’s system of different exchanges with different rules is inefficient. Exchange Union believes there’s a better solution.
Who’s Behind Exchange Union?
Exchange Union is partnered with Huiyin Blockchain Venture, the renowned blockchain-focused venture capital fund. That fund has $80 million in capital, and its portfolio includes 20 companies around the world. Other Huiyin Blockchain Venture companies include digital currency exchanges, blockchain use cases, and infrastructure projects.
To bring the Exchange Union Coin to market, the organization has also partnered with Jinsheng Capital, one of China’s largest private equity management institutions. Jinsheng Capital manages over $4 billion in assets.
Exchange Union is led by blockchain and FinTech industry experts. The company was founded by James Wo, who is also the Founder and Chairman of Board at Huiyin Blockchain Venture.
Other key members of the team include Mikael Wang, who previously served as CTO of BTCC and worked as a Chief Solutions Architect at Ericsson, as well as Terry Culver, Vice Dean for Development at Columbia University School of International and Public Affairs, and William Hou, former Vice President of AJ Securities, one of China’s first major financial institutions.
The company issued its whitepaper on July 15. By December 2017, they hope to sign contracts with the first batch of exchanges, and by June 2018, they hope to sign contracts with major exchanges worldwide. By December 2018, Exchange Union plans to implement their Exchange Union Chain.
The Exchange Union ICO
Exchange Union’s crowdsale is scheduled for August 7, 2017.
There is no XUC pre-sale. The tokens will go public on exchanges within 2 months after the end of the ICO. Exchange Union claims that the XUC’s liquidity premium and high trading liquidity on secondary markets will increase its token price.
Exchange Union Conclusion
Digital currencies are prized for their transferability and their ability to be used around the world. However, today’s digital asset exchanges seem to operate against these principles: they’re centralized platforms that make it difficult to efficiently transfer funds across the community. Exchange Union and its Exchange Union Coin (XUC) aim to change that by bridging the gap between digital exchanges.
XUC’s purpose is to encourage the efficient transfer of currencies between exchanges. It’s a universal coin that’s designed to be widely accepted and widely circulated. Even if an exchange doesn’t use the same currency as another exchange, clients can use XUC to seamlessly transfer value between exchanges.
Like many cryptocurrency platforms launching this year, Exchange Union is an ambitious project. Stay tuned for more information about Exchange Union as the platform continues to grow. The crowdsale is scheduled to launch on August 7.