LocalCoinSwap aims to create the world’s most inclusive marketplace. Find out how it works today in our review.
What is LocalCoinSwap?
LocalCoinSwap, found online at LocalCoinSwap.com, is a cryptocurrency exchange that aims to give users more control over the platform. The creators claim their marketplace is “the most financially transparent exchange on the market.”
Why is this transparency important? Why should you care about an exchange being transparent? It’s because the exchange promises to distribute 100% of its profits to the community.
The community is also allowed to democratically vote on all aspects of the marketplace’s operation.
The ultimate goal of LocalCoinSwap is to create a better p2p cryptocurrency exchange. It will solve the problems of today’s centralized and decentralized exchanges. It will have an escrow service to facilitate decentralized cryptocurrency exchanges, which makes it more of a decentralized exchange.
How Does LocalCoinSwap Work?
Obviously, there are already hundreds of cryptocurrency exchanges available today. What makes LocalCoinSwap different from its competitors?
LocalCoinSwap is emphasizing cheap costs for traders. Users will facilitate peer-to-peer transactions, which means you don’t have to pay fees to an intermediary.
LocalCoinSwap also claims to support the more cryptocurrencies and payment methods than any other peer-to-peer exchange in existence:
“It is typical for other exchanges to only support a single currency or a small basket of the most popular currencies. LocalCoinSwap will cover the most extensive offering of cryptocurrencies and payment methods possible, with a development team after launch whose sole purpose is the implementation of new currencies.”
LocalCoinSwap also plans to launch special support for ICOs and other new token projects. ICO creators can launch their projects on the platform, for example.
Overall, LocalCoinSwap sees itself as “true” P2P trading, where users can trade the assets they have for the assets they want. They can pay low fees all while sharing in the revenues generated by the platform.
What Problems Does LocalCoinSwap Seek to Solve?
LocalCoinSwap is a decentralized crypto exchange that aims to solve most of the problems we associate with centralized and decentralized cryptocurrencies, including all of the following:
- Centralized exchanges often restrict the registration of new users, or require users to divulge intimate identity information prior to making a trade
- Centralized exchanges are subject to unclear regulations based on the countries in which they operate
- Existing decentralized crypto exchanges are highly fragmented and non-inclusive
- Decentralized exchanges are particularly problematic for those who are trading less-popular fiat currencies or cryptocurrencies
- Many users are forced to swap their lesser-known cryptocurrency into a better-known cryptocurrency (like BTC or ETH) before ultimately buying the cryptocurrency they actually intended to purchase
- Additionally, today’s exchanges don’t allow users to share in any profits generated by the platform
LocalCoinSwap aims to solve all of these problems.
How Do LCS Cryptoshares Work?
LocalCoinSwap will have a token sale for LCS Cryptoshares. Essentially, LocalCoinSwap is tokenizing its platform, then selling tokens through the ICO.
The whitepaper doesn’t try to hide the fact that you’re buying ordinary shares:
“The LCS Cryptoshare system utilises blockchain technology to replicate traditional company ownership through shares in a more secure and decentralised manner. Much like the issuance of regular shares and profits distributed through dividends, LocalCoinSwap issues Cryptoshares which entitle holders to regular redeemable dividend tokens.”
The entire tokenization system is hosted on the blockchain, giving users a publicly auditable and unforgeable ledger of the company’s financial performance.
The LCS Cryptoshares system is scheduled to launch by August 2018.
When the system launches, token holders will be entitled to guaranteed rights to 100% of the total profits from the LocalCoinSwap exchange through cryptocurrency dividends. The entire payment system is based on the transparent blockchain, allowing you to see exactly how the system breaks down.
As an LCS token holder, you’re also entitled to participate in the platform’s decision making process.
The LocalCoinSwap LCS Token Sale
The LCS token sale will begin with a pre-sale on March 15, 2018. The sale has a soft cap of $500,000 USD and a hard cap of $20 million.
There will be a total supply of 100 million LCS Cryptoshares, with 70 million available through the pre-ICO, pre-sale, and ICO combined. The remaining tokens are allocated to a community venture fund, the use of which is voted on by investors (10%), the development team, frozen by smart contract for 1 year (10%), bounties (5%), and a reward program for users to increase security of the platform (5%).
The tokens will be sold at a rate of 1 ETH = 2500 LCS.
Features of LocalCoinSwap LCS
The LocalCoinSwap platform emphasizes all of the following features. Overall, the developers have built the platform with three basic principles in mind: they want the platform to be safe, easy, and fun.
Multiple Coins Offered:
LocalCoinSwap has put a big emphasis on adding lots of diverse coins to the platform. They want to offer more coin pairs than any other decentralized exchange.
LocalCoinSwap has an escrow system that acts as an intermediary between buyers and sellers. When a trade is initiated between traders, LocalCoinSwap takes possession of the cryptocurrency portion of the transaction while the fiat currency payment is made directly from the buyer to the seller.
Once the payment has been made, and the seller can verify the fiat currency transaction has been received, the cryptocurrency is released to the buyer. The escrow system will prevent user funds from being locked up during volatile market periods by issuing time limits for each step of the contract process.
LocalCoinSwap will have a multi-signature transaction option for increased security.
If a dispute occurs, the escrow release is paused and supporting documentation is requested from each party to mediate the settlement.
User Feedback and Community Engagement:
LocalCoinSwap emphasizes an active community where users can easily submit feedback to the platform.
LocalCoinSwap will have a full-time dedicated security team. 95% of cryptocurrency deposits will be stored in offline wallets to minimize potential losses due to hacking.
Simplified Fee Structure:
LocalCoinSwap will charge fees based on comparable exchanges, with the goal of matching or beating those exchanges. This fee is currently set at 1%.
Who’s Behind LocalCoinSwap?
LocalCoinSwap is led by Aapeli Vuorinen (Lead Security Engineer), a data analyst, white hat hacker, and full stack developer with 10+ years of experience.
Other key members of the team include Nathan Worsley (Chief Technical Officer), Thomas Underwood (Chief Financial Officer), Valeri Natanelov (Chief Marketing Officer), Daniel Worsley (Chief Operating Officer), and Kevin Sparks (Lead Developer).
LocalCoinSwap is headquartered in Wan Chai, Hong Kong. The company was founded in 2015.
LocalCoinSwap LCS ICO Conclusion
The LocalCoinSwap websites mentions that “this is the way exchanges were supposed to be built.” The goal is to create a better cryptocurrency exchange that solves the problems of today’s centralized and decentralized exchanges alike. It’s “the world’s most inclusive decentralized cryptocurrency marketplace.”
To learn more about the project, visit online today at LocalCoinSwap.com. The platform’s ICO for LCS Cryptoshares is launching in mid-March 2018.