OpenANX – Transparent Decentralized Bitcoin Trading Exchange?
OpenANX is a decentralized cryptocurrency exchange that just launched its token sale. Find out everything you need to know about OpenANX today in our review.
What Is OpenANX?
OpenANX is a decentralized exchange built on the Ethereum blockchain. The company announced the launch of its token sale on June 22, 2017.
OpenANX is operated by a Hong Kong-based company named ANX International in partnership with veteran industry advisors. ANX International is a FinTech company originally founded in 2013. They’re best-known for powering one of the longest-running bitcoin trading platforms in Asia – ANXPRO.
With OpenANX, the company is creating a decentralized marketplace that embraces the future of cryptocurrencies:
“ANX firmly believes decentralized exchanges will dominate the cryptocurrency market. We plan to lead the march toward this future through openANX, which will be fully open sourced, transparently governed, and kickstarted by ANX’s technology, experience in operating an exchange, infrastructure, and wide network of users,” explains Hugh Madden, Director of Technology for OpenANX.
Basically, OpenANX is an exchange that functions as a DAO. It’s a decentralized autonomous organization where participants can securely trade assets in a trustless exchange.
How Does OpenANX Work?
The core of the OpenANX platform is the same core as other DAOs: it’s a decentralized autonomous organization, which means it is run by smart contracts. This governance model affects every aspect of the DAO, which means it’s always run in accordance with the best interests of the participants (it’s a democracy).
OpenANX works due to the following core functions:
OpenANX makes it easy to assess risk in a quantifiable way. Gateway tokens can be traded to create a new dynamic and further increase transparency.
Aggregated Order Books:
Aggregated order books are a way to increase the liquidity of the platform. With aggregated order books, isolated order books from each asset gateway will be aggregated using the liquidity aggregation system provided by ANX. End users have access to a single, seamless order book.
OpenANX claims to have taken the strengths of centralized and decentralized exchanges to create a new middle ground for participants. Participants enjoy the benefits of both.
OpenANX envisions a future where customers trade their assets through decentralized trustless exchanges. They will only interact with existing centralized exchanges when onboarding and offboarding real world funds. With OpenANX’s Asset Gateways, customers are protected with blockchain locked collateral and a real-world dispute resolution process.
Disputes can be escalated beyond the asset gateway. OpenANX has an impartial dispute resolution mechanism available through a third party.
Open ANX Foundation:
The Open ANX Foundation is a non-profit organization built with the objective of promoting OpenANX’s applications and uses in the real world.
You can learn more about the OpenANX decentralized exchange at their whitepaper.
What makes OpenANX different from other decentralized exchanges? Here are some of the key features built into the platform:
- Credit Risk Markets
- Transparent Collateral Ratings for Asset Gateways
- The Use of Smart Contracts for Memberships
- Collateral Management and Dispute Resolution
- Know Your Customer (KYC) Regulations
- Settlement for Asset Exchanges
- Both Over the Counter (OTC) and Order Book Transactions
Some of the key distinguishing features of OpenANX include aggregated order books to increase liquidity, collateral for asset gateways to reduce credit risk, and off-chain, predetermined dispute resolution systems governed by the Decentralized Autonomous Organization (DAO) to maximize consumer protection.
The OpenANX Token Sale
The OpenANX token sale was announced on June 22. The token sale will see the release of 30,000,000 OAX tokens (although only 20,000,000 tokens are being released to the public, due to 10,000,000 held as part of a pre-launch commitment).
OAX is an ERC20 token that will fuel the open-source, decentralized exchange at the heart of OpenANX.
The token sale is scheduled to last until August 21. 1 ETH is equivalent to 478.68 OAX.
OpenANX is led by “some of the industry’s brightest technology, business and legal minds” explains the official OpenANX website.
Key members of the team include Ken Lo (Leadership), Hugh Madden (Leadership), Dave Chapman (Leadership), David Tee (Leadership), Jehan Chu (Strategy Advisory), Chandler Guo (Strategy Advisory), and Bok Khoo (Technology Advisory).
The company is based in Hong Kong. The project is led by ANX International, best known for running the ANXPRO exchange.
The idea for OpenANX began in Q2 2016. The project was developed over the course of 2016 and early 2017 before being revealed to the public in April 2017. By May, the company had released its whitepaper. On June 22, OpenANX launched its token sale.
Before the end of 2017, OpenANX wants to have a working group setup and a user group signup. By Q2 2018, they plan to release the prototype for their decentralized exchange.
OpenANX is a decentralized exchange that functions as a DAO. The exchange operates in the best interests of participants and allows for secure trading of assets through trustless exchanges. It’s an ambitious project led by Hong Kong’s ANX International, best known for their ANXPRO exchange.
The OpenANX token sale began on June 22. You can buy OAX through the token sale until August 21. By Q2 2018, the team plans to have a working prototype in place.