Omega One: cheaper and secure way to encrypt currency transactions


nOn Wednesday, the largest encrypted currency trading platform on one of the GDAX’s ether prices in less than a second “lightning storm” was 99.9%.n
nThis is due to the millions of dollars sold out on the trading platform. As the trading platform did not hang out enough to pay for this large sell orders, the price of Taibai immediately fell from 317.81 US dollars to 224.48 US dollars; this trend is sufficient to trigger due to additional margin notice and stop orders and sudden about 800 Times to close the price, to promote the price briefly fell to 0.10 US dollars, and lead to GDAX suspension trading.n
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nThis is the latest developments in a series of similar events that have occurred recently in the encrypted currency trading platform and are not specifically responsive to GDAX. This is nothing more than a manifestation of potential problems caused by market infrastructure development that can not keep up with the rapid increase in capital flows.n
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nWhat does this mean for investors?n
nAlthough the ether prices quickly rose to more than 300 US dollars, but forced to sell, investors can not recover the loss of millions of dollars. This event highlights the fact that the encrypted currency trading ecosystem is relatively immature. Since the beginning of 2017, the average daily volume of ecosystems has increased by 20 times, but the market structure has not undergone any fundamental changes.n
nFrom the point of view of the traders (assuming that they simply want to try to get rid of this position through this brutal way, not a malicious actor or market manipulator), throwing all positions immediately may bring Millions of liquidity costs. Such a huge move for them is unfavorable to the margin traders who are forced out of the warehouse at a worse price, all of which are due to the price behavior that can easily be avoided by the smarter trading logic Then
nAbout trading platform What can we learn from this?n
nOn the other hand, the trading platform does not have enough safeguards to prevent this lightning crash. It usually takes 24-48 hours to make a guarantee when the participant’s margin position is lower than the margin requirement of the traditional market. On the other hand, GDAX seems to immediately clear you (with market orders) into its very sparse transaction entrusted books. While some platforms, such as Poloniex, try to use simple trading logic to mitigate the effects of potential deposit margins, there are many variants of this problem on most cryptographic trading platforms.n
nGDAX also stops in the same way. For the traditional foreign exchange transactions on the market, the maximum difference between a person’s stop and the actual strike price is 0.10%. On GDAX, the $ 31 stop was actually sold for $ 0.10 in their currency. In addition, GDAX does not specify whether the stop commission is based on time priority or price.n
nFor example, if someone’s stop is commissioned for $ 50 and then someone hangs $ 100 for the price stop commission, then when the lightning crash occurs, who’s the currency will be sold first? The combination of sparse entrusted transaction books and its winding up rules allows traders of trading platforms and trading platforms to be affected by such events.n
nWhile this will give the trading platform owner a short-term contingency margin with additional margin announcements, they are at the expense of the reputation and the risk of preventing the participant from paying the margin. Traders must accept and endure uncertainty in this environment, which is one of the major barriers to entry into the large institutional capital pool, which can promote the maturity of the encrypted money market and raise the overall market value to the size of the traditional asset class.n
nWhile these events are frustrating because of their negative impact on the entire field, these times also provide a great opportunity for those who are willing to work for building complex financial infrastructures, so that’s Excited.n
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nHow does Omega One solve security issues?n
nOmega One platform will be launched in the second half of 2017, when this type of problem will be proposed structural solutions to protect the traders while also protecting the trading platform.n
nIf the trader hanging out on the GDAX $ 30 million will hang the order on the Omega One, the market will not have any fluctuations at all. On the contrary, the Omega trading engine will accept this order and break it down into thousands of small sell orders, with the passage of time in the world around the mobile encrypted currency trading platform were linked to these sell orders.n
nGDAX, Poloniex, Bitfinex, Kraken, etc. Exchange transaction book will be issued immediately after the sale of the order to see the additional selling pressure in a little increase – enough to absorb these trading platform to pay the effective demand, but not enough to promote the price Variety.n
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nAs these initial sell orders are traded, the Omega One trading engine will monitor the results and adjust follow-up actions in milliseconds, issuing orders to the market at a rate that the market can absorb. Omega One does not hang the entire order on a single platform in a second, causing the market to crash, but in an hour’s time to spread all the world’s secret trading platform delegates scattered, no one more than this intelligence.n
nIn addition to losing millions of dollars and triggering a market crash, unknown traders in Wednesday’s market crash will also avoid the risk of delivering millions of dollars in encrypted currency to trading platforms. In order to sell the currency on the GDAX, they first need to send the currency to GDAX, to give up their supervision of funds, and trust GDAX will not be hacked or otherwise affected their financial security.n
nThe Omega One, in addition to playing these roles in the encryption market, will add a trusted middleware to protect customers from the risk of trading. The trading engine will be integrated with the tower and other block chains so that the funds can be traded without trust. For example, when Omega One members want to trade between the two tokens issued by the etherbox standard (“ERC20”) in the chain of the ethertop block, they will lock in part of our smart contract Currency A, and in a certain time and price limits to send us orders, transaction tokens B. The Omega One will then use our own trading account and funds to obtain the position of token B on the market and then trade directly with the member as an atomic (simultaneous) token exchange in the smart contract. This will combine the benefits of using the Omega One algorithm to gain liquidity, as well as the trust advantage of keeping member funds on the block, thereby protecting it from the risk of counterparty risk.n
nIf an unknown trader has been using Omega One, they will be able to keep the funds in the wagons of the APF chain, and still under their own control, until the time of settlement. The combination of security and cost-effectiveness provided by Omega One will change the encrypted money market and facilitate the further maturity of the encrypted currency trading ecosystem.n
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nLearn about Omega tokensn
nThe Omega One trading agreement is regulated by the encrypted tokens – Omega tokens. Members will use tokens to pay for fees, get discounts on fees, and prioritize transactions in their private dark pools. The cost will be reinvested to get more and more liquidity, upgrade transaction information and enhance to the center. Omega One will be a practical tool for encrypting the market, making transactions cheaper, increasing overall liquidity, and further driving market evolution.n
nOmega One founder has launched a number of start-ups, trading one of the world’s largest private encryption fund, and in the traditional money market to design the value of trillions of dollars trading system. Omega One is a ConsenSys Mesh company, benefiting from the world’s leading block chain talent and technology.n
nFor more information and to register for the upcoming Omega One white paper, please visit https://omega.one/.n

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