Daily fraud update: 18th May

Denise Jacksone

bitcoin

Crypto asset platform launches incentivised shift to DEX

A crypto-supported synthetic asset platform has said that it will offer crypto worth more than $40,000 in prizes to some of its users.

The offer comes as part of Synthetix’s attempts to incentivise people to use a beta version of its decentralised exchange.

A decentralised exchange, known as a DEX, is an environment in which those trading cryptocurrencies do so directly from their own wallets.

According to some in the crypto world, this type of exchange is better than centralised exchanges, or CEXs, in part because of security – though they can be slow and difficult.

Centralised exchanges run the risk of being exploited by cybercriminals attempting to steal cash but tend to offer other advantages, including user-friendly high speeds.

Users who want to participate in the competition run by Synthetix will need to send a tweet before a deadline on Tuesday 19th May.

They will then be asked to trade using a beta version of the new system, with the most successful traders receiving prizes.

According to Kain Warwick, who is the CEO of the firm, there is a “trade-off” to be had when it comes to choosing the types of exchange on offer.

“While DEXs offer significant improvements over CEXs [centralised exchanges] in terms of safety of funds and transparency, there is typically a painful trade-off on transaction speed,” he said.

The new DEX offered by his firm, however, is intended to be faster.

According to a post on the Synthetix website, the firm worked alongside a company called Optimism to develop the new version.

“Synthetix and Optimism are extremely excited to announce a new demo of Synthetix.Exchange on OVM (Optimistic Virtual Machine), a Layer 2 (L2) scaling solution,” it said.

“This integration demonstrates the power of OVM to deliver high-speed Ethereum transactions to supercharge the Synthetix trading experience.”

The firm also explained how the competition would work – and what user experience it expected participants to have.

“During this demo, Synthetix and Optimism will be running a trading competition on l2.synthetix.exchange, with 50,000 SNX in prizes,” it said.

“This competition will encourage traders to experience the OVM, which enables decentralised financial platforms to operate at speeds usually associated with centralised systems.”

“L2 scaling is critical to Synthetix.Exchange as it continues to launch an unsurpassed trading experience on Ethereum,” it added.

It said that users who wanted to participate needed to request some tokens to trade on the firm’s exchange platform.

“During the onboarding, a new wallet in the Tweet preview will be generated for each trader to use in the competition,” it said.

“Prizes will be awarded to the traders with the largest wallet balance according to the following structure,” it said.

It went on to outline the 20 prizes on offer to those with the highest balances, with the largest being 15,000 SNX.

SNX stands for Synthetix Network Token.


Denise Jacksone

Latest news

Is It Time to Test the Crypto Waters Once Again as Bitcoin Rises?
Bitcoin, the most popular cryptocurrency across the planet, has surged dramatically during mid-July, reversing its downward trend and powering past $41,000. Read more
Be Wary of Phony Lawyers Pushing Fraudulent Forex Recovery Scams
Have you ever lost money because of a crooked forex broker? Have you regretted those losses until a nice lawyer called you on the phone and promised the recovery of your losses for no upfront fees? Hope does spring eternal in these situations, but, unfortunately, the lawyer is a phony. Read more

Safest Forest Brokers 2020

Broker Info Best In Customer Satisfaction Score
#1 ForexTime LogoYour capital is at risk Founded: 2011 Global CFD & FX Broker
Number One Broker
BEST FOREX BROKER Visit broker
5
#2 ForexTB logoYour capital is at risk Founded: 2015 Global Forex & CFD Broker
Number One Broker
LOWEST FEES Visit broker
4.9
#3 Tickmill forex broker logoYour capital is at risk Founded: 2014 Global Forex & CFD Broker
Number One Broker
Best Trading Conditions Visit broker
4.9
#4 BlackBull MarketsYour capital is at risk Founded: 2014 Global Forex Broker
Number One Broker
BEST SPREADS Visit broker
4.8
#5 Forex Broker Pepperstone LogoCFDs and FX are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Founded: 2010 Global Forex Broker
Number One Broker
Low minimum deposit Visit broker
4.9

    Forex Fraud Certified Brokers

    OctaFX Logo
    Vantage FX logo
    Exness Small Logo
    City Index Logo
    LegacyFX Small Logo
    ATFX Logo
    Pepperstone
    FXTM Logo
    AvaTrade logo
    skilling logo
    BlackBull Markets Logo
    XM Logo
    Forex.com Logo
    IC Markets Logo
    HYCM Logo
    Plus500 Small Logo