From traditional finance to DeFi, how does BitMax compete for the right to speak in the CeFi world? (www.blockcast.cc)

The exchange method of listing coins for money has long been outdated.

Interview / Writer: LeftOfCenter

The phrase “One day in the sky, one year on the earth” often mentioned in Journey to the West has quietly become an inevitable stalk in the currency circle today. Constantly changing narratives and wave after wave of new hotspots, from the rise of DeFi to fiery liquid mining, the rapid pace of changes in the currency circle often makes people caught off guard. And market participants often use “one day in the currency circle, one year in the world” to make fun of this market with more than double speed.

However, even in such a rapidly changing environment, the exchange seems to have always been able to stand firmly at the top of the crypto ecosystem. So, has the exchange really achieved “changing with the same”? The answer is actually no.

In the past summer, we have not only witnessed the explosion of transaction volume and user volume of decentralized exchanges, but also witnessed the performance of some trading pairs slippage on the upstart Uniswap DEX overtaking Binance not long ago. In the fierce competition of centralized exchanges, exchanges led by BitMax gradually began to play a role, and presented the characteristics of the next generation of exchanges, that is, no longer charging high currency fees as a method of playing, but through and The project establishes long-term and in-depth strategic cooperation and provides a series of support and services.

This differentiated play makes BitMax stand out from the crowd. The return rate of the first projects on BitMax exceeds that of the top exchanges. It not only attracts the attention of crypto investors, and becomes a benchmark for high-quality crypto projects. At the same time, the good reputation and high-quality services have also been recognized by the project party, making it a project party. The preferred listing platform.

How did BitMax go its own way? The rise of BitMax is inseparable from the rise of this wave of DeFi. As a centralized exchange, how does BitMax view DeFi? To this end, Lianwen interviewed Shane Molidor , Global Commercial Director of BitMax , to reveal the answers to these questions.

Brilliant 2020

The data shows that whether it is based on the current average ROI or the highest historical average ROI, BitMax ranks first, greatly surpassing mainstream exchanges such as Binance Exchange, Kucoin and OKEx.

Specifically, in terms of the current average ROI, BitMax is 847%, and the historical average ROI is 2040% . This means that the highest return in the history of BitMax’s first project is as much as 20 times, which is much higher than the 12 times that of the second Binance exchange. The current average return of projects published on BitMax is about 8.5 times. In contrast, Binance The current average return of projects posted on the exchange is approximately 4.9 times.

For cryptocurrency investors who are pursuing high growth, such a high rate of return on investment obviously makes BitMax a good place for crypto investors to find wealth cryptography, attracting the attention of countless investors.

In addition to data, BitMax has gradually become the industry leader from obscurity, and has begun to exert industry influence. Its first-listed tokens have become closely followed by other exchanges, even Binance . For example, the FIO protocol was first launched on BitMax on July 9 this year, and then successfully launched on Binance on the 31st of that month.

It can be said that the listing of BitMax has become a phenomenon. The listing of the currency not only means that there may be a significant increase in user attention, but also exert an influence on the exchange, and even trigger the follow of other top exchanges.

With a good reputation, of course, there is no need to worry about the project side. The success of BitMax has not only attracted the attention of a large number of investors, making it a vane for discovering and investing in high-quality projects . At the same time , it has also been unanimously recognized by the project parties in terms of brand awareness .

Shane Molidor told Lianwen, “We and the project party will win together. After the project is successful, BitMax will also benefit. Now, the project party regards BitMax as the preferred platform for listing.”

In fact, for BitMax, such achievements are not accidental, but are inseparable from the long-term openness and compatibility, keen sense of industry sense, and embrace development trends. The most fundamental thing is that the team puts it in the traditional financial field. Profound professional knowledge and practical experience are closely related to the flexible use of the encryption industry.

BitMax is to be an investment bank in the crypto industry

The members of the BitMax founding team all have deep traditional financial backgrounds and many years of practical experience in the crypto field.

Dr. Cao Jing, the co-founder and CEO of BitMax, served as the quantitative investment director of Barclays Capital’s New York and London branches, as well as a high-frequency trading fund manager at Knight Capital Group, and assisted Cohen’s asset management The Group (Cohen & Co.) issued and managed US$40 billion of structured financial products, and created a quantitative trading fund, Delpha Capital Management, to trade global stocks, index products and futures products. Ariel Ling, the founding partner and COO of BitMax, has more than 20 years of Wall Street senior management experience. He has served successively as the Managing Director of Deutsche Bank’s Liquid Investment Americas Department, the Executive Director of Business Development for the Americas Department of Commerzbank AG and the COO of its brokerage trading company, Barclays Global Chief Operating Officer of Investment Bank/Raimon Brothers Investment Bank Stock Trading, KPMG is responsible for investment bank merger management consulting business, etc. Shane Molidor, BitMax’s Global Commercial Director , has worked in the cryptocurrency industry for more than five years. He has worked in the largest cryptocurrency exchanges in the United States such as Gemini, and served as a strategic consultant at IBM.

From left to right are Dr. Cao Jing, the co-founder and CEO of BitMax, Shane Molidor, BitMax’s global commercial director, and Ariel Ling, the founding partner and COO of BitMax

In the words of Shane Molidor, “The perfect combination of Wall Street’s traditional financial background and deep encryption expertise is reflected on BitMax. This allows us to quickly select high-quality potential projects in the industry and obtain exclusive opportunities to list high-quality tokens. By cooperating with the best market makers in the industry, we provide huge liquidity for trading pairs on BitMax.”

It was also inspired by the traditional financial industry that BitMax began to take its own path.

BitMax believes that the currency circle is changing rapidly, and exchanges are of course no exception. The original method of listing coins for money is outdated. To break through, you need to provide unique value to the industry and project parties.

From this perspective, in addition to the initial token launch, BitMax also provides a series of auxiliary support for the project party , including consultation on the token distribution mechanism, secondary market liquidity strategy, staking support, liquidity mining, and provision for the project party. Global marketing support and translation services are different from mainstream exchanges .

In the traditional financial industry, investment banks will manage everything, and BitMax wants to be an “investment bank in the crypto industry . “ It is not only limited to listing, but through establishing long-term and in-depth strategic cooperation with the project, providing a series of support and services. Shane Molidor said, “We want to let the project team focus on building a strong foundation and value, while we take care of the rest.”

BitMax is good at discovering potential dark horses, values ​​the long-term value of the project, and establishes in-depth strategic partnerships with these “potential stocks” in the early stage. From BitMax’s point of view, whether a project is valuable or not, BitMax has a set of its own evaluation framework, which will determine whether the project’s value proposition, team and investor background, whether the token economy is reasonable and explosive, and the distribution model and good social Group, community atmosphere and other dimensions” to evaluate, focusing on the “small but precise” coin listing strategy.

In order to improve the liquidity of project tokens, BitMax is even willing to cooperate with other exchanges to jointly list the tokens. In August of this year, BitMax and FTX jointly launched Serum . The project received market attention and once became an investment hotspot. Eventually, Binance and other trading platforms also chose to follow up and launch the project as soon as possible.

For most exchanges, it’s hard to imagine cooperating with competitors who are also exchanges. Shane Molidor said, “An open and inclusive mentality and willingness to cooperate are one of BitMax’s core features. Whether it is to establish a long-term relationship with the project party In-depth strategic cooperation or establishing cooperation with other exchanges are all to help the project party succeed. In this process, we will find synergy as much as possible.”

The exchange track is not always a zero-sum game

Behind this series of differentiated play is BitMax’s systematic understanding of the entire industry. In BitMax’s view, the entire cryptocurrency industry is not an absolute zero-sum game, nor is it a winner-take-all situation. Just like traditional stocks, there is actually the possibility of multiple key players coexisting.

Similarly, BitMax’s understanding of DeFi also fully reflects this “open and inclusive” mentality.

As a centralized exchange, BitMax believes that CeFi and DeFi are not necessarily a zero-sum game, but that the two can coexist, depend on each other, and even produce synergy.

BitMax also has a deep understanding of the respective market functions of CeFi and DeFi. “CeFi serves more complex institutions and will eventually exist as a channel for deposit and withdrawal of legal currency. DeFi will serve more technology-savvy retail investors.”

In the series of projects launched by BitMax, DeFi projects account for a large proportion, and 80% of the most outstanding projects are on the DeFi track. In fact, a series of DeFi projects on the shelves have won a highlight moment for BitMax. Among them, Serum (SRM), Orion Protocol (ORN), Stafi (FIS) and xDai (STAKE) are the best performing DeFi projects this year.

The team’s senior professional financial background and years of practical experience in the crypto market give BitMax an extremely keen market judgment on the crypto market. In fact, as early as the beginning of 2019 before the outbreak of DeFi, BitMax had realized that DeFi would become an unstoppable trend this year. At that time, it began to deploy related infrastructure and established an early stage with some high-quality projects in the industry. Cooperation, such as the decentralized transaction protocol THORChain, Stafi and xDai (STAKE). When the market really takes off, BitMax can take advantage of the trend to occupy the leading position in the market.

Shane Molidor believes, “We foresee in advance that DeFi will be a trend in the encryption industry. If we don’t embrace this trend, it is not a wise move.”

Perceiving trends in advance and grasping the pulse of the industry does not mean blindly following hot spots and passively launching popular projects. But no matter how fast the market changes, it should have its own core adherence. For a high-quality financial market, the core demand is always to have sufficient transaction volume, high liquidity and a diverse user base. Based on this, BitMax has developed a series of supporting products that meet the diverse needs of users, such as providing derivatives, staking support, and liquidity mining in addition to cash and margin trading.

BitMax has stood out in the fierce exchange competition, and even caused the top exchanges to follow. The key reason is its open and inclusive mentality and keen market sense. Under the blessing of professional financial background, it not only embraces changes but does not lose its core values. And this is exactly the core characteristic of the next generation exchange.