Today's cryptocurrency traders demand a platform that provides liquidity. Many exchanges purport to offer this liquidity, but few can make good on their lofty claims. Look deeper and you'll often discover thin order books, fake volume and wash trading. We do things differently at Liquid.
Not only is our volume verifiably real, but we also do more than the majority of our competitors to keep our customers' assets safe. We provide a top-tier offering that consistently gives our traders the edge. Now, with our External World Book liquidity feature, we're able to go a step farther.
This journey began with the launch of our Internal World Book – a multi-market order matching technology that shared liquidity between multiple order books. This groundbreaking tech has played an integral role in generating the liquidity traders enjoy every day on Liquid.
The External World Book goes beyond Liquid, combining liquidity from a number of external exchanges to give our customers the best possible experience on our platform.
What is the World Book?
The External World Book is a proprietary software engine that enhances liquidity on Liquid by:
- Providing price stability on the Liquid cryptocurrency exchange platform.
- Increasing the depth of the Liquid order book by providing continuous quotes.
- Sourcing liquidity from other exchanges.
A tremendous amount of work has gone into bringing the External World Book to production. Our customers have waited patiently for this upgrade since the launch of our token sale back in November 2017. The wait will be worth it.
We've been busy working in the background, building, testing and gradually rolling out additional features. You will soon start to notice extra liquidity in our main BTC, ETH, LTC, XRP and BCH order books.
Where does it come from?
Our own liquidity is pooled with that of other exchanges. Initially we are going live with two of the largest cryptocurrency exchanges in the world, ranked by volume. We can't tell you who they are because of the nature of the agreements we have in place with those exchanges, but we're certain you know them by name and reputation.
Right now we are performing the final tests before everything goes live. The tests are small and you probably won't notice them, but they give our liquidity team the data needed to make the final tweaks before we fully roll this out. Additional exchanges will be added to the World Book in the future.
How does this benefit me?
The trading experience on Liquid will only improve now, with even deeper order books and tighter spreads on an increasing number of trading pairs. You'll see the order books as before and the interface won't change, but under the hood, multiple sources of liquidity will be working to ensure your orders are matched at the prices you want with minimal slippage.
We accomplish this with no impact on performance, meaning orders will be executed effectively in real time for the user, while we take care of any settlement that needs to be done between exchanges. The World Book engine is able to trade on behalf of a customer on another exchange without the customer leaving Liquid or even knowing it happens.
All external transactions and any risk or latency considerations are covered as the World Book mirrors liquidity from the connected exchanges onto the Liquid order books and hedges to remove risk.
Whether you're trading spot or margin, we're able to offer yet another innovation exclusively to our customers. This extra liquidity will be of particular interest to leverage traders who use our margin and Liquid Infinity features, as well as the forthcoming Infinity Evolved perpetual swaps product.
Other recent additions our traders are enjoying include:
- Liquid Tap, our proprietary WebSocket service.
- Fast, secure withdrawals leveraging MPC technology.
- Quick Exchange, instantly swap cryptocurrency for another.
- No-touch API initiated withdrawals.
In order to ensure we have optimal scalability and performance, we will be rolling the external World Book out starting now with the expectation of external liquidity sourcing being fully operational in the coming weeks.
What role does QASH play here?
QASH is our native utility token on Liquid. As outlined in our original whitepaper, QASH is used to pay for services and receive benefits and discounts on the exchange platform.
The role of QASH in the World Book is to provide our customers with a means though which to get the best prices and service when trading. All traders who make full use of our liquidity can receive a 50% discount on our trading fees when using QASH.
What next? Get trading.
This content is not financial advice and should not form the basis of any financial investment decisions nor be seen as a recommendation to buy or sell any good or product. Trading cryptocurrency is complex and comes with a high risk of losing money, particularly if you trade on leverage. You should carefully consider whether trading cryptocurrencies is right for you and take the time to learn how trading works and decide how much money you are prepared to lose.
Providing liquidity for the crypto economy.