Huobi Pro launches world’s first autonomous digital Cryptocurrency Exchange ‘HADAX’
This new cryptocurrency exchange allows projects to submit their idea to be reviewed in three different audit lines.
Welcoming new tokens and initiatives
As many great initiatives rise to get us closer to assets and technology in favor of the users, Huobi Autonomous Digital Exchange, HADAX, allows users to publish their idea and to give it a chance to become a exchangeable token as a boost forward.
Centralized Exchanges are the ones that are easiest to use and provide advanced trading functionalities such as margin trading and others. However, they also represent a security risk for your funds. While some exchanges are better guarded than others, hacks are not an uncommon event in the cryptocurrency scene, as we have seen lately.
Then we have the Decentralized Exchange, which is an exchange market that does not rely on a third party service to hold the customer’s funds. Instead, trades occur directly between users through an automated process. Since it is a peer to peer trade, they most often require users to be online in order for an order to be listed and for the trade to take place, requiring users to perform certain actions like signaling that a payment was received. Trading features like margin trading and stop loss functions are at the moment not available in the this model as they only allow the basic exchange of currency for a predetermined value.
HADAX offers an innovative solution to both the lack of variety in tradable tokens as well as the liquidity problem.
The Huobi audit line begins with each aspirable project staff submit their idea with sufficient material to be reviewed. Huobi is first in line to check if they want to bring it further and after that, companies called “Super voting nodes” are second line to give their opinion and decide. These are professional investment agencies, providing expert input since the tokens listed will in many cases be in the early stages, and therefore it is necessary to be looked through in detail. That is why projects have to meet regulatory compliance requirements and submit its white paper and status report to be reviewed.
As a side note, any project token that receives a 100% ratio of votes from the super voting nodes will be recommended to be listed on Huobi Pro.
All tokens passing the super voting nodes will be able to make a security deposit as a 30% share to strengthen their position. But what counts the most are the actual votes that stand for 70% of the total influence.
Voting and earning on incentives
Votes cast by users holding Huobi tokens will be able to vote for 0.1 HT. Something that might come to interest is that as each round or day passes, the team are allowed to set a reward for their voters. The reward can be for example 2.0 the first day, the next day 3.0 and so on. The incentives of the vote cannot be increased as rounds pass.
Users are also required to meet certain criteria to qualify for the voting process, which is necessary in the earlier projects that come with a higher risk. HADAX will only be opened to professional users with certain experience, which require the users to have an asset value of at least 1 BTC, or to have made a trade at least 30 days prior to the voting process.
Votes from the users can be self refunded. The self-help refund site will be active only during certain hours to not influence the current stats of the competition.
In order to diversify the voting process, Huobi welcome the new Super Voting Nodes with a “Special Event for Super Voting Nodes” in order to promote the benefits, and give them the rights to jointly decide the listing. The top two projects who get the most votes from the Super Voting Nodes in the event will be given the opportunity to be listed directly on HADAX. For the last remaining tokens, those who do not become the top two competitors will be discarded and the voters will be refunded their vote.