Decentralized crypto exchange LQDEX’s Bridge is now live on Testnet. The cross-chain digital exchange announced that LQDEX Bridge can be used for all Ethereum DEX. The primary objective behind launching this Bridge is to facilitate the tokenization of the non-ERC20 assets.
Using the LQDEX Bridge, users will now be able to trade BTC, LTC and other tokens against the ERC20 assets through direct integration to the EtherDelta smart contract. The LQDEX Bridge is on TestNet3 for Ethereum and Bitcoin. Users who intend to participate need to have MetaMask installed.
The reason crypto exchange LQDEX’s users require a Bitcoin address is that Bitcoin from the external wallet needs to be deposited first before the ERC20 LQ-BTC is sent to their preferred address. Although the exchange’s users are able to trade their LQ assets directly from EtherDelta, the team wanted to offer the potential users the ability to directly trade from Bridge.
Bridge functions via collators who stake a given amount of LQD tokens to accept deposits of external assets such as BTC and LTC. LQDEX will act as the only collators during the initial release of Bridge. To find other potential collators, LQDEX will be focusing on exposing the APIs. An equal amount of the proxy token is minted for any digital asset that is deposited into Bridge.
In order to place an order into EtherDelta via Bridge, the one condition that a user needs to fulfill is to have some balance in the LQ tokens. Only then they will be allowed to place an order against the ERC20 tokens that are listed on EtherDelta. In order to offer options to fill the existing orders, Bridge will be maintaining an internal database of the orders that originate from its platform, as stated in the Bitcoin Exchange Guide.
Crypto exchange LQDEX is a trustless decentralized cross-chain virtual asset exchange. The platform allows users to trade digital tokens across multiple blockchains without counterparty risk. The system does not need modifications to be made to the existing blockchains and it does not use atomic swaps. The exchange runs on its own high-speed POS blockchain sans miner fees, as mentioned on its website.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]