What is Exchange Union?
Currently the process required for trading digital assets is a logistical nightmare at worst, and an exercise in patience at best. It requires customers to manually search for exchanges which have the Altcoins they wish to purchase listed and then find a trading pair with enough liquidity which allows them to make the trade. They often must create accounts on multiple exchanges and go through the often-lengthy process of waiting for KYC verification.
Exchange Union was created to solve this complexity.
Designed as a ‘meta-exchange’ the Exchange Union network is a layer on top of the existing centralized exchanges. It is essentially an exchange of exchanges.
The customer is able to view all trading pairs across the union from their preferred exchange and make a secure and instant trade for their desired coin at the best market price across all exchanges in the union.
How is this Achieved?
There are three key technologies which allow Exchange Union to provide the world’s first instant, decentralized, and secure cross-exchange network:
Payment channels, atomic swaps, and a decentralized order book.
Payment Channels are an instantaneous method to transfer digital assets off-chain between two parties. It scales well even at large volumes of transfers, as the transactions are only recorded on the blockchain when the channel is opened and closed, keeping unnecessary information from bloating the blockchain.
Payment channels are trustless, which means that no trust is required between the two parties. Any disputes or attempts at fraud are resolved automatically through cryptography by inheriting the security provided by the underlying blockchain. The two biggest current examples of payment channels are Bitcoin’s Lightning Network and the Ethereum Raiden Network.
Cryptocurrency trades usually require a trusted third party in order to guarantee that one of the parties does not defraud the other by not sending the agreed currency. However, Atomic Swaps are a new innovation which allows cryptocurrency trades to happen without the need for a trusted third party.
Cross-chain atomic swaps are a relatively new development but have already been tested successfully by Litecoin creator, Charlie Lee, who traded Litecoin in exchange for Bitcoin, Vertcoin and Decred.
Hashed TimeLock Contracts are the key ingredient enabling payment channels and atomic swaps to execute trustlessly and securely. As the name suggests, hashlocks and timelocks ensure that the receiver of a payment either acknowledges receiving the payment (by generating a cryptographic proof of payment) or automatically forfeits the ability to claim the payment (in which case the funds are returned to the payer).
Exchange Union utilizes a decentralized order book system. Each XU Node maintains a local order book, which is broadcasted to all other nodes in the network, creating a decentralized system of orders. In addition, XU nodes also continuously monitor the order books on all subscribed chains. The system is designed to take punitive action against any exchange acting in a malicious manner.
What is Exchange Union Coin (XUC)
XUC is an ERC20 token which is used to pay for Exchange Union services, and parties wishing to participate in the network must hold XUC. Exchange Union will airdrop XUC to to all traders on a given platform when it joins the union. Traders will also receive XUC when reaching certain trading volume milestones (yet to be set) to encourage trades.
Node operators are also rewarded in XUC for relaying orders to exchanges, along with those who monitor the main chain for fraudulent activity.
XUC is also used to reward development of the XU technology by developers, helping to build a strong technology & developer community.
The project is still a work in progress, with a release of technical specification and the start of open source development in Q2 of 2018 and a proof-of-concept implementation release in Q4 of 2018.
Supply & Distribution
There are a total of 3,000,000,000 XUC tokens, with only 65,000,000 currently in circulation. Exchange Union initially allocated sixty million XUC tokens (2% of the total sum) to private investors to fund the project, and thus had no need for an ICO.
The distribution of XU coin
Where to buy XUC
XUC is available on seven exchanges:
OKEx, EtherDelta, Decentrex, IDEX, HitBTC, CEX.com, ZB.com, EXX.
It can be traded for ETH, USDT, BTC & QC.
Follow Exchange Union’s progress at: