What even is the World Book?
The world book is a platform, developed by QUOINE, that will connect exchanges to combine their order books and increase liquidity. Furthermore, it will be able to complete cross currency conversion, for both FIAT and cryptocurrency pairs, to be able to match trades together that are not searching for the same trading pairs. The Liquid platform is the platform that the World Book will be hosted on, which will offer additional financial services to investors. For more information about this please read my previous post on what you need to know about QASH and Liquid.
The release of the World Book Beta was scheduled for the 6th April. Unfortunately, there were some technical issues that were not the fault of QUOINE – there was a memory leak issue. The issue has been identified on the side of one of the third party suppliers as a bug and has been sorted. As of now there is additional testing taking place before the beta release, but it has been said to be at the end of April. The push back is a shame, but it is important to have a successful beta. It also gives more time to accumulate before the beta releases and the strength of this platform is projected outside of the community.
We believe this project has a lot of potential. Here is the summary of our reasons for why we believe in the World Book and the Liquid Platform long term. Each one will be explained in further detail below.
- Liquid Platform can help the market improve and leave the bear market
- The World Book can contribute to the decoupling of altcoins from Bitcoin
- The platform will introduce new, wealthy investors
- QUOINE is pro-regulation
- The World Book will increase cryptocurrency liquidity
- Automated trading strategies will allow inexperienced traders to trade
- Great team with tonnes of experience
- Already at least 17 exchanges on board
As a bonus, the success of the Liquid platform/World Book will increase the demand for QASH – and therefore the price!
Improve the market & leave the bear market
If you have been into cryptocurrency for more than a minute you will be aware that currently we are in a bear market.
Since January the market has been declining in value from its high of over USD$800B to lows of under USD$250B. It is quite a dramatic decrease – however it was inevitable for some time due to the unsustainable growth. There were also many projects being speculatively increased in price based on very little research and available information.
Introduction of the world book could be the catalyst required to turn the market around due to a number of different reasons. Every cryptocurrency investor would love to leave the bear market, and if this platform achieves its goals it will definitely contribute to the market changing.
Decoupling from Bitcoin
Bitcoin is the largest cryptocurrency. If you ask someone if they are into cryptocurrency the most likely response is ‘What… Bitcoin?’. As far as mainstream adoption goes, this is an issue. However, the massive dominance Bitcoin has on the market is also an issue.
Altcoins are largely coupled to the price of Bitcoin. This is because Bitcoin is the largest trading pair – meaning it is the coin used the most to trade to get altcoins. As a result, the price of an altcoin is measured in relation to Bitcoin’s price. What this means is that the price of your coin can stay constant in relation to Bitcoin, but if Bitcoin’s price in USD decreases then so does the price of your chosen altcoin.
This is a graph of Bitcoin price over the last 7 days
These are the graphs of 14 altcoin prices over the last 7 days. See the resemblance to the Bitcoin 7 day price graph.
The Liquid platform & World Book can contribute to the decoupling from Bitcoin because of the cross currency conversion that this platform offers. Trades will be able to occur where there was, in the past, low levels of liquidity. This will allow more trades to happen without a Bitcoin pair as the Liquid platform will link together trades with different currency pairs. These pairs may have had problems with liquidity in the past which would necessitate trades to use Bitcoin pairs, but the World Book will remove this problem. The World Book therefore tackles the problem of underserved markets.
Simply put, the World Book will increase the volume trading through smaller trading pairs, and will help contribute to the healthy growth of altcoins and the market as a whole. This will not affect Bitcoin, but will allow other coins to have a price based on its worth, rather than increase and decrease to occur based on Bitcoin market performance.
In order for the market to grow there needs to be an influx of money. The Liquid Platform provides the perfect incentives for large investors to enter this space and invest.
Firstly, the platform connects many different exchanges largely increases the convenience of the process of purchasing cryptocurrency. However, it also greatly reduces counter-party risk. This is very important for encouraging new investors to come into the space. They will see the security of QUOINE and the ability to be able to trade on multiple exchanges while only having one account held with a highly trusted company.
Secondly, the prime brokerage services that this platform will offer are perfect to further incentivise new wealthy investors to enter the space. Reduced movement between exchanges will reduce the amount lost to transaction fees, for example. Also, there will be a FIAT management system that will work toward the optimisation of the movement of FIAT currency – with the aim of being able to transfer it instantly worldwide. This is currently not possible.
QASH is pro-regulation
It would be naive to think that Government intervention into this space isn’t going to continue to increase. The idea of cryptocurrency is to be decentralised and hold control your own funds – and this is a very important part of the space. However, Governments are going to intervene in one way or another, and a lot of projects and exchanges are not truly ready for this to happen.
Except QUOINE are ready. They are one of the few pro regulation companies in cryptocurrency. They are welcoming new regulations with plans to fully comply and be transparent with regulators. Not to mention they are already officially licensed as a Digital Currency Exchange by the JFSA. If you don’t know how much of a big deal it is – then let me tell you it is a big deal. The JFSA are an extremely strict regulatory body. This just shows QUOINE’s present interaction with regulatory bodies, and bodes well for future interactions – especially coupled with their pro-regulation stance.
The main benefit and aim of this project is in the name – Liquid. This platform will increase the liquidity in the cryptocurrency space. This will help growth.
The way it will achieve this is by interlinking exchanges and matching orders on one partnered exchange to another. The team already has many large exchanges on board. This will eliminate or at least reduce ‘liquiditiy silos’ – which means are areas of trapped liquidity, in this case this refers to exchanges. Increased liquidity increases the overall health of the market and therefore this will assist the market to grow.
Automated Trading Strategies
This is feature of the Liquid platform that isn’t discussed much – and I think it is being overlooked. It isn’t a feature of the World Book, but will be coming in the future with the full platform release, and it will be very useful.
Third parties will be able to code automated trading strategies, and users of the platform will be able to use these strategies in order to invest and hopefully profit. The creators of the strategies are incentivised to create high quality strategies as they are compensated if the users profit from their strategy.
A new entity like this could really encourage new users to invest in the space, which is great, and they can view the history of strategies and see its success in the past. Furthermore, this is also great for the price of QASH – as it adds another utility under its belt. You will need to use QASH to participate, which will further increase the demand of the financial utility token.
The team behind the World Book and Liquid, QUOINE, are amazing with massive amounts of technological and financial experience. Both of these sectors are paramount to achieve the goals of the Liquid Platform – and the QUOINE team has this in spades. If you want to see the list of the team’s qualifications it can be found on their website or in the QASH white paper.
Having a great team who are transparent is very important at the moment in this sector. Firstly, the experience is required to know how to properly manage and develop the company and build partnerships. Secondly, transparency is key to keeping the communities trust and also for encouraging new investors. The team is very transparent – they frequently post on the official Reddit, conduct live AMAs, partake in interviews, have a big telegram, and even provide weekly updates from the CEO! For me, these are all big indicators of the calibre of work going on behind the scenes. Even with the delay of the World Book to the end of April the transparency was amazing, with posts on Reddit, Medium and various social media pages explaining the issue that they had and the new timescale for the beta. The continued transparency shines a good light on this project.
Connected to 17 exchanges
The World Book is already connected to 17 exchanges, with 3 in the US, 2 in Europe, the largest Korean exchange, and more scattered around. The team cannot reveal the partners at this time, but it sounds like the exchanges on the World Book are mostly large and will bring great volume. This is very important, as this project would not work without partnered exchanges. But, with the 17 already partnered it looks great for the project. Furthermore, assuming the success of the project, it is said by the team that it will increase trading volume for all the exchanges that are a part of it. This will entice other exchanges to join once they see the benefits this platform could bring to their exchange and cryptocurrency as a whole.
How does all of this affect QASH?
Increase in QASH price
It is no secret that investors in cryptocurrency are not just in this for the technology. They are here because they like the technology, recognize its potential, and want to profit off being an early supporter.
This platform can pave the way to a vastly improved market – and QASH is the utility token for the platform. QASH will have many utilities, including providing a 5% discount on QUOINE services.
Due to the usefulness of the platform, and the great benefits of using QASH on the platform, QASH will likely become in high demand when the platform takes off. An increase in demand for the token should result in an increase in price too – so if you believe the project sounds promising it is worth holding the utility token.
The CEO has stated QASH will be top 5 in market cap
The CEO and co-founder, Mike Kayamori, has large goals for QUOINE and the Liquid platform – and of course for QASH as the utility token. Mike has openly stated that he thinks the coin will be a top 5 cryptocurrency in 2019. This is not something that you should blindly believe as no one knows what is going to happen over the next year. But what you can take away from it is that the CEO of this company is extremely confident in the future growth of the company, and if you couple this with the services that they are going to be offering and the partnerships they already have lined up, you can most certainly reach a similar conclusion yourself. The CEO knows what is going on behind the scenes, and potentially partnerships that cannot be shared or massive investors who are interested to invest through QUOINE. This is speculation, but it is worth considering.
You cannot guarantee the position of the QASH token in the next year, but you can evaluate the future project releases and realise that this project should not be slept on. Continue to research this project and check out the white paper – make sure you are happy with the project using the proper steps and, if you are, get in the pot!
These are the reasons that I personally believe in the Liquid Platform and the World Book – and therefore by extension I believe in the QASH token as the utility to these services. I would encourage you to conduct further research and verify facts yourselves before making any investment decisions. Be sure to read the white paper and the roadmap.
This is not financial advice, and the writer of this piece may or may not hold some of the mentioned tokens in the article. This was written for the QASH rewards programme.