Cryptocurrency market already attract worldwide attentions, for the financial expertise, trader, holder, investors, entrepreneur, or even the new comers. Based on the annual report published by the Saxo Bank in Desember, 2016, called “Outrageous Predictions”, said that bitcoin daily volume market exchange could make up 10% of $5 trillion in 10 years. And its market cap would grow to $1.7 trillion.
And yes, cryptocurrency market is volatile, but that’s why the trader loved it. It’s always seems too difficult when trying to predict the market, since it’s quite different to compared with stock or forex. The intersection between the opportunities, and the investor’s positive views in everywhere has made cryptocurrency hedge fund comes to rise. And yes, there would be huge money will flooded into the crypto market.
The Rise of the World Crypto Hedge Fund
From the eyes of the investors, might see the hedge fund as the popular options to dealing with wild and most volatile crypto market. They have to trying to seek how to managing the investment risk into the right place and directions.
What do we must understand is, basically there will be no one knows and able to predict the cryptocurrency in the next second, minutes, hour, or even month or years after. While it’s too volatile and hard to predicted, so the investors will try the best solutions in order to keep their investment safe.
Joe Liebkind has describe a good thought about this phenomenon on his article in Investopedia on August 18. He had seen about how the cryptocurrency hedge fund rise, and the most logic reason surround it. But there is single point missed from his article, about how the individual will try the best option to following the easiest platform to deal with the crypto hedge fund.
What if, there is an opportunity to starting your own hedge fund to be able to using it into cryptocurrency market?
Enigma Catalyst – Algorithmic Trading and Investing Platform
Enigma Catalyst platform, will trying to capture the cryptocurrency hedge fund by creating trading tools and also the marketplace database source. By using the both of them, Enigma project then create the possibility to cover the crypto hedge market. As the main stakeholder, will be projected into the quantitative trader, cryptocurrency investors, and also the data curators.
There is always seems to be more interesting to use the decentralized platform rather than do it into the old fashioned way. For almost decentralized platform, will provide lower management fees rather than old hedge funds platform.
The project has start since 2015. The initiative starts after seeing about 60% of hedge fund manager are polled out and getting interested in cryptocurrency market. Then Enigma was meant to create the market. Where anyone in the crypto community will becomes able to sell information. For the more specific, as a decentralized platform, so there is no need to reveal the unnecessary identifiable information.
There is two major part based on the platform:
- Catalyst – As a trading platform
- Enigma – As a data market
Catalyst as a trading platform
Catalyst is a set of application and the infrastructure to trade, so it will create better investment strategies for its user. Catalyst has deployed based on the marketplace data protocol, called Enigma. Both of them, are also based on decentralized platform.
The main purposed about the Catalyst is, to serving one-stop shop for developer or the quantitative trader, so it will possible for them to developing trading strategies to be applied on the cryptocurrency market.
Since the trading strategies itself must be required the market data, then it will served by the Enigma. As the platform will trying to capture for non-developer also, Catalyst will be easy to used, by creating IFTTT (if this then that). Investors, then will be easy creating the trading strategies, but of course the strategies have to use with such as historical data market, to get a high impact for the strategies itself.
Enigma as a decentralized data marketplace protocol
As it has mentioned above, that Enigma will takes its part to be able serving marketplaces data. Its means that actually, Catalyst was built on top of the Enigma. Enigma is a decentralized computation platform which is offering guaranteed privacy.
Enigma will becomes private and scalable, by using secure multi-party computations (sMPC). The data queries are computed in a distributed way without any trusted third party. Enigma designed to able to connect into existing blockchain by intensive computable to an off-chain network.
While the code will be executed as a public parts on the blockchain, and processing as a private on Enigma. As the project claim is, Enigma will ensure the privacy and the correctness. Another featured on Enigma, because the platform will also supply the scripting language to design end-to-end app by private contracts (as a variant of smart-contracts).
The whole process on Enigma will be, by creating data repository for the blockchain ecosystem, streamed from Catalyst into Enigma protocol, and then creating an interactions based on the both application. It will be done because Enigma protocol able to create a “jumpstart”.
The interaction between when Catalyst accessing Enigma data here, what will makes the platform able to monetized the project. Catalyst will include an interface to curate and consume the data. The trader, will able to access premium data stream. This is now Enigma token will be used.
But before we going into the token, there is a possibility coming from both of Enigma and Catalyst platform, about decentralized market architecture. Of course, decentralized platform as we have seen as the main cryptocurrencies character would be suite to decentralizing the marketplace also. What the platform has mentioned about this, by using a cross-chain atomic swap to handle off-chain payment network route transactions. The second steps is by matching the order, and how to managing the liquidity.
Off-chain payment network assumed as the great options to minimizing the fees and settlement latency on the market liquidity. Because the off-chain payment will offer attractive settlement latency through milliseconds of the order, so it would help to ensure the market liquidity to fully optimized. Overall as the project having the fundamentals aspect, decentralized market inside the platform seems to be able to realize. They got the trading infrastructure on top of the data market, they got backup from the well-funded VCs behind the project, having capable team to handle, and it will be just the matter of times. And they also created the token to run their great project.
Enigma Token (ENG)
Enigma token was pure usability token. The project has already mentioned that there is not going to be any dividend or something’s like sharing mechanism. From what we have seen above, ENG token will be create a strong demand.
ENG token are created based on ethereum ERC20. The token will also having a great impact for the project to succeed. But if we trying to compared with another project that already run or some another non-blockchain based, Enigma Catalyst will be having a massive adoptions.
(User UID: ICO Magazine)