A New era.
Hello everyone,As our project has matured after 1.5 year of existence, I think it’s time to open an official support trade & blog post.
What is FXADK?
FXADK offers 3 main functions, working together. There is 3 different types of wallet, each one having a dedicated function.
The three main functions of FXADK
Aidos Kuneen exchange
The exchange part works like any regular crypto exchanges: you put your offer to buy or sell bitcoins. When an order is matched against another, it is executed.
The exchange wallet type is used for this feature.
Margin trading
Our margin trading feature is unique in the Aidos Kuneen world. Basically, it allows you to borrow funds from lenders (see next feature) to trade Aidos Kuneen. If you make a profit, you get the profit and pay the depositor interests. If you make a loss, you reimburse the depositors the whole borrowed amount + interests.
For example, let’s say you want to open a long position for 100 Aidos Kuneen. That means you want to buy 100 Aidos Kuneen hoping to the price will go up. The system will automatically borrow for you 100 * the Aidos Kuneen price US dollars (let’s say 1300 USD) from lenders, at the best rates available. Your position will have a maximum period (defined by lenders), after which you will have to reimburse the 1300 USD (close the position). Each hour you will be charged an interests rate going to your(s) lender(s). If later you want to increase your position, you can borrow more funds, which will have ther own maximum period.
At any time before the expiration date, you can close your position. This will reimburse your lender, and you will keep the profit.
The same goes for short position (selling Aidos Kuneen), where you borrow Aidos Kuneen instead of dollars.
If there is no lender available, you will not be able to open your position.
The trading wallet is used for margin trading. It does not serve the purpose of buying or selling Aidos Kuneen, it serves only as margin requirements; that is, even if you have 1000 US dollars in this wallet, if you open a 10 ADK long position, you will borrow the needed USD. Funds in this wallet are to cover for eventual losses that may occurs. When the maturated loss equals almost all your wallet balances, you may get a margin call and have your position force-closed to avoid further losses.
Lending
Our lending feature goes hand to hand with the margin trading feature described above. If you don’t feel like a trader and/or prefer safer investments, this feature is for you. FXADK allows you, using your deposit wallets, to lend bitcoins and/or Aidos Kuneen to traders. You can put offers with your chosen terms (which rates, for how long, and how much). When an offer is taken by a trader, the money in your wallet will be used to buy or sell bitcoins / Aidos kuneen, and a loan will be opened. When the loan expires (the trader closes his position), bitcoins / Aidos kuneen are bought or sold back and money is reimbursed to your wallet.
Security
When it comes to security, we’re always paranoid. We have unique security features in the crypto-world, which are:
- A watch-only wallet (cold wallet) on the production server, to monitor bitcoins transactions without giving keys to spend them
- API keys
- Automatic backup of the database once a day
- Duplication of backup data automatically across 3 servers
- Paper backup of wallet and exchanges keys and passwords
- Incorporated in a business-friendly place
Cold wallet:
On a dedicated and isolated box a hot wallet is running with a low balance for instant withdrawals purpose.
Automatic backup of the database
Once a day, the database of the platform is backed up, encrypted and compressed as an archive. The passwords of users it contains are hashed.
Paper backup of wallet and exchanges keys
These crucial informations are printed on paper, which is kept with us in a physical wallet in FXADK office. As well, the cold wallet is printed on paper, and Armory (the bitcoin client we use) allows to restore wallet from paper if needed.
Incorporated in a business-friendly place
To protect your funds as much as possible, we chose to incorporate our company in a business-friendly place. Thus, BlockSwap, Inc. LTD has its office in Hong-Kong.
Questions?
If you have others questions or suggestions to make, it will be a pleasure to receive them on support@fxadk.com!