Name: NEON Exchange - Neon decentralized exchange and payment service platform
Project Type: Exchange Platform
Project Description: NEX combines the NEO blockchain with an off-chain matching engine to enable faster, more secure and more complex trades than existing decentralized exchanges.
Consensus: Delegated Byzantine Fault Tolerance (dBFT)
White paper: https://neonexchange.org/pdfs/whitepaper_v1.1.pdf
Presale or whitelist: There will not be a presale; all tokens dedicated to strategic partners have already been allocated.
Token Supply: 50,000,000
Token Price: 1 NEX = 1.00 USD
Hard Cap: 25,000,000 USD
Accepted payments: NEO, GAS
Token Role: The NEX token allows holders to claim a share of fees generated by the payment service and exchange.
Neon Exchange combines the performance of an off-chain trade matching engine, a smart contract for trading execution, and a global asset cross-chain payment service. Its goal is to create a decentralized platform on the Neo blockchain, which aims to obtain the performance of centralized exchange with the trust and security properties of centralized exchange.
Off-chain Matching Engine
The off-chain matching engine will enable NEX to have a decentralized user account model based on the blockchain, while benefiting from the performance characteristics of centralized exchanges, where it’s possible to handle an enormous trade volume and different complex order types.
To trade on NEX, orders have to be signed and sent from user addresses to the matching engine. In this process, the user must authorize NEX to access the amount of tokens to be traded. Once this happens, the matching engine processes the order using high-performance hardware and then the engine will call the NEX smart contract to execute the order; this smart contract contains logic powered by the NEP -5 token standard.
In order to reduce computation, the engine will be able to batch a set of matched orders in one on-chain transaction. To solve the trust issue that off-chain platform provokes in users, the idea of “provable fair off-chain matches”, by which the off-chain matching engine follows a publicly specified deterministic algorithm, will be established and to add more confidence in this process, there will be a public ledger where users can confirm that the order trades have been sent to the exchange and actualized on the blockchain.
The off-chain matching engine will be built in a programming language called Elixir that enables the development of scalable applications.
The Neo smart contracts interaction with assets that belong outside of the NEO virtual machine is possible through the NEX payment service, which allows users to make transactions across chains. In the future this service will be a gateway for the trade of off-chain assets on NEX, by supporting non-digital assets such as USD. This service transforms global assets into token assets that can be sent and received by smart contracts in an easier way.
DEX uses smart contracts to execute trades, which reduces third-party risk. The tradeoff, however, is a huge loss of trading performance. On the other side of the coin, centralized exchanges enable complex transactions to achieve better and faster performances, but they put user funds at risk of hackers and platform managers. To solve the problem of choosing between speed and security NEX uses the combination of a trusted off-chain process with an on-chain one, where orders are executed on-chain as they are matched.
Fabio C. Canesin | Co-Founder and Developer
Fabio is the visionary behind City of Zion, project that brought together the founders of NEX and that is focused on the NEO network. Canesin holds an MSc in computational mechanics and variational multiscale modelling and performed as a researcher engineer in the Oil & Gas industry. He was the CTO and cofounder of a tech startup in Brazil.
Fabian Wahle | Co-Founder and Developer
Fabian holds a PhD in AI. He was one of the cofounder of the med-tech company Altoida, which was includes within the TOP100 Swiss Startups and was selected as the most promising life science startup by RICE Alliance, where he still works as CTO. Since 2016, Wahle has helped to grow the Coz community.
Ethan Fast | Co-Founder and Developer
Ethan is an entrepreneur and research scientist with a background in HCI and AI. He has led more than 10 projects to publication in prestigious venues such as CHI, UIST, EMNLP, and AAAI, where they have won multiple awards. He first became interested in blockchain technology in 2014, and later turned that interest to Antshares as a co-founding member of CoZ. Previously, he founded a Y Combinator funded startup.
Luciano Engel | Co-Founder and Developer
Luciano is a mechanical engineer and entrepreneur with seven years of experience in structural simulation: over this time, he has been involved as a development partner in several technology and educational startups in Brazil. He first encountered AntShares while designing a previous cryptocurrency startup, after which he became a founding member of CoZ and the creator of the NEOScan project.
In the present, centralized exchanges cover most of the cryptocurrency volume, but users are turning to decentralized ones looking for more secure trades. In this scenario, NEX aspires to become one of the strongest alternatives by presenting their solution that will try to solve the low performance that actual DEX presents, using the off-chain matching engine. In order to succeed, the team will have to deliver a software that match all the promised features as well as the Neo’s Smart Economy has to continue growing and getting more mass adoption.