Gerrit van Sittert | June 16 2022
Gerrit van Sittert | June 16 2022
Why Orion Protocol Has No Comparison
Orion Protocol has no comparison as an aggregator of the crypto market. Crypto’s rapid development is being met with a need to unify the fragmentation of networks and liquidity among the many decentralized and centralized exchanges. Crypto exists to deliver the benefits of decentralization, but the fact remains that centralized entities are supporting a majority of the industry.
Most aggregators have focused on liquidity across decentralized exchanges (DEXs). These aggregators seek to simplify access to thousands of tokens divided across many DEXs but fail to address the majority of the market. A 2021 end-of-year review from The Block reported a total trading volume of $14 trillion on centralized exchanges (CEXs), compared to only $1 trillion on DEXs.
The market lacks a single access point to the liquidity stuck behind both DEXs, and the walls of differing accounts, interfaces, fees, and regional restrictions of CEXs. Equally pressing is the high-security risk to personal privacy and custodial assets inherent on CEXs. The optimal solution is to have one decentralized, inter-chain access point to all centralized and decentralized liquidity. Not only is this why Orion Protocol exists; Orion is the only aggregator actively making this idea a reality.
Orion: the most advanced liquidity aggregator in market
To date, Orion has unified liquidity from Binance, OKX, KuCoin and AscendEX over the Ethereum, Binance Smart Chain, Fantom, and Polygon networks. These integrations represent unrivaled access to cross-exchange, cross-chain trading on Orion’s terminal. Orion Bridge - the first atomic swap bridge ever integrated into a trading platform - makes cross-chain access to all this liquidity possible.
Orion’s unique Delegated Proof of Broker (DPoB) consensus protocol ensures decentralized access to all liquidity on the Orion network. That means no account or custodial holdings are ever necessary. Users have the ability to do large-scale trading with the security of never releasing ownership of their assets and personal information.
The application of cross-exchange liquidity over multiple chains produces a multiplying effect on the possibilities for DeFi and B2B solutions on the Orion network. For example, the EVM-compatible, high-security and high-performance scalability of the Fantom chain is now a DeFi sandbox on Orion. The recent integration of Polygon brings their ecosystem of Ethereum-scaling solutions (i.e. GameFi) to Orion. By tapping into massive cross-exchange liquidity, both Fantom and Polygon are bolstered on the Orion network.
Orion is the first and most advanced platform actively providing decentralized access to previously fragmented liquidity across CEXs and DEXs. This has never been done before, and Orion continues to lack competitors of any significance. Orion represents a move toward creating the last crypto terminal traders should ever need, and the DeFi possibilities that result from having the liquidity of the entire crypto market in one place. Thus far, Orion’s terminal and the resulting DeFi solutions are producing 18 streams of revenue and counting.
What others fail to offer
Typically, other projects have focused on aggregating liquidity across DEXs. However, as reported by The Block, DEXs represent only a small fraction of total liquidity in the space. They are competing for crumbs when the whole pie is at stake. Given their relatively minor role, DEX aggregators do little to solve the industry’s fragmentation and privacy issues.
Other hybrid exchange aggregators do exist, but typically require your personal information to access CEX liquidity. Thus far, Orion has no competitors offering decentralized access to multiple major CEXs, and is the only aggregator openly planning on doing so.
Delegated Proof of Broker and the ORN token
Orion’s DPoB consensus protocol facilitates liquidity aggregation while making the ORN token’s utility fundamental to Orion’s 18 streams of revenue. Brokers act as nodes in a hardware network and run Orion broker software to automatically execute trades and transactions. They do so on behalf of Orion’s users and generate rewards that benefit ORN stakers. Each exchange, chain, DeFi, and B2B integration represents a stream of income that benefits ORN stakers.
The ORN token underpins the function of Orion’s DPoB consensus protocol. No product or feature on Orion can work without it. ORN is required for payments, staking, participation, discounted trading, oracle usage, and protocol access. The supply of ORN is capped, and fees are reinvested to remove ORN tokens from circulation. These measures ensure the long-term sustainability of the ORN token, the Orion protocol, and stakeholder benefits.
Orion Bridge is what makes the Orion network truly chain-agnostic for cross-exchange, cross-chain trading. It is the first peer-to-peer atomic swap bridge applied to access liquidity across the entire crypto market. Without it, the multiplication of DeFi and B2B solutions on the Orion protocol would not be possible. With each chain integrated via the Orion Bridge, value on the Orion network is further amplified.
Virtual Order Books (VOBs)
Combining Orion’s smart-router with the liquidity aggregator produced yet another proprietary Orion technology - Virtual Order Books (VOBs). Orion’s VOBs funnel and compare liquidity across the entire market to bring terminal users the most competitive prices possible. The result is all the major CEXs (and DEXs) combined into one order book.
How Orion aggregates CEX liquidity
Orion has aggregated liquidity from Binance, OKX, KuCoin, and AscendEX, to date and standardizes CEX aggregation as much as possible, but each requires a degree of customization. Orion handles each CEX on an individual basis to address the unique data architecture of each platform. The company has pioneered a means to connect the closed, centralized ecosystems of crypto to their open, decentralized counterparts.
Bringing security to crypto
Security is at the top of the list of concerns in crypto. CEXs represent the most vulnerable vector for cybercrime in the crypto industry because all orders, deposits, withdrawals and transactions are routed within a finite, closed system. Large exchanges like Binance or Bitfinex route all their orders within their own servers, which represent a single point of access where hackers can attack users.
Orion’s decentralized access acts as a trustless shield protecting users from the risks of CEXs. Any liquidity accessed via the Orion protocol does so without users ever giving up ownership or control of their assets and privacy. Orion is the first to apply the security benefits of decentralization to the entire market. Only Orion Protocol provides access to aggregated CEX liquidity with DEX functionality.
Fulfilling the mission
Orion’s vision and pace of exchange and chain integrations remains unmatched by any other aggregator. There are many integrations in the pipeline with each representing a multiplication in the value of the Orion network.
Orion CEO and Co-Founder, Alexey Koloskov stated the following, “Orion was born out of the need for an intermediate solution that bridges the gap between the centralized and decentralized worlds of crypto”. By being the first to solve liquidity, custody, accessibility, and scalability of the entire crypto market in one platform, Orion is moving quickly to achieve that goal.