A new generation of hedgers need help managing risk. The entrepreneurs in the Bitcoin and crypto industry in the 2020s differ significantly from the soybean farmers in the 1980s.
Traditionally, exchanges served as a means to hedge price risk and eliminate counterparty risk, with speculators being compensated for providing liquidity to hedgers.
However, the current landscape for Bitcoin and Ethereum liquidity is fragmented, with modern exchanges introducing new fundamental risks. High-frequency (HFT) timing attacks lead to instability and flash crashes, while decentralized exchanges enable blatant front-running attacks, known as MEV. OTC desks fail to address toxic flow and add counterparty risk, which has recently resulted in disaster!
Sidepit fixes this, with our groundbreaking open and transparent decentralized limit order book exchange technology!
Imagine a world where the price of Bitcoin remains fixed with unlimited liquidity. How many business models can thrive with the confidence of a fixed USD exchange rate?
Sidepit achieves fixed price stability for over 1000 milliseconds, in contrast to current exchanges where 60% of orders are canceled within 1 millisecond. It's an eternity!
By transitioning from machine time to human time, our tools empower humans to outcompete market-making robots that rely on latency arbitrage or front-running. We replace HFT and MEV with open and transparent auctions.
This represents a paradigm shift improvement.
At Sidepit, we are developing new tools - institutional easy buttons that allow for one-click hedges without the fear of flash crashes or market impact. These tools provide full transparency, giving you confidence and control over your trade executions via free market auctions.
As a group, Sidepit speculators can achieve positive-sum expected returns. Alpha! We recreate traditional trading pits, electronically, where hedgers "pay" the speculators for liquidity.
It's a win-win situation where rising tides lift all boats!
Our mission is to accelerate institutional adoption of bitcoin and crypto, and we do this by fixing exchange for traders, speculators, and market makers.
Today's crypto entrepreneurs and CEOs are similar to yesterday's farmers who needed to hedge price risk. Sidepit aims to provide customizable easy buttons for this purpose. We cater to both the centralized and decentralized worlds, so we can have our cake and eat it too.
And the cherry on top? We work with compliance, so you don't have to!
If you are a CEO, entrepreneur, professional trader, angel investor, or venture capitalist, and want to get involved, we would like to hear from you. Please visit https://lnkd.in/gHfuqXAM to get in touch with us.
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