The next step in a development process will involve a bit of documenting and technical writing, bureaucracy regarding the token registering, miner UI, and coding the next steps.
This writing is about coding those next steps. This writing may seem to be a meaningless babble since I am just throwing out the ideas without thinking about the English grammar and the proper writing forms.
It came to Krakin’t attention that certain exchanges are having the fake volumes generated by the bots. Hotbit exchange, although legitimate, is using the internal bots to do the fore-running (they do not have an API at the moment of this writing). Mercatox exchange has the API, and is using the bots to trade the tokens (which people cannot deposit) to increase the trade volume. Binance is using the bots to make it look like people are buying the peak…Furthermore, all tokens and coins correlate the BTC value, which is a high risk for any investor.
The logical conclusion is to stay off the exchanges.
Unfortunately, it will be very hard to do any token sales without the exchanges. So, there are several things that can be done.
- Use decentralized exchanges only
- Create the inner exchange for Krakin’t only
Luckily, we do have an option to use the decentralized exchanges and many are low-key at the moment. This is not an issue, given the Krakin’t unique design which can help people recover their tokens should there be any losses due to bugs.
To be complete, Krakin’t will create its own inner exchange for the ETH-KRK pair only. Perhaps in the future more pairs will be added.
This exchange will most likely work by people being able to inject KRK into a contract or inject ETH into a contract or simply do the trade. Injecting the KRK into a contract would lower the value of the KRK in respect to ETH. Injecting the ETH would increase the value of KRK. Therefore, we are looking at a high possibility of an arbitrage. All of this can be done with Ethereum smart contracts. Creating this contract into a token would either be completely useless or something ingenious, except that ingenious part is not on a horizon.
Furthermore, Krakin’t will work on a design that would constantly increase the price of KRK in respect to ETH, so it looks like a security but is never a security since the price of ETH is never a constant. This means that there might be contract fees that are shared with everyone for the benefit of everyone, at once.
Furthermore, the Krakin’t inner exchange must be done in such a way so that it reflects the ETH-KRK contract, or at least to create an inner arbitrage of some kind in respect to a contract. This is something that will be decided much later, should we come to that point at all.
To keep it simple, miners will create KRK, the KRK platform will enable people to buy ETH with Fiat, and exchange it to KRK; using either the contract, the internal exchange or an external exchange.
Unfortunately, this is a step that must be done in order to avoid the corruption that exists on centralized exchanges. A centralized KRK exchange may be a contradiction, but if things are properly done, it doesn’t have to be. Why not have both, a centralized and a decentralized inner exchange that work together forming a healthy arbitrage ? That is something that Krakin’t will be working on next.