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Exploring DeFi with INNODEX: Building a Hybrid, Decentralized Exchange for Venture Capital

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While concerns about a banking crisis in the US, following the bankruptcy of the Silicon Valley Bank (SVB), have not subsided, distrust of the traditional financial system seems to support crypto assets.

On March 15th, Galaxy Digital CEO Mike Novogratz said that with the SVB crisis, bitcoin has rapidly increased due to the prevailing perception of it as a safe-haven asset. He added that bitcoin would be the best investment alternative in “confronting the risks of economic recession and credit crunch”.

While bitcoin continues its bullish rally, rising to $27,690 on March 18, Wall Street financial investment firm Bernstein released a report saying that this year may favor institutional investors seeking exposure to cryptocurrency.

Other reports show that venture capital (VC) funding for virtual assets rose to $36.1 billion in 2022.

What investments do venture capitalists prefer?

It further discovered that investor preference for “Decentralized Finance (DPI),” a peer-to-peer (P2P) virtual asset-based transaction service, had risen.

Using DeFiLlama data, CoinGecko, a global virtual asset information analytics platform, reported that $2.7 billion was invested last year, up 190% from $900 million in 2021.

In the past year, the market value of virtual assets has fallen from more than $2 trillion to around $1 trillion, in the face of the “crypto winter.” However, DPI investment has been flat, increasing 65-fold.

“Crypto funds tend to favor smart contract platforms and decentralized exchanges (DEX) in the fourth quarter of 2021,” said Cobit, an analyst at the think tank. “Silvergate Crisis and Institutional Investor Fund Trends,” Released this year, it also showed that investment demand remains strong in some sectors, such as DeFi.

In particular, the importance of DEX as a hedge against the ongoing banking crisis in the United States is emphasized. The industry believes that decentralized exchanges (DEXes), which operate independently of financial authorities, could be the answer. The catch is that institutional investors can use DEXes.

Explore INNODEX, a decentralized hybrid exchange

Amid growing focus on the need for decentralized exchanges (DEX) and venture capital interest in the DeFi market, a decentralized hybrid exchange, INNODEX, has emerged, which combines the advantages of centralized and decentralized exchanges.

INNODEX has introduced a trading system that stores and trades assets in one’s portfolio without complicated self-certification. In this design, the exchange can also transparently verify personal asset holdings on the blockchain. At the same time, it removes gas costs, which is a common drawback when transacting on public blockchains like Ethereum.

The trading platform introduced new technology that absorbed the benefits of centralized exchanges and the advantages of decentralization.

INNODEX has the advantage of centralization. Notably, it can store assets and facilitate trading directly from non-custodial wallets without entrusting the services of a third party. The creators hope that the exchange will re-instill confidence in finance after the bankruptcy of SVB and the liquidation of Silvergate.

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While decentralization is emphasized, INNODEX can increase access to informed users on centralized exchanges by providing service experiences without the gas transaction costs.

Integration of centralized and decentralized exchanges

INNODEX can offer both centralized and decentralized exchange advantages due to the patented blockchain technology owned by NvirWorld.

NvirWorld’s “Stay Pending” technology collects transaction details that need to be recorded on-chain and records the results simultaneously according to the set time and frequency. Technology is the foundation that can ease the burden of gas costs for users, increase convenience, and provide centralized services.

In addition to “Stay Pending,” NvirWorld has a patented technology that allows payments and transactions using cryptocurrency. This solution is being developed and scheduled for mainnet launch later this year.

Moreover, NvirWorld develops and provides several patented technologies to commercialize blockchain technology.

Specifically, it has signed a formal partnership with Solana and ConsenSys, the team that develops solutions for Ethereum. At the same time, it partnered with World Vision, a global NGO. The deal centers around INNODEX and NvirWorld, the issuer behind the deflationary currency, NVIR.

Crypto market prospects

The push to popularize blockchain and crypto is growing. DeFi, NFT and DEX technologies were developed in the crypto winter between 2018 and 2020. Like NvirWorld’s “INNODEX”, companies that survived the downturn emerged stronger.

Eric Peters, CEO of One River Digital Asset Management Unbanked offer A podcast on March 6 suggested that the next bull market will be “very strong” and institutional-led.

While many experts maintain a bullish view of the medium to long term, attention is paid to how far the DeFi and DEX markets, which crypto capitalists are interested in, can grow in 2023.

Disclosure: This content is provided by a third party. crypto.news does not endorse any product mentioned on this page. Users should do their own research before taking any actions regarding the Company.

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