Crypto has entered a new era of exchange. With hundreds of crypto markets, thousands of token pairs, and millions of users, a ridiculous amount of trade volume occurs every day. This constantly evolving market is prone to unpredictable price shifts caused by unforeseen events daily.
A coin might rocket up 1000% due to great news or it might go in the opposite direction due to an exit scam or rug pull. In addition, coins can rapidly change in price even without the presence of a news catalyst.
In this type of volatile environment, traders need an efficient way to navigate the cryptocurrency space.
One interface to access the entire crypto industry
Single sign-on, an authentication scheme that allows a user to log in with a single ID and password to any of several related websites, might be one of the most important innovations in internet technology in the early 2010s.
No longer did people need to carry around multiple passwords in order to log on to each of their accounts. All it took was one (likely a Google link) click and they could access all their accounts seamlessly.
In crypto trading, there is a similar need with regards to trading. “One exchange to rule them all” will never be possible due to the crypto industry’s heavy fragmentation. However, a “single sign on” of sorts that bridges the hundreds of active crypto exchanges may fill an important need in the crypto trade industry.
With numerous blockchains, coin standards, and types of transactions, there is no way to efficiently trade all cryptocurrencies across just one platform.
This is particularly exacerbated by the advent of decentralized finance (DeFi) and decentralized exchanges (DEXes).
At the rapid rate at which trading pairs can launch on DEXes, a trader might regularly have to keep track of 10 trading accounts across 10 different websites in order to keep track of varying liquidity, token price, and volume across exchanges.
Zenfuse’s Value Proposal
Zenfuse purports itself as a way to “access the entire crypto market from a single interface.” Using Zenfuse’s platform, users are able to access multiple DEXes through one graphic user interface (GUI).
This allows users to access various DeFi trading pairs through one screen, limiting their need to keep track of a ridiculous amount of exchanges.
It boasts the following features to reduce friction while trading crypto:
- Advanced trading options including “trailing stop-loss” and “panic sale” buttons that allow traders to liquidate all of their coins
- An extension and drop portfolio enables traders to design and rebalance their portfolio automatically
- OCO orders that allow traders to combine limit orders and a stop-loss within a single order
- A news feed routed through an algorithm that allows users to access developments across over 20 websites, including social networking sites such as Twitter or Reddit
What are our thoughts so far?
Zenfuse has done a thorough job of targeting the pain points of the regular crypto trader. The advanced trading options and connection of exchanges across centralized and decentralized options could be a gamechanger as the DeFi craze continues to take hold.
We did note that Zenfuse does not address the largest paint point of trading on decentralized exchanges: gas fees. As Ethereum gas fees continue to hit all-time highs, we are curious to see if Zenfuse will attempt to mitigate this area of friction.
As of right now, the Zenfuse website does not provide an option to access a working demo. The website only refers you to an email list promising that any news of a demo will be sent directly to your email.
We have requested access to an MVP (minimum viable product) of Zenfuse and will post an update if Zenfuse is able to provide us with it.
In terms of overall company health, Zenfuse has raised $1.168M through a private token sale. They have stated that they received $30M in requests, but decided to cap their token sale at a much smaller amount.