NEST Protocol Martingale Network
DeFi

NEST Protocol Martingale Network

3m
1yr ago

A new paradigm of on-chain derivatives and derivatives trading

NEST Protocol Martingale Network

Table of Contents

What is Martingale Trading?

A Martingale trade is where the cost you pay to buy the asset at the current time is equal to the mathematical expectation of the asset at subsequent points in time.

The martingale function automatically raises the cost of the majority of positions. It compensates for the minority of positions to ensure the overall fairness of the transaction, which reduces the net exposure of the system to a certain extent.

It ensures that the system is not exposed to more risk than it can bear by limiting its maximum position.

Challenges Of Current Decentralized Exchanges

Here are the risks and problems involved with existing decentralized exchanges:

  • Restricted cross-channel transaction: One of the significant problems of decentralized platforms is the need for more provision for cross-chain transactions. It also proves to be one of the critical reasons for the slow adoption.
  • Dormancy of order management: Existing decentralized exchanges have been doomed to a great extent due to the restricted generation of volumes due to inefficiencies in the design. This also tends to create a high cost for the market makers. They spend a steep cost on gas every time an order is posted, modified, or canceled.
  • Low liquidity and limited transaction volumes: The cryptocurrencies displayed on decentralized platforms have a low liquidity problem. It also generates problems in the liquidity pool system, causing liability and inflationary pressure on the whole system.

How Does NEST Martingale Solve These Problems?

Here is how NEST Martingale can help you solve problems of existing decentralized exchanges:

  • NEST Martingale allows derivative trading by eliminating the need for market makers or liquidity pools.
  • This network provides an unlimited supply of financial products using smart contracts, the largest seller in the entire system. You can quickly burn your NEST tokens to buy a wide range of financial products on the Martingale network.
  • NEST Martingale network solves the problem of coordinating with intermediaries by eliminating added costs and delays. All the data is collected and gathered anonymously, and companies don’t need to contact a third party, which saves time and money.
  • NEST Martingale network is one of the top cost-effective decentralized trading platforms that achieve 100% of the transaction fee as a rebate for referred trades. The NEST platform doesn’t have any custody cost, no technical cost, no liquidity cost, and no interest cost.
  • The risk is managed significantly using the NEST martingale network as it automatically increases the cost of the majority of positions and redresses the minority. This ensures the transaction's impartiality, reducing the overall system's net exposure to a great extent.

Final Thoughts

Compared to other decentralized platforms, NEST has a relatively high supply of tokens, making it an impressive and inviting network for beginners and established traders. Another intriguing factor of the network that makes it a must-choice is the reliable data it offers.

With its innovative and upgraded technology, NEST promises to increase the likelihood of mass blockchain adoption with an accurate and secure system for all traders and investors. Its future also holds the possibility of 1000+ trading users daily.

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