By now, you know the drill. The first line starts with details about April 5, then Supreme court, then Indian exchanges disabling INR deposits and withdrawals. We know it now. We don’t need to repeat it again.
The Pune based team of Coindelta is working late hours to deliver their new flagship product Flux – a peer to peer exchange before July 15. “It could be sooner”, says Shubham Yadav, the business head of the exchange.
So what is flux, what will coindelta be doing in the future and how will it be beneficial to the Indian Community? Lets get into it.
What is Flux?
The definition on Coindelta’s announcement is ‘peer-to-peer network of traders and investors allowing the exchange of digital assets in the best possible experience’.
Indeed Flux is a p2p exchange that will allow traders to buy and sell cryptocurrencies with INR, albeit, the rupees will be transacted directly between the buyer’s and the seller’s bank account.
How does Flux work?
All existing users of coindelta will be able to use Flux. “The wallets of Coindelta will be integrated with flux directly”, Shubham explained.
Since all coindelta users have completed KYC and provided their INR bank account details, the same will be used for P2P transactions.
- A Seller can place a sell order of the cryptocurrency.
- When a buyer chooses the order, she will receive the bank account details of the seller.
- Once Buyer pays and confirms, the seller will be asked to confirm if she received the payment.
- As soon as the seller confirms, Buyer will receive the cryptocurrency.
Note: A buyer can also place an order and a seller can choose it.
To simplify the process, Flux has done away with chatting or sharing details. The bank account you register on coindelta will be the one you can use on Flux. It eliminates the need of sharing your bank account details for every order like some other P2P exchanges.
What if Seller doesn’t send Crypto?
In case of a buyer falsely claiming to have sent the money or the seller falsely claiming of not receiving it, a dispute team will handle the case. The team will verify the details from both buyer and seller and make a decision. Coindelta hopes that these cases will subside once traders have significant reputation and trust score.
Buyers and sellers will have a reputation score based on actions like successful trades, raising false disputes, no. of orders placed, etc. Other users will also be able to leave feedback of traders. The better the reputation, the less likelihood of failed trades.
Key Features of Flux
Everytime we talk about a Peer to Peer exchange, and we talk a lot about P2P exchanges, the question one asks is What is unique about it?
One Click Switch
“The user can click on a button, ‘Move to Flux’ and their wallet balance will move to Flux from Coindelta. Similarly they can move the balance back to Coindelta for trading with just a click”, says Shubham.
Additionally the Flux orders are partially executable. So multiple buyers can together fulfil a single big selling order.
When Flux goes live, the four cryptocurrencies users will be able to trade with it will be BTC, ETH, XRP and USDT?
Why USDT?, I asked.
Coindelta will eventually make the exchange a USDT paired trading exchange. Basically USDT will replace INR. Hence, the 33 assets trading right now on Coindelta will soon be paired with USDT.
So a user can buy USDT on Flux and then convert it to any other cryptocurrency on Coindelta. USDT is a stable coin for which the prices are always equal to 1 USD. If not INR, one can still trade keeping in mind only one cryptocurrency’s price.
The Coindelta Plan B is scheduled to launch mid-July. Earlier this month, Coindelta launched their Android app as well.
What do you think of Coindelta’s Flux? Let us know in the comments below