Orderbook in a nutshell
A brief Orderbook description and its functional features
Written by Polina Aladyina
Updated over a week ago
1. What is Orderbook?
Orderbook is a decentralized platform for trading tokens and currencies. Our focus is on security. This includes both legal security and when accessing your account. Our three main features are:
1. Cryptocurrency Exchange. Users can trade with each other by making buy and sell orders.
2. ICO platform. Our platform has more functionality than a normal exchange. We help ICO projects to distribute their tokens to donors. We achieve this by creating a sell order for a certain market. Here at Orderbook, we’ve successfully launched more than 15 ICO projects. Orderbook has established a framework for legal ICOs. We have made them compliant with SEC regulation D. This allows projects to sell both security and utility tokens.
3. Multicurrency token wallet.
We have built Orderbook using Smart contracts.
Orderbook performs all trading and storage functions on-chain. Smart contracts provide our users with advanced security. Our server acts as a convenient interface for Blockchain interactions. Users can operate with any ERC20 token listed on our website. Smart contracts also make market manipulation extremely difficult.
Launching an ICO is not all you can do with Orderbook. You can also create customer-specific orders on our trading space. This means you no longer need to send funds to unknown addresses. Instead, you can be certain your funds always go to the right ICO team. This helps ensure our users safety and confidence in their actions.
These details help to increase each user's interaction with our platform. They no longer need to feel like a bystander. Instead, they are a direct part of every process, and can track every action performed.
2. Deposits and withdrawals
We had a lot of demand for popular cryptocurrencies on Orderbook. Now, users may trade using ERC20 facsimiles of many popular coins. These include ETH, BTC and USD. Each have a 1/1 value to the actual currency they represent. All operations at Orderbook happen on-chain.
Orderbook's contract monitors every user's deposit address. When received, the system converts each coin into an ERC-20 representation. Coins are then transferred to ERC-20 token contract. Once received, we send the ERC20 facsimile to the appropriate user’s contract.
When initiating a withdrawal, the system invokes backward conversion. This turns the ERC-20 tokens back into their origin coins. These are then sent to the address specified by the recipient.
When depositing ERC20 token, no conversion is necessary.
3. A few words about trading at Orderbook
As a trading platform, Orderbook operates in many markets. Token holders create orders on a specific trading pair they wish to exchange. Each market has its own rate and its own history of trades.
Orderbook is responsible for matching Sell and Buy orders. First, a Taker proposes a bid bigger or equal to the Maker’s ask. Once such an order has been proposed, their orders will match.
Placing an order meant to match with someone in the future makes you a Maker. Matching someone else's order makes you the Taker in the exchange. Takers cover all order matching fees.
You can read more about the trading process here.