Digitex Futures, the zero-fee trading platform that runs on its own DGTX token, has today opened the doors of its mainnet platform. The launch comes as the first step of a phased onboarding approach, with an initial group of 20 traders being granted access. The company plans to onboard more users in phases over the coming weeks and months, before a full public opening in late spring or early summer.
It’s fair to say that the Digitex Futures exchange has had its fair share of ups and downs over the last two years. Having raised $5.2 million in an ICO at the peak of crypto-mania in January 2018, it has managed to last the distance where many other startups from that time have since failed.
In April last year, the company pulled back from a mainnet launch after running into development issues. Since then, CEO Adam Todd engaged Moscow-based smart contract specialists SmartDec to take over the development. It’s this decision that Todd credits with for bringing the Digitex Futures platform to a mainnet opening.
A New Model for Crypto Exchanges?
Digitex is the first exchange of its kind, in that it doesn’t plan to charge traders a per-transaction fee. Instead, users are required to hold the platform’s DGTX tokens in order to trade Bitcoin Futures on the exchange, where all trading is denominated in DGTX. Digitex covers its costs through sales of the token, which will be minted in limited supply once the initial supply is all sold.
Todd believes that traders, particularly scalpers, will be willing to accept a small amount of inflation for the benefit of zero-fee trading and that demand for this benefit will drive the value of DGTX token.
Another feature designed to appeal to scalp traders is Digitex’s user interface, which is based around a trading ladder. It is designed to ensure users can place orders with up to 100x leverage, using a single mouse click or screen tap. This means that anyone can quickly enter or exit positions without having to navigate away from the market movements.
The company launched the Digitex trading platform on testnet at the end of November, allowing users to trade using play DGTX tokens. Since then, it’s been running trading contests with prizes to create volume on the exchange. At its peak, the engine proved capable of handling 11 billion contracts in a 24-hour period, according to screenshots posted on Twitter.
A Phased Onboarding
Users will now be onboarded to Digitex in phases, starting with a group of 20 traders who have been chosen as the first entrants due to their long-standing support for the company and its mission. This group will also be participating in trading contests designed to ensure they’re using the exchange so the company can collect feedback and ensure the platform is running smoothly.
After that, the second group of 200 traders will join, and then, Digitex will work its way down a list of 10,000 Waitlist Contest winners. The exchange is expected to open to the general public in late spring or early summer.
In the meantime, anyone interested in the Digitex platform can still sign up for a testnet account, which will remain open indefinitely for simulated trading and allow users to experiment with the trading ladder. Anyone with a testnet account will be automatically eligible for a mainnet account with the same credentials, valid from the moment Digitex determines they can onboard to the mainnet.
The launch of Digitex marks the first time that users will have access to zero-fee trading on a cryptocurrency futures exchange. If Digitex can pull off its vision of operating a profitable exchange using a token, then it will be intriguing to see if it marks a shift in the way that crypto exchanges are run.