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LocalCoinSwap (LCS) – a decentralised marketplace which allows buyers and sellers

LocalCoinSwap (LCS) is a decentralised marketplace which allows buyers and sellers to trade directly in any cryptocurrency using any method of payment. LocalCoinSwap provides a safe, uncomplicated and fast peer-to-peer (P2P) trading platform, allowing users to freely exchange without unnecessary verification requirements or waiting times. The platform utilises a secure escrow system that solves the inherent trust issues of online P2P trading. LocalCoinSwap is holding a crowdsale event of LCS Cryptoshares. Cryptoshares are a digital asset which will be used to facilitate distribution of all profits made by the LocalCoinSwap platform, in addition to all profits made by new business ventures under the LocalCoinSwap umbrella. Cryptoshare holders will additionally receive airdrops of new ICO tokens listed on the LocalCoinSwap platform.

Creating the Solution

The digital ecosystem is here to stay, and the mainstream economy is beginning to embrace the ideas of decentralisation and unrestricted trade. LocalCoinSwap represents a return to the most fundamental system of asset exchange without reliance on mainstream institutions  the P2P trade. By enabling P2P trading of all digital currencies LocalCoinSwap will put the market back into the hands of its users, allowing them to directly trade any cryptocurrency using any conceivable payment method in any geographical location. There is currently a gap in the cryptocurrency market creating an unserviced demand. Across community forums and social media sites in which traders participate, it is a common frustration that users are unable to quickly or easily purchase non-mainstream cryptocurrencies. Users also express repeated concerns about overseas banking transfers and onerous verification procedures.
The LocalCoinSwap infrastructure will close this gap in the market, not only by offering a P2P exchange for all cryptocurrencies, but by also tokenizing ownership of the exchange itself into the hands of its users through the world-first Cryptoshare system.

Transparency

LocalCoinSwap will provide an open and transparent exchange to its shareholders. The blockchain itself will provide an unforgeable record of all dividend payouts to Cryptoshare holders. LocalCoinSwap will have a continuous, transparent, and blockchain-based overview of all cryptocurrency revenues generated and to be distributed. Each monthly Cryptoshare holder announcement will detail developments of the exchange and issues which will be voted on by Cryptoshare holders before the next announcement. These issues will include new-venture projects, new coins added to the exchange, design considerations, and more. Cryptoshare holders may submit questions to be voted on through the platform’s integrated community forum.

Escrow system

The LocalCoinSwap escrow system acts as an intermediary between buyers and sellers to create a trustless solution to the inherit trust issue which hampers P2P transactions. LocalCoinSwap will implement a multi-signature transaction option for users in currencies where this is possible. This will allow users to exchange with zero platform risk. When a new trade is initiated between traders, LocalCoinSwap takes possession of the cryptocurrency portion of the transaction, while the fiat currency payment is made directly from the buyer to the seller. Once the payment has been made, and the seller can verify the fiat currency transaction has been received, the cryptocurrency is released to the buyer. To prevent users funds from being locked up during volatile market periods, time limits for each step of the contract process can be specified by the buyer or seller and are agreed to in advance.

P2P markets – Industry analysis

Since Bitcoin’s inception in 2009, P2P exchanges have been a key instrument in its dissemination and popularity. Trade volume for Bitcoin has increased exponentially alongside the overall cryptocurrency economy. The week starting 23rd of December 2017 saw over 130 million ($130,000,000 ) USD worth of Bitcoin change hands via Localbitcoins.com – comprising the largest week of P2P trade in Bitcoin’s history. LocalBitcoins.com currently hold the title of the world’s largest P2P Bitcoin exchange. LocalBitcoins.com has no plans as of writing to support additional cryptocurrencies.


For more information, visit the Website or read the Whitepaper.

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