The cryptocurrency industry faces an abundance of challenges with regards to its public perception. What the general public, by and large, knows about cryptocurrency is the dramatic swings in the price of Bitcoin and the uncertainty surrounding the regulation, or lack thereof, of this revolutionary industry.
In the center of the bullseye now are Digital Asset Exchanges, where owners of cryptocurrencies can buy and sell their coins. They’ve come under increased scrutiny both because of their central importance to the cryptocurrency ecosystem and due to questions swirling around some of the larger players in the space. A number of the prominent players have recently had to delist securitized and non-utility tokens.
At question are issues like transparency, security, ease of use, consumer protection, and most of all a regulatory framework that can protect people from the dangers of the unknown.
A welcome reprieve is imminent due to Digital Asset Exchanges that are ahead of the curve, like Delaware-based Mandala Exchange, which has received attention of late for its proclamations that it will be the first fully SEC-compliant exchange.
As the SEC is itself still working to craft the regulatory framework for the industry, Mandala is one of the only exchanges proactively charting the course and staying in front of what many believe will be the eventual set of regulations that come to pass. They are following the latest mandates from the regulator by taking steps to work with lawmakers, planning to acquire a Broker-Dealer (BD) license, which allows users to trade domestically in the U.S., and registering as an Alternative Trading System (ATS) with the SEC. The exchange’s native tokens – MDX tokens – are a utility coin and available to international investors through a Reg S exemption and Mandala is filing for a Reg A+ offering in the U.S – both critical steps along the path to becoming fully SEC-compliant. The token also provides users with trading discounts and premier features on the platform.
Serial entrepreneur, and Mandala Co-Founder and CEO, Nate Flanders, has likened the industry to the ‘wild west’ and laments the ‘immense learning curve’ that has prevented even wider adoption of the industry and therefore a more powerful market force that would bring stability and clarity to the space. Flanders, a recognized industry expert, and Mandala Advisor Joseph Reiben of Reiben & Velvis, LLP, recently appeared at the NASDAQ and spoke about toeing the line between regulatory compliance and maintaining the spirit of the open-source, decentralized blockchain movement that is attractive to users.
Mandala Co-Founder and CSO, Anant Handa, along with Flanders, have put together a robust team to help them achieve this goal and created Mandala based on the idea that the barriers to entry and practical use applications are too cumbersome for novice users and no exchange supremely dedicated to the user experience currently exists. A recent press release from Mandala says “Mandala’s suite of tools and resources enhance the individual experience of experts and novices. Traders and investors will access exchange tools that leverage technology through automated trading algorithms, a modular design and customizable interface, risk management tools and robust portfolio analytics.”
Another innovation underway at the company is a “hardware wallet” fitted for exchange integration. The Wallet will connect directly to the exchange, allow users to easily log in, and use fingerprint sensor technology to sign trades and execute orders. The wallet is a first-of-its-kind creation and Mandala will be the first and only exchange to provide the offering.