Would it be accurate to say that trading volume on the matching engine is the only variable that will directly affect the value (not necessarily the price) of NEX tokens? I am aware Nash will have other products (not just the non-custodial exchange), and that some of these products will indirectly influence trading volume on the matching engine (e.g. fiat on-ramps), but it seems to me trading volume will be the only thing that truly matters.
I’d break it down a bit further and say trading volume through the matching engine is what affects NEX token value.
All the valuations here are based off volume, and the factors that influence this are:
- Number of users
- Number of assets available for trade
- Value of assets
Nash exchange will need ease of use, performance, and liquidity to address all three. Based on what’s presented so far I think they’ve addressed the first two needs, but the liquidity issue is still a “?” for me. From what I gather this is their proposed solution:
- Market Makers - we don’t know who or how many
- Bitcoin trading - this is coming after exchange launch and date is TBD (“when ready”)
In my opinion,
will be the most important catalyst for volume. However, I don’t believe that a DEX that offers the same trading pairs as a popular CEX will be enough to steal away too much trading volume. So, in my opinion, Nash will need to offer tokens that are difficult to get elsewhere, and I believe that security tokens are the key. Has there been any indication as to when Nash will be able to list security tokens, and what sort of competition can they expect from projects like tZERO?
License is needed to list security tokens. AFAIK, the team is actively finding fastest way to get it.
I would also like to add that if NASH can add security tokens here to trade, the volume would be enormous, same goes for the NEX token price.
The most important is that nash can add tokens that people want to trade/buy/sell with that they cant get in other better exchanges. This will ultimately drive vol up significantly.