There are new cryptocurrency exchange and trading platforms opening everyday around the world and also in Australia. There are now, more than ever before, many options for institutional investors to buy and sell digital assets.
For new investors it's not that easy to spot the difference between various trading platforms. When starting out there are a several factors to consider but most simply: How the crypto exchange works.
Some important factors are cryptocurrency custody, security and platform stability and that is exactly what we have set out to achieve here.
You may also want to diversify your portfolio, so we recommend holding at least ten different coins and tokens at any given time.
A custody solution is one of the most important factors for the security of a platform.
Following industry best practice standards we keep at least 95% of our funds in a cold wallet address at all times, so that in the event of a security breach, no more than 5% of the funds could be exposed at any given time.
Digital currency security practices are crucial for the operational stability of the exchange system and security of your bitcoin account.
Fortunately, our system is among the most secure in Australia, using offline cold storage wallets, such as BitGo and Xapo wallet solutions; two-factor authentication via Google Authenticator, hardware security, such as AlienVault; DDoS mitigation via CloudFlare; encrypted databases; and trade surveillance.
Some financial engineering is required in order to determine the optimal percentage of funds to keep in cold storage, and to determine the optimal timing for movement of funds between hot and cold wallets.
Factors affecting these variables include: the behavior of buyers and sellers, trade volume, the current blockchain settlement time, the response times of the wallet system, and other factors.
We also implement internal security policies based on industry best practices.