A secure cryptocurrency exchange that is an innovative new cryptocurrency platform based in Hong Kong with the ambition to bring cryptocurrency into the mainstream. The Centralex team first got together back in 2018, united in our passion for crypto. We realized, however, that most crypto exchanges were not catering to the average Joe and Jane. Platforms were too challenging to navigate or too complex for newcomers to the crypto scene. While there have been some improvements on this front, the problem of exchange user-friendliness for newcomers largely persists.
At Centralex, we aim to address this usability issue by simplifying the experience of digital asset trading and integrating crypto payments and other valuable services that will want to incorporate into their daily lives. With our versatile, secure platform we aim to bring crypto to the masses. While we are initially rolling out services for users in Asia, Africa, Oceania, and Europe, our ultimate vision is to become the world’s Central Exchange.
Our team consists of 20+ passionate cryptocurrency enthusiasts and forward-thinking financiers who understand the immense potential that blockchain and virtual assets have to offer to the world. While the team’s headquarters may be in Hong Kong, individual members are from all over the world: South Africa, Russia, India, Serbia, the Netherlands, the UK, China, Portugal, Nigeria, and Australia. Each member has their unique expertise and brings an invaluable understanding of the crypto-related issues pertinent to their particular region.
Shortcomings of existing exchanges and our solutions
Considering the plethora of existing exchanges, one might ask: Why do we need another crypto exchange? At Centralex, we believe there are significant deficiencies in the current crypto exchange space, and these deficiencies are hampering crypto adoption among the masses.
Flattening the curve
The current user base of digital assets is dominated by millennials (76%) who grew up in the internet age. They are perfectly comfortable using the technology both as an investment vehicle and for payments. The vast majority of existing exchanges are catering to this demographic and skill level alone. A huge percentage of the population, therefore, is being effectively left out of the crypto revolution.
At Centralex, we have made simplicity and ease-of-use defining features of our platform. We aim to flatten the learning curve of the crypto experience, making it available to a much wider range of people and skill levels than it is today.
Prioritizing mass adoption
Centralized exchanges (CEXes) are often excessively focused on generating profit through trading and other fees, as well as encouraging high-risk margin trading, which can be very lucrative for them. CEXes concentrate primarily on short-term profit and overlook the higher-level goal of promoting crypto adoption worldwide.
At Centralex, mass crypto adoption is our overarching objective. To this end, one of our highest priorities is to roll out a steady stream of convenient payment services and features that will encourage crypto use in people’s everyday lives. Our supremely user-friendly platform provides the perfect foundation for putting this plan into action.
Protecting Our Users on a Secure Cryptocurrency Exchange
Existing exchanges have fundamental issues on the level of security and trust. While the situation is improving, high-profile hacks on centralized exchanges are still common and may discourage potential investors from investing in crypto. Even decentralized exchanges (DEXes), while trustless and permission-less, attract both good and bad actors. In recent times, we’ve seen a dramatic rise in “rug-pulls” on DEXes, where enthusiastic investors in a particular token wake up to find their beloved token’s liquidity withdrawn by unscrupulous developers. The price of the token promptly drops like a rock, leaving investors with nothing. News of such events casts a shadow over the entire crypto space.
When people’s funds are at stake, security is of paramount importance. Running a secure crypto platform requires careful planning, cautious implementation, and extreme vigilance. We want our clients to feel completely at ease trading crypto and holding their assets with us. We take this responsibility very seriously and consequently have a multi-pronged security framework, which includes built-in scam coin/token protection, third-party smart contract audits of our code, and partnerships with two of the biggest names in wallet security and identity verification.
We have teamed up with Fireblocks to take advantage of their industry-leading MPC (multi-party computation) wallet infrastructure. The security benefits of this partnership cannot be overstated. Fireblocks take a defense-in-depth approach to cybersecurity. This means that wallets and data are protected by several defensive mechanisms with intentional redundancies that serve to eliminate potential attack vectors on our secure cryptocurrency exchange.
Fireblocks’ advanced MPC wallet architecture has become the preferred choice of institutions wishing to safeguard their assets while still being able to access them easily. Fireblocks is a leader in custodial digital asset transfers, having facilitated over US$400 billion in fund transfers as of mid-March 2021.
The groundbreaking nature of MPC wallet architecture is worth exploring
Before the advent of MPC wallets, a private key stored in one place necessarily created a “single point of compromise”. If there is a hack on such a wallet, funds will disappear in an instant. MPC wallets, on the other hand, take a very different approach. The private key of each wallet is split into shards, or pieces, securely encrypted and subsequently stored on Fireblocks’ groundbreaking decentralized infrastructure. Each shard, on its own, provides a hacker with nothing even remotely useful. What this means is that a would-be attacker would need to compromise multiple parties at the same time to take control of a wallet. Needless to say, the chance of that happening is remote.
The MPC architecture, together with Intel’s SGX hardware isolation technology, offers a secure transfer environment layer, thereby helping to eliminate many of the security risks that have undermined traditional transfer methods in the past. Centralex CSO, Marin Matakovic makes the benefits of this key partnership clear: “Fireblocks helps Centralex eliminate the risks associated with digital asset transfers, such as cyber-attacks, internal collusion, and human error.”
For our users, the partnership with Fireblocks means improved security over many competing exchanges. Users’ private keys are neither saved on any Centralex servers nor stored in one piece on any single server anywhere. Our secure cryptocurrency exchange is essentially providing what we call a “Custo-DeFi” solution.
We have partnered with London-based Shufti Pro, a leading identity verification platform, to handle our onboarding procedures. Shufti Pro offers smooth KYC and KYB verification and AML services, leveraging the latest advancements in AI. Their highly developed OCR technology can pull required data from a document quickly and accurately. Shufti Pro’s identity platform provides real-time verification. It supports over 3000 ID documents in over 150 languages, making it an exceptionally versatile solution, one which effectively supports our ambition for worldwide adoption. Shufti Pro also performs background checks, filtering applications through 1700+ AML watchlists to ensure known bad actors and entities with high-risk profiles are flagged and excluded.
Shufti Pro boasts facial biometric authentication, including “liveness” testing, limiting the risk of facial spoofs for login and monitoring transactions. Finally, their platform undergoes frequent penetration testing to ensure it meets the highest standards of security.
In short, our partnership with Shufti Pro ensures regulatory compliance and provides our users with state-of-the-art identity protection on our crypto platform. It also offers fast account verification for our users no matter where they live or the language of their identity documents.
Securing our code: Hacken security audit
Poor code in smart contracts can be catastrophic. The Parity hack in 2017 is proof of this—over 150,000 ETH were lost when a hacker exploited a vulnerability in the multi-sig software wallet. One thing is sure: The more valuable the crypto market becomes, the greater the incentives for hackers to do their thing, and the more vigilant we need to be.
In order to promote being a secure cryptocurrency exchange, we’ve had to make the security of our crypto platform our prime concern. It should come as no surprise that we have had our smart contracts audited by one of the best penetration testing and code auditing firms in the business: Hacken.io. While internal code audits are helpful, they have limitations and security risks. External audits by best-in-class players such as Hacken are far more objective and carry much more weight in the industry. For Centralex clients and stakeholders, Hacken’s comprehensive audit of the CenX token smart contracts has helped build trust in our team, our exchange, and the broader CenX ecosystem.
Ready to Roll
We are immensely proud of our platform and the security apparatus that we have spent the past three years diligently building out. Our key partnerships with Fireblocks and Shufti Pro, coupled with our proprietary security protocols and tools, should leave our users in no doubt that their funds and identities are safe and sound in our very capable Custo-DeFi hands.
Centralex is a secure cryptocurrency exchange will launch in May. The Pre-sale of our CenX token is now live. To participate, sign up to our crypto platform today!