The cryptocurrency industry has numerous advantages over traditional finance, that much cannot be denied. It can offer much faster payments, especially when it comes to international ones, which can go anywhere from 10 minutes to less than a second, depending on what project is being used. It can offer much lower fees, which was witnessed when whales transferred millions of dollars for mere 50 cents.
It is more transparent, and all recorded transactions are immutable, thanks to the capabilities of blockchain technology. Thanks to smart contracts, it can also offer automatic payments, which is a great mechanism for salaries and reoccurring payments.
However, one area where it lacked for quite a while in comparison with traditional finances is liquidity. For a long time, the crypto industry simply didn’t have enough of it, and for some projects, that is still true, unfortunately. On the other hand, traditional finance has far more liquidity than it could ever need. So, a project dedicated to solving this issue emerged, and we know it as the Orion Protocol.
How Does Orion Protocol (ORN) Work?
Orion Protocol is a crypto project designed to provide liquidity to the crypto industry. It was designed to aggregate the liquidity of multiple centralized crypto exchanges, and deliver it to a single decentralized platform, featuring a non-custodial gateway into the digital asset market.
Its long-term goal is to solve the difficulties in performing profitable transactions that are simply there due to poor liquidity. However, it should be noted that Orion intends for its solution to be used on DEXes and CEXes alike. Its solution is actually fairly simple, and the project simply aggregates exchanges’ order books into a single, user-friendly terminal.
What Problems Does Orion Protocol (ORN) Solve?
Orion Protocol is a project that primarily aims to solve liquidity problems of the cryptocurrency sector. However, doing so allows it to bring forth several other solutions that come as a consequence. Here are some of its biggest contributions to solving the issues of the crypto industry.
The lack of liquidity
As mentioned, the crypto industry lacks liquidity, and while different projects came up with different ways to resolve this issue, such as DEXes creating liquidity pools or CEXes relying on wealthy individuals’ help, Orion Protocol came up with its own solution which involves aggregating the liquidity of multiple exchanges into a decentralized platform that offers a singular, non-custodial gateway into the entire digital asset market.
Supports CEXes and DEXes alike
Orion sees the problem of liquidity as a problem that concerns the entire industry. This is why it aims to solve difficulties in performing profitable transactions associated with the lack of liquidity for DEXes and CEXes alike. It doesn’t favor any specific project or type of project. Instead, it favors the crypto community, believing that its solution can and should be used to help anyone who needs it, regardless of whether they use centralized or decentralized exchanges.
Combines order books
Orion found a way to combine order books belonging to multiple exchanges. It aggregates them into a single user-friendly, easily-understandable terminal that is available to all. This is a decentralized gateway in the digital asset markets – a layer 2 solution that allows users to access deep, cross-chain liquidity in one single place.
Benefits of Orion Protocol (ORN)
Of course, apart from solving the problems of the industry, Orion also has something to offer more directly to the users and clients. For example, it features:
Portfolio management app
Orion Protocol offers a very easy-to-use portfolio management application, which allows users to monitor their activities, and record them across multiple exchanges. This can come in as a very handy feature for keeping track of your activities, performance of your trades and strategies, and it can be used for giving you insight into what you did wrong, what you did right, and alike. All in all, it is a useful feature to have for keeping track of your trades, which can even be useful for taxation purposes.
Automates asset management
Orion Protocol was designed to help users in any way it can, and that also includes things like setting alarms that will go off whenever a new opportunity emerges. On top of that, it can automate asset management, which further reduces the amount of attention that users need to dedicate to trivial matters, and allows them to focus on more complex issues.
Trading discount
Another benefit worth noting is the fact that Orion’s native token, ORN, itself brings a range of benefits and additional functionalities. This does not only add further value to users but also incentivizes them to keep hold of the project’s native token. One example of this is trading discount, which is a common sight on cryptocurrency exchanges these days.
Most platforms provide users with a significant trading fee discount if they simply hold their native token. That way, they show their support of the asset and the platform, and in return, they get to save money on trades, which leaves them with more money for additional trading.
Staking rewards
Finally, Orion also allows users to engage in staking. Staking has easily been one of the most popular activities in crypto ever since the DeFi sector went big back in 2020. Of course, staking has been around for a lot longer than that, but the explosion of DeFi truly highlighted how much users can actually profit simply for showing their support of projects by buying their tokens and locking them up.
Bottom Line
Even now, over 13 years after the creation of Bitcoin, the crypto industry continues to struggle with liquidity issues. Liquidity is necessary for the industry to be efficient, and it can help drive adoption. However, in order to reach liquidity in the first place, adoption needs to be high, which means that, until this happens, the industry can either struggle or find a way to deliver liquidity from other sources.
Orion has found a way to ensure the solution for this problem by doing just that, which is why it has great potential in the crypto sector.
