Coinbase and $20,000,000,000 Hedge Fund Backing New Decentralized Crypto Exchange
Top US-based crypto exchange Coinbase is teaming up with a privacy-focused crypto firm to launch a new decentralized exchange (DEX) platform.
In a new press release, decentralized finance (DeFi) firm Violet says it plans to launch Mauve, a DEX built with features of both DeFi and traditional finance (TradFi).
The company will be collaborating with several prominent investors, such as Coinbase Ventures, venture capital firm FinTech Collective, and $20 billion hedge fund Brevan Howard.
According to Violet co-founder Markus Maier, the creation of Mauve was sparked by last years high-profile collapse of FTX, one of the largest crypto exchanges at the time. Maier says the FTX debacle reduced trust in crypto globally, which he seeks to restore with Mauve.
Mauve is a direct response to the FTX fallout, which has significantly eroded trust in crypto globally by misappropriating funds. The future is dependent on the continued adoption of non-custodial crypto exchanges. Mauve empowers its users to trade without surrendering custody of their assets.
This means no one can access, much less steal, any retail or institutional investors funds, helping to restore confidence among market participants.
From DeFi, Mauve will borrow architecture that allows self-custody to ensure that investors own their assets. From TradFi, it will offer compliance guarantees and disclosure to reduce counterparty risk.
As stated by Philipp Barnhardt, one of Violets founders, in the press release,
We envision a future without intermediaries where all financial products and services run on decentralized crypto rails. This vision requires deep integration between TradFi and DeFi, and is the reason why we started Violet and now Mauve.
Don’t Miss a Beat Subscribe to get crypto email alerts delivered directly to your inbox
Check Price Action
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
Check Latest News Headlines
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/sakkmesterke
This article was originally reported on The Daily Hodl.