Loopring (LRC)

Loopring aims to be the future of finance. It builds protocols and infrastructure on Ethereum’s layer 2, mainly on zero-knowledge roll-ups (also known as zkRollups).

Looping provides a high-speed platform for trading, payments, liquidity providing and swapping, all of which with low fees.

By replicating custodial alternatives and beating them in terms of speed, cost and experience, the digital economy is thus envisioned by Loopring as something built towards empowering its users by giving them full control over their assets.

Loopring Explained

Loopring runs on Ethereum and incentivizes its users to operate a platform in which they too can created new types of crypto asset exchanges on a global network.

As decentralized finance protocols surge in popularity, Loopring makes use of several cryptocurrencies, including its very own LRC, to provide for their platforms, while claiming that the exchanges that will be built on top of it, due to their new type of cryptography (zkRollups), will operate at high speed and a at a lower cost than those associated with other decentralized exchanges.

Unlike the most common versions of decentralized exchanges which settle trades directly on the Ethereum blockchain, ZkRollups enable Loopring exchanges to complete their key computations in other locations.

By doing so, Loopring drastically reduces the number of transactions it needs to submit to the Ethereum network, meaning that transaction confirmations will take a fraction of their standard speed.

The History Behind Loopring

Loopring is the vision of Daniel Wang and in 2017 its initial coin offering (ICO) raised an estimate $45 million USD (120.000 ETHER at the time) but as China tightened its regulations surrounding ICO deals, Wang and his team were forced to return around 80% of the funding which they raised.