A live demo of the Delta Exchange, a 100x bitcoin exchange, and an AMA interview



today we are going to do a walk-through of the new 100x leverage exchange called Delta exchange I am crypto continental and I'm joined by co-founder of Delta exchange Jitender tokus besides a walkthrough of the exchange I'm going to be asking to tender a bunch of questions he does not know the questions I'm going to be asking so this is truly a due diligence exercise on Delta and to be clear I'm not getting compensated for making this video my only relationship with Delta is through referrals and that's the exact same relationship all of you guys can have but if you want to try Delta please use my referral link or the web address found in the description of this video let's get right to it thanks for joining Jitender maybe just start by giving us a history of Delta your background and how this exchange came to be we started Delta at the beginning of 2018 we are three co-founders let me just quickly tell you about my background I have evolved in financial services for close to nine years I started my career with GIC in Singapore GIC is the sovereign wealth fund of Singapore government and then I moved back to India and worked as an equity analyst with Citi I used to cover telecom and internet stocks my other two co-founders one of them had similar background as myself he was an elevated trader with UBS in Hong Kong and the technical co-founder he's a little entrepreneur and has previously started two companies in which he raised money from the likes of soft banks and Sequoia and I did one of them so Delta our vision is to create the most liquid global derivatives exchange and I'll be happy to you know walk it to the platform and answer any questions that you might have okay great thanks for that background so at this point you know how big is the company I was browsing your site and it looks like you're hiring quite a few technical positions as well how many employees do you currently have and kind of where'd you see that going in the future so we had a very lean team kind of heavy we had a team of about 10 people out of this just two of us are on the business side and just on our developers and we plan to hire maybe up to five more developers but that's about it and we are going to keep the team quite lean at least foreseeable future okay thanks again and you know booking on your webpage I see a few things so I see you know the first deposit bonus and I also read somewhere about like a feat discount for the first you know number of months you know maybe talk about some of the new promos that you have going on to attract some clients to your exchange sure so the first deposit bonus which you can see on my screen here and in this what we are doing is we are matching the first deposit of any user up to 0.01 BTC so this is open to all users and you know I would invite all of you to come and take advantage of this offer additionally we haven't very attractive leper program which you can see them go to the menu and see click on the raffle program so the refere program I believes at this moment the most attractive in the industry if you bring any losers to us they share 25% in commissions for the first one in and then after that ten percent commission share or lifetime and the deferred user gets 15% discount in training fee for the first six months so really a win-win situation for both the hopefully and the record user okay so if I heard you correctly that means if somebody uses my referral link in the description both get 15% off their fees which is a fantastic deal so speaking of fees maybe show us your fee schedule you know how much it cost to trade things like that sure so you can this is the fee stage the priest varies from contract to contract so our BTC USD contract is our most popular contract on that we give 100x leverage and the taker fee is point zero seven five percent and the maker P is negative point zero two five percent so essentially if you are adding to liquidity on an exchange you get paid to trade with us on all coin futures peas are point two five percent or taker and negative 0.5 to pin point O five percent Omega wow that's a that's pretty darn good I'm usually don't see negative rebate fees especially on the you know on most of changes here so being able to get a rebate on maker fees plus a potential 15% fee discount plus a deposit bonus are you guys are certainly trying to make your presence felt so so far it's seems pretty darn attractive maybe show us how to register and get started sure so the registration form is fairly simple we do not ask for whole lot of information from you when you are starting so all you need is your name email address and then you have to once you have tried this information you just need to confirm your email so I would say you know signing up takes you less than a minute and once you have signed up signing in is you know kind of simple I have already signed in my account so I can show you how the exchange looks like okay great before we jump into the exchange is there any higher level of verification or any you know your customer type stuff that you have to to do to get dominant no all you need to start trading is verified email address the what we have done is taken a call that for large sectional retail traders who are trading with very small amounts the issues around anti-money laundering etc are really insignificant so what we are doing is we are asking or kyc only when a trader tries to make a large withdrawal and not otherwise so for most rigorous no only requirement is just a verified email address okay great so what points do you Canton have available and what's your plans to add additional points so right now we have futures contracts on for crypto currencies and two assets so we have Bitcoin USD future and we have ether BTC XRP BTC and Excel MBT seen so among these for the Bitcoin you have the future is almost liquid and as you can see currently in the last 24 hours the volume was 128 thousand US dollars our future plan is in the immediate pipeline we have two things one we are going to launch and eat her USD inverse future which will be quoted in USD and that led to and the second future that and that we are gonna launch is a perpetual contract of BBC USD as of now all the future that are trading on a platform our traditional teachers so they have a set expiry date and if you see this information icon at the top here you can see a brief description of the contract and I'm just taking a different screen I can also show you the pool contract specifications out here so the screen where you have the pin code by classifications and the key elements you can see here ok great yeah having contract specifications well outlined and documentation is certainly you know good for clients and but do you have you know paper trading or mock trading available if somebody just wants to dive in a little bit and just kind of pick their feet wet absolutely so you can go to a Lamacq trading platform from here so let me just quickly show it to you so it's absolutely same as regular exchange the only difference on this platform is that you trade with tested bitcoins instead of real bitcoins and what we do is when you sign up we give you some free bitcoins so that you can start trading immediately you can test our API is on this platform you can do trading which is very very close to the real trading except for the fake Bitcoin party okay great that's awesome for somebody that just wants to get to know margin and leverage trading a speaking of margin you talk about how you define it and some of your peers have what they call isolated margin and cross margin do you have something similar what's your definition yes so we have isolated margin what that means is that you specify how much margin are you willing to put into a position and that margin is dedicated for that position let the market moves against your position and your margin falls short so when we do not take more margin or the position from your wallet so if the margin assigned to a particular position it gets eroded to a certain point we just liquidate your position so what this means is that you cannot lose more than the assigned amount for that particular position ok great that makes a lot of sense so what about analytics charting I see trading view up here in on your chart on the left hand side just kind of walk us through the charting analytical capabilities of Delta sure so we have integrated trading your charting library and it has pretty much all the functions that trading view offers you can do analysis on you know various technical indicators you can analyze charts across different time frames and you can do comparisons between different I mean different price series so all the features that you are available on trading the charting liability are available content as well ok to tender reaction at a question from the crowd asking about when you might have a trading view feed into you know actual trading view calm what's what's your plane on that and also you know getting the exchange on things like corn market for corn depo no where do you stand on that sure so we have had discussions with both quite market cap and trading them on trading view I think the the work has already started we just need to go to make some small changes in our system and then we can start providing the P to them on coin market cap since this slider things are slightly tricky so if you see the only derivatives exchange which has data on coin market cap is bit mixed and even then they are only showing data for their perpetual contract because then it's sort of it can be compared with spore trading so once we launch a perpetual contract we should be able to get on market cap as well and I get that should happen sometime in January okay and now that's a jump right into you know trading now here I see you have limit orders available market orders available you know stock market you have any other order types available and they got plans for the future like contingent orders like immediate or cancel or one cancels the other what's your plans you know having a very robust order sweetener absolutely so right now we have broadly three types of orders market limited stock orders our plan is to give a whole host of orders to traders and we have been receiving feedback from both retail traders and the institutional traders have for you know various kind of advance orders that for which there is a strong need for instance only today I was speaking to a market maker and they are interested in having spread orders so you could probably do spread trading between let's say December contract in March contract so we do have a strong pipeline of advance orders which we are going to be releasing over the next couple of months as of now we have the most commonly used three types of orders limit market and stop okay great yes obviously you guys are pretty new so you know you're a pipeline it's what's important what you're rolling out in the future I think one big thing just violin speaking my own trading my own investing that I don't like about a lot of crypto changes the lack of having one cancels the other type orders where I'm able to put a stop loss and take profit you know in at the same time for the same coins a lot of exchanges you just kinda have to pick one of the other and hope for the best so it's good to hear you guys do have a pipeline plans to continue to make yourself as user-friendly as possible if you don't mind maybe just give us a an example of a trade obviously don't execute it if you don't you know want to but just maybe just show us just how easy it is to have a you know levered position maybe some limit water kind of set up the margin sure yeah I can do it very small grain so that so quality to see you as the contract one contract is the size is one US dollar so you know let's try to do short one single contract so let's do a limit order and because I want to particularly immediately let me choose the best bid quantity is one bid price I can select directly upon the order book so let me select this and then for leverage you can select from this bond so this has some of the key levels I can go up to hundred X or what I can do is I can you know this type here that's a wrong hour this Kuwait choose a number of it is it's a twenty rate and so this shows me my order size this shows me what my might my margin requirement because my order is so small his margin requirement is not appearing properly so if I make it bigger you can actually see how much margin you would require to place this order and once you fill these feel pins and I just hit the button and I've submitted at the Lord I think the price moved a bit so it's indeed not yeah so it was filled already so I have acquired a position now I wanna point out one thing here that we do not mark your position on the last traded price instead we mark a position on the mark price which is derived losing spot and the audible so what that how this helps is that no one can manipulate he lost edit price – you know liquidate certain positions it is very hard to manipulate the wall price and that's why it's not more stable and secure so the piano that you see here is derived from the mark rise nor the last traded price okay great yeah that looks you know pretty pretty easy and now you have a relatively tight sprite there so it's a pretty friendly for my traders but that leads me into my next question and obviously being a relatively new exchange your volume is probably a little bit lower than what you'd like and of course you want to increase it but given your bitcoins basically hitting fresh lows of the Year right now you kind of see it on the screen you know what's your plan to attract you know the quiddity in this type of market environment sure you know I do know I'll let that be a young exchange and if you compare us on volumes B will not match up against the more established theirs however I want to point out two things one our spreads are just outside there's the best in the industry so if you see the older book for a Bitcoin contract the spread is just half dollars and which is the tick size for this contract so it could not be tighter than this and let's look at the depth so depth on each side right now is about thirty thirty-five thousand dollars so for a lot of retail traders the depth is but we have found it is sufficient but we do plan to increase both depth as well as the liquidity on the exchange so strategy is actually 2 : 1 we are very very focused on promoting trading through KPIs on a platform we have a very strong api's both rest and socket we already have 2 algorithmic traders trading on our exchange and we are in column rotation with several others secondly we are talking with a couple of the large market making pawns were very keen to make markets on an exchange and the third leg is the you know detail traders who would then be consumers of this liquidity we are actively recruiting users and for this we are reaching out who use it across various channels and we have seen a significant pickup in traffic poor exchange and I feel that over the next one two months we would see no massive pickup in volumes on dealt out and you know that said here the micro conditions will do here and impact on layout okay you know thanks for that information I have another question from the crowd and this is something I hear you know often just from the people I talk to you you know in crypto it it's really a worry I don't know how it really works in practice but maybe talk about an order of priority so for example you know if I put it or during a limit order by 43140 and you put it order in 43140 and a big whale puts it over and 43140 you know how do you prioritize it is it first in first out we do have special relationships with people that get the first execution you know what's what's the priority in terms of you know order filling see for us it is very important to be honest and treat our customers the total transparency and fairness we do not want to give preference to any large or small customers so and this is something you know which is part of our core values if you look at a website you know transparency fairness integrity these are the three values that behave as posed and be plan to stick by them I know crypto industry I mean lot of exchanges even the big ones deputations are or market market manipulation or shortchanging their traders for controlling their traders for us this is an opportunity to stand out from that path and give people a fair and transparent trading venue I have spoken with some market makers who have asked us to provide them priority access and I have refused to do that so what we are open to doing is we are open to providing colocation to traders we are open to providing higher API rate limits to large traders but we are not open to you know providing priority in terms of how orders are executed in the order book in the order book on orders are equal and being strictly follow Christ and priority so if two orders have the same price and then the order which came first will get X that sounds great cuz I agree first-in first-out it should be certainly the way to go when it comes into the order book so I have a handful more questions and feel free to demo anything you'd like but I had a question in terms of technology so some of your peers have reputation for having system over those at the worst possible time or perhaps the order book is in real-time and it's actually lagging a couple of minutes talk about your technology and why it's going to be or Ernie is top Levana see the order submission error in what some of our come from competing exchanges is again an opportunity for us to shine and show that we can do better we have been aware of this problem had other exchanges from the very beginning and we have made sure that we build enough capacity to handle the traffic so what we have done is that a software is written in the banner build we can handle large spike in traffic secondly it has been written with scale in mind so currently when our volumes are low we have sufficient capacity and as far as the last few months since we have been lived on concern we have North in a single incidents where our market was down or traders were not able to place their trains so I can mentioned earlier in the victor the beginning of this interview my technical co-founder is an absolutely brilliant guy and he has done her fantastic job in building this product this our exchange has been written entirely in-house and in a very short period of time you know I have in exchanges derivative exchanges who denies you and in 2017 raised like tens of millions of dollars and are yet to even launch and for us we he raised a very small injured amount in the ground and here and with a very lean team we have known to product and we have been live in market for I guess four months so I can assure you that a technology is world-class exchange has been battle tested its tables we have spare capacity you are not going to see the kind of issues that are very very prevalent on other derivative exchanges okay in a very similar question what's your security on this exchange that's obviously a hot topic when it comes to you know crypto and Bitcoin exchanges you know what should give consumers confidence that you are not going to get hacked but do you have any phishing protection or anything like that that might help consumers and you know how do you kind of protect and store you know any coins that you might have sure so yes like I need the content exchange be our honey port or hackers and we are very cognizant of this thing so what we have done is there are two things one we are using our multi-ethnic wallet and this is the same fantastic wallet service provider which is being used by the top exchanges across the world second is that what we do is be open our wallets or withdrawals only once every 24 hours and all the drawers are done of them banned will de PUE and only the founders have the ability to process withdrawals so beyond those you know that short window there the open and warmth of it all no other dolls are possible so this increases friction for users but we feel that this additional friction is worth it considering how much you know extra safety it provides to crypto in our custody now regarding the safety or security of infrastructure so all our servers and are in a VPN or VPN like environment big-big like only a handful of points which are open to the Internet so pretty much it is very very difficult for a hacker or a person who's unauthorized to access our servers we have caught on a security audit done by leading forum about the way we have designed and managed our infrastructure and so I'm fairly secure and comfortable here to say in saying that our security is top-notch and I don't I feel that we have to have send all the boxes to make sure that no untoward incident happens on Delta ok and another common concern when it comes to leverage exchanges would be the potential for the exchange to experience the loss on a trade so you have you know one competitor have an insurance fund and you know during the summer there's a big incident thinking with the you know ok exchange where they had to socialize losses you know what's what's your plan and what's your policy you know around whether it's an insurance fund or socializing losses what's what's your take and you know what do you think's fair yeah I see I think that an insurance fund is absolutely the necessary for derivative exchanges and we have also sir we also I have started an insurance fund right now it's in building phase there we are going to grow it to a certain level before we start to dip into it so as of now what we do is we use auto D level aging to handle situations where we are unable to liquidate a position before it's bankruptcy price is reached so what happens is that they for a third in position if we are each in liquidation and we have been unable to close the position in market then we match that position against traders on the other side who are in profit and this matching happens that the bankruptcy price of the position in liquidation so in this way we are what the advantage is that we are socializing losses or that push socialization does not impact all the traders it impacts only a handful of traders and even those traders were impacted they did they would close their positions in profit but that's where the amount of profit would be probably lower then but it could have been so we feel that this approach is better than what is being used by exchanges like okay expel funds are released only on a weekly basis and already when realized profits can be lured back so in our case the number of traders who can potentially get impacted by you know auto deal everything is very pure that said a long-term goal is to have large enough insurance fund to cover such incidents and the our plan is to have such a fund in place karma can be by the you know middle of next to you okay great yeah I would agree with that like insurance fund it's definitely a you need it of course it's hard being a start-up building up that fund but given everything you showed me today I'm sure look at that on track before you know it next question for you is what's your stance currently on no global regulation you know what's your ability to comply globally just from a regulatory standards and you have any restrictions where do you stand on that front sure so the Delta is being operated out of st. Vincent and the Grenadines think Venice then does not regulate crypto currency trading or cryptocurrency derivatives trading so we are compliant compliant with all the laws there we do have restrictions on the Nationals of 13 countries such as the US now I have always worked in financial services in markets and I believe that regulations are for the good and but at a startup it is hard for us who come up with the kind of capital requirement that is typically associated with starting an exchange so what we plan to do is continue to operate without any getting regulated for some time to come before and once we have in oxides and enough capital we do plan to get regulated and I believe that is the right way to do things okay great and I have a question based on what seems like a pretty neat feature you had on your front page about kind of building your own strap gee what exactly does that mean some sort of back-testing functionality or talking like API what but exactly know is that yeah so this is still in the works and what we are doing is creating tools for you to you know vectors any ideas that you might have and see how they do and let their you know if you you you feel that you know let's say trend-following is a great strategy and let the you an idea about moving average crossover strategy and so on a platform you will be able to come and very quickly test this strategy out and if you find that this strategy actually makes money you would be able to you know just deploy the strategy on Delta I think it's gonna be a really cool thing and I don't see any other exchange having it so you should be coming out but this can be one cue of 2019 and in order to do that do you need to be you know an expert coder or do you keep a pretty user friendly being able to test no crossover strategies or you know whatever it might be so aim is to make it so simple that you just write the idea that you have and we take it from there so definitely you would not need to know any sort of coding if you have an idea you would be able to test example okay great I think Jitender you definitely answered all my questions no by large I just really wanna know what makes you better than your peers my why should people switch over to you guys and a lot of your answers dress that in a by large but is there anything else that you'd like to show us or talk to us about that makes the delta exchange your standout so being add some really cool features let me show you this one that convert from BCC to ult so all a contract the currently merchant in bitcoins however let's say for some for some reason you do not see an opportunity in the market and or maybe you're going on a vacation and you are not happy with the BT service that you have because of the money you have on your Delta on it so what you can do is you can convert your BTC to USD D and then once you move to a stable coin you just do not have the risk of BTC anymore on other exchanges you can achieve the same thing by you know shorting BTC us the future at 1x leveraged pretentious and a lot more hassle then you know converting to stable coin so this is a feature which is which I believe is unique to us secondly I think the reason people should trade with us is that we want to be are gonna solve all the problems that are currently part and parcel of and competing exchanges on it is a commitment or traders that we would always be a fair and transparent trading venue which will create all its customers equally and on our exchange you are not going to have the problem of all the submission errors or the problem of reliability of liquidity or you know API is not being stable and I understand that we are a young exchange and we do have to you know walk the talk and to ourselves but you know I would really urge all of you to try us out use a mock trading platform to get a feel for the platform to test arabia's and you know he puns you feel comfortable you know maybe start small exchange and see if we are able to really know until the natal promises that we are making and I also add here that we have a exciting pipeline of product and features that you would get to see over the coming few months we do plan to launch perpetual contracts the do plan to launch options and we also have plans plans to launch contracts which are currently not available anywhere else for instance futures on you know various types of entities such as an altcoin index or audit the t'market index which would allow you to take an average position on a bunch of coins at the same time that's that's great to hear I'm a big believer that we certainly need about better indexing or better you know market proxy out there personally that's how I try to invest when I execute my own portfolio of my own crypto model as I'm trying to be the broad market as a whole so being able to invest in the market I think that would allow people just a very valuable option universe we're trying to have to manage it themselves so it definitely you know appreciate that also if somebody wants to get in touch with you or they have questions on Delta exchange or just customer service how do they do that sure I'm available on all channels my email address is Jitender dot focus and Contador exchange you can write to the customer support had supported internal exchange all the social media channels are accessible from our website you know try to it anywhere join us a telegram community we are accessible 24/7 and you know because we are a young exchange they try harder you have access to all the three co-founders we are happy to have a child with you explain what we are doing if you are alga trader or if you are a market maker and you need help in integrating Arabia's we are happy to help you that we are happy to even you know have our developers provide you assistance and going that integration so you know absolutely accessible 24/7 you know he does upon any channel ok like I mentioned before that pretty much wraps up my questions you know if anyone has any additional questions feel free to reach out to me on Twitter at crypto QF and I'll be sure to pass along questions or you can they can reach out to you or the team you know directly again thank you to tender for joining us today if you guys like what you've seen will give Delta a spin maybe do some mock trading know used to levers trading whatever you'd like we'll definitely try to sign up the website address is in my registration in my comment section sorry about that so please go ahead and click that and get signed up and certainly appreciate your time today and everyone be safe out there it's definitely a tough day for Bitcoin again but hopefully 2019 is better for all of us thanks again and good luck

2 thoughts on “A live demo of the Delta Exchange, a 100x bitcoin exchange, and an AMA interview”

  1. Thanks CQF for this interview and the review of Delta Exchange (https://delta.exchange). I enjoyed our conversation. For the viewers, please feel free to reach out to me via email or twitter (https://twitter.com/TweetOfTheTokas) for any queries, feedback or suggestions.

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