TRADING AS A PUBLIC UTILITY AND PANTERA CAPITAL'S LEAD IN $2.6M INJECTIVE PROTOCOL SEEDING ROUND

Intro
Public Utility is the set of services provided by public utility companies and ultimately consumed by the general public, and include internet, coal, electricity, natural gas, water, sewage, telephone etc.

Thus Trading as a Public Utility is a service that can be utilized worldwide.
The world has gone from a mechanical niche to an electronic one in a space of 3 centuries. With the evolution of the accrued data is the rise of Blockchain, FinTech(short for Financial Technology) and DeFi(short for decentralized finance) in that order. This is because the characteristics of blockchain decentralization have become a point of interest for innovation. DeFi, or has been one of the most hyped recently given the room of imagination and schemes like liquidity mining. FinTech has redefined P2P lending,project crowdfunding, payment platforms and solutions, decentralized banks etc.

THE ROLE OF EXCHANGES

So now, we're getting warm. What is a crypto exchange then. Cryptocurrency exchanges are sites(whether physical or virtual) where cryptocurrencies are traded for each other or traditional fiat currencies like Euro, Pound Sterling or US Dollar.
They may be divided by many criteria, chief of which may be Modus Operandi or Central Control. Exchanges have evolved to the electronic stock trading systems via the vaunted technological advancements and have facilitated the business model and infrastructure of the modern cryptocurrency exchange.
Degree of Control
Centralization of a crypto exchange suggests a central control of exchange management and resources. There are Centralized and Decentralized Crypto exchanges, and most, recently Hybrid exchanges.

• Centralized Exchanges
  In Centralized exchanges, also known as CEX, every transaction is being controlled by the owners of the exchange. Transactions can be made only through mechanisms provided and approved by the central body. These exchanges depend on the entity or broker who controls the flow of assets traded. Users of centralized exchanges deposit funds directly on the exchange, and then the exchange becomes responsible for the execution of buy and sell orders in real time. On centralized exchanges, users do not have access to their private keys. Mainstream stock exchanges are similar to centralized exchanges. Examples, of course is Emirex exchange, Binance, Kucoin, Bittrex etc

• Decentralized Exchanges
  A decentralized exchange (DEX) is a cryptocurrency exchange which operates in a decentralized way, i.e., without a central control. Decentralized exchanges allow peer-to-peer trading of cryptocurrencies, and prices are determined by peers. Because users do not need to transfer their assets to the exchange, decentralized exchanges reduce the risk of theft from hacking of exchanges. Decentralized exchanges can also prevent price manipulation or faked trading volume through wash trading, and are more anonymous than exchanges which implement know your customer requirements. Examples abound. Like Etherdelta, Forkdelta, Idex, TokenJar, BinanceDex etc. DEXes can be further divided into two focuses: spot and derivative markets, with a huge percentage of the DEXes in existence focusing on the less complex Spot markets, and a few on many derivatives. This is usually because of the financial complexities and intricacies required. But Derivatives markets have grown in leaps and bounds, with the advent of DeFi. Strong contenders that have emerged in 2020 include Injective Protocol and DerivaDEX. We would get back to this.

• Hybrid Exchanges
  A decentralized exchange is bereft of a central control and seller and buyer can directly contact themselves and trade cryptocoins.DEX works on smart contracts that automatically connects sellers and buyers using the buy order, seller order details placed on exchange. Centralized Exchange is one which allows for seller and buyer to trade cryptocurrency with the help of middlemen authority.It also allows the user to trade with or without middlemen authority. You can decide when your exchange have to be CEX and when have to be DEX.
  CEX + DEX = HEX.
  The hybrid cryptocurrency exchange website script has the options for customizing this and you can also make your exchange both decentralized and centralized at the same time.

THE INJECTIVE SOLUTION

Now back to the issue of Injective Protocol. Incubated by Binance Dex, Injective Protocol is the first end-to-end, fully-decentralized exchange protocol that eliminates front-running and allows for trustless liquidity sharing, built on the Cosmos protocol, featuring a decentralized perpetual swaps, futures, margin and spot trading. It is structured on 2-Layers, providing a high-speed Ethereum decentralized trading experience. The Cosmos IBC protocol would achieve cross-chain transactions, VDF (Verifiable Delay Function) to simulate real time through Proof of Elapsed Time, and standardize order sequencing to eliminate early tradings. In addition, the Injective chain supports token staking and provides technical support for creating more services such as staking in the future. Injective Protocol sets out to resolve scalability issues and bottlenecks that keeps bedeviling the total user experience on decentralized exchanges (DEXs). The project was one of eight inducted into the Binance Labs Incubation Program in 2018, with the mission to resolve some of the shortcomings DEXs face, such as high latency and poor liquidity.

It is mainly made up of a Holy Trinity. This trinity is the Injective Chain, the Injective Exchange, and the Injective Futures platform. A fusion of this trio gave Injective Protocol its uniqueness and distinctiveness.

Injective Chain
This Chain is comprised of a layer-2 sidechain and Cosmos Zone connected to Ethereum, utilizing a verifiable delay functions (VDFs) to enforce a fair transaction ordering consensus that reflects real-world time via Proof-of-Elapsed-Time (PoET) , solving critical race conditions and miner extractable value issues present in Ethereum. Injective Chain powers Injective Protocol's layer-2 derivatives platform, serves as a decentralized Trade Execution Coordinator (TEC), and hosts a decentralized open orderbook. The chain itself is built on top of Tendermint and allows for transferring and trading Erc-20 assets on the Injective Chain. Tendermint Core can tolerate up to one third of machine failures arbitrarily and with it you can write an app in any language and deploy it on any machine or system anywhere in the world. Thus the Injective Chain can tolerate malicious behaviour In the future. Injective will be integrated with Cosmos IBC, bringing advanced inter-chain decentralized finance capabilities.

Injective Futures
With a very robust support for decentralized perpetual swaps, contracts for difference (CFDs), and many other derivatives, the Injective Futures protocol is a decentralized peer-to-peer futures protocol which expressly permits individuals to trade on arbitrary derivative markets with just a price feed. A derivatives protocol is an important "weapon" of Injective, and a weapon of mass destruction according to a certain Mr. Buffet. Futures is a kind of derivatives. It is the most common derivative and tradable on traditional exchanges. Futures are agreements between two parties for the purchase and delivery of an asset at an agreed upon price at a pre-agreed future date. Traders will use a futures contract to hedge their risk or speculate on the price of an underlying asset. The parties involved must fulfill a commitment to buy or sell the underlying asset, though not all futures contracts are settled at expiration by delivering the underlying asset. Many derivatives are cash-settled, which means that the gain or loss in the trade is simply an accounting cash flow to the trader's brokerage. Examples are interest rate futures, stock index futures.

Injective Protocol is an open protocol that supports the development of open derivatives markets. It is also the world's first fully decentralized P2P futures and perpetual swap contracts exchange, which supports simple access to various markets. According to the team, compared with other products of the same type, Injective is the fastest, fully decentralized derivatives trading platform without gas fees in the DeFi market. It would be a decentralized peer-to-peer futures protocol that can both operate independently and integrate seamlessly into its existing stack, with individuals creating highly parameterizable market through Injective Futures and begin attracting traders immediately.
Futures Market for Unissued Tokens
Quanto products with a permissionless synthetic asset issuance and exchange

Injective Exchange
This is a truly 100% decentralized exchange with the front-end exchange interface, back-end infrastructure, smart contracts, orderbook liquidity all steeped in decentralization. Based on the Injective chain, Injective's trading platform has also achieved a fully open source design, which allows it to be a completely decentralized network, providing a market-maker friendly API interface, which is of quality appearance and truly intuitive user interface, allowing the user experience to be similar to that of a centralized exchange. Additionally, in the management system, the exchange has borrowed the design of a transparent audit system giving it the bells and whistles of a centralized exchanges, modularized design, and the audited listing system, but it is based on a popular consensus. In addition, Injective has introduced liquidity support for DEX from many global players like Bitlink, Altonomy, etc. Together with a powerful incentive mechanism, Injective can ensure the liquidity of the trading platform. Injective Protocol core priority is to provide liquidity so that the traders can face minimal slippage,backed by a community focused futures protocol in that everyone can create a market no matter the expertise! Also on the roadmap, there would be focus on community development and let the public to come up with amazing market ideas so that we can support them to realize their full potential.
Features of Injective Protocol include but not limited to
• Mature Markets & Options
• Ecosystem Expansion on nodes, market makers, & staking pools
• Community governed listings and market creation
• Crypto-Backed Traditional
Financial Derivatives
• Onboard non-crypto
institutions & traders
• Introduce Injective to greater financial market.

THE INJECTIVE PROTOCOL TOKEN

The INJ Token is the native token that powers the Injective Protocol Platform and reflects all of the protocol value.

USE CASES OF THE INJECTIVE PROTOCOL TOKEN

• Proof-of-stake reward: Platform validators can receive a block reward proportional to the stake after staking with the token.
• Buy-back and Burn: With a negative spread model, platform fees can be collected. With a portion of the exchange fees being distributed to nodes or relayers proportional to orders discovered.The rest are periodically auctioned off through smart contracts to buy back the INJ token for burning.
• On-chain governance*
  Injective Protocol Token Incentive
  1.Network Node incentive payment model: By hosting a node and participating in Relayers, the participant will receive a percentage of fees generated from the orders they discover. This will incentivize nodes to submit VDF time proof on the user's behalf and create a referral system where the user and the node can receive rewards and trading fee discounts.
  2.Market Maker Incentives: Orders from makers will receive a net positive fee rebate to incentivize liquidity. Distribution will happen periodically based on snapshots.
  3.PNL incentive: Occasionally, a number of tokens will be periodically distributed to users weighted by their net profit and loss during that time period. The distribution will end when a predetermined number of tokens is distributed.

Maker and Taker rebate programs during the initial stages of launch
Ensure liquidity with highly scalable infrastructure, top market-making partners, and strong liquidity incentives
Injective’s token will follow a deflationary mechanism. Users can also participate in proof of stake consensus to earn reward
Hosting a network node and referring users will allow the node to capture a percentage of the exchange fee it brings in.

Advantage over Dexes

Criteria	Current DEXes	Injective Protocol
Product Structure	Low demand fixed expiry futures	High demand perpetual swaps, etc
Asset Offering	Small selection of ERC-family crypto derivatives	Large selection of cryptos (BTC, XRP, ERC-family), stocks, prediction markets
Order Support	Limited to usually just market orders	Supports limit, market, stop orders, etc
Performance	Slow matching & cancels, race conditions	Fast matching & cancels, no race conditions

Advantages Over CEXes

Criteria	Current CEXes	Injective Protocol
Security	Poor custodial implementations susceptible to recurrent hacks and intrusions	Safe non-custodial solution is cryptographically secure
Accessible	Tedious KYC/regulations	Low barrier to entry
Costs	High transaction and other trading fees	Low transaction and other trading fees

THE REAL DEAL

Pantera Capital partner Paul Veradittakit said the investment firm led the round because of its belief that Injective is a strong contender for expanding decentralized finance beyond Ethereum's burgeoning platform. With this belief in such a young project, Capital helped fund a whooping $2.6M Seed Round for DEX Protocol Injective.Pantera Capital is an investment firm focused exclusively on ventures, tokens, and projects related to blockchain tech, digital currency, and crypto assets. Other contributors include Asia-based QCP Soteria, Axia8 Ventures and Boxone Ventures, Bitlink Capital and others participants like Binance Labs, StartX
Also the group of investors will also provide liquidity solutions for Injective and support its business developments and global brand recognition, according to the press release.
Official Partners
Injective Protocol has involved many industry big hitters into the project. Many of them include WOOTRADE, Krypital Group, CMS, BN Capital, Innovating Capital, Monolith Capital, Cosmos, Altonomy.

FINAL WORD
Come later this month, in a soon to be announced date, crypto trading future is going to be changed for good. The future is coming, and the exchange, as the forerunner of the digital age, is undergoing rapid and unprecedented development.

INJECTIVE PROTOCOL RESOURCES

About the Author
Joseph Johns is a successful Emergency Medicine Physician and an ardent cryptocurrency and Blockchain connoisseur
Bitcointalk Username: Kloppkop
Bitcointalk Profile: https://bitcointalk.org/index.php?action=profile;u=2809524