Company Profile

 

Goldcoin is a brand of Bit Singapore Exchange, a Singapore company, with registration number 201727630E, and a member company of Singapore Cryptocurrency and Blockchain Industry Association (ACCESS). With rich experience in financial product development and operation, led by professionals with an international perspective, it focuses on providing reliable digital asset financial services to global digital assets and spot gold traders. Currently, it mainly promotes digital asset products and services such as Biyin Wallet APP and CoinsDo Digital Asset Payment System.

Goldcoin enables developers, liquidity providers and traders to participate in a financial trading market open to everyone. Goldcoin is a unique trading platform headquartered in Singapore that allows users to trade spot gold and tokens without any middlemen. The Goldcoin protocol is a peer-to-peer system for trading spot gold and cryptocurrencies on the Ethereum blockchain. The Goldcoin protocol is defined by immutable, persistent, non-upgradeable smart contracts running on Ethereum. It is designed to conduct transactions without relying on any trusted intermediaries that may selectively restrict access. The Goldcoin protocol is designed to be censorship-resistant, secure and self-regulatory.

Because of these design principles, the Goldcoin protocol will operate with 100% uptime in perpetuity as long as the Ethereum network continues to function properly.

Most public markets use a central limit order book where buyers and sellers create orders at price levels that are filled over time as demand changes. Anyone who has traded through a brokerage firm will be familiar with the order book system.

 

The Goldcoin protocol takes a different approach, using an automated market maker (AMM) (sometimes called a constant function market maker) instead of an order book.

At a very high level, an AMM replaces the buy and sell orders in an order book market with a liquidity pool of two assets, both of which are valued relative to each other. When one asset is traded against the other, the relative price of the two assets changes, determining a new market price for both. In this dynamic, the buyer or seller transacts directly with a mining pool, rather than with a specific order left by another party. An increasing number of parties are actively researching the pros and cons of automated market makers versus their traditional order book counterparts. We have collected some notable examples on our research page.

 

 

 

 

The Goldcoin ecosystem includes three types of users

 

 

Liquidity Provider (LP): An individual or entity that contributes ERC-20 tokens to a public liquidity pool.

 

Trader: A person or entity that exchanges one token for another.

 

Developer: An individual or entity that integrates with the Goldcoin Protocol smart contracts to provide exciting new experiences.

 

Overall, the interaction between these categories forms a positive feedback loop that drives the digital economy by defining a common language by which tokens can be pooled, traded, and used.

 

 

Liquidity Provider

 

 

Liquidity providers or LPs provide ERC-20 tokens to Goldcoin liquidity pools. Large pools facilitate a large number of trades at more favorable prices than small pools. Therefore, LPs play a very important role in providing liquidity to traders. In return, LPs will earn a fee of 0.30% from each trade in the pool, which is distributed proportionally to the LPs in the pool.

 

 

LPs are not a homogeneous group

 

 

Passive LPs are token holders who wish to passively invest their assets to accumulate transaction fees.

 

Professional LPs use market making as their main strategy and usually develop customized tools and methods to track the liquidity status of different DeFi projects.

 

Token projects sometimes choose to become LPs in order to create a liquid market for their tokens. This makes it easier to buy and sell tokens and unlocks interoperability with other DeFi projects through the Goldcoin Protocol.

Finally, some DeFi pioneers are exploring complex liquidity provision interactions such as incentivized liquidity, liquidity as collateral, and other experimental strategies. The Goldcoin Protocol is well suited for projects trying out these ideas.
 

 

There are several types of traders in the Trader Protocol ecosystem

 

 

Speculators use a variety of community-built tools and products to exchange tokens using liquidity extracted from the Goldcoin protocol.

 

Arbitrage bots compare prices on different platforms to find an edge and thus profit. (While it may seem far-fetched, these bots actually help balance prices in the broader Ethereum market and keep it fair.)

 

Dapp users purchase tokens through the Goldcoin protocol to be used later in other applications on Ethereum.

 

Smart contracts execute transactions on the protocol by implementing exchange functionality, ranging from products such as DEX aggregators to custom Solidity scripts.

 

In all cases, transactions are subject to the same protocol transaction fee. Each fee is important to improve price accuracy and incentivize liquidity.

 

 

 

 

Developer

 

 

Developers build applications and services on top of the Goldcoin protocol. There are too many such protocols in the Ethereum ecosystem, but some examples include:

 

Since the Goldcoin Protocol and Goldcoin App are completely open source, countless developers have launched their own front-ends to interact with the Goldcoin Protocol. You can find Goldcoin functionality on most major DeFi dashboard projects. There are also many community-built tools for the Goldcoin Protocol.

 

Wallets often have exchange and liquidity provision functionality as the core of their product.

 

The Goldcoin (decentralized exchange) aggregator sources liquidity from many liquidity protocols, providing traders with the best prices but keeping trades separate. The Goldcoin protocol is the largest decentralized source of liquidity for these projects.

 

Smart contract developers are inventing new DeFi tools and various other experimental ideas using the suite of functions available. Check out projects like Unisocks or Zora and many others.

 

Many members of the Goldcoin ecosystem play more than one role. You can be a liquidity provider, a trader, and a developer all at the same time!

 

Your wallet is the application that lets you interact with Ethereum. The main difference between the Goldcoin protocol and centralized crypto services is who controls your wallet - in other words, custody.

 

Most centralized crypto services offer custodial wallets that store your private keys on your behalf. Typically, the company protects your wallet with a username and password, but in the event of a hack or data breach, your assets could be at risk.

 

Decentralized applications (dapps), on the other hand, are non-custodial: you have full ownership, title, and responsibility for your private keys and assets. Wallets come in many types, from browser extensions to mobile apps to USB-like hardware.

 

 

 

 

There are three main types of wallets:

 

 

Hardware wallet: A physical device that stores private keys offline. This type of wallet is considered the most secure. Examples include Ledger and Trezor.

 

Web Wallets: Self-hosted wallets allow you to interact with your Ethereum account through a web browser. For example, you can download MetaMask as a browser plugin and create a wallet to store Ether and other ERC-20 tokens.

 

Smart Contract Wallets: These wallets exist as programs on the blockchain rather than providing public and private key pairs to users, and are usually associated with specific applications. Examples include InstaDapp’s DeFi Smart Accounts, Argent, Dharma, Gnosis Safe, etc.

 

Goldcoin is an extremely fast, liquid, private, non-custodial trading portal built on Ethereum, leveraging StarkWare's layer 2 scaling technology (ZK-Rollup/Validium). Goldcoin offers high-speed API and UI access to some of the industry's deepest order books, can process over 9,000 trades per second, privacy by default, competitive fees, withdrawal certainty, meaning you always have full control over your traded assets, and can get in and out quickly. There is virtually no counterparty risk.

 

Goldcoin is a blockchain project used to build an encrypted asset trading application ecosystem. It uses the blockchain's own trustless mechanism, tamper-proof, information transparency, shared supervision and traceability to provide cross-border financial institutions and individuals with a new generation of value conversion platform that is cross-border, cross-regional, cross-asset, safe, efficient and low-cost.

 

Goldcoin's block data is stored in a chain structure, and all blocks have a pointer reference to the previous block to ensure that the data is not tampered with. Goldcoin uses the sha256 function to hash the data, the ecc asymmetric encryption algorithm for identity authentication, the Aes encryption algorithm to encrypt the private key, and the Merkle number to verify and store transactions.

 

Goldcoin uses Niosocket for node interaction and uses the DNS method and the built-in program method to load seed nodes. All nodes will perform self-checks after startup. The public network nodes will actively report their IP and port to the network, and other nodes will verify the reported information. If the verification is successful, all nodes will store the IP address and port of the available nodes locally, and connect directly next time without re-detection; if the verification fails multiple times (there will be rules, each detection will be triggered every 10 minutes, and when the number of failures exceeds 10 successful connections), the node may have been offline and will be deleted from the storage queue. When the number of connected nodes is too small, it will actively ask the connected nodes for more available nodes. Goldcoin realizes the interconnection between intranet nodes by punching holes, using the verified nodes as the connection bridge to help the nodes behind Nat shake hands and complete the connection.

 

At present, Goldcoin's second-layer contract layer is just a simple script code. The verification script of the anti-counterfeiting code and the redemption script of the consensus deposit are small second-layer contract modules. Goldcoin is positioned as a commercial application platform, so Goldcoin will adopt a different approach from other second-layer contract trading platforms to integrate and promote the public chain ecosystem. Goldcoin will recruit third-party teams to create more down-to-earth and practical application projects. The front-end audience is the general public, thereby accumulating a large number of users for Goldcoin. Goldcoin plans to develop a Turing-complete virtual machine in 2026 to provide greater flexibility, provided that Goldcoin has a certain large user base. Prior to this, Goldcoin's goals and directions were very clear.

 

 

 

 

Tax Disclaimer

 

 

Goldcoin does not provide tax or investment advice. Depending on the regulatory policies of the relevant jurisdiction, you may need to pay taxes when trading commodities and generating gains (or losses). The tax policies of digital currencies vary from jurisdiction to jurisdiction, so we strongly recommend that you contact your personal tax advisor for more information about your personal tax situation. It is your personal responsibility to choose the right jurisdiction to file your taxes. When you use the Goldcoin tax filing tool, you agree that Goldcoin will not promote/solicite you in any way. This tool is only used to facilitate users to file taxes.

 

 

 

 

Tax risk warning

 

 

There are huge risks in digital currency transactions. Please purchase with caution and pay attention to transaction risks.

Goldcoin will select high-quality currencies, but will not assume any responsibility for guarantees, compensation, etc. for any of your transactions!

 

 

Risk Warning and Disclaimer

 

 

This document is only used to convey information, and the content of the document is for reference only and does not constitute investment advice. The Goldcoin team will continue to make reasonable attempts. During the development process, the platform may be updated, including but not limited to the platform mechanism, tokens and their mechanisms, token distribution, etc. Part of the content of the document may be adjusted as the project progresses, and the team will release updated content to the public through the Help Center. Goldcoin explicitly states that the Goldcoin platform does not assume any responsibility for losses caused by participants' reliance on inaccurate information contained in this document and any actions resulting from this article. The Goldcoin platform clearly communicates the possible risks to participants, and once participants participate in the swap, they confirm that they have understood and recognized the terms in the rules.