The 2019 Global Digital Economy Innovation Conference was successfully held on 1st July at the St. Regis Hotel in Shenzhen, China, hosted by the Global Digital Exchange Alliance (GDX Alliance), co-hosted by the World Federation of Free Trade Zones, sponsored by SATO Group, co-organized by World Blockchain Organization (WBO), KIROBO, GoldenWorld Foundation, SpringWind Community, and specially supported by the Freeport Area Of Bataan, Wizards Capital, EQI Bank, Huitong, Dingfeng, Rui Digital Exchange, Global Digital Currency Trading Exchange, Liantong Exchange, and MOONX.
Themed “Trade and Security in the Blockchain Era”, the conference invited experts in law, security, technology, cryptology, finance and economics from all around the world to discuss the current challenges of digital and crypto exchanges, sharing perspectives on the current trends in digital asset transaction security, and focusing on the adoption of digital assets into the future economy through technology advances.
Yehoshua Westover, Secretary General of the World Federation of Free Trade Zones (hereafter WFFTZ) and President of the Global Digital Exchange Alliance, gave the opening remarks. In his speech, Mr. Westover mentioned that the purpose of GDX Alliance was to create an open and free resource sharing platform for all exchanges in the context of globalization and the open policies of free trade zones, which are best suited to support experiment, development and implementation of digital business and regulatory practices as the world economy goes digital over the next decade. He stated that the establishment of GDX Alliance is part of the digital world trade platform (d-WTP) resource sharing platform, accelerating the expansion and coordination of blockchain friendly member communities and regulatory support, and is an important step in the free trade zone’s ecological development blueprint. It is also an important step in the networked operation of GoldenWorld (GDW) as the world’s first gold based public chain and stable settlement solution for digital decentralized free trade. Mr. Westover predicted a new economic renaissance as world trade goes digital through technological advances.
Edward Jacobson, the Chief Operating Officer of GDX Alliance next addressed the forum. He compared the development of the internet to the development of blockchain and cryptocurrencies, noting that just like many of the predictions made about the internet did not come true – such as the end of books, newspapers and bricks and mortar stores, likewise many of the early predictions around blockchain would not come true – such as the end of paper money and the fiat banking system. Rather, he said, cryptocurrencies would radically change how we store and transfer value, and that cryptocurrency would become intertwined with the current fiat banking system, not spell the end of it. He pointed out that cryptocurrencies are a nascent technology, with a market capitalization of merely $350 billion USD, compared to the US financial market, which is valued at over $7 Trillion USD, and that does not include real estate or the bond market.
He went on to predict that the market would see growth in the next year based on a few factors that will work together to create a virtuous circle of growth. Regulation would increase, as various regulatory bodies across the globe catch up to the space and start issuing more guidance and increase regulation. That, in turn, would encourage more institutional money, which until now has largely sat on the side-lines, to invest in the space. Finally, as adoption grows, and more people start using crypto in their daily lives, that would further contribute to growth.
After the opening remarks, GDX Alliance was formally launched in a countdown ceremony.
At the subsequent signing and authorization ceremony, Mr. Westover awarded the title“WFFTZ Global Director Status”to GDX Alliance, which was received by William Sun, the Vice President of GDX Alliance.
In his speech Mr. Sun introduced GDX Alliance and its future plans. He stated that the significance of GDX Alliance would be to assist exchanges in solving crucial problems commonplace to digital asset trading. He pointed out that the common problems in the current crypto exchanges include: excessive competition, unfriendly banking and constantly evolving regulatory environments, lack of liquidity, lack of blockchain talents, security and technology gaps, ineffective marketing and a lack of truly innovative and high-value projects. GDX Alliance will help its members solve these pain points. GDX Alliance is a membership-based non-profit organization, enabling exchanges to work together to create an industry wide consortium that pools resources while improving and promoting industry standards and practices with both governments and traders.
The next guest who spoke at the event was Admiral Amado Sanglay from the Philippines. He represented GICC, a subsidiary of the Freeport Area of Bataan (FAB), a member of the World Federation of Free Trade Zones. He signed a strategic cooperation agreement with GDX Alliance for issuing blockchain business licenses including digital asset trading licenses in the FAB. Satox.ltd is the first company to receive this license, followed by many other blockchain industries from Japan, Korea, China, and many other countries. Admiral Sanglay stated that digital globalization has great development significance. FAB has a carefully selected elite team of engineers, together with the GDX Alliance, which is a win-win and resource sharing cooperation, will jointly make the Bataan area to Asia’s first blockchain smart city and eventually a global blockchain. hub.
Subsequently, GoldenWorld, KIROBO, and Bahrain Enze Agriculture Forestry Technology also signed strategic cooperation contracts with GDX Alliance.
Trevor Wesley, CEO of GoldenWorld (GDW) digital gold assets platform, introduced the founding purpose of the premier gold public chain. He mentioned that GDW uses the DPOS consensus mechanism to ensure transaction security, while it is also stable because it is built on a gold public chain ecosystem, with 1:1 gold backed tokens as side chains. Technically, GoldenWorld can trade at 1000 transactions per second, making it fast enough to scale worldwide. Wesley also said that the GDX Alliance members will be provided with services such as audited gold tokens and open sourcing, providing investors with more options for asset allocation. GDW’s first gold token, GDT will be launched in the upcoming months.
KIROBO is one of only 50 most innovative companies worldwide to win a competition held by the Israel Innovation Authority and to receive an Israeli government grant. Only two of the 50 companies receiving this prestigious award were blockchain technologies. KIROBO Cofounder and CEO Asaf Naim said that in the context of continual threats to digital asset security, KIROBO combines the advantages of bank custodian services and blockchain systems to provide customers with full control of their own asset. The low-cost, tamper-proof decentralized ledger using blockchain technology puts users in convenient and secure control of their digital assets, protecting assets from loss, hardware or software malfunction, kidnapping and robbery, death, and other security risks in the digital age. KIROBO is developing an exchange security solution based on this technology for GDX Alliance which will pioneer the future of safe digital asset exchange.
Wang Yanbin, the chairman of the Enze Agriculture and Forestry Technology of Bahrain Right Banner, proposed that“nature is the real treasure,”using new technologies to promote reforestation and green ecology, while reversing desertification, “integrating resources and wisdom.” After becoming a strategic partner of GDX Alliance, it will create a dual ecology of finance and environmental protection.
The theme of the panel session was“Future Trends in Digital Exchanges,” hosted by GDX Alliance COO Edward Jacobson, with Fred Egbuedike, the information security advisor of GDX Alliance, Matt De Souza, the liquidity advisor of GDX Alliance, Stephen Browne, the marketing advisor of GDX Alliance, Joshua Galloway, public relations advisor of GDX Alliance, Chris Holland, legal regulatory and compliance advisor of GDX Alliance, and 6X CEO Vanessa Koh as guest of the panel.
During the panel discussion, Edward Jacobson emphasized the concept of “blockchain technology applied to mainstream industries” as well as a vision for “businesses and e-commerce adopting blockchain technology to bring digital currency seamlessly to the front line of the retail industry”. To this end GDX Alliance will provide alliance members with the benefits of resource sharing.
Fred Egbuedike said that the security of the cryptocurrency platforms has a lot of room for improvement, and solution to human error of the DPOS mechanism is proposed. He also emphasized that the exchange alliance is the perfect interface for keeping up with the rapid innovation cycles that are characteristic of the industry. By collectively filtering relevant tech, exchanges can focus on what matters; running their exchange.
Matt De Souza stated that the Alliance can provide a shared liquidity pool in which member exchanges can draw from to help build their order books in a more consistent manner, providing deeper liquidity and creating a better user experience for their traders. This will help exchanges to retain their brand identity and compete for the larger players. He also sees this as an opportunity to bring a framework of technology standards to the space. Currently there is a degree of variance in exchange API standards for instance. Some are very limited and don’t have all the correct components that professional traders need. The Alliance is building a framework with contributions coming from all the members to elevate standards, enhancing the experience for professional and institutional clients.
Chris Holland mentioned that the exchange alliance will benefit members because the alliance will have the advantage of economies of scale to tackle regulatory issues, as opposed to each exchange addressing these matters separately. Josh Galloway stated that the Alliance will be introducing a program for finding, vetting and listing quality projects on member exchanges.
The launch of the 2019 Global Digital Economy Innovation Conference is not only the first glance of the GDX Alliance, but also a demonstration of the strong integration of GDX Alliance will have with many partners. In the future, GDX Alliance will work together with hundreds of cryptoexchanges to create a platform for value exchange and shared resources between exchanges to promote liquidity on member exchanges and contribute to the growth and success of member exchanges.