The Liechtenstein Cryptoasset Exchange

11 min readJan 15, 2021

No one can deny it is a great time to be in the crypto right now. After one of the longest crypto winters in the industry, the whole crypto market began its long-awaited recovery. Bitcoin is leading the charge, with the digital asset seemingly achieving new all-time highs on a daily basis. In fact, the whole cryptocurrency market is so bullish right now that it has surpassed the highest total market capitalization of late 2017 and early 2018 with over 1 Trillion USD in total market cap.

What makes this current bull market different from its 2017/2018 predecessor is the fact that smart money is the primary catalyst of this market bull cycle. While it is not a guarantee that it will sustain its momentum it can be a more resilient bull market compared to 2017/2018 which was primarily led by inexperienced and overhyped-up retail investors. The brutal correction that ensued, lasting three years, weeded out the weaker blockchain projects. Only the strongest, most determined, and dedicated projects survived the onslaught.

One of these projects is the Liechtenstein Cryptoasset Exchange (LCX). The primary goal of Liechtenstein is to become one of the world’s first licensed, supervised, and regulated security token exchanges for digital assets. The exchange is a regulated trading venue offering a range of products and services which gives digital asset holders access to a sophisticated suite of tools that enable them to fully leverage blockchain technology and other innovations in the financial sector.

Liechtenstein Cryptoasset Exchange Company

LCX is a financial technology company (FinTech) that focuses on the tokenization of assets, security token offerings, and advanced trading tools for digital assets. The company is headquartered in the European country Liechtenstein, a small German-speaking country situated between Switzerland and Austria. Liechtenstein is one of the rising stars in the blockchain industry especially in Europe with a more progressive policy towards blockchain adoption.

To achieve its goal the company developed several products which include a cryptocurrency exchange, digital asset trading terminal, DeFi Terminal, and STO Launchpad. All of which are fully compliant and adheres to the regulations administered in the jurisdictions they operate. These products were designed and built from the ground up striking a perfect balance of delivering innovative and yet fully regulated and compliant products that leverages the nascent technology.

Products and Services of LCX

LCX Exchange

LCX is first and foremost a trading venue, where digital asset holders can buy and sell their cryptocurrencies in a fully compliant environment. The exchange operates in compliance with the existing blockchain regulations of Liechtenstein and in accordance with the regulatory approval the company received in 2020. The LCX exchange has a comprehensive crypto compliance suite which serves as a testament to its commitment to maintaining its status as a fully compliant bourse.

The exchange currently supports four cryptocurrencies — Bitcoin (BTC), Ethereum (ETH), USD Coin (USDC), and $LCX. Bitcoin and Ethereum are two of the largest crypto assets by market capitalization and are widely supported in most if not all cryptocurrency exchanges. USD Coin is a fully regulated stablecoin and the second-largest stablecoin pegged on the US dollar by market capitalization. LCX Token is the company’s very own utility token which we will further discuss later in this article.

More cryptocurrencies will be listed in exchange in the near future. The limited markets might put-off to some traders who are looking into more options to buy and sell cryptocurrencies, however, limited trading pairs are to be expected especially in a regulated trading environment. Nonetheless, more trading pairs will be added in the future. Traders who want more flexibility may use the LCX terminal which brings us to the next LCX product on the company’s list.

LCX Terminal

LCX Terminal brings together real-time and full historical data of all major cryptocurrency markets, news, social analytics, and trading signals. It features powerful analytics, smart order routing, and trading execution capabilities — all on one interface. This powerful interface enables traders to maximize trading opportunities in 16 leading crypto exchanges with more than 5249 trading pairs. It is a multi-exchange crypto trading platform where traders can trade on all major crypto exchanges within a single interface.

The trading terminal supports the following crypto exchanges — Kucoin, Binance, Bittrex, Bitfinex, Coinbase Pro, OKex, Poloniex, Kraken, Liquid, Gemini, Huobi Global, HitBTC, Gate.io, Digifinex, Bitmex, and Upbit. It gives traders access to sophisticated trading tools that allows them to leverage trading opportunities in different trading platforms all at once in a single, easy to use trading interface. It solves the problem most professional crypto traders have — trading in far too many exchanges, making trading more complex than it should be.

With a single interface for trading, it simplifies portfolio analysis, profit-loss reports, and tax reports creation. This means traders will have the ability to monitor, control, and analyze their entire crypto portfolio in one place. Allowing traders to trade across exchanges, customize market data, faster order execution, real-time and historical profit, and loss and get professional customer service support from LCX. The LCX Terminal is a complete asset management solution for professional investors.

LCX Security Token Offering Launchpad

Another exciting product of LCX is its LCX STO Launchpad. It provides a one-stop tokenization platform to automate fundraising and investor management of tokenized assets. The LCX STO Launchpad is said to be the most advanced and fully compliant platform for any token sale, regardless of whether a project is issuing a utility token or security tokens. This was made possible by combining LCXs proprietary technology with a legal tool kit from its external partners to hasten STO processes and reduce overall cost.

Unlike most digital asset launchpads which usually focuses on Utility Tokens Offering, LCX from the very beginning categorized their launchpad to serve dual functions of launching both utility tokens and security tokens under the purview of a regulatory body. This takes away the legal gray area some projects may encounter later on its life cycle. More importantly, it mitigates the risk of investors unwittingly investing in securities that might have some legal impediments in the future.

Tokenized securities refer to the digitization of certain benefits from assets or potentially represent a share or financial rights of an individual to receive benefits and proceeds when the tokenized assets are sold. Tokenized securities can be stocks, bonds, equities, investor shares, contractual rights, insurance, and other assets that can be deemed securities. One of the benefits of tokenized securities is making these assets liquid which are typically illiquid.

LCX DeFi Terminal

The year 2020 was arguably the year for Decentralized Finance or widely known as DeFi, the common parlance for a particular market segment that focuses on creating an alternative financial market where the masses can gain access to innovative financial instruments without relying on intermediaries. These instruments include decentralized exchanges (DEX), decentralized lending, decentralized derivatives, decentralized payments networks, and decentralized asset issuance.

The resounding success of Defi projects such as Uniswap, Maker, Aave, and Compound continues to get the attention of many investors who are willing to take the risk and lockup their digital assets to provide liquidity or lend them in the various DeFi pools. Many of these DeFi projects bootstrap their initiatives through token sales in Uniswap which emerged as the go-to DEX when launching DeFi tokens. However, the overly simple design of the DEX with no charting tools, indicators, or order books makes it too rudimentary for seasoned traders.

LCX DeFi Terminal seeks to change this by providing a decentralized trading platform for Uniswap with super fast markets data, beautiful charting, tradingview integration, and DeFi indicators such as liquidity and volume. The DeFi Terminal will give traders, especially those who rely on technical analysis with the essential tools required to analyze price movements of the crypto market. Moreover, the LCX DeFi protocol built within the DeFi terminal will allow limit order execution on Uniswap listed digital assets through a second layer blockchain protocol implementation.

Other Products and services

The cryptocurrency industry is a highly dynamic market with many competing projects churning out innovative financial products on a daily. The most successful businesses in the industry are agile companies that are able to adapt to the ever-evolving crypto industry. This is why LCX will continue to innovate in the space developing new products and services that will bring more value to its platform. Leveraging its new licenses LCX are developing the LCX Vault for custody solutions and LCX Price Oracle for regulated reference price services.

Unique Selling Propositions (USPs) of LCX

Key to the success of any new blockchain-based project is its unique selling proposition which allows it to stand out among the thousands of projects in the market today. One glaring attribute of LCX is its firm belief that legal compliance is the key to growing digital finance in the long term. This echoes the sentiments of many blockchain luminaries in the crypto industry who believe regulation and compliance are required before mass adoption can occur. This intense focus on making sure that LCX operates within legal boundaries without stifling innovation makes LCX a league of its own.

In 2018 LCX AG was granted a business license from the Liechtenstein Ministry of Economic Affairs to conduct business in Liechtenstein. Since then the LCX management and development began building LCX from the ground up inching towards its goal of becoming a fully compliant trading venue. These efforts culminated when LCX.com was granted 8-crypto related licenses in Liechtenstein which allowed the company to offer the broadest scope of blockchain services under license Nr. 288159.

These licenses include (Note: TT or “Trustworthy Technology” was used as a generic term to denote blockchain or any distributed ledger technology DLT):

TT Exchange Service provider
TT Token Depositary
TT Key Depositary
TT Price Service Provider
TT Identity Service Providers
Token Generator
Token Issuer on its own
Token Issuer on behalf of clients

The long list of licenses allows LCX to offer its clients novel and fully compliant products and services that are just not available in other platforms or jurisdictions. Being in a European country with a clear regulatory environment towards blockchain-based products and services puts them in a very strong position to lead the digital asset revolution in Europe as well in other territories. In addition, LCX is also a member of the World Economic Forum C4IR and had been named Blockchain Pioneer by the Blockchain Research Institute.

LCX Utility Token

$LCX Token

$LCX is the utility token issued in the Ethereum blockchain by LCX AG. It is the native token that serves as currency within its platform. It is primarily used to pay for all fees associated with the services offered by the LCX AG. It can be used to pay trading fees at LCX exchange, fees for LCX terminal subscription, fees for custodial solutions in LCX vault, and other associated fees within the LCX ecosystem. By using LCX tokens to pay fees users will avail themselves of exclusive discount rates as well as exclusive access to features only available for LCX token holders.

Utility and Benefits of holding LCX Token

There are a variety of benefits for using LCX tokens to pay off fees associated with the LCX platform. Using LCX tokens to pay trading fees in the LCX Exchange can reduce the cost reduction of up to 50%. Token holders will also be able to maximize the use of the LCX DeFi Terminals by enabling them full access to all the features of the terminal including usage of LCX’s second layer DeFi protocol that will allow limit orders on Uniswap. LCX also can be used to pay for the pro services of the LCX terminal also at discounted rates.

LCX tokens can also be used to pay for LCX vault and other crypto custody solutions. It can also be used to pay fees in relation to LCX’s regulated reference price services which they provide as a regulated Price Service Provider. Token sale participants can also use LCX to pay fees during token sales events hosted or powered by LCX technology. In short LCX token holders can expect lower rates when paying with LCX tokens.

LCX Token Facts and Figures

Token Name: LCX Token

Ticker Symbol: LCX

Total Token Supply: 900M (originally 950M but 50M was burnt).

Token Smart Contract: 0x037a54aab062628c9bbae1fdb1583c195585fe41

Token Category: Utility token within the LCX Ecosystem

Token Type: ERC-20 Ethereum blockchain

DEX: Uniswap, IDEX, Bamboo Relay, 1inch, Paraswap

CEX: Bilaxy, Liquid, HitBTC, Probit, fatBTC and BitUBU, Vindax,

Bidesk, Hotbit, LCX Exchange

Where can traders purchase LCX Tokens?

Interested buyers of LCX tokens will be happy to know that there are several venues where they can purchase LCX tokens. The highest trading volume with the least amount of slippage at the time of this writing is the decentralized exchange Uniswap. However, due to the high cost of GAS in the Ethereum network, it might not be the most cost-efficient choice especially for those who will be purchasing small amounts of LCX tokens. The same goes for all other decentralized exchanges. If a decentralized exchange is the only option, then buyers or sellers will just have to wait for a less congested ethereum network.

Of course, there is always the option of buying LCX tokens on centralized exchanges such as LCX exchange itself, Bilaxy, and Hotbit. At the time of this writing among all the exchanges, Bilaxy posts the highest volume but has a spread of more than 11%. Hotbit on the other hand has only a spread of 3.75% making it a better choice if liquidity is available. Buyers can also use the LCX exchange itself to buy the utility token there. This will lessen the expense of having to send it from another wallet or exchange.

Final Thoughts on LCX

If you are in the market for a high potential project that has the potential to grow exponentially during this forthcoming 2021 Altcoin season then LCX should definitely be on your radar. While it has not yet achieved parabolic gains similar to other crypto assets, especially those in the DeFi sector, many are special types of DeFi traders called DeGen traders have identified LCX as one of those projects whose utility tokens can experience massive gains in the near future.

Overall LCX seems to be gaining momentum just in time for the next bull market. The approval of the 8 different licenses in Liechtenstein serves as the icing on the cake for this hidden gem that has been awaiting its moment to shine. To further accelerate the awareness about the LCX platform, LCX AG launched a massive bounty with 1 Million tokens at stake with over 500+ participants guaranteed to win something during the bounty contest.

Truly it is a great time to be in crypto, this is especially true if we are holdings bags of digital assets that can be life-changing during this bull cycle. No one can predict the future but with due diligence, we can easily mitigate the risk of investing in useless digital assets that might not have any value in the future. Looking at the LCX ecosystem it is not hard to see the immense potential of the project and from what we have seen so far LCX tokens have all the makings of a digital asset that changes financial life forever.