Please describe your proposed solution.
There are arguably currently no large Centralized Exchanges providing a marketplace of several CNTs due to the fact many exchanges rely on 3rd party solutions to offer Cardano and these solutions have not yet implemented full capability for CNTs. NBX has an advantage here in that we already have our own in-house Cardano solution tech stack so we are able to customize our solutions to the requirements CNTs will have for AML as well as integration with our market-making engine. We would like to engage with the Catalyst treasury as we have seen both DEXs and Wallets getting approval for funding and hope that covering our costs for developing a CNT marketplace to expand our Cardano product on the exchange and believe this is something that is also beneficial to the Cardano Ecosystem.
Another part of the problem is that exchanges are hesitant to take on projects with lower trade volumes and associated costs of market making and AML. We at Norwegian Block Exchange believe this is a market that will flourish over time and would like to facilitate early market-making for 5 CNT projects currently planned for the initial listing of the marketplace: BOOK, IAG, NEWM, NMKR, WMT with trading pair of USDC for each and to have them available for atleast a year after the launch and more than likely longer if there is any trade volume in the trading pairs. We believe by doing this we would be helping pave the way for future CNTs to have an easier time getting listed across exchanges globally once there is demonstrable data that there is a market for these CNTs.
Note that we say currently planned in case any of the token projects we have reached out to object to such a listing we would prefer to collaborate with token projects that want to be listed on our exchange for marketing and collaborative purposes. In case of any objection, we will find a replacement token and will list 5 tokens for the initial CNT marketplace. Also note NBX reserves the right to withdraw a CNT from the marketplace in case it is no longer in compliance with regulations NBX is subject to as an exchange marketplace, however, we do not foresee this to be a problem from our initial due diligence on the projects.
There are many interesting CNT projects to choose from and our keyword for the first batch of CNTs we would list is the potential for disruptive change. We have long been fans of World Mobile and what they are trying to achieve in the telecom industry. We believe that Book.io can be just as disruptive in the book publishing industry and that NEWM could potentially be as disruptive for the music industry, while IAG could be as disruptive to the storage provider industry with its GDPR compliance and intelligent market, and finally, NMKR could be just as disruptive in lowering the barriers to entry for new entrants into the NFT marketplace on Cardano with all the potential that could have for the future.
By utilizing our own tech stack and already existing Cardano product, we should be able to integrate CNTs quickly both in terms of technical implementation, but also in terms of legal compliance and market-making functions and with this enhance our Cardano product further. We are available for customers in 190 countries (for more info see <https://nbxsupport.zendesk.com/hc/en-us/articles/360047722852-Is-NBX-available-in-my-country->) and we believe our CNT marketplace could be utilized by many of the Cardano community.
Finally, we believe there are Cardano ecosystem users who would like more fiat on/off ramps for CNTs and to be able to convert CNTs into fiat and fiat to CNTs on one single platform such as ours and with practical features such as a report that can be used imported to tax overview services such as <https://www.kryptosekken.no/> and with an overview of all trades done by the customer on the platform.