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Counos Decentralized Exchange (DEX) [Sponsored]

By May 20, 2020 No Comments

Counos OÜ decentralized exchange is a peer to peer and community-based decentralized exchange that allows its users to exchange cryptocurrencies in a safe and secure environment with no risk of fraud. Using the services offered by Counos DEX, users can exchange their digital assets (cryptocurrencies) to other cryptocurrencies or even to fiat money. Counos DEX is managed and operated by Counos OÜ, which is a Company registered in the country of Estonia (EU Zone) and has acquired all the necessary permits and licenses for operation. 

In order to exchange Crypto with Crypto in Counos DEX, users ARE NOT REQUIRED to have KYC. But in order to exchange crypto with fiat money, users MUST have KYC. It is required in three stages: 

  1. Individual or company information 
  2. Phone number 
  3. Banking information, followed by uploading these documents: driving license, passport, ID card, selfie (visual ID in the form of a face image plus you should be holding a paper with the date,, your first name, last name, and date of birth written on it), and a bank statement that includes your full name, your residence address, and bank account info. 

It should be stated that all these steps are there to protect the security of users and to prevent any fraud and scam from happening so that users can buy and sell in an environment that is completely safe with no risk or threats. 

Counos Decentralized Exchange, through the implementation of the Blockchain technology and cryptocurrencies, has created an environment for users so that each person and company can act as an exchange and complete any financial deal, buying and selling, money transfer, exchanging cryptocurrencies with fiat money without the presence of middlemen and with no risk of fraud or scam. 

To guarantee security for its users, Counos Dex cryptocurrency exchange has some features, which are explained as follows: 

First, the Counos Decentralized Exchange is registered in the European Union and has acquired all the necessary permits and licenses for operation, with offices and legal entities. 

The second point is that the assets of users are not kept by the exchange or other individuals. Simply, a wallet address is created in the escrow system acting as an intermediary account called a MultiSig wallet (a multi-signature wallet) with three distinct private keys, one key for the buyer, one key for the seller, and one key for the escrow agent. The Cryptocurrency in this wallet can only be accessed with at least two private keys, thus guaranteeing that no party can access the assets alone. 

What Is a MultiSig Wallet?

In order for people to complete deals with each other, especially users who are strangers and want to start a contract, a MultiSig wallet is used to provide security and prevent any fraud in the Counos Decentralized Exchange. The MultiSig wallet, used to store the assets of a contract’s parties, has three private keys, and the three parties involved, buyer, seller, and the escrow agent, all have one. The assets cannot be accessed unless with at least two private keys.

How Does Buying and Selling Take Place in Counos DEX?

For instance if you want to exchange crypto with fiat money, then you can register your request by looking for the right market for you, which is made up of your cryptocurrency and the fiat money you want to receive. Then, the system will give you the best markets suited for your need and after you submit the request, the exchange will ask you, the seller, to send the cryptocurrency to the MultiSig wallet, but it does not mean that the buyer will receive the crypto, because two private keys are needed to access the assets in a MultiSig wallet. 

It should be said that in Counos DEX, there are three legal escrow agents which are as follows: a legal firm with an official attorney at law registered in EU, an official attorney at law registered in Switzerland, and also the agent from the Counos Decentralized Exchange who has the official license for providing the wallet and exchange. Each agent has its own determined fees, and people can choose between them. 

The agent in charge of a contract has one of the three private keys to the MultiSig wallet, and so guarantees that the assets in the MultiSig wallet cannot be accessed unless the buyer and the seller are happy with the result of the contract. 

After the cryptocurrency is transferred to the MultiSig wallet, then the buyer has to make the payment and upload the scanned receipt of the payment. Parties have 10 hours to make their payments and upload the receipt to be approved, after that, if the payment is not made, then each side of the contract can make a complaint. Then, the escrow agent will review the documents and see who is right. Since the assets in a MultiSig wallet are accessed with two signatures, then the escrow agent can release the assets to the party who is the winner of the dispute and has does his part right. In this way, there is no possibility of fraud and no possibility of sustaining a loss. 

The above example was for an exchange of cryptocurrency with fiat money, but another type of exchange that is very usual is the exchange between Crypto to Crypto. In such exchanges, users don’t need to have KYC. In this type of transaction, the parties to the contract have first one place order has 45 hours to deposit the cryptocurrency to the MultiSig wallet, and the other one 10 hours after then the exchange will take place quickly and easily, otherwise, transaction is going to be canceled. 

It is noteworthy to say that the Counos Decentralized Exchange allows users to engage in trades wherever they are, regardless of geographical and legal limitations. The aim of Counos Decentralized Exchange is that each person can act as an exchange and engage in financial transfers through buying and selling cryptocurrencies from anywhere in the world with no limitations.