What is Loopring (LRC) crypto? Is it secure?

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What is Loopring (LRC) crypto? Is it secure?

Cryptocurrency
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Highlights

  • The Loopring protocol aims to create infrastructure and user-facing products in the financial space.
  • Built on the Ethereum blockchain, its protocol offers a low-fee, high-speed platform for trading crypto assets.
  • It makes use of the zkRollup protocol, which is considered one of the most secure scaling mechanisms across the industry.

On Wednesday, most of the major cryptocurrencies like Bitcoin, Ethereum, XRP, Cardano, Polkadot, etc., had shown a lackluster performance and were trading in the red. The global crypto market dropped by 0.74% in the last 24 hours and stood at US$2.13 trillion. Also, the total crypto market volume declined by 1.02% to US$118.80 billion.

However, few cryptos like Loopring are garnering attention. So, let us now understand what this crypto is all about.

Related Read: Stellar (XLM), XRP- 2 cheap cryptos under $1 grabbing eyeballs

cryptocurrency, Loopring, Ethereum blockchain

Source: © Alexanderushkevich | Megapixl.com

Know Loopring

Launched by Daniel Wang, Loopring is an open-source payment protocol running on Ethereum, which enables developers to build their own decentralised exchanges. Its in-house token is called LRC.

At the time of writing, the crypto was priced at US$1.26, down by 5.88% in the last 24 hours.

It focuses on creating an interconnected system of trading platforms wherein both buyers and sellers can access multiple platforms from a single dashboard, thus facilitating the faster and easier trading of cryptos.

Boasting high throughput, Loopring powers highly scalable decentralised exchanges without being impacted by Ethereum. Moreover, since a majority of its operations and transfer settlements are off the Ethereum blockchain, there is a significant reduction in the overall transaction cost and gas consumption.

In other words, the crypto's network offers a low-fee, high-speed platform for trading, swapping and payments without compromising Ethereum's security.

Do Read: How to buy Loopring (LRC) token?

Is its protocol secure?

According to its website, Loopring claims to deploy the first zkRollup protocol, a newer type of cryptography on Ethereum, which is perhaps the most secure scaling mechanism across the industry, wherein users can access their crypto assets in any situation and under all circumstances.

Interesting Read: What is SafeMoon crypto? What’s so unique about it?

Also, no other intermediary, be it a person or a company, can come in the way of users and their assets, and the protocol does not rely on external validators or makes use of crypto-economic assumptions, cites the official website.

Must Read: 6 tips to guide you with your first crypto investment

Bottom Line

Many new cryptocurrencies are emerging across the crypto market with unique and innovative characteristics; interested crypto investors must thoroughly research their whitepapers and must be vigilant while venturing into this alternate currency space.

 

Risk Disclosure: Trading in cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory, or political events. The laws that apply to crypto products (and how a particular crypto product is regulated) may change. Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading in the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed. Kalkine Media cannot and does not represent or guarantee that any of the information/data available here is accurate, reliable, current, complete or appropriate for your needs. Kalkine Media will not accept liability for any loss or damage as a result of your trading or your reliance on the information shared on this website.

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