Zenfuse founder targets June launch for one-click panic sell across exchanges

Ashton Addison: What is Zenfuse, and what problems is it solving for crypto traders?▶ 00:24

Yuriy Kovalev: Zenfuse is a trading platform that aggregates the major crypto exchanges with good liquidity. For now we support centralized exchanges. We plan to add decentralized ones once we find a good way to integrate them. Right now you can't work properly with decentralized exchanges, because we don't hold your keys and so can't execute trades on your behalf. The number one use case is the panic sell feature. The market is crashing, and many people want that button nearby. Say you have 20 coins across 10 exchanges. You press the button, sell everything to dollars and go to sleep. More broadly, Zenfuse is a gateway to trading. Managing more than one exchange is a huge pain. Rebalancing a portfolio can take a few hours. With Zenfuse it takes less than a minute, across all your exchanges, in a few clicks. Researching coins is slow too, because you have to check Telegram groups, GitHub, Medium and Twitter. We let you analyze all of that in a few clicks, see spikes in activity and compare them with price. About four months from now we're adding a social platform where people discuss prices and the fundamentals of coins. If you help the community, people can reward you with Zifu tokens, our cryptocurrency. We want to incentivize good content.

Ashton: Users connect their exchange APIs and trade everywhere from Zenfuse. How will you make execution faster?▶ 04:26

Yuriy: That's right. We want to put our service into the exchanges' data centers so trades execute even faster. The delay is currently about 50 to 100 milliseconds. Multiplied across millions of users it may grow, so it's better for us to be located in their data centers. I've talked to representatives of those exchanges and they agreed to it. The exchanges are interested because Zenfuse makes money for them. When people rebalance a portfolio they make more than 10 or 20 transactions in a second, which you can't do manually. You're making the exchanges 20 times more in fees than before. So exchanges should arguably pay us.

Ashton: Is Zenfuse built for advanced traders, or can beginners use it too?▶ 06:04

Yuriy: Our platform is meant to be used by everybody. If you're a new trader, it's actually better to start with Zenfuse. It's like kids learning to ride a bicycle with four wheels, and Zenfuse is the bicycle with four wheels.

Ashton: The waitlist is tens of thousands of people long. How did you build that kind of adoption so early?▶ 06:54

Yuriy: The growth was 100% organic. We never bought bots or did anything odd to inflate our numbers. The people subscribed to our Medium and Twitter are real. I don't know how we ended up with 36,000 people subscribed to the beta.

Ashton: When will the platform be released to the people on the waitlist?▶ 07:46

Yuriy: People who want beta access can message me on Instagram, Twitter or by email. The only reason the platform isn't open to everyone is that it's only 40 to 50 percent finished. It will be live in June. The worst case is July, but we're doing our best to ship in June. Imagine 35,000 people joining at once and being disappointed. Boom, we're dead. More than 150 people are testing the platform now in a closed Telegram group. They tell us which exchange isn't working and why, and they give us new ideas. We can't trade on all those exchanges at the same time to test it, so they do it for us for free, and we appreciate it a lot.

Ashton: What are the security risks on Zenfuse, and how are you protecting traders' funds and personal data?▶ 09:24

Yuriy: We do not hold any keys. All the keys are encrypted, so we can't execute anything on your behalf. We hired the best security analysts to find any bugs that might appear in the future. Even if someone hacked us, they wouldn't be able to execute your trades or learn your email. And if they somehow got hold of your encrypted private keys, it would take millions of years to decrypt them, as long as we use the best method of encryption. If someone decrypted a key after a million years, it would be a bit late.

Ashton: You worked with CertiK on an audit of your smart contract and token time lock. How did that go?▶ 10:57

Yuriy: We worked with CertiK to make sure our smart contract has zero bugs. We had some minor issues, like a letter that should be written differently. They don't affect the code or create security exploits. All the comments were implemented and all the changes were made. Our smart contract is safe, our platform is safe and our bridge is safe. We built a big bridge from Ethereum to Binance, and it was delayed by about a week only because we wanted to be sure it was safe. We could lose our reputation in a minute, so we have to be careful.

Ashton: What is the Zifu token used for, and where is the ecosystem heading?▶ 12:38

Yuriy: Once the platform is live, there are four main uses. First, if you hold a specific amount of tokens, the platform is free for you. Second, staking: the longer you hold the token, the more rewards you can claim. Third, the social network, where you can tip people to encourage better posts. Fourth, a marketplace, like an app store or a Shopify store. People will be able to create widgets and applications inside the Zenfuse ecosystem, for example an NFT marketplace that works with Zenfuse. We'd check each one for bugs before it goes in. Developers would save millions of dollars on marketing, because most are indie developers who just want to program. They could focus on the product. That happens next year, when we move to our own blockchain, which we're building in the background. It's going to be super fast and super cheap. We don't want to stay on Binance chain or Ethereum for long, because it's not in our control and it's not reliable. Ethereum fees are crazy, and Binance chain is centralized.