Lucent is a centralized cryptocurrency exchange that was founded in 2018 in the Philippines. The platform was called Cezex at its start but acquired a new name Lucent after it was rebranded.
The resource markets itself as the first licensed digital assets exchange platform. It supports asset-backed security tokens enabling tokenization and trading of any digital assets. The developers of the Lucent platform assure its customers that digital currencies are more durable, divisible, transferable, and fungible in comparison with their fiat counterparts. Their scarcity makes them a more reliable asset and the best store of value such as state-issued money subjected to inflation.
The platform was founded by a consortium that partners with the Philippine government. The project is developed within the frames of the Cagayan Economic Zone Authority known as the CEZA project. It was established to create the most competitive Fintech ecosystem in the Asia Pacific Region. This is a government-owned and controlled corporation and the first economic zone in the Philippines that hosted financial technology companies in the conditions of the emerging fintech industry. It was envisioned during its foundation that a special economic zone taking over 54 hectares of land in Cagayan Province, northern Luzon, will become a self-sustaining financial, industrial, commercial, tourism, and recreational center attracting local and foreign investments, improving the employment situation and economic growth of rural areas around the Freeport Zone.
The goals targeted by the Lucent exchange
When the platform started its work, CEZA announced its plans to expand its operation in the Hong Kong market starting from 2020. So, the launch of the first security token exchange contributed to the achievement of this goal. Asian investors welcomed the arrival of a new platform to the market as numerous investors were looking for a more secure crypto experience in this region. As the cryptocurrency exchange is located in Hong Kong it enables the team of the company to serve the Chinese investors who don’t reside on the mainland. It’s important as the official ban of ICOs in China that took place in 2017 is still active at the time of writing. In this connection, this is a great alternative for Chinese investors as well who look for additional investment opportunities.
The goal of the developers is to position the platform in the premier segment of the Asian market. The exchange can easily take this place as it is among the first security token platforms on the Asian market, which is an important part of the crypto industry and has long been at the frontline together with South Korea and Japan as the major crypto hubs in the region.
The company promises to provide a next-gen platform offering direct trading in digital assets for companies that can list asset-backed security tokens in a regulated marketplace and be sure that the market is protected by Lucent.
Lucent platform supports three main types of assets including derivatives, cryptocurrencies, and tokenized securities. In this way, it works with token issuance platforms, market makers, OTCs that can trade large volumes on the exchange, and sponsors that plan to bring their projects for listing on Lucent.
The team hosts both security and utility tokens. The first type of assets is suitable for use in digitizing traditional assets (bonds, stocks, commodities, real estate). Hosting a range of asset-backed tokens, the platform becomes a unique hub giving a more secure investment experience to investors. The use of blockchain technology helps to reduce the time of transactions and save time for investors who can spend several hours on transactions instead of days. This is also a more transparent investment option.
The platform additionally offers leverage trading. This option allows users to get a higher exposure towards a certain price increase or decrease of the asset even if you don’t have sufficient funds for that. Leveraging trades or, in other words, borrowing from the exchange users get the opportunity to bet and, consequently, earn more.
At the time of writing, Lucent offers 6 currencies and 7 trading pairs, including the most popular cryptocurrencies such as Bitcoin, Ethereum, Ripple, Litecoin, Tether, and USD Coin. The trading fees differ depending on the market and range from 0.2% to 0.35% for VIP customers (the traders with a trading volume of more than 5 million per month).
With Lucent, users can get access to a secure marketplace of tokenized digital assets. The resource represents the whole ecosystem and a harbor where users can create, store and transfer their digital assets in the conditions of regulated, licensed banks and a legal regulatory environment. In this way, apart from a fully-licensed legal background, the company offers its customers faster access to capital without extra expenditures.
The company follows the KYC-compliance policy, therefore asks its customers to upload an IP document, a photo, and an address document to prove the identity. The platform offers 3 levels of KYC verification starting with the beginning level for customers who can deposit cryptocurrencies only and can’t deposit fiat money. Such users can withdraw up to 1,000 USD worth of cryptocurrency daily. Higher levels of KYC allow all kinds of deposits but differ in the amount of withdrawn funds.
Lucent team and partnerships
There is an experienced team behind the platform that had previously worked over other fintech products. Its members have extensive experience in the creation and further management of such resources. For instance, they developed and supported a digital currency exchange platform and a digital wallet Koinhako, a digital assets investment bank Inbase Partners, a successful Cambodian derivatives operator PPDE, and a crypto crowdfunding platform Katalyse which is very popular in Asia. Some of these companies still continue to back the created platform. For instance, Katalyse.io has become an official token issuance partner, while the official Sponsor company is Inbase Partners.
The team is only licensed and regulated by the Cagayan Economic Zone Authority of the Philippines. The members of its team are located in Taiwan, Singapore, Vietnam, and Manila.
The exchange is cooperating with a licensed insured custodian Bitgo, Signature Bank, and Horangi cybersecurity company that audits the Lucent system to ensure its robustness.