Seattle-based cryptocurrency exchange Bittrex is joining a group of high-profile blockchain companies that are trying to build a cohesive crypto environment that’s less technically challenging and easier to use. They’re developing a universal protocol to effectively streamline the fragmented ecosystem that’s made up of different blockchains.
The Universal Protocol Platform enables a global reserve of tokens that can connect different blockchain technologies, allowing users to access all cryptocurrencies on a single network.
The blockchain coalition, comprised of Brave, Blockchain at Berkeley, Cred, Uphold and FBG Capital, aims to make cryptocurrencies more practical and convenient to own.
Says Bittrex founder Bill Shihara,
“The blockchain industry needs technology that can build trust and transparency.”
Since digital assets like Bitcoin and Ethereum exist on separate blockchain platforms and can’t interact with one another, stifling interoperability and collaborative efforts among the two sets of developers, the platform will introduce proxy tokens to represent their underlying asset.
In addition to proxy tokens, the platform enables recovery of private keys, which is not possible on other blockchain networks, making it easier for crypto users to regain access to their digital assets.
“The UP Platform solves real usability and familiarity problems faced by the next 100 million users of digital assets.”
The development presents opportunities to make blockchain more user-friendly and boost mainstream adoption of cryptocurrencies.
Uphold co-founder and president of the UP Alliance JP Thieriot explains,
“The early days of the internet were very similar to the world of blockchain today, with many different technology platforms fragmented and incapable of communicating with one other.”
“We believe that the Universal Protocol Platform is a technology that has the potential to connect blockchain technologies, much like the breakthrough of the TCP and IP protocols that drove the internet towards mass adoption.”
The road to legitimacy in the cryptosphere requires solidarity. As the markets mature and as blockchain visionaries battle an extended bear market, uncertain regulations, security breaches and a steady drumbeat of skepticism from traditional economists and people who don’t see any upside, more and more blockchain companies are banding together.
The goal is to share resources and databases, thwart detractors and design winning tactics and compelling strategies to reach mainstream adoption.
Four cryptocurrency exchanges in South Korean just launched a new initiative to combat anti-money laundering activities and other forms of market manipulation. Last year, several exchanges, including Bittrex and Gemini, formed the Virtual Commodity Association Working Group, a self-regulatory body to improve standards and consumer protections.