How to buy, sell and trade Loopring

Loopring is a decentralized exchange and open protocol on the Ethereum blockchain. It’s designed to provide traders and institutions with a decentralized, automated trade execution system that implements trades across crypto exchanges, ensuring protection from counterparty risk and reducing the cost of trading.

The LRC token is the native token of the Loopring system, so let’s take a closer look at what these tokens are used for and how you can buy LRC in the US.

Where can I buy LRC?

You can buy and sell LRC on a wide range of popular cryptocurrency exchanges, including:

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Changelly Crypto-to-Crypto Exchange		Credit card,Debit card	USD, EUR, GBP, AUD, CAD, CHF, HKD, JPY, PHP, ZAR & 30+ more	146 cryptocurrencies	Access competitive crypto-to-crypto exchange rates for 150+ cryptocurrencies on this global exchange.	View details	Compare	loading Fetching your data...
YoBit Cryptocurrency Exchange		AdvCash,Cryptocurrency,Payeer,Perfect Money,Capitalist	USD, RUB	1427 cryptocurrencies	Pay in USD, RUB or trade crypto to crypto at this Russian-based cryptocurrency exchange with hundreds of coins listed.	View details	Compare	loading Fetching your data...
Huobi Cryptocurrency Exchange		Cryptocurrency	GBP, USD, AUD, EUR, INR, BRL, KHR, CAD,CNY, NZD & 15+ more	290 cryptocurrencies	Huobi is a digital currency exchange that allows its users to trade more than 190 cryptocurrency pairs.	View details	Compare	loading Fetching your data...
IDEX Cryptocurrency Exchange		Cryptocurrency	-	257 cryptocurrencies	A decentralised cryptocurrency exchange where you can trade over 250 ERC20 tokens.	View details	Compare	loading Fetching your data...
Bitit Cryptocurrency Marketplace		Cash,Credit card,Debit card,Neosurf,Bank transfer (SEPA)	EUR, USD, JPY, DKK, GBP, SEK, NOK, TRY & 5+ more	50 cryptocurrencies	Buy cryptocurrency with cash or credit card and get express delivery in as little as 10 minutes.	View details	Compare	loading Fetching your data...

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How to buy LRC

If you want to buy LRC, this is how to do it:

Step 1. Create an account on a cryptocurrency exchange that allows you to trade LRC

Do your research to find an exchange that offers LRC in the currency pairing you want to trade, then sign up for an account with that exchange online. You’ll need to provide your name and email address to register, and to comply with Know Your Customer laws, some exchanges will require further contact details and proof of ID before you can begin trading.

It’s also recommended that you set up two-factor authentication on your account for added security.

Step 2. Deposit funds into your account

At the time of writing, there was no crypto exchange that allowed you to exchange US dollars (USD) for LRC directly, so you’ll need to own or buy a popular currency, such as Bitcoin (BTC) or Ethereum (ETH), before you can acquire any LRC.

To deposit funds, log in to your account and click on the “Deposit” link. Enter the amount you want to deposit and generate a wallet address to transfer your chosen crypto from another exchange or your own wallet into your account.

Step 3. Buy LRC

Now it’s time to exchange your chosen crypto for LRC. The steps you’ll need to complete to do this may vary slightly between exchanges, but you’ll generally need to search for your desired pairing (such as ETH/LRC) and click on “Buy LRC”.

You can then enter the amount of LRC you want to buy and, if you’re happy with the transaction details and total cost, confirm your purchase.

How to sell LRC

If or when you decide to sell your LRC, you can do so via your chosen crypto exchange. You’ll essentially need to follow the same process as in step 3 above but with the obvious difference that you’ll be looking to sell rather than buy. You should also be aware that exchanges don’t offer every possible crypto pairing, so you may not be able to directly exchange LRC for the currency you want.

LRC wallets

Storing cryptocurrency on an exchange for any length of time is not recommended, so you should consider transferring your LRC to a wallet. LRC is an ERC20 token on the Ethereum blockchain, so you’ll need to store your LRC in an Ethereum-friendly wallet. Examples of suitable wallets include:

• MyEtherWallet
• Jaxx
• Ethereum Wallet
• Ledger Nano S
• TREZOR

How Loopring works

The main aim of Loopring is to solve the problems associated with centralized cryptocurrency exchanges. Despite the fact that cryptocurrencies are designed to be decentralized, most people still buy, sell and trade cryptos on centralized platforms. Not only does this expose us to an increased risk of fraud and a lack of transparency, it also means higher transaction fees and, in recent times, inconvenience as several exchanges have struggled to keep pace with rising demand.

Loopring is a decentralized exchange protocol, but not a decentralized exchange as such, for ERC20 tokens. By acting as an automated trading interface between crypto exchanges and blockchains, its role is to implement a user’s trades across the world’s crypto exchanges, providing protection against counterparty risk and reducing trading costs.

The Loopring system allows traders to retain control of their tokens rather than sending them to an exchange, with smart contracts used to automatically execute trades while the funds remain under your control. Loopring is designed to break each order into small pieces, identify the best exchanges and times to trade those pieces, and apply game theory logic to produce the best trading results.

Ethereum is the first public blockchain to be supported by Loopring, but the protocol is designed to be blockchain-agnostic, so other blockchains with smart contract capability could also be supported in the future.

The Loopring concept was first developed in 2016, and its white paper was published in May 2017. An ICO took place in August 2017 and raised $45 million in funds.

What to consider when buying LRC

Cryptocurrencies are complex, speculative and risky, so you’ll need to thoroughly research any coin before you decide to buy. If you’re thinking of buying LRC, make sure you take the following factors into account:

• Supply. According to CoinMarketCap at the time of writing (1/25/18), there was a circulating supply of 561,169,913 LRC out of a total supply of 1,374,956,857 LRC.
• Use. LRC tokens function in a similar way to Ethereum’s gas. It will be used to pay transaction fees, reward miners and pay for other service fees. LRC holders also enjoy discounted trading fees and can vote on important matters in the protocol.
• Decentralization. Bitcoin and other cryptos were established so that people could trade units of value without having to trust a centralized authority like a bank. Most of today’s crypto exchanges are still centralized, exposing users to the risk of fraud and hacking, so a move towards the decentralization of exchanges does seem like a logical next step.
• Growth. Initially only for ERC20 tokens on the Ethereum blockchain, the Loopring protocol is blockchain-agnostic. This means it can potentially support other blockchains with smart contract capability, such as NEO, Qtum and EOS, in the future.
• Future developments. For details of future developments and upgrades to Loopring, check out the Roadmap on the Loopring website. While you’re there, download the white paper for a detailed explanation of how the protocol and LRC tokens work.
• Competition. You’ll also need to consider the market competition Loopring may face, not only from the more traditional centralized exchanges but also from projects such as KyberNetwork and 0x.