Developer Update 1
March 24th, 2018
Hello everyone and welcome to the first developer update of the cross-blockchain exchange NebliDex. There is much to discuss but if you are familiar with the recently updated NebliDex
, it may be a repeat of some things.
Firstly, NebliDex just completed its successful token sale in which about 90 million tokens were distributed to 95 people. This distribution along
with the airdrop (which had about 103 participants) will help create the initial Critical Nodes on the network and these numbers do not include
those who buy tokens OTC (Over-The-Counter). Let's first discuss the significance of the tokens and what brings them value:
NDEX tokens are NTP1 tokens that run over the Neblio Blockchain. These tokens are used for various purposes on NebliDex. The most important purpose
they serve is to pay the Critical Nodes on the exchange for facilitating trades. Next, in order to become a Critical Node, a Trader Node must possess
at least 39,000 NDEX
in its account wallet. This is a fixed number. Thirdly, a Critical Node has a higher chance of being selected
for validation and earning NDEX by having more NDEX in its wallet. Because it is a lottery system, a Critical Node with the minimum amount of NDEX
can still be selected for validation as well. Now lets discuss what it means to be a Critical Node on the NebliDex platform:
Critical Nodes are nodes on the platform that serve as central points between traders. The NebliDex can function with only one node but it is designed
to work with many nodes. The benefit of the system is if one node goes down, there is another to take its place. This allows trading to continue
without downtime as there is always a node running. This is similar to what you would see while using a Neblio wallet. The goal is to have each person
run one Critical Node per IP address to support the Dex and aid in its decentralization. We want to keep the Critical Nodes independent of each other.
In order to have a protocol compliant Critical Node, a user must:
- Keep his/her computer running continuously.
- Have reliable internet connection and preferably very fast.
- Accept inbound connections at the listening port for new Trader Nodes.
- Keep the application open in Critical Node mode while validating transactions.
This process of transaction validation and broadcasting is automated and does not require user input. Upon platform launch, the initial fee for transaction
validation will be 10 NDEX
, 5 NDEX from seller and 5 NDEX from buyer. The Critical Node must receive this amount otherwise the trade will be
rejected. In the situation where a trader is buying NDEX, he/she doesn't have to contribute to the trade and the seller will cover the fee for the buyer.
A taker order request must be at least 1/100 the size of the original maker order amount.
To maintain consistent fees for the traders, the transaction fee will vary based on the NDEX/NEBL trade rate; however, the
maximum NDEX fee will be 100 NDEX
and the minimum will be 2 NDEX
The 10 NDEX initial fee is based on the rate of 0.005 NDEX per NEBL, so if the rate drops to 0.0005 NDEX per NEBL, the fee will go up
proportionally to 100 NDEX per trade. Conversely, if NDEX rate is 0.05 NDEX per NEBL, the fee will drop to 2 NDEX per trade hitting the minimum threshold.
If the price of NDEX exceeds the USD equivalent of $2.50 per NDEX, the Dev Team will consider using the liquidity fund to restore liquidity to the
As mentioned in the Whitepaper, custodial accounts are used to prevent double spend by either the maker or the taker of a trade. This custodial account will
be secured by a multisignature redeem script account that will require the Validation Node signature along with either the maker or the taker's signature as well. This
prevents the Validation Node from spending funds in the account if it becomes malicious. In addition, there will be a selection of other
Critical Nodes that will serve as auditors for the custodial account. They will also have the Validation Node's custodial account key so if the Validation Node goes down,
the maker or taker can safely retrieve the funds with the help of the Auditing Nodes.
A Look Ahead
Now that the token sale and airdrop are over, I can continue to work on the NebliDex platform. There is still work to be done building the platform beyond the user
interface that include:
- Connecting NebliDex to Electrum servers for Bitcoin, Litecoin and Neblio.
- Creating transactions to make payments from NebliDex Wallets.
- Connecting NebliDex clients to each other via a Trader/Critical Node model.
- Exchanging data between nodes on the platform including charts and order book.
- Creating trades between Trader Nodes via the use of Critical Nodes.
- Testing, testing, testing.
- Security Testing.
- Private beta testing.
The initial release is due out in Q3 of 2018 and I'm aiming to get it out early in the quarter. Once release is out, further post-release monitoring will be
carried out to find additional issues and fix them. Then the goal is to create a Linux version (that can run on Raspberry Pi) and MacOS version of NebliDex
which should be straightforward as I'm using cross-platform C# via Mono.
A Further Look Ahead
Funds obtained from the token sale will be held until NEBL increases to a sufficient value. The funds will be used to advance the interests of NebliDex,
including but not limited to finding a person to manage social media accounts, finding a person to oversee NTP1 token listing on NebliDex, finding a
person who has experience with UX and application design to give NebliDex a slick appearance, and finding a person with developer experience who can compliment my
work on NebliDex. Marketing is also planned once the platform is out on all 3 major operating systems.
A NTP1 Token Nexus
As mentioned above, NebliDex will be looking to list NTP1 tokens that have great use-cases and bring value to the Neblio community. Not every NTP1 token will be
listed on this platform; however, this will become a premier spot to trade your NTP1 tokens for NEBL and then other cryptocurrencies. Once the platform is live,
a token listing process will be created so that useful tokens can be vetted and added appropriately by NebliDex. Listing of tokens will probably occur in batches.
About The Developer
I'm not a traditional developer that went to school for Computer Science. I've been a hobbyist coder for over 17 years and have created software in various languages
throughout my life such C#, C++, BASIC, Java, Lua and PHP, ranging in fields such as games, Apps, AI and robotics, social media websites and APIs. I've been a
follower of cryptocurrency since 2013 but discovered Neblio in December of 2017 and loved the idea of developer friendly blockchain platform. Ever since I've
discovered it, I've wanted to support the Neblio ecosystem and NebliDex is an incarnation of that idea. NebliDex allows traders to trade without worrying that
their favorite centralized exchange will cease to exist one day and be locked out of trading Neblio. Please be on the lookout for a successful year