Vena Network is developing a decentralized network for all forms of p2p trade. Such a network can have a particularly beneficial impact on debt and OTC trading markets as the interactions these markets incorporate are forced to a higher expense by middlemen.
Read on to learn about this project’s strengths.
Vena Network Business Analysis
Strength
Vena Network is emerging from the blockchain space and naturally, its earliest participators will be blockchain and cryptocurrency enthusiasts. This particular demographic is highly involved in trading, especially OTC trading.
Vena Network gives the blockchain community a tangible benefit in something they are constantly involved with. Currently, OTC trading involves a high scale of trust and thus not only are scams a common occurrence, but also most people who want to partake in an OTC trade simply do not do so. Makeshift escrows offer minor remorse as the fees can often be crippling for small-scale traders.
A project that aims to change the construct of the financial markets has a challenging hike to fulfill. And any platform must retain a good community engagement and growing user base to survive; this is particularly true for start-ups. Vena Network's strength lies in the fact that it provides a much-needed benefit to the Crypto community, a demographic that also happens to be adjusted to blockchain developments and will easily grasp the details needed to use Vena Network.
While OTC trading markets may be dwarfed by the scale and value of the debt markets, Vena Network's ability to target an interaction that is so centric to the community is a powerful strength. Being able to offer reduced costs and benefits of trustless engagement will play a crucial role in acquiring an early user base.
Weakness
While OTC markets may be easy to penetrate, the full-scale of Vena's value offering involves delving into the traditional financial markets. This brings up the challenge of competing against established institutions. The juggernauts of the financial industry are going to put up a strong resistance against any service that aims to dethrone their market share.
However, there is enough proof that the blockchain adoption rate is gaining steam. Vena Network can ride this trend and take it as an opporuntunity toshowcase to the masses the people it has.
Opportunity
The financial sector is a vast market in which both people and institutions participate. Many people's lives and many businesses' operations are twined with some form of interaction or product that cores on the financial market.
However, this sector is ripe for disruption. In the trade of financial services, middlemen stand advantaged simply by connecting market providers and market receivers. The blockchain can ensure that the trillions of dollars that flow through the debt markets, OTC trades, and other interactions that can be handled in a p2p transaction are done so securely without the mediation of third parties.
Vena Network brings this benefit to the financial sector in a feasible manner.
Additionally, the underlying protocol mends security solutions to p2p interactions in a format that is agile enough to not be limited to one form of service. Thus, Vena holds benefits for both the Crypto community and the professionals in the traditional financial market(s).
Wrap-Up: Vena Network’s is targeting the massive financial sector and its protocol facilitates the development of enough types of services that it can target the sector as a whole. Additionally, its ability to secure OTC trading can help it quickly acquire an additional userbase (from the Crypto community), and this is a powerful competitive edge as start-ups often struggle to build their initial userbase.
Official resources:
Website - http://vena.network/en
White paper - http://whitepaper-en.vena.network/
Telegram - https://t.me/vena_network
Facebook - https://www.facebook.com/Vena-Network-207271413455484/
Twitter - https://twitter.com/VenaProtocol
Github - https://github.com/venanetwork
Published by :jackbangor91
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