Investing in Serum (SRM) – Everything You Need to Know

]

Serum (SRM) is a decentralized derivatives exchange (DEX), cryptocurrency, and DeFi ecosystem built on the Solana blockchain. The protocol streamlines DEX creation and DeFi adoption through its unique market strategy. Serum users can create dynamic and highly responsive DEXs using a host of developer resources and more. Here’s what you need to know about Serum (SRM) and why it continues to see growing adoption from developers and users.

History of the Serum (SRM)

The Serum whitepaper was officially published in July 2020. The following month, the developers demonstrated their innovative nature by simultaneously hosting two initial exchange offerings (IEOs) for the project. These events were held on FTX and BitMax and both concluded successfully.

What Advances Does Serum (SRM) Offer?

Serum alters the concept of DEXs by introducing more flexibility into the equation. Developers can create DEXs with in-depth CEX-like (centralized exchange) features. Features like stop orders and limit orders are regular options for CEXs but are not yet available for most DEX users.

This integration brings the convenience of centralized exchanges to DeFi. It also helps to reduce the technical barriers associated with jumping from CEXs to DEXs, such as no orderbook. By making the migration more familiar, more users can make the switch to a DEX without anxiety and confusion.

Scalability

The Serum Derivatives DEX was built to provide faster transaction settlement times than the competition. The developers have clocked the network at 65,000 tps (transactions per second). This tps-rate is more than double that of major payment processors such as VISA and MasterCard.

Developers can build hyper-fast DEXs with more responsiveness using Serum. The network also supports the integration of other popular DeFi options via the Solana blockchain. Together, these protocols improve the traditional DEX layout considerably.

Low Costs

The technical structure of Serum enables it to provide lower fees than Proof-of-Work networks like Bitcoin or Ethereum. Additionally, users can transfer any amount of value globally in seconds for pennies using the protocol. The current network transaction cost is 0.00001. This low fee structure makes Serum a smart choice for complex Dapps and other computationally heavy systems.

Cross-chain trading

Serum supports cross-chain trading as well. Cross-chain trades are cheaper and more secure than trading through a third party like a custodial exchange. Serum users enjoy a permissionless and transparent cross-network trading experience using Serum.

Deflationary

Another cool feature of Serum is its deflationary tactics. The network takes 80% of all DEX fees and puts them towards an aggressive buy and burn strategy. Buy and burns are increasing in popularity because each purchase improves market value and the burning aspect helps to fight inflation which is a major concern for DeFi networks.

Serum (SRM) Inner Workings

Serum utilizes advanced smart contracts to remove all human intervention from the core processes of the system. The network empowers developers through support and community initiatives. Users can save on their trades and promote DeFi adoption when they join the Serum ecosystem.

Solana blockchain

The Solana blockchain is the backbone of the network. It provides Serum with a huge advantage over Ethereum-based exchanges. The network provides more scalability with 400ms block times and is smart contract programmable. This high performance enables Solana to scale up to meet the needs of the global DeFi economy.

Serum (SRM) Staking Nodes

Anyone can join Serum and become a staking node, but you will need to meet some token requirements before you qualify. Specifically, you need to hold at least 10,000,000 SRM and one MegaSerum. Staking nodes are responsible for multiple tasks on the network. Primarily, they supply blockchain histories for cross-chain settlement validation. For their efforts, they receive rewards based on their performance.

On-chain Order Books

One of the most advanced features provided by Serum is the ability to integrate full limit order books into DEXs. These order books are more familiar to traditional traders and those migrating from large CEXs like Binance or Coinbase. Serum DEX users gain options like the ability to sort coins based on price, size, and trade direction.

SRM

The Serum token (SRM) is an SPL token that lives on the Solana blockchain. Interestingly, SRM is also cross-listed on the Ethereum blockchain as an ERC-20 token. SRM serves a vital role in the operations of Serum. Users can send value, pay fees, and participate in the governance processes of the platform using this token.

Notably, the developers have placed a hard cap on the project of 10 billion tokens. The initial supply was 1 billion SRM tokens and there are 50 million tokens in circulation currently. The remaining tokens are slated for delayed-release via a timed liquidity lock. Uniquely, Serum’s developers chose to keep 91.25% of all tokens in long-term unlocking periods to ensure decentralization as the project progresses.

MegaSerum (MSRM)

The MegaSerum concept is another innovative addition to the network. Users can lock 1,000,000 SRM together to create 1 MSRM. This scarce asset provides increased utility to the ecosystem. Notably, you can redeem 1 MSRM for 1,000,000 at any time.

Serum (SRM) Governance

SRM stakers gain entrance into the network’s voting system. These votes determine the direction of the platform moving forwards. Users can put forth proposals regarding yields, buy and burns, grants, or other alterations. This strategy ensures that the network remains community-led and prevents centralization. Additionally, it gives the community direct control over all the revenues generated by the platform.

The Serum Foundation

The Serum Foundation is a non-profit developed to help further the goals of the network. This group consists of FTX, Alameda Research, and the Solana Foundation. Together, the Serum Foundation seeks out exciting new projects and developments that can improve Serum’s reach.

How to Buy Serum (SRM)

Binance – Best for Australia, Canada, Singapore, UK, and most of the world. USA residents are prohibited from buying SRM. Use Discount Code: EE59L0QP for 10% cashback off all trading fees.

Gate.io – This is the best exchange for USA residents.

Serum (SRM) – Blurring the Line Between DEXs and CEXs

The developer behind the Serum concept recognized early on that DEXs would need to start to provide more features if they wanted to compete with the large exchanges dominating the market. They managed to create a happy medium that both expands the programmability of these platforms and improves their responsiveness. For these reasons, Serum is positioned wisely in the market.

How to Buy Serum (SRM) • DEX Token • Benzinga Crypto

]

Want to jump straight to the answer? You can buy Serum on Binance and FTX Exchange.

Serum $11.47 Buy Serum MOON BUST

Before jumping right into how to buy Serum, take a deeper look into what it really is, its history, and what the project is all about.

What is SRM?

SRM is a utility token used on Serum, a decentralized exchange, also known as a DEX. Serum is built on the Solana blockchain and is cross-listed as an ERC-20 token on Ethereum. Its purpose is to offer decentralized finance (DeFi) with fast transactions at a low cost while remaining completely transparent and trustless. While most DEXs run on automated market makers, Serum runs on an on-chain central limit order book.

Serum is unique because it is a cross-chain swap protocol that allows users to exchange assets between blockchains in a trustless manner. The Solana blockchain that Serum is built on is a layer-1 blockchain with all of the security and simplicity that would be expected from a layer-1 protocol. However, it offers the speed and scalability of a layer-2 blockchain. This is what allows Serum to offer sub-second trading at only $0.00001 per transaction.

Serum was co-founded by Sam Bankman-Fried, who is also the founder of the FTX cryptocurrency derivatives exchange and co-founder of Alameda Research.

Brief History of Serum

The Serum Foundation was created through an alliance between FTX, Alameda Research and the Solana Foundation. In July 2020, the Serum whitepaper was published with the plan to create a DEX without the problems of existing DEXs such as insufficient cross-chain support and lack of order books in automated market makers.

In a relatively short time, Serum has established itself as a big player in the crypto industry. It launched in August 2020 with 2 initial exchange offerings. One was on FTX and the other was on BitMax. They sold their SRM token for $0.11 per token and within 15 hours it was trading at 15 times that amount. Together, the 2 exchanges sold 6 million SRM tokens raising $660,000 USD.

At the time of writing, the token is priced at $6.49, and while it has been going down recently, as a whole the token has increased in value steadily. It hit an all-time high on May 23, 2021, reaching nearly $13 per token.

How to Buy Serum

Overall, it’s pretty impressive. So, now you’re probably ready to learn how to buy Serum yourself. Most of the experts look at Serum as a long-term investment, so keep that in mind when you plan your purchase.

Open an online account. Your first step to buy Serum is to open an account on an exchange. There are several to choose from, but your best options are Binance or FTX.

Opening an account is fairly simple. Just go to the registration page, enter your email address and create a strong password. After this is done, you should receive an email containing a code to verify your account.

Once your account is verified, if you haven’t already, you should enable two-factor identification (2FA) to ensure extra security for your account. You will also have to go through Know Your Customer (KYC) which is required to prove that you are who you say you are. To do this, you will have to submit identification.

This is typically a picture of your driver’s license (front and back), your passport, your social security number or another document that the exchange will request. Usually, this process is fairly quick, and once it’s complete, you can make your first purchase! Buy a wallet (optional). A wallet is usually recommended if you’re going to own any kind of cryptocurrency and keep it safe. While this is considered an optional step, you should look at it as extra security for your assets. Keeping your crypto on an exchange means it’s vulnerable to hackers, outages and other potential problems.

A hardware wallet is always the safest option because it’s connected to the internet. Because of this, it’s impossible to hack into and have your crypto stolen.

Software wallets are connected to the internet through your phone or computer. This makes them more convenient because your crypto is easily accessible at any time. However, it is also more vulnerable to attack, so keep this in mind when making a choice. Make your purchase. Your best bet for buying SRM is Binance or one of the other exchanges listed above. Set up your account on the chosen exchange, link your bank account and add funds to that account to make your purchase.

Now, just find SRM on the market page and make your purchase! Pretty simple, right?

Cryptocurrency Wallets For Serum

Best hardware wallet: Ledger

A hardware wallet is usually your best choice for holding onto crypto long-term, which is what most buyers of SRM do. Ledger is arguably the top hardware wallet you can get. It’s so good that Serum lists it on their wallet support page.

Best software wallet: SOL

Serum itself recommends the SOL wallet because it is designed to work with assets that are Solana-based. Other recommendations from Serum include Math Wallet and Coin98 wallet.

Step 3: Make your purchase.

Your best bet for buying SRM is Binance or one of the other exchanges listed above. Set up your account on the chosen exchange, link your bank account and add funds to that account to make your purchase.

Now, just find SRM on the market page and make your purchase! Pretty simple, right?

Bonus Section: Serum has a 5-part “roadmap” that, at the time of writing, is on Phase 3. Watch the page for Phase 4 and get ready to see where it’s going next!

Trade, Sell or Convert your SRM

Most experts agree that your best option with SRM is not to sell, but to hold it long term. If you still want to sell, it’s a fairly simple process. Just log in to the exchange you prefer to use, transfer your SRM to that exchange and place a sell order for the amount of SRM that you want to sell.

Converting your SRM works similarly. Instead of placing a sell order, you can convert it into another cryptocurrency. Typically, you will see a list of currencies that you can convert your SRM into. Choose the one you want and push the button.

Current Crypto Prices

The prices of cryptocurrencies go up and down all the time, no matter if it’s Bitcoin or altcoins. It’s always best to look at the big picture. Instead of looking at prices that have dropped over the week or month, look at what they’ve done over the last year, or since they launched.

Serum is a perfect example of a token that has shown a recent drop, but the big picture shows steady growth since it first became available.

Is Serum a Good Investment?

Experts seem to think Serum is a good long-term investment, with some predictions calling for more than a 400% increase over the next 5 years. That sounds like a pretty good return on investment.

If you’re looking for fast returns, SRM isn’t a quick pump and dump coin, but if you’re willing to hold for the long term, Serum may be worth adding to your portfolio.

Ethereum Competitor Solana (SOL) Rallies Over 40% To New All-Time High, Transaction Volumes Top 24B

]

What Happened: High-speed blockchain Solana (CRYPTO: SOL) saw its native token surge by more than 41% to a new all-time high of $64.48 today.

Extending a week-long rally that saw its price appreciate by more than 56%, SOL recorded a 472.48% uptick in daily trading volume, which exceeded $3.9 billion at the time of writing.

The hybrid blockchain is often referred to as ‘Ethereum (CRYPTO: ETH) killer’ because of its incredibly short processing times.

This content is not available due to your privacy preferences. Update your settings here to see it.

As one crypto trader pointed out, Solana processes about as many transactions in a month as Ethereum has in its entire history.

follow us