The Lykke marketplace uses the distributed ledger, which is blockchain technology pioneered by Bitcoin.
This technology incorporates a protocol for decentralized data storage in the chain of blocks, where the consistency of the data is guaranteed by the cryptography and consensus of multiple nodes.
The blockchain makes it possible to create a global marketplace that will be a level playing field, where any financial asset can be traded directly for any other asset or instrument.
- It's decentralized. There is no central authority in the blockchain, so no one can manipulate the data or block the procedures.
- It's secure. The blockchain enables people who do not know each other to build a global notary service. The step-by-step procedure is a safeguard against fraud, and it reduces the risk associated with transactions.
- It's easily accessible. Everyone will be able to have free access to the marketplace from any location, just like with the Internet.
- It's peer-to-peer. There is no intermediary, transaction costs are low, and transactions are faster than in many existing systems.
- It supports direct ownership. Contracting parties can immediately have direct ownership, which reduces complexity.