Voyager Crypto Trading App Launches to Compete with Robinhood
Uber co-founder Oscar Salazar and the former E*Trade CEO have partnered to launch Voyager, a crypto trading mobile application.
It’s official, Robinhood, the no-fee trading app has a competitor in town.
According to the announcement published July 25, Uber co-founder Oscar Salazar and the former E*Trade CEO have partnered to launch Voyager, a crypto trading mobile application.
Voyager is a new multi-exchange crypto asset brokerage that will be launched in Q4 2018. Just like Robinhood, the new mobile trading app will offer commission-free crypto trading markets.
Voyager launch plans
The founders of Voyager say they have plans to offer no-fee trading for at least 15 different cryptocurrencies, directly competing with the hitherto dominant Robinhood.
The fifteen crypto assets will include leading coins Bitcoin, Ethereum and a host of others from the top of the market.
The offering puts Voyager in direct competition with currently popular Robinhood, which offers zero-fee trading for 5 crypto assets in Bitcoin, Bitcoin Cash, Ethereum, Litecoin, and Dogecoin.
Apart from the 15 cryptocurrencies, it is also reported that Voyager is intended to provide users with a single point of access from where they can efficiently and securely be able to manage every crypto asset they trade.
The Voyager Mobile App will also feature several other functionalities that will likely endear it to investors.
For instance, it will offer instant account opening, with a user able to fund their account using fiat and other cryptocurrencies. There will also be no minimums involved, a challenge that faces new investors on some exchanges.
It will also have smart order routing, achieved “through the optimal mix of exchanges based on market conditions”. On top of that, the intuitive interface with advanced tools tailored for better trading experiences, researching ideas, and tracking investments.
Big opportunity, massive market
Voyager CEO Stephen Ehrlich commented on the reason for the app, saying:
“We saw an opportunity to build a dynamic smart order router that can take advantage of the marketplace and also offer customers no commissions”
On the question of how to make up for no trading fees, the Voyager team hopes to be able to get revenue “by beating the average price of the coins at the point in time we execute the trade.”
Voyager also plans to offer market prices from about 10 cryptocurrency exchanges. It will do so simultaneously for all the available exchanges, in addition to other three market makers.
With these incentives, the company also hopes to entice liquidity with better price offerings that traders will likely not find on any single exchange.
“Sometimes you go to trade on a certain exchange, but there’s no liquidity there,” Ehrlich said.
To deal with that, the mobile app will function as a multi-exchange platform which will help in aggregating and unifying an ecosystem that is largely fragmented.
In the end, they believe it will allow retail investors access to faster trade execution and provide a chance to profit from attractive pricing.
In terms of security and safety of investor funds, Voyager states on its website that it will provide offline storage and advanced fraud protection features.
It also leans on the fact that it is offering and government-regulated processes which enhance asset security and personal information safety
We’ve already mentioned Oscar Salazar and Stephen Ehrlich. Salazar is the leading tech advisor for Voyager as well as being a top investor in the company.
Ehrlich is the CEO. Others on the list of co-founders are Gaspard de Dreuzy, who is the start-up’s Chief Product Officer and Philip Eytan, one of the early investors in Uber and Voyager’s Board Chairman.
U.S. States that have licensed Voyager
At the moment, the Voyager app is being prepared for beta testing, and expectation is that it will be ready for release as a mobile trading app somewhere around the end of October or beginning of November 2018.
So far, US States that have licensed the start-up include:
- New Hampshire;
- Missouri; and
It has been noted that the company also has an application with the state of New York pending. New York requires the famous BitLicense as a requirement for all companies looking to offer crypto services to New York residence.
BitPay, a major crypto payment processor, was recently granted a BitLicense as previously reported.
According to the company, it is hoped that the app’s services will eventually be available in about 40 US States.
Voyager plans to roll out institutional solutions
The company has also indicated that there are plans to roll out additional functionalities that will cater for hedge funds and other institutional investors.
Also in place are developments intended to provide cryptocurrency news and analysis. The aim is to help investors who use the mobile app access the latest information regarding trading decisions.
It’s no doubt that Robinhood has an upper hand at the moment, having launched its zero-fee trades earlier in the year.
It had the lofty ambitions of taking the game to US-based top crypto exchange Coinbase. However, now it may have to contend with competition from the new Voyager app.
CEO Ehrlich believes his company has a chance to penetrate and impact the crypto market. He says that they don’t think cryptocurrency has really been adopted on a large scale in the United States.
According to him, the market is extremely large and there are opportunities for both retail and institutional investors.
The main goal for Voyager then is to help the crypto industry grow, as well as help the general public become more savvy and knowledgeable when dealing with crypto assets.
“Our goal is to become a trusted agent and guide users through the new world of cryptos. So we created an open architecture platform that is fully scalable to deliver a simple and intuitive user interface,” said Oscar Salazar
The entry of Voyager is just one aspect that reflects a rapid growth in the crypto industry. It will be interesting to see how the competition works in favor of the investor.