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PS Coin Acquires New Domain Name To Promote Fair Trading

Last Updated March 4, 2021 4:44 PM
Lester Coleman
Last Updated March 4, 2021 4:44 PM

pscoin-logo-smBitcoin exchange PS Coin will soon change its Internet domain name to LZF.com as part of a rebranding to better reflect its mission. The mission is to incentivize trading in bitcoin markets correctly. Co-founder Daniel Pusateri told CCN.com that LZF.com stands for Laissez Faire, which means the free market, a market without government interference.

At present, LZF.com redirects users to pscoin.com. The replacement will become complete within the coming weeks.

Pusateri said his partner, Andrew Tepper, owned the LZF.com domain name and agreed to sell it to the company for $20,000 in equity. He said it was a good time to change the name since the company is in the process of moving its home state to New Mexico to finalize a banking relationship.

Pusateri said $20,000 is a good price for the new domain name, based on what prices other three letter domains have fetched.

Name reflects mission

“We have never been entirely ‘set’ on the name ‘PS Coin,’” he said. “However, instead of investing great time into coming up with something else, we have kept our focus on what really matters – engineering and launching the best product possible.”

“Laissez Faire means the free market,” Pusateri explained. “However, I more interpret that as a fair market, and that is one attribute of our algorithm which traditional markets do not share.”

Pusateri holds the view that high-frequency trading puts the average trader at a disadvantage. He is not the only person to hold this view.

Problems of high volume trading

The 2014 book “Flash Boys: A Wall Street Revolt” by Michael Lewis argues that high-frequency traders are rigging equity trading. The response to this charge is that the high volume of trades helps ensure the high-frequency trading firm makes money. A spokesman for one high volume trading firm in a recent Bloomberg News report said they use computerized strategies to buy and sell a broad range of equities.

When trading in high-frequency markets, regular traders are often manipulated by “bots” that probe the market for reactions from other “bots,” Pusateri said. The bots put out small orders and retract them constantly, so it creates a lot of volatility and illusionary depth.

“As an average Joe, you will never out trade or out smart predacious bots that are essentially waiting for you to place a healthy limit order. The entire purpose of bots in markets is to make money at the expense of everyone else.”

Also read: How to trade bitcoin

Royalties with orders

“When you place an order in our market, you pay 1 percent in royalty to the other orders of the opposite type (‘bids to asks’ and ‘asks to bids’) that already exist in the market and this is prorated based on how large the existing orders are and how close they are to the spread,” Pusateri said. As the order remains in the market, it accumulates royalties based on the two factors mentioned above. The account is credited the royalties the order accumulates when it executes.

“Our entire algorithm is a continuous method, so no order is treated any differently than another. Furthermore, one of the largest problems in traditional markets, high-frequency trading, becomes obsolete in our markets.”