The telecommunication (telecom) industry is on a fluctuating rollercoaster ride, majorly because of the significant rise in global travel and date consumption simultaneously. It is no secret that the telecoms are struggling to survive, especially in a world that is heavily influenced by likes of Google, Facebook and WeChat. The blockchain technology comes bearing just the solutions, the telecoms industry needs in today’s excessively globalized world. DENT is a virtual telecom company, worldwide marketplace, and currency for mobile data exchange.
Initially launched with the name Commando Coder Ltd, it was founded back in 2014. When the founder, Tero Katajainen took it upon himself to build a market system that was automated and had inbuilt risk management functions. In 2017, however, more founders came along to invest the company and joined forces to bring the DENT platform to the world.
How Does DENT Work?
DENT is an ERC-20 exchange, marketplace, and cryptocurrency for buying and selling mobile data, which is based on the Ethash mining algorithm. It is the DENT token that fuels the platform by posing as a digital commodity of mobile data that provides instant access across worldwide telecom carriers. DENT is composed of the following key elements:
International Data Marketplace
Users will have the opportunity to buy and sell data on a marketplace that is international, using their DENT tokens.
Despite the fact that DENT has been listed on exchange giants such as Binance, the DENT team has plans to launch their very own exchange. Owing to their native DENT token that provides substantial liquidity to operate and manage not only their own data market but also an exchange.
iOS and Android Supported Mobile App
The mobile app serves as the hub and the central interface to buy, sell, trade or donate mobile data packages; hence the team took a lucrative decision for it to be available on both, iOS and android. Furthermore, DENT tokens incentivize mobile app download and purchases.
In the build-up phase, users obtain DENT Tokens just for participating in the community, for demanding data liberation and bettering the way that the telcos do business with mobile data.
Components of the DENT Exchange
It is the DENT exchange that mainly contains the business logic. It will basically offers the opporutnity to integrate with 3rd party telcos as well as the Ethereum blockchain. The exchange comprises of the trading of instrument repository (data packages for mobile), managing and executing orders, and managing the participants in the market along with their portfolios.
The instrument repository basically holds the information regarding the data packages, which are available at the DENT exchange. This particular information is not stored in the blockchain rather it is metadata.
The price data, real-time bids and offer order book, are stored in a high-speed cache and is ultimately moved back to the mobile/web applications. This data comprises of the closing price of the trade, current highest bid and the lowest offer.
Any trader who is a part of the exchange will hold a portfolio of the owned packages. This portfolio management makes sure that the portfolio is updated in accordance to the executed trades and it also maintains a record of the trade history.
Market Maker Algorithms
This algorithm manages all the final offers and bid prices for the packages. And also manages the price spread, all the while controlling the market supply in accordance with the parameters that were set at the initial data offering.
It manages the offers and bids accepted from traders in the exchange. It also includes the management of risk along with portfolio management and it basically feeds the incoming orders in the already discussed market maker algorithms, for the final placement in the order book.
This component is responsible for matching offers and bids for the purpose of delivering the orders. Everytime an order is filled, the Ethereum smart contract steps in for the financial transaction, after which the fulfilled order can enter the portfolio.
DENT Exchange Parachain
The DENT exchange parachain functions as an escrow through the DENT exchange and in the Ethereum blockchain for the purpose of a much faster trades execution.
How Does Data Roaming Work With DENT?
When roaming, it is likely that a customer uses the network of another telco, other than their own. In scenarios as such, the telco operator of the customer will work on getting a request and will further be arranging for an offer, which will be placed in the DENT exchange. Then, like the peer-to-peer case, the offer and bid will be matched accordingly, thus fulfilling the order.
The DENT Team
You can read the whitepaper here.