For every user of the HollaEx Kit, there is a unique exchange slot number (ESN).
Because each ESN is unique and represents seniority in the HollaEx exchange network the ESN will be a way to leverage future liquidity sourcing amongst other exchanges in the network.
(Read more about the HollaEx lending market under 'Future Considerations' in our white paper).
Exchange lending markets within the network will require reputation backed by collateral and will be used to build trust and thus open credit lines amongst changes in the HollaEx network.
The ESN will be on metric to measure trustworthiness in the HollaEx exchange lending market.
As the ESN holds different values of collateral, with the first exchange slot requiring 500,000 XHT other exchanges on the network can have some certainty of the exchange's solvency before lending/borrowing.
|Exchange Slot Number||Required Collateral (XHT)|
ESN's are claimed in a first come first serve fashion. To claim an ESN the required amount of HollaEx tokens must be collateralized. If tokens are all reclaimed then the ESN is thus given up.
Additionally, the HollaEx tokens redistributed during the Wave Auction gets redistributed proportionally to the amount collateralized meaning the more you collateralize (early ESN) then the more you will receive proportionally from the redistributed HollaEx tokens during the daily Wave Auction.
You can find more information on the 'Exchange Network' section of the white paper.