Are you being asked for a permit when you want to buy a new pair of shoes? If not, so why should you be when you want to choose an investment opportunity?
That’s what we said one and half years ago. Now we are finishing work on the platform we believe to allow access to the most valuable assets easier.
The global financial system we are dealing with is not fair enough. The best opportunities are reserved for the wealthy.
Unless you fall into the bracket of “accredited investors”, you’re left with fewer investment options. So, if you want to invest in S&P 500, gold, oil or in commodities like energy, soybeans or electricity you must have a combined net worth of at least $1,000,000 or have an income of at least $200,000 each year.
It may come as no surprise to hear today that 89.9% of the world’s financial assets are not available to U.S. citizens.
Even in countries with highly developed capital markets like Germany, only 10% of households own stocks directly or through funds connected to financial markets.
And what about other countries…
Alike the Internet?
Blockchain startups are already disrupting many business segments and now the financial system is on the turn. That’s a new challenge we are facing: Creating a world not only for the chosen ones.
We don’t believe that politicians and regulators will support this effort. They practically ruined the ICO market, and now there’s the “semi crypto” fakes called STOs. These defeats the purpose of the blockchain.
It’s up to us to fix this. Take Skype, Airbnb, Uber, Facebook for example— they didn’t ask permission when they quickly slipped in old standing waters of established business segments and successfully disrupting them. Now, crypto exchanges and blockchains must have the same courage, too.
Of course, there are issues such as scalability, and security to solve, but the situation is alike with the internet. There also was the evolution and in early times the internet was slow, not secure and numerous apps they are now common didn’t exist.
But there is one substantial thing that makes a difference. In the early stages of evolution, cryptocurrencies established their own token distribution scheme, and it worked.
Now we need to move from the utility tokens (that represent participation on particular projects) to new global initiatives that will help us to establish the new financial model.
In the new order, the most valuable assets will be accessible for everyone, even people without bank accounts. Fractional ownership is one of the biggest advantages of tokenization. Investors can buy a more affordable piece of assets rather than a costly whole. You won’t have to buy a brick of gold or barrel of oil.
That’s the way we can bring inaccessible assets to the blockchain. We already have the platform in working beta and we will able to present it in the coming days. Our platform converts physical assets into DACTs (Digital Asset Collateralized Tokens).
These tokens are backed by real assets and controlled automatically without the possibility of human error. The value of the DACTs is mirrored by the development of physical asset prices. Investors will benefit from the growth of the underlying asset value.
For example, if you want to buy four commodities for only $50, andhold them for 10 years and profit from the increase in their value, now it’s possible. This can be done by yourself, through secure blockchain infrastructure, from any place on earth and, without wasteful intermediaries and fees.
Written by Tomas Kurtansky, Business Developer at Virtuse Exchange. Our mission is to break down those barriers and let everyone participate in global markets at any level of investment without having to pay intermediaries.