The benefits of cryptocurrencies are clear. They create a new kind of money which is free from government manipulation. They offer a way for people to store wealth in their heads by memorising their seed phrases. Perhaps most importantly, they let people transfer value across borders quickly and cheaply by enabling sender and receiver to interact with each other directly, without having to rely on middlemen.
However, many of the distinctive features of cryptocurrencies are actually holding back their use by the mainstream. Crypto markets are highly volatile, making all but the most risk-friendly reluctant to use them as a store of wealth.
Further risks are created by cryptocurrencies’ decentralized peer-to-peer nature. People are worried about losing private keys, as if they do, they lose all their assets. There is no way to prove your identity and restore your funds. 4 million Bitcoin, worth 26 billion dollars, have been lost this way, and they’ll never be recovered.
There are also problems with using cryptocurrency for commercial transactions. Transferring funds quickly and directly between buyer and seller means that there is less incentive for the seller to deliver on its promises. It can easily accept the payment and not provide the good or service.
Sellers may also be wary to accept cryptocurrency due to price volatility. Video game platform Steam stopped accepting Bitcoin in December as its value was moving so quickly that by the time transactions had settled, payments were no longer worth the same as the prices of the products sold.
Platio’s Smart Banking Ecosystem
Platio, a London headquartered fintech firm, is developing its Smart Banking Ecosystem to address these very issues and so solve the crypto world’s main challenges.
Platio CEO Dima Okhrimchuk says that his team believes that, “all financial assets will be tokenized and run on Blockchain” and that this will amount to “a revolution which will completely transform the international financial system.”
However, for that to happen, people need to be able to trust cryptocurrency. Platio sees “a great opportunity in this transition” and is building “application for personal users and businesses to make the move into crypto as smooth and legitimate as it can be.”
Platio allows users to manage their fiat, cryptocurrency and stock assets from within a single platform. Powered by EOS blockchain technology, it hopes to “increase confidence in crypto as an asset and drive its global adoption.”
Perhaps its most important innovations are its Smart Escrow and Asset Guard products.
Smart Escrow will allow buyers and sellers to confidently transact with each other in cryptocurrency, particularly on high value deals. This smart contract powered product will hold the buyer’s funds in escrow until both parties are satisfied that the deal has been completed. Should any dispute arise, Platio will step in to arbitrate.
Platio’s merchant services will also allow sellers to receive payment in fiat, even if the buyer has paid in cryptocurrency, thus freeing sellers from unwanted exposure to crypto market volatility.
Asset Guard also offers protection from volatility. Platio customers will be able to set up their accounts to make automatic transactions should fiat, stock or crypto markets behave in certain predefined ways. As Okhrimchuk says, “even in the notoriously unpredictable crypto markets, our customers can relax, knowing their funds are being looked after.”
The Asset Guard product will also provide an ingenious solution to the problem of lost private keys. If users do not interact with their accounts for a selected period of time, Platio will transfer their assets, whether stocks, crypto or fiat, to a previously nominated account in either cryptocurrency or fiat. In this way users can be certain that they will not lose access to their funds.
It certainly seems that Platio’s message is landing. This week it was named as a joint winner of the ICO pitch award at the World Blockchain Forum in London.
— Keynote (@keynote_ae) September 5, 2018
If Platio can achieve its goals then we may finally have the “revolution” in finance that we’ve been waiting for.
Platio’s is currently conducting its private pre-sale. The public sale of its PGAS token will begin on the 22nd October.