Many people are not fully aware on how an asset derives its value. They believe it is purely a function of supply and demand. This however is only 1/3 of the full story.
Any Blockchain asset’s value is generally decided by 3 factors:
- How many people are interested in the value = supply & demand
- The asset’s ability to generate profits for its holder = cashflow
- The holder’s ability to liquidate an asset = liquidity
While point 1 and 2 are generally quite easy to understand, the 3rd one can be quite crucial: If you own something that generates a lot of cashflow and a lot of other people want it, but you cannot get it to them, its value will be significantly lower than if it was easy to transport. One of the reasons why currencies in general prevailed over physical goods such as pigs, sheep or chicken is exactly this 3rd point.
Many cryptocurrencies have seen similar challenges in the past: A lot of people would love to own them and some of them also provide great internal value for its holder. Actually using and spending a coin/token in the “real world” however can be harder than one might think at first glance. If you look at Bitcoin’s dominance, this is mainly due to it being quite the only cryptocurrency so far, that can be used in at least a few stores and shops.
TenX’s mission is to make any blockchain asset spendable instantly. This will bring great value to any partner exactly because of this last factor. Token holders will see an uprise in their token value as it now not only has great demand from people and it has a use case, but also it is now spendable instantly through the TenX debit card system worldwide. Suddenly all 3 factors are maxed out from a value perspective and it is even more powerful as if an exchange lists a token, which has always shown to increase a token’s value.
How will this work in real life? A user downloads the free TenX app onto their mobile phone. They then create a wallet for a token and fund the account. They then order a virtual or physical card and can start spending their token straight away. It is a simple as that.
Exactly for that reason, TenX will announce many strategic partnerships over the next couple of days as it will be a WIN WIN for both.
For more info follow TenX’ on Social Media:
PS.: Should you have any questions, please post in the comments below. If you like the article, I would be very glad if you shared it with others, so we can make the world #cryptofit and get valid info in front of many readers.
The author Dr. Julian Hosp is the co-founder and CVO of TenX.
TenX (www.tenx.tech) is a Singapore based financial service that makes any Blockchain asset spendable instantly by offering a debit card payment system to its users on the frontend and by connecting any Blockchain at the backend.
TenX Whitepaper:
https://www.tenx.tech/whitepaper/tenx_whitepaper_draft_v04.pdf
