Insurance, as a means for transferring or distributing risk from the insured to the insurer, has been around as early as the 3rd Century BC. Chinese merchants ‘transferred’ or ‘distributed’ their cargo before embarking on a dangerous voyage so as to lower their risk. Babylonian traders took insurance further by hedging their risk with an additional payment to lenders to write-off their loan if the shipment was stolen or lost at sea.
The first life insurance policy was written in the early 18th Century and has since morphed from a single application into numerous iterations with many product innovations. There are insurance policies addressing every need of an individual through their life stages, for example, Endowment1, Whole Life2, Investment-Linked3, Term4, Universal Life5, Key-man6 with various riders such as critical illness7, terminal illness8, premium waiver9, etc.
The insurance industr y is dominated by a monopoly of a few major players that have been innovating and coming up with new products and features to grow their business empire. The same cannot be said for the after-sales options available to policyholders.
The oligopolistic nature of the industry has resulted in policyholders being tethered to one insurance giant and having to play by their rules, although the holder of the policy is the very reason for the existence of the insurance company. One example would be the lack of options for policyholders facing a change in their financial circumstance or a change in their needs.
Many policyholders are under the impression that they can only go back to the insurer to surrender the policy, or subject themselves to above-market interest rates to borrow against their own asset.
There is also an increasing trend of buyers looking to purchase tradable policies from the market due to the various benefits of this instrument. However, they face challenges such as accessibility to tradable policies and the manual transfer process. These challenges have curtailed the growth of this segment.
The potential market size for surrendered policies in Hong Kong, Japan, Korea, Malaysia and Singapore alone exceeded US$5 billion in 2015, and yet there is no recognizable marketplace (online or offline) for policyholders and buyers to transact. fidentiaX will disrupt the status quo and break the tethers of the insurance companies by empowering policyholders to monetize their policies. This is also a fantastic opportunity for us to demonstrate the numerous advantages of building a portfolio of tradable policies with stable returns and developing a trustless platform for trading of these policies. Xchange with confidence.
Upon successful completion of the Initial Token Offering, fidentiaX will allocate the raised funds to the following categories:
70% of the funds raised will be set aside to purchase tradable policies from the open market to create a model portfolio with the following objectives:
- Demonstrate the benefits of having tradable insurance policies in an investment portfolio. Key statistics of the portfolio will be shared on the platform (e.g. portfolio size, average yield at maturity, average investment tenure, etc.)
- Facilitate trades on the platform during the initial stage, this will be done through direct acquisition of policies in a number of countries and listing them on the platform. This is necessary while we build market awareness of the first global marketplace for tradable insurance policies.
- Utilize the portfolio returns (3%p.a.~4%p.a) to fund future development of the platform as well as funding a non-profit foundation to proliferate the adaptation of blockchain technology in the Insurance Industry.
Funds collected from the Crowd Token Contribution will be transferred to a Trust (managed by a Legal Firm as Trustee) with a clear mandate on the utilization of the monies towards building the world’s first marketplace for tradable insurance policies and proliferation of blockchain technology for the insurance industry.
CROWD TOKEN CONTRIBUTION
fidentiaX will be issuing 100,000,000 fdX tokens for Crowd Token Contribution (CTC) with bonus program for early contributors based on the following:
fidentiaX will conduct a Private-Contribution exercise prior to the Public-Contribution for strategic partners, company affiliates and angel investors.
CTC will end after 30days or upon reaching 100,000,000 fdX target whichever is earlier. In the unlikely event that the CTC total contributions during the period is less than US$1mil at the end of CTC period, all contributions will be refunded in full (less off any transactional cost) to contributors.
Any unallocated fdX after the offer period (subjected to meeting the minimum funding requirement of US$1mil), will be burnt.
The founder’s interest will be aligned with the growth of the ecosystem and tokens will be “vested” based on the below:
Bounty Campaign / MGM Program allocation will be set at 1% of the total token distributed during the CTC, capped at 1,000,000 fdX tokens. Any unallocated fdX tokens after the CTC will be burnt.
Exchange for Platform Unified Token (ISX)
Transactions on fidentiaX platform will be conducted with a platform unified token (ISX) for better management of forex risk and risk management (Anti-Money Laundering). fidentiaX will hold exclusive and limited sale for fdX token holders, giving them the opportunity to purchase ISX tokens at a discount. ISX tokens are pegged to US$1.
SO GETS JOIN THIS PROJECT, FEEL SUCCESS .. !!