Why Konrad Should be Your First Option When It Comes to Tokenizing Raw Materials
Asset tokenization platforms that specialize in tokenizing raw materials assets are few and far between. This comes as hardly a surprise as investing in assets like real estate and artworks is mostly preferred over investing in material assets like platinum or silver (with the exception of gold) due to the volatility in prices and lack of liquidity. Since raw materials tend to require frequent assessments of its value compared to other traditional assets, many investors have steered away from them due to sheer inconvenience.
That’s why Konrad has chimed in with an alternative investment option for raw material assets: an asset tokenization platform solely focused on tokenizing raw materials and bridging investors with raw materials suppliers (e.g. mining industries) and material processing industries (e.g. refineries).
What Exactly is Konrad?
Konrad is a distributed service platform that supports asset auditing and digitalised trading. It is committed to transforming real-world assets into blockchain assets for greater liquidity and transparency.
Structurally, Konrad is designed to serve the following three functions:
1. Konrad is an Asset Valuation and Auditing Platform
Raw materials can be tricky to evaluate as assets due to their volatility. Yet, valuation is a crucial step that cannot be missed when it comes to investment, no matter the type of asset involved.
Hence, Konrad has taken up the mantle of responsibility to ensure valuation and auditing of any assets that are digitised on its platform. The Konrad Asset Valuation and Auditing Platform is an off-chain service that performs due diligence procedures and prepares necessary valuation and audits for tokenization.
2. Konrad is an Asset Registration and Distribution Platform
Asset tokenization being the novel technology that it is certainly requires some tangible assurance from the real world to soothe the hearts of investors. That is where Konrad’s Asset Registration and Distribution Platform comes into play. Konrad has dedicated an area in its infrastructure that solely exists to map your physical assets to digital assets through registration, offering the simultaneous option to distribute it and tokenize it through its digital copy as well.
3. Konrad is a Trading and Circulation Platform
What’s an asset without a flourishing trade? One of Konrad’s core features lies in its decentralized exchange platform that is extremely adept at facilitating trades for your tokenized assets and distributing relays, including valuation adjustment among other complex transactions.
Let’s Illustrate the Above With a Case Study…
Take for instance mining project A that decides to list their ores as an asset on Konrad Platform. Using Konrad’s asset tokenization platform, the ore-backed tokens could be listed and every token could represent a certain unit of the ores mined from the stopes that the mining firm owns.
As noted earlier, raw materials like ores mined from stones need to be assessed periodically for its content as the concentrations of precious metal contents in the ores vary with their mining depths. Naturally, these ores will be evaluated against current market prices of various types of precious materials like gold and platinum.
Konrad also provides asset evaluation service to projects that list their assets on the tokenization platform. As an extra layer of security blanket, professionals from various fields will share their expertise and evaluate if the price provided through Konrad’s asset value evaluation report is reasonable based on current market conditions. This is performed through the constitution of nodes in a decentralised assessment platform.
That’s Not All!
Another strategy that Konrad has in place to reduce the inherent volatility and liquidity of raw materials lies in its ecosystem. Konrad’s ecosystem is designed with multiple layers of sellers and buyers to ensure the flourishing of the mining trade.
When a mining company lists its ores on Konrad’s trading platform, individual investors can make their investments in ore-backed tokens by exchanging them with the utility tokens of Konrad Platform, KDX. Subsequently, ore-refining companies could initiate trading with these investors through Konrad’s trading platform by exchanging fiat currencies or other renowned cryptocurrencies with these ore-backed tokens. After trading is completed, these refining companies can then redeem their ores from the mining company using the ore-backed tokens and the returned ore-backed tokens will be burnt by its issuer, the mining company itself.
What’s so impressive about this novel investment structure is that it gives room for more flexibility as investors are investing directly into the ores that are mined instead of the mining firms as per tradition. Investors can now freely adjust the volume of their investments based on the life-cycle of the stones or the price of precious metals that compose such ores. Since there will always be demand for raw materials from refining companies, investors are more likely to be insulated from the volatility of raw materials prices, which drastically reduce the risks involved.
As Konrad continues to upgrade its infrastructure, its asset valuation and tokenization platform and multi-layered trading is certain to spur innovation in the asset tokenization sector.
Conclusion
Investing in raw materials may seem to be an arduous journey to the naked eye, but with Konrad, investing in raw materials have never been made easier. Konrad’s asset valuation and tokenization platform, and its multi-layer trading system are innovative methods to resolve the current ills plaguing the raw materials assets industry. Indeed, Konrad is a one-of-its-kind platform that provides a unique and enticing gateway into the lucrative market of raw material assets that no investor should miss.
To find out more about Konrad, check out its socials at:
Bitcointalk: https://bitcointalk.org/index.php?topic=5148889.0
Facebook: https://www.facebook.com/KonradPlatform/
Reddit: https://www.reddit.com/r/Konrad_Holdings
Telegram: https://t.me/konrad_En
Twitter: https://twitter.com/KonradHolding
Website: https://www.konrad.holdings/
Weibo: https://www.weibo.com/7041318945/profile?topnav=1&wvr=6&is_all=1
