Quint: Innovating the Future of Cryptocurrency With the Past
The Problem
With the most recent fluctuations in the price of Bitcoin, many investors are left wondering what the best route is for finding some stability in prices. The easiest point of entry into the cryptocurrency and subsequent altcoin markets is, without a doubt, through a major exchange site like Coinbase or Gemini where potential investors can purchase major coins directly with fiat currency.
Unfortunately, one of the side effects of having such a bottle-necked entrance into the markets is that it causes a de-facto reliance on the largest cryptocurrencies as a basis for pricing. For example, when trading on most exchanges that deal in altcoins, traders quickly notice that the majority of the pairs are all pricing altcoins against either Bitcoin (BTC) or Ethereum (ETH), along with some exchange-specific coins like Binance’s BNB or KuCoin’s KCS.
Okay fine, why is that an issue?
The reason using either Bitcoin or Ethereum as the basis for measuring the value of a coin is so troubling is that even the so-called “standard” fluctuates in value at an incredibly high rate. Investors need only to look at the last few weeks to see a real world example of the volatility of even the largest crypto assets in the game like Bitcoin and Ethereum.
High volatility and fluctuation make it difficult for investors and day traders alike to objectively measure the increase in the value of a specific asset they hold. For example, if an investor is tracking his or her gain using an app like “Blockfolio” or “Delta,” he or she will add transactional history by entering in the purchase-price of a coin relative to its trading pair. What do we mean by that?
All we mean is that when you take note of the purchase of an asset, you’re likely to measure it in one of two ways:
- Satoshi: Named after the mysterious founder of Bitcoin, Satoshi Nakamoto, and Commonly referred to as “Sats,” the Satoshi is the smallest increment of a Bitcoin, equivalent to one hundred millionth of a Bitcoin (0.00000001฿). Sats allow traders to see the value of an altcoin against a known-standard like Bitcoin.
- For example: Verge (XVG), which was recently in the news for announcing their upcoming hard fork, is currently trading for 907Sats, or 0.00000907฿, or roughly $0.11
- Wei, Kwei, & Gwei: All different denominations of Ether (ETH), altcoins can also be measured based on the amount of ETH they’re equivalent to. The amount of decimal places required depends on the cryptocurrency in question.
- Using Verge (XVG) as an example again, one XVG is worth 0.00009894 ETH, or roughly $0.11
And measuring the value in either of these two metrics is an absolute headache because both Ethereum and Bitcoin change value constantly. So next time you open your Blockfolio or Delta app and see that you’ve either “gained” value or “lost” value, take a look and see if the increments have actually changed at all or if the +/- is due simply to the fluctuating price of Bitcoin and Ether.
The Solution
This is where one of the latest projects from Stan Larimer comes into play: Quint. The new coin to be released is set to solve all of the aforementioned issues in the cryptocurrency markets.
Aimed at giving investors piece of mind and a truly standard metric to measure value by, Quint is going to be backed by a quintessential global standard: gold.
Just like the days of old when the American dollar (USD) was backed by the gold-standard, Quint sets out to offer the same stability and assurance in the crypto markets. Since gold is typically treated more as an actual currency than commodity, the basis of Quint revolves around having a cryptocurrency being completely backed by another legitimate currency (you can think of this an improved and realistic version of what Tether’s goal was when creating USDT).
By introducing this new cryptocurrency, investors will be able to have a more standard “standard” to measure the growth, gain, and value of other crypto assets. Unlike the current “standards” of Bitcoin and Ether, the real world price of gold is stable and while it does change, investors won’t see a +/- 40% change overnight (not unheard of in the volatile world of cryptocurrencies).
On top of offering a more accessible approach for skeptical investors, Quint has a whole host of implications for cryptocurrency more broadly. By being backed by an already recognized currency, Quint is going to be front and center at the debate for wide scale acceptance of cryptocurrencies as legitimate forms of tender.
Since Quint will have a value directly related to, and backed by, a globally recognized standard like gold, part of the progress will include a forcing of government bodies to start seriously looking at cryptocurrencies as legitimate forms of tender. The use case of Quint will be a perfect example for legislators looking to introduce legislation recognizing the legitimate status of the currencies.
Quint New Crypto Exchange Concept
The cryptocurrency itself, Quint, will be able to be exchanged for actual gold — definitely a new concept in the crypto world, meaning that at any point, investors can use exchanges to trade other assets and currencies for Quint and subsequently “cash out” into gold instead of USD. This new concept is sure to settle the minds of many potential investors who are wary of new markets that they know very little about.
One of the easiest ways to think about the coin is that it’s just like handing physical gold over to another individual, but with the benefits and convenience of blockchain technology (fast transactions, low fees, global reach). Even if this isn’t a project you’re the most relieved to see, there’s no doubt this release is going to be a game changer in the crypto world.
Quint Prelaunch is Open President’s Day to 4th of July
The Quint pre-launch promotion will be live from President’s Day until the 4th of July and those interested in purchasing can sign up on the official Quintric website.
The author would like readers to note that he is a co-founder and board member at the Quintric. None of the content presented should be construed as investment advice or as legal advice.
