Cryptodus solution recognised by the Bank of Lithuania
We are so happy to announce that our team recently participated in a very special hackathon organized by Bank of Lithuania and became 3rd place winners! It is a major achievement for us to be recognized by Bank of Lithuania, and to become a part of tech innovation fueled by the bank.
The hackathon was dedicated to Lithuania’s 100 year anniversary and the goal was to present the tokenization solution for digital collector coin.
Taking a step back
Crypto collectibles became a hot topic relatively recently as crypto holders started to look for different ways of investing apart from ICO’s. Probably the most known crypto collectibles are Crypto Kitties, that took the crypto world by the storm in 2017.
Need a definition?
A crypto-collectible is a cryptographically unique, non-fungible digital asset. Unlike cryptocurrencies, which require all tokens to be identical, each crypto-collectible token is unique or limited in quantity.
Crypto collectibles became a trending topic for a very important reason. Since most of the people in the world now carry a digital identity it became important to show social status to your digital pears. For online communities, a Rolex watch might not cut it, yet, a rare digital asset (coin, card, kitty) might do the trick.
However, due to the nature of the internet, everything online could be easily copied, so digital assets tends towards abundance. That was the reality until blockchain happened. The nature of the blockchain technology enables digital scarcity and makes unique digital collectibles possible.
Back to Hackathon
Our team took the Bank of Lithuania challenge and created a tokenization solution for collectible coin. We aimed to create a simple, user-friendly product for easy, intuitive and fast purchase of a digital collector coin. Taking various measures into consideration we decided to build it by connecting Telegram Chatbot, Ethereum blockchain, and Payment Providers.
The Telegram Chatbot is connected to the Ethereum blockchain through an API. In order to prevent money laundering, Chatbot is connected to KYC provider so tokens can only be bought and traded by KYC verified users. To make the experience simple and intuitive, Chatbot is connected to a payment provider. That’s why digital collectible can be bought with fiat currency (for instance using a Credit Card) so it is as simple as buying socks on any eshop.
With the help of smart contracts, we made it possible to granularize the Collector coin 1 to 1 digital representation to a certain amount of fungible tokens for secondary markets.
Tokens are linked to a physical asset that has a QR code. QR code is a link to the online record, storing all transactions regarding that specific asset, in our case a collectible coin.
You can already have a chat with our Telegram ChatBot any try buying the collectible coin. Feel free to use test credit card 4242 4242 4242 42424 , any date and any cvv. Your feedback is very welcomed.
And if you are keened to know more about the hackathon watch the full event over here (Cryptodus pitch is at 23:10)
