As part of our ongoing commitment to transparency, our Co-Founder and COO, Conrad Lin, held a live Telegram AMA on 26th October at 12 pm SGT, where he answered several questions from our valued community.
This blog is a short summary of the conversation on the official FintruX Network channel on Telegram.
Q. Please share an update on how FTX is being implemented within the ecosystem?
Since our global launch in July, the utility of FTX has been the only way for startups and SMEs to use the platform. As a startup, on top of finding product-market fit, we have had to overcome the challenges of educating startups and SMEs with the use of FTX. The openly traded market cap of FTX and its volume is at the mercy of market forces and is not manipulated or controlled by FintruX Network. Thereafter, it is impossible to correspond to any ongoing deals on the platform with any anonymous trades on the public exchanges. Understandably, at this early stage, we have had to heavily incentivize traditional companies to conduct their business financing on the platform, which we would then monetize and generate long-term returns on the token economy.
Q. Is there a place where tokenomics is clearly stated? What is FRX?
As our tokenomics is dynamic and agile, corresponding to the performance of our token economy at any given time, a live link to the tokenomics is a better fit for purpose.
Please visit https://www.fintrux.com/token for updates to the tokenomics over the next 6–12 months regarding FRX credits. We are excited and looking forward to the success of this initiative.
Q. Explain the correlation between FTX and FRX. Would it make sense to burn used FTX instead of staking?
FTX has always been our long-standing commitment for the long-term beyond any short-term fluctuations. The tokens play an ongoing role since day 1 as the ultimate credit enhancement, which is a crucial risk-reduction for our strategic partners, like no other existing risk-reduction in the financial technology sector.
Our intention has always been to maintain the utility of FTX because it serves as a key unique selling proposition for risk-reduction. It is important to note that FRX credits allow for the use of specific modules only and FTX tokens allow for the use of all modules on the platform.
In addition, it has always been clear to us that burning the FTX tokens may be counter-productive especially when the token is just starting to realize its full utility potential. This is consistent with the FintruX way of ‘Sharing not Burning’ that we implemented during the token sales early 2018.
Q. Are you planning to add new exchanges and when?
One of the considerations for implementing FRX credits is that we would overcome the challenges of educating startups and SMEs with the use of FTX, and by extension the use of exchanges for enterprise customers. We understand that it is still too early for mass adoption of cryptocurrencies among ordinary people, let alone enterprise customers who are reasonably risk-averse. By adding new exchanges each time, we are assuming that the startups and SMEs would favor the new exchanges in the first place. At this moment, we are determining which specific exchange would offer a much better user experience for enterprise customers than the current 6 mediums of exchange we have for FTX, before adding any new exchanges. On this note, we are not discounting the possibility of FintruX setting up an all-new exchange that brings together our enterprise customers and our valued crypto community directly, if we determined that existing exchanges do not serve the best interests of enterprise customers.
Q. Is the app open? Will it be available outside of Asia? Will there be made an app for google play/apple store?
The web app is available to all enterprise customers within and outside of Asia. Based on market feedback from enterprise customers, we have determined that a native app on Google Play/Apple store would be inconvenient for our enterprise customers as they still heavily rely on desktop and mobile web. However, it will be relatively easy for us to produce a native app anytime when market feedback changes.
Q. Earlier in the whitepaper, there was a mention of 10% token allocation for ‘promotion/provide liquidity’. Why is this not being prioritized?
With respect to token distribution, 10% of all FTX tokens were allocated to reward advisors, early adopters, bounty programs and provide liquidity to the market if required. We are fully committed to the utility of each token as we have one of the most circulated token economy in the world today, with only 5% of all tokens uncirculated as provisioned for in the token distribution, to offer unprecedented risk-reduction to our enterprise customers.
On this note, we share a vested interest with our valued community and have not divested the token distribution to the FintruX team even though the 12-month lock-up period has ended, because we firmly believe in the utility of FTX and look forward to benefit from any upside directly.
Q. Why does the latest quarterly update not mention who the partners are?
At this moment, our MOUs involve confidential information of our partners, which will remain the sole property of the organization that owns it. According to the MOUs, FintruX and the partner “shall hold the confidential information of the other party in trust and confidence and shall not disclose or use any confidential information, except to the extent such disclosure or use is contemplated under this MOU or agreed to in writing by the other party.”
On this note, we look forward to any future public announcements from our partners. They are months of work in the making but work worth doing.
Q. How will customers/users buy FTX from the open market? Through existing exchanges or will there be an easier way for users to load up on FTX tokens from the free market?
As mentioned, we are not discounting the possibility of FintruX setting up an all-new exchange that brings together our enterprise customers and our valued crypto community directly, if we determined that existing exchanges do not serve the best interests of enterprise customers.
It is true that current ways may be ineffective and most importantly, not transparent at all. Some projects profit from a lack of transparency but at FintruX Network, we are fully committed to transparency and we thrive on transparency as the world’s only Financial Trust Network.
Q. “The MOUs set forth a strategic business relationship that specifies further innovation to be undertaken so that the partner network of startups and SMEs would be able to share the value created from the world’s first smart business financing platform, in return for a fair exchange of value with our token economy.” What does this mean exactly?
All our MOUs are engineered to add value to the token economy and reward our valued community. We have always been clear to our partners that the innovative work at FintruX would not be possible without the support of our valued community, and by extension, we are not financially supported by enterprises with hidden agendas. The ability to be neutral adds a competitive advantage to our Financial Trust Network that our partners can benefit from and would not be able to benefit from anywhere else. In exchange, it is only fair for us to expect our partners to ultimately benefit token holders.
Q. When will you launch marketing campaigns?
We have ongoing marketing campaigns targeted at enterprise customers, including but not limited to the use of SEO, earned media, events participation, brand positioning, etc. Our marketing efforts have been duly recognized by global awards and media. We are proud to be invited to the growth track at RISE, which has ride-hailing app Uber and online payment company Stripe as notable alumni. This was reported by The Business Times, South-East Asia’s leading financial daily.
Since then, we are proud to be the only startup from Singapore to be the country finalist of 3 global awards; Best Fintech Startup, Best AI/Machine Learning Startup and Best IOT Startup. We will also be announcing another prestigious recognition by a global business news channel during the second AMA of this series.
We thank the FintruX community for their continued support and participation in our AMAs. We look forward to a live YouTube AMA with Co-Founder and COO, Conrad Lin on 16 November 12 PM SGT. Stay tuned!
The FintruX Team
FintruX Network innovates smart solutions for underserved startups and SMEs. We aim to be the one-stop resource and solution provider for business growth and sustainability.