GLOBCOIN: Past, Present & Future
The Past
The foreign exchange market is traditionally a market for professionals. If you want good, cheap access to this market, you cannot do it on your own, you have to rely on a team — A team like ours, that has been doing this for many years.
If you had a crystal ball in December 2017 that said: “You should hedge part of your crypto portfolio now because January and February 2018 will be difficult”… what would you have done? There weren’t many options, actually.
One of the solutions could have been to go for fiat currencies, but that would cost a lot and you would not be in the crypto space anymore, so the tax authorities would have been very curious about your banking activity. Another option would have been to use something like Tether — but let’s just say there had been some negative rumors going around.
The thing is, there aren’t easy solutions for a crypto investor, and that’s exactly what we want to offer.
The Present
The good news is that thanks to the Blockchain technology, we can now offer in one hundred dollars chunks what we used to offer to large investors for many years in ten million dollars slices only.
GLOBCOIN is a stablecoin that also offers smart allocation to the World Economy. How are we doing that? By using currency baskets, which are portfolios of selected currencies. Diversification builds stability.
You’re probably wondering about the reaction of banks to this idea, because if you’re building currency baskets you’re basically behaving like a central bank… but even Christine Lagarde, the voice of the International Monetary Fund -the Central Bank of the Central Banks- thinks like us:
«Why might citizens hold virtual currencies rather than physical dollars, euros, or sterling? Because it may one day be easier and safer than obtaining paper bills, especially in remote regions. And because virtual currencies could actually become more stable.
For instance, they could be issued one-for-one for dollars, or a stable basket of currencies. Issuance could be fully transparent, governed by a credible, pre-defined rule, an algorithm that can be monitored…or even a “smart rule” that might reflect changing macroeconomic circumstances.»
See source article here.
The Future
We just had a successful ICO for our utility token, the GCP (Globcoin crypto-platform). Now we’ll work with our stablecoin token, the GLX, representing Globcoin 1st currency basket (15 major fiat currencies + 5% gold). This will be audited by a big, well known firm. So in terms of safety — you’re covered. This logistic enables us to fight volatility and also to build performance.
In the basket there are economies that will have a high growth in the next years; so it’s not only a stablecoin but also a smart tool for allocation. Of course this basket will have established big currencies like USD, the EUR, etc. But also the Chinese Renminbi, for example, with almost the same weighting as the USD — so ONE token, ONE click, gives access to the World Economy with almost no fee.
Our sister company Globcoin Ltd is running a multi-currency card pre-loaded with 6 major currencies and distributed in 32 countries. We hope to add our cryptocurrency to the card by the end of 2018 (subject to necessary approvals). The team is made of experienced people in foreign exchange market and there is also background in crypto. We’re here for the long term.
*Words by Helie d’Hautefort and re-written by Eva Contreras
