REAL & REGULATED FIAT (ELECTRONIC) MONEY FOR BLOCKCHAIN
“Emoney is dead, long live the Emoney”
Nobody doubts that bitcoin has revolutionised financial technology and, probably, the economy as we know it. Blockchain technology has left us with a completely different way of resolving transactions (almost) without the mediation of a central entity. Moreover, Bitcoin is for the payment systems and networks as we know them today (supported mainly on money held on bank deposits and move by transfers, debits or cards) such a radical revolution as email was to postal communications on the 90s.
On the other hand, let’s face it, electronic money born in Europe with the 2004 Directive and now regulated by EU Countries national laws based on the 2009 Directive, has not found its place among the current payment schemes for bank accounts and cards. Its nature of being a prepaid instrument has conditioned its general adoption. However, everything is changing now at a very past pace. Blockchain enables a new digital space; someone calls it the internet of value or even the internet of money.
The distributed ledger has the ability to become the only source of truth, making reconciliation, exchange or compensation of value unnecessary. Everything happens in the same “database,” everything happens instantly, in an anonymous but public transaction, without anyone being able to falsify it. Everything is easier, more transparent, more efficient. That is why this disruptive technology has generated fascination and a genuine interest in the financial industry (and anyone interested in the application of blockchain to solve real life issues).
The problem comes when we have to represent the “value” in that singular ledger and to date, cryptocurrencies are the exchange value mechanism. However, what would happen if you could represent, “insert,” euros, dollars, pounds, “real” money (from the Central Bank in reality) in the blockchain? In our opinion, the answer is that we would have created the “blood” for off-crypto economic transactions in the blockchain so “real” things would happen. Simply put, real exchange would be enabled, and real transactions could be built on and developed throughout the Smart Contracts, that are called to change the economy that we know today making it more de-disintermediated and efficient.
Together with Momo-Sefide, in ioBuilders, we are building the regulated FIAT real and tokenized money for blockchain. We’ve just said that electronic money has not yet been really adopted, and has not found its place among the current payment schemes. However, its current regulation seems designed to support its existence in the blockchain. What’s more, there can’t be another FIAT based payment scheme more efficient than electronic money. In the first months of approaching the development of the solution, we can say that we are stunned by the amount and quality of the ideas and initiatives it boosts. The transforming power of the blockchain is simply radical, and this supposes a new use of electronic money. So much, so that we dare to affirm (and we are in fact investing on this) that as a payment scheme there is no likewise alternative in present cryptoeconomics (at least as “native” and registered money). We intend to be pioneers in presenting “tokenized real money” to society, and to lead this new vision of use of the old electronic money in the blockchain environment. We believe that Momo-Sefide, as an operational support partner of ioBuilders, will become an indispensable and very exclusive lever for the new models of value exchange that blockchain brings. That’s why we think that the electronic money that we know today -as probably the most consolidated payment scheme-, is dead (or will be killed soon with the popularisation of new technologies), but without any doubt is the key, the new king to bring the real world to the new criptoworld.
Moisés Menéndez
#everis initiatives #ioBuilders #billib #momo-sefide
