KRWb: Our Pledge to Transparency
2019.01.29
Most people don’t yet know what stablecoins are, let alone the mechanics of how they function. After we get beyond education of the stablecoin concept, the first question we’re usually asked is, “what asset backs your Korean Won stablecoin?” Our answer is simply, “Korean Won.”
Given the current boom cycle around stablecoins, there are also many who doubt the truth behind a stablecoin’s backing reserves or the ultimate stability of such a pegged product like our KRWb token. Considering the current landscape of both the cryptocurrency industry and how the Korean Won is traded within the traditional currency markets, people are often cautious or skeptical when our answer is rather straightforward — as opposed to roundabout or unclear. Laying the foundation structure behind KRW and where we are today has not been a simple journey, but the team is exceptionally proud to set forth KRWb as the first of its kind: a 1:1 backed stablecoin pegged to the Korean Won.
KRWb Will Be Provably Collateralized
The KRWb team is full of experienced tech entrepreneurs and financial industry experts. Collectively, our team draws a hard line on protecting customer trust. We’ve learned this through our various tenures at proven companies like Amazon, Coupang, KPMG, Deloitte, Y-Combinator backed Soomgo and more, while serving customers and advising financial clients. We act upon our stance for customer trust by emphasizing both transparency and collateralization.
KRWb in circulation will be, at minimum, 1:1 backed by fiat KRW in the KRWb treasury. These funds will be held on-shore in Korea, within the safety of the South Korean financial system.
KRWb is not “pre-minted” and we will draw clear boundaries against anyone asking the team to mint KRWb tokens unless there is 1:1 collateralization. Furthermore, the team is committed to regularly publishing 3rd party attestation reports that give outside confirmation of our team’s actions. KRWb aims to be globally accessible and we plan to publish these reports in native Korean, as well as English translations. The reports will be published on the KRWb.io website in a section dedicated to transparency about our project.
View our full transparency offering here.
Pushing the Boundaries of Financial Transparency
For blockchain and fintech companies, it can be difficult to bridge the gap between technology advancements and the constraints of the physical world. The crypto-economy runs 24/7, while the traditional banking industry often operates on a “9-to-5” schedule. The current standards for most legacy financial transactions default to private, while transactions posted on the Ethereum blockchain are public. There are not always clear regulations or guidelines for technology companies to operate under.
Knowing that the crypto-economy is continuously active and evolving has forced us to evaluate the best ways to handle trade-offs and compromises to offer transparency amidst current market constraints. For example, what should be the standard protocol if an Issuance Partner requests to mint tokens at 11pm when most physical banks are closed? Or better yet, closed for the holidays?
As an agile, technology driven company, we will be the first to admit that both the process and technology we have established today will evolve over time as new industry standards are created, tested, and set in motion. We welcome collaboration with other industry players, regulators and broader financial institutions to collectively brainstorm, drive forward and uphold KRWb’s pledge to transparency.
Ultimately, our minting process has been created to maintain 1:1 collateralization. We will do all in our power to keep the community continually updated on actions that affect the KRWb treasury. We ask for the support and feedback from the KRWb community as we continue to search for an effective medium that moves the industry forward in the best interest of our customers.
Those interested in getting involved with the KRWb community can join the KRWb Telegram channel, or contact us directly: hello@krwb.io.
- Website: krwb.io/
- Telegram: t.me/KRWbStableCoin
- Twitter: @KRWb_Token
- Smart Contract: 0xf9fd7a89bfb8a07a225080236e5ca570ee2a76a1
- Reddit: reddit.com/r/KRWb
- Email: hello (at) krwb.io
Learn more about KRWb and the simplified explanation of how it works in our soft launch article here: https://medium.com/krwb/south-korean-stablecoin-krwb-to-launch-in-q119-e49657d6be8d
