hello, world. this is midas.
Midas is a portal to crypto asset management for retail investors. The investment app embeds blockchain-based portfolio management in an interactive community. Deploying the Melon protocol, Midas gives every user a decentralized investment fund to invest in all kinds of crypto assets. All funds are on-chain and solely controlled by the user through a mobile app.
Features
- Users can create and manage their own investment funds
- Midas offers tokenized traditional assets like stocks or real estate, genuine crypto assets like cryptocurrencies, utility tokens or cryptocollectibles as well as new asset classes like prediction markets
- Funds can hold shares of other Portfolios (funds of funds structure)
- A social media layer connects people in an open network around investment content
- All users are listed in a ranking. They can invest together in groups and challenge each other in competitions.
- As a modular system Midas can integrate any business that provides tokens. Verified third parties can easily plug into the platform via API
- Smart Chatbot assistance and easy wallet integration guarantee highest user friendliness
Point of Departure
The traditional world of investing is permeated by thresholds, opacities and flaws. Markets are not transparent and leave most retail investors in confusion and uncertainty. High entry barriers in terms of money and time restrict market access for a vast number of people. Existing infrastructures heavily rely on human interactions in booking and settlement processes. And despite broad regulation, the markets are still vulnerable for errors and frauds.
Down the rabbit hole
The blockchain technology generally enhances security, speed and accessibility by eradicating intermediary positions. Smart-contracts can largely automate some of the costly and time-consuming processes involved in investment markets and fund management. At the same time, the blockchain provides a higher level of control by automatically enforcing rules and parameters autonomously. Eradication of human intermediaries reduces which leads to broader participation and improved competitiveness.
Meanwhile, a new world of assets has emerged. What once started with Bitcoin and Ethereum is developing into a huge digital landscape of assets that are available at a global scale. Genuine crypto assets like cryptocurrencies or utility tokens are finally complemented by traditional analog assets like stocks, real estate or commodities digitally represented on the blockchain through tokenization. The instant accessibility of these assets through the internet includes so far untapped investor pools and increases liquidity as well as investment opportunities.
What are we doing?
Merging the advantages of blockchain technology in terms of security and accessibility with the world of digital assets. Midas is providing the infrastructure to interact with the world of digital assets in a new, easy, and transparent way. How?
1. We use the Melon protocol
… which is a collection of open-source smart-contracts, based on Ethereum — with future perspective to be deployable on further blockchains — and implements fund management on the blockchain. Melon is a modular system divided in a Melon Core and Melon Modules. While Core provides the main framework for decentralized investment fund, Modules represent additional layers that a fund manager might want to add. We build the Midas module that acts as mobile portal to decentralized fund management in a dedicated investing ecosystem. All assets that a Midas user holds are stored in such a fund on the blockchain. Midas does not hold any funds and gives full fund control to users. If we get hacked, your funds are still untouched and safe on the blockchain.
2. We build an open and modular system
Looking at the recent boom of crypto assets and token launches, the market is still at an early stage, but evolves quickly. Thanks to tokenization, in the near future everything will be tokenized: products, services, projects, or even more simple: everything with value. Already existing businesses start to tap into the crypto space and soon, customers will purchase, collect and trade tokens for various reasons. Midas aims at providing an environment with a clear market overview and orientation for users to find digital assets that fit their individual demands and preferences.
This also includes integrating and pushing new asset classes. With new investor groups entering the market, new demands and opportunities increase. While the traditional investment landscape offers a rather static set of assets, crypto assets hold potential that is not even fully understood by now. As one of the first alternative asset classes Midas integrates a module for prediction markets with Gnosis. Midas can integrate any product provider through the Midas business API. This way the integration of assets is infinite and Midas directly connects businesses with customers.
3. We create a social network
The last decade has shown a huge success of social networks. People love to share, follow, and like. Massive user bases within Asian and African markets created entirely new digital consuming patterns. Today, the sharing economy as well as community-based forms of value creation like crowdfunding or ICOs are challenging market models. At the same time, the power of consumers is reinforced through feedback sharing and rankings. Quality prevails, while bad products or services get exposed.
Midas users are part of an open investment community. Connected to a broad network, they contribute to and benefit from its hive-mind. A transparent, performance-based rating system delivers a clear overview who is successful. If insecure, users can simply invest in successful funds of other users and learn from efficient strategies. Novice investors get the chance to learn from others before they make their own moves. Groups allow to setup Portfolios together with an individual network. Share products you like and invite others to come on board. Invite your friends, family or neighbors and invest together.
The “Midas Touch” builds the heart of Midas and acts as interface between content and investments. Every content displayed is an investment opportunity that can be realized with a few clicks. Proposed crypto assets, highlighted Portfolios or promoted content. With the the Midas Touch investing becomes as easy and fast as clicking the Like button.
What else?
Legal framework always takes time to adapt to new technologies as it is currently visible in the global discussion about regulating the crypto space. We have a clear position on that: regulation is necessary. However, the approach has to be thoughtful. While in many areas we still see a lack of knowledge and understanding on the regulator side, Midas is actively pushing straight-foward and reasonable regulations worldwide.
KYC/AML
Midas TGE as well as user onboarding: Know Your Customer regulations are crucial for us. Investors and active users will need to go through a KYC process. However, prior to singing up, users can explore the Midas platform and take a glance at its functionalities without the verification process. Additionally, we reserve the right to request Anti-Money Laundering statements from our users if a certain amount of invested funds is exceeded.
Compliance
So far, investor protection regulations require a license to handle third parties’ funds in order to ensure investors of the competence of a manager and that he will not simply run off with the money. Now, smart contracts eliminate this risk through technology regulation. Managers can only do what smart contracts stipulate and investors can track the manager’s performance at all time. To make regulators aware of these new advantages and to regulate accordingly, Midas Technologies AG is co-founder of the Multichain Asset Management Association (MAMA) and seeks for cooperation with regulators in Switzerland and beyond.
To find out more about the project:
Website | Concept Paper | Twitter | Telegram
