/biz/ - Business & Finance

>>8496242
nice fud, but its from talal himself.More from talal.

Shitty sandnigger pajeet scam they said.

not impressed with the team?

>>7648146

How it works:

>"It boils down to this:

>What is the incentive for me to put my cash into a CryDR and sell it on the blockchain.

>You don't. This is generally for licensed financial institutions to benefit from the high-returns of the crypto-economy without the exposure.

>When the public has full confidence in tether, and the overall market is in downswing, USDT is valued at 1.03 and higher.

>We have a buzzphrase for this, "on-chain / off-chain arbitrage".

>This means stable assets on-chain could be worth more than they are off-chain, if there is confidence in the guarantor.

>So this is what the financial entity would do... It would tokenize some of its cash, exchange it for volatile assets (selling them on-chain for BTC/ ETH), liquidate those assets (the BTC / ETH), and benefit from the arbitrage.

>In addition, the financial entity has just acquired a customer with an account (compliantly, with full KYC done to the level of the financial institute).

>Hope that helps!"

So basically, I tokenize a non-liquid asset as a CryDR (real-estate, gold, etc), and a corresponding value of JNT must be taken out of circulation to provide proof of solvency. When people use CryDRs, the value of CryDRs increases. So if I have 1 billion dollars of gold tokenized into a CryDR, and a CryDR is worth $1.03, suddenly I've made a three percent increase on $1 billion, which is $30 million dollars I can now use as liquid capital.

Essentially, it gives liquidity to non-liquidity assets while also backing up the value of the CryDRs themselves.

There is no risk as the assets still remain assets tied to the market, the crypto component is just an extra way of extracting value from them.

2/4

boom

FUDsters?