Presented by Blockchain.io
It has been a while now since cryptocurrencies and blockchain have been defined as transformative for finance and many more industries. Still, even after so many years since Bitcoin’s birth, regulation concerning the space remains unclear, and compliance isn’t taken for granted yet.
That being said, things are changing. The United States Securities and Exchange Commission (SEC) has dozens of cryptocurrency investigations underway, and some actions have already been undertaken. In this situation, it just makes sense for exchanges and other companies in the industry to focus on regulation and compliance. The other major problem in the industry is security. Ever since the Mt. Gox hack, it has been clear that computer security is more critical in this industry than it is for most others.
This may be why Blockchain.io — a new European cryptocurrency exchange — has two main focuses: security and compliance to upcoming regulations. The company intends to stay regulatory compliant with audit accounting records in order to comply with both international laws and the local jurisdiction. Such focus on compliance is motivated by the willingness to avoid the freezing or seizing of the funds of their clients.
The founder and CEO of the project, Pierre Noizat, is also the CEO and founder of Paymium — a European Bitcoin exchange. His experience has given Blockchain.io the confidence to claim DDoS resistance, minimal downtime, and high infrastructure reliability.
Ninety-eight percent of the funds are kept in cold storage. The cold storage wallet is multisignature, and the private keys of the signatures are stored in diverse locations to make it harder to obtain access to the funds.
To further enhance the safety of the platform, the team has also pledged to keep it free from “technical debt.” This means that any new feature, token, or cryptocurrency needs to be thoroughly audited before being implemented in order to prevent vulnerabilities.
An exchange for everyone
The exchange has been designed to cater to both new and experienced traders, and particular attention has been devoted to integrating many trading order types. In the future, a peer-to-peer (p2p) lending system will also be available on the platform to let users borrow from a fund maintained and managed by the company. The interest rates for those transactions will be determined by supply and demand.
It is also clearly stated in Blockchain.io’s white paper that the exchange will combine the advantages of decentralized settlements with those of centralized exchanges. The system is designed this way to eliminate the cost, privacy, and scalability issues that have been experienced in the Bitcoin blockchain.
Blockchain.io has established stringent eligibility criteria for the projects. The startups are required to have experienced teams and be regulatory-compliant. Such requirements are designed to generate a platform listing and help only viable and high-quality projects. When a candidate meets all those criteria, all of the ICO operations are structured on behalf of the startup in exchange for a fee on the raised funds.
The company — which is focused on regulatory compliance in all of its aspects — won’t provide only financial and marketing help but will also provide legal expertise to the projects that meet its requirements. As a final step, the projects vetted by the team are also voted on by the community before being approved.
A company born rich in expertise
The Blockchain.io project is led by Paymium.com, a European exchange active since 2011. This exchange describes itself as “one of the oldest Bitcoin exchanges in the world.” Also, according to Fintank, Paymium is the first Bitcoin exchange that operates in compliance with European regulations. Thus, a lot of expertise is brought into the project by its parent company.
Paymium also claims to have over 170,000 user accounts. All of those users will be automatically granted a Blockchain.io account and will be incentivized to use the new crypto exchange.
The Blockchain.io token sale will begin on Sept. 27, and the exchange will be operational in November, right after the sale has ended.
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