How to attract institutional investors to blockchain?

Le'ts figure out why blockchain needs the institutional investors and how to attract them
14 November

Why does blockchain need the institutional investors?

Despite that we all know at cryptocurrency industry is build on the basis of 100% decentralization, in order to create a decentralized infrastructure blockchain requires trillions of dollars. Most of the money is concentrated in the hands of institutional investors, and as a community, blockchain related companies must develop solutions and technical products to connect the fiat money and the crypto industry, thereby obtaining the necessary capital. Community has to develop own vision for a decentralized future. CyberTrust's Global Crypto Notes (GCN) is a key component that facilitates the adoption by large institutional investors of the crypto industry.

Demand for cryptocurrencies on the part of institutional investors continues to far outstrip supply. Given the still low levels of penetration and extremely limited supply, there remains enormous potential for continued exponential growth over the next five years. What is needed is a more flexible supply. Our new platform is designed to address this market demand. This service will help to remove a number of key problems preventing institutional investors from taking full advantage of the cryptocurrency revolution. Moreover, by making securitized crypto more accessible, they will also provide the basis for a wide range of new derivative products such as 3x long BTC. We anticipate significant demand for these derivatives once they become available.

Evgeny Xata

CEO, CyberTrust

What is CyberTrust?

CyberTrust is a financial services company that provides a traditional investment tool - Global Crypto Notes - which is recognized and audited. Institutional investors will be able to use it for buying, selling, short positions in the market of crypto-currencies, and also for creating derivative assets. CyberTrust provides services for trading, research and asset management for institutional investors.

What is Global Crypto Notes?

CyberTrust's Global Crypto Notes (GCN) is a traditional investment vehicle. GCNs will be fully titled and auditable in collaboration with Ernst & Young as an auditor

It should be noted that GCN is not similar to ETF, the goal of which is small investors, GCN face major regulatory barriers. Instead, they are designed for institutional and to some extent accredited investors.

GCN provides institutional investors with the elements they need:

  • ownership,
  • tax transparency,
  • clearing and settlement,
  • restitution through the courts.

All these elements should stimulate the acceleration of adoption.

Unlike the existing Grayscale fund, CyberTrust GCN has no limitations. And again, unlike Grayscale, GCNs are not limited to Bitcoin only.

Given the long list of tokens on offer, it’s critical to differentiate yourself by offering a clear value proposition. This token stands out in the sense that its value has a clear benchmark, rather than being just a matter of speculation. One CABS token permits its holder to securitize one BTC, and for that service the current market price is about $1800. When you compare this to our price of roughly $150, the arbitrage potential is pretty obvious.

Scott Freeman

Head of Trading, CyberTrust

The availability and security of using crypto currency allows the creation of new derivative products. This, in turn, will trigger the demand for these safe assets.

How does it works?

Crypto currency is stored in a secure offline storehouse with protected property rights. The repository is located in a hyper-protected data silo in Switzerland. All funds raised through the CyberTrust platform will be subject to anti-money laundering. Institutional investors can be sure that their funds are not obtained by criminal means. When withdrawing funds, the investor can receive them in the currency in which they invested.

Sale terms

The new CyberTrust tokens will be named CABS. It will use the Ethereum blockchain and will be listed on major cryptocoin exchanges. The closed round was held from 30 October to 10 November, 2017. The team was able to rise $11M. The pre-ICO start date is now set for 27 November 2017 at 13:00 UTC, whilst the ICO start date is set for 5 December at 13:00 UTC. 600,000 tokens are to be sold in total at a base price of 0.6 ether per token. Accepted currencies are:

  • Bitcoin
  • Ethereum
  • Bitcoin Cash
  • Ethereum Classic
  • USD Tether
  • Swiss Francs
  • Euros

Learn more

If you are interested in CyberTrust project, feel free to check these resources to learn more:

  • Whitepaper
  • Website
  • Telegram
  • Facebook
  • Twitter
  • Reddit
  • Steemit 

Ethereum can launch Casper testnet soon

Ethereum developers are looking to use code for their experimental Casper proof-of-stake protocol as the basis for a new test network
20 November

The developers of Ethereum intend to use the experimental code Proof-Of-Stake protocol Casper as the basis for a new test network. This is reported by CoinDesk.

The founder of Ethereum Vitalik Buterin at the kernel developers' meeting suggested not only to test the protocol code written in Python, but also expressed confidence that Casper could improve the security settings during Ethereum-client testing.

Ropsten is the only test network supporting the participation of all Ethereum clients, but it works on the basis of the Proof-Of-Work algorithm. Due to the weak support of the miners, the network often becomes the target of DDoS attacks. The remaining test sites - Rinkeby and Kovan - use the Proof-Of-Authority protocol to eliminate such threats, but the lack of interoperability is not suitable for many developers.

If we realistically want to roll out Casper in whatever hard fork, then eventually people need to start implementing it. 

Peter Szilagyi

Buterin acknowledged that there were some security gaps with regard to the new protocol, and he suggested that the Ether development be delegated to several developers in the test network, which partially duplicates the consensus of the Proof-Of-Authority.

The participants agreed to conduct a series of studies to assess the potential of the test network. The mission was assigned to the developer Piper Meriam, who will work with the teams of clients Parity, Geth and actually Casper.

Earlier, the test site Ropsten was target of DDoS-attacks on the eve of Byzantium's hardfork, which was successfully held on October 16. The network update was the first step of the Ethereum developers on the way to implementing the Proof-Of-Stake consensus algorithm within the framework of the large-scale Metropolis hardfork.