It’s hard to ignore the hype of the gold rush surrounding the cryptocurrency market. In the past few years, crypto assets like Bitcoin, Ethereum, Neo etc have seen unprecedentent surge in their value. some time increasing more than 5000%. This has transformed crypto asstes from a niche interest into a serious financial industry.
Bitcoin, the forerunner of modern digital money, has seen a near-900% growth since the beginning of the year and has now worth approx. $8,000 a coin. During the same period, Ethereum, the cryptocurrency that powers the world’s largest decentralized computer, has grown from $10 to $300 a piece. Initial coin offerings (ICOs), fundraising mechanisms that are based on blockchain, the technology that underlies cryptocurrencies, have absorbed billions of dollars in 2017 so far. People are rushing towards crypto currency markets. Although some are making millions but there are a large majority who is seeing no substantial gains in their portfolio rather their wealth is declining.
The digital landscape is far from stablity and is very volatile. Prices can rise and drop by the thousands in mere days. Regulations are obscure, confusing and sometimes non-present, leading to a lot of scams and lost investments, or unexpected crackdowns on projects. It’s also a complicated landscape. Cryptocurrencies and tokens are scattered across dozens of different wallets. User interfaces are often unfriendly and trading between currencies can be a complicated process.
It is in this background that cryptofunds comes to the rescue of investors and traders.
Toknebox: Crypto Funds
Before going further it is pertinent to differentiate between traders and crypto funds, According to Tokenbox-
"A trader is a person, who independently making decisions and selecting active trading strategies on the market. A fund mostly includes a team of specialists (a fund manager, a portfolio manager, a department of analysis and strategy). Decisions can be made collectively."
An adaptation of traditional funds, crypto-funds make it easy for investors to navigate this enticing new asset class. Basically, instead of directly purchasing and trading cryptocurrencies, you defer the responsibility to a crypto-fund. Portfolio managers and traders will decide which ICOs to enter and which to avoid, which currencies to buy and sell, and they promise to produce gains on your investment. In return they take a percentage of the profit as management and performance fees.
Tokenbox.io is a new player in this arena which provides the creation of following type of funds:
- Investment funds with active portfolio management (analogue - Mutual fund);
- Index funds, including a token traded on the exchange (analogue - ETF);
- Funds which follow active trading strategies, including Algotrade, robotised trade.
Benefits:
Crypto funds keep popping up on the market and for the cryptocurrency community, there’s generally consensus that the world needs more of these since they benefit the entire crypto market. The tricky part, however, is legality: it's hard to legalize them completely. Tokenbox intends to solve this problem by registering an umbrella fund that would sublicense other funds and individual traders within the fund.
Tokenbox will provide a trading terminal for a perfectly balanced portfolio. Tokenbox has developed a proprietary trading terminal that is currently under development in partnership with TradingView to serve the needs of various market participants - fund managers and traders.What’s more, portfolio managers will get an opportunity to rebalance portfolios in accordance with the parameters set beforehand by making transactions with specific assets greatly reducing labor costs. Also, From the customer service perspective, the company plans to develop price trigger alerts with SMS, email and in-Browser functionality.
Tokenbox will allso tokenization of the funds. Each Fund will be able to create its own token which will be an equivalent of a share in the Fund. The cost of a token depends on the portfolio capitalization growth without dependency on investors number. The process of issuing and redeeming tokens is fully built on Ethereum smart-contracts. The Token Fund is a prototype of tokenization.
Tokenbox also provide a solution to the problem of market liquidity. The Tokenbox platform traders will be able to use corporate accounts, which have an increased limit of operations, and a liquidity aggregator will allow the funds to make deals on several market exchanges simultaneously, getting access to a bigger amount of liquidity through a single interface.
for more information visit Official links:
Website: https://tokenbox.io
Whitepaper: https://tokenbox.io/docs/Tokenbox-WhitePaper-En.pdf
Reddit: https://www.reddit.com/r/tokenbox/
Twitter: https://twitter.com/tokenbox
Appreciate here:
Ethereum: 0x8027cb9fD18F935bB06cC98e0dfd48D074F87dc2
BTC: 19Apd2goafbofkndwkpmgxqMNpfsfJVaUX
Bitcointalk user- vcxv