Financial assets are growing at an incredible rate. According to a report by McKinsey, total global financial assets were valued at $198 trillion in 2010 and by 2020, they are projected to surpass $371 trillion.
Even though exchanges have largely gone digital with most trades conducted electronically, millions of trades are still conducted on paper. Through Blockchain technology, exchanges can now become fast and more efficient.
Such is the case with Virtuse Exchange, a crypto exchange that imagines ‘what would the world be like’ if financial markets let investors participate in investment opportunities worldwide, that is today, only available to banks or high net worth individuals (HNWI’s).
With that in mind, the Virtuse Exchange connects crypto markets with global financial assets, commodities, government emission allowances, stock indices – to eliminate the middlemen and bring a high-level of transparency to the financial sector.
In effect, the Virtuse Exchange cuts out banks, custodians, brokerage firms and exchange fees. This simple, yet very efficient process severely reduces “fees” that are typically passed onto general consumers and investors.
Not only does this new exchange save investors money, it also speeds up the investment process extraordinarily, making transactions instantly occur. To some, this may not seem like that much, however, it really truly is.
If you can envision, how many middlemen the financial exchange process has (banks, brokers etc.) whilst also factor in “transactional time delays” that can take up to 3 days with the inclusion of weekends and holidays – the platform is truly out of this world.
The Virtuse Exchange Uses DACTs
The core innovation of the Virtuse platform is Digital Asset Collateralized Tokens or “DACTs” for short. In essence, a DACT is really just “ownership in an asset” – be it equity, bonds, commodities, futures – it’s just a tokenized version of that.
The platform will feature numerous easy-to-use analytics and newsfeed tools, for traders, such as:
- Portfolio management
- Market data analysis
- Market forecasting
- Analyzing market history
Through DACTs, investors can generate profit, or find products, for example for “hedging purposes.” Both regulated and non-regulated offerings will be offered on the exchange platform, alongside private offerings that follow the KYC protocol.
Asset Digitization and the Tokenization of Commodities
Cryptocurrencies offer unlimited potential through digitizing assets (also known as tokenization).
According to JPMorgan Chase & Co. “Bitcoin may have caught our collective attention as an asset because of its exponential growth in a low asset environment, but the technology behind it has the potential to disrupt the asset management landscape.”
Cryptocurrencies have gained a lot of interest among people from all walks of life and can be purchased, handled and traded by anyone. Well, as long as they have an internet connection and some funds to spare.
By leveraging the power of Blockchain technology, and allowing trade with standard cryptocurrencies (Bitcoin, Ethereum, etc), Virtuse Exchange is opening financial markets worldwide to “asset digitization” – all through the tokenization of commodities.
In order to create digital assets out of these assets, they must be first tokenized and backed by liquidity (generally raised through an ICO campaign), and ultimately listed on crypto/digital exchange platforms.
While conventional financial instruments like – equities, bonds, futures, real estate etc., can be digitized, only a small few have attempted to create such a transparent global financial exchange ecosystem.
The team is led by Founder and CEO, Ras Vasilisin. In the last 12 years, Ras steered the Virtuse team to become one of the most recognizable brands within the European energy industry growing revenue to €250,000,000.
Virtuse Exchange Digital Asset Funds (DAFs)
Digital Asset Funds or DAFs are tokens consisting of a portfolio of several coins. On the Virtuse platform, these funds are managed by a team of financial experts, which include, financial analysts, mathematicians, and cryptocurrency professionals.
These funds (DAFs) bring several benefits to seasonal, institutional, and sophisticated investors, such as, create a safe haven for investors to “park” profits during high volatility in crypto markets, greater portfolio diversification, and private use.
Linking tokens to real-world assets ensure liquidity for crypto investors. As an example, talented portfolio managers that set up their own Digital Asset Fund could greatly benefit from the Virtuse Exchange and potentially beat the market.