Today, the main topic of our blog is crypto startup Utrust. At present, the world of cryptocurrency is maturing into more and more complexity.
On Coinmarketcap, the number of virtual coins has surpassed 1150. The amount is constantly growing: it’s tokens on different lockers, with different functions and purpose. More and more people dive in this area in the expectation of large and rapid profits. For example, after participating in the ICO and the release of the token to the stock exchanges. But, in order to understand everything in this crypto-world, an inexperienced user needs time and a certain basis of knowledge. However, average users are impatient. They would like to just start using the Bitcoin, Ethereum or other famous cryptocurrencies. And use not so much and not only for speculation, or as a means of saving, but also as an ordinary payment instrument when buying goods, paying for services.
The main limiting factor in the wider distribution of cryptocurrencies is restrictions. It is an impossibility for their reception as a means of payment in traditional payment systems. In addition, state regulators play an important role. They treat cryptocurrencies with varying degrees of suspicion. Some are cautious about their status as an alternative means of payment. Others generally prohibit the use of any cryptocurrency at the national level. However, the attitude toward the cryptocurrencies changes like the weather vane in a gusty wind.
At the same time, the infrastructure is developing. New exchange and payment services emerge. As an example, We can cite the Shapeshift project, which allows to accept and exchange more than 30 types of tokens. There are also progressing projects that help users to implement their tokens as a real means of payment at the stock exchange rate.
But there is still the main problem – the rate of exchange in Fiat. Until cryptocurrency gets the status of full-fledged means of payment all over the world, it is impossible to conduct the real economic activity with their help alone. At the same time, the mechanism for exchanging tokens to the Fiat is still in the gray zone.
Most methods involve the direct transfer of money to the holder of the token. All the sites are only intermediaries, guarantors within the transaction. A full-fledged mechanism that would ensure exchange of money in both directions still does not exist.
Regardless of how many Bitcoins, Ethers or other altcoins are in your wallet, you will have to make a series of transactions in order to use them for some goods or services.
One of the main problems of the crypto community is an attempt to close on oneself. Dozens of startups go to the ICO and declare “we will create our Amazon, but with cryptocurrencies”. Crypto world is at the stage of bicycle construction and, for some reason, the bicycle itself is invented from scratch.
Crypto startup UTRUST — a solution to the problem of organizing a financial flow
If you want to find a project that would allow you to transform the flow of the currency into different denominations, as PayPal does (although WebMoney from WMZ, MWU, WMR, etc. would serve as a more correct example), only with the application to cryptocurrencies, there are not many options. Frankly, there is only one more or less large startup. It plans to take the place of the payment aggregator and transform the tokens into a fiat so that it is almost invisible to the user. We mean crypto startup UTRUST.
The mechanism offered by the team matches with the urgent need for direct exchange. The consumer does not care much about what happens under the hood. Of course, the crypto community is not yet so great as to talk about tens of millions of customers. However, it’s likely that it will work in this direction and help bring tokens to the masses. Now, we can contain the main problems in the reception and circulation of tokens in three “how”.
3 Central Questions — How to pay? How to exchange?How to protect?
Everyone knows that there are many exchanges. The thing is, they work with the financial flows that already exist in the ecosystem. To “enter” the crypto world, you will have to use the services of exchange sites. For example, let’s take Lokalbitcoins. Any financially literate person will notice: this is a direct exchange with the holder of the tokens. It is this aspect that scares off a huge mass of people. There is no sensible, sufficiently large player in the market who would exchange fiat for cryptocurrencies without fantastic commissions. Or, who allows payment in Bitcoin with the payment of fiat to the bank account of the seller.
The crypto startup UTRUST project offers to implement the function of a classic payment provider. Only the usual payment provider redirects the currents of the stream. He allows you to accept payment in different currencies. The customer has one C/A in one title denomination. UTRUST offers the same thing, only taking into account the realities of the cryptocurrency world.
The payment mechanism in the system works as follows. The buyer can pay for the goods with available cryptocurrency (Bitcoin, Ethereum, Litecoin, Dash, Monero) with a low commission for its conversion. UTRUST retains funds and funds them for sellers, based on the storage time. Next, the UTRUST converts funds into fiat money. That is to protect the seller from the strong market volatility of the cryptocurrency. The seller can deposit money in a bank account, store it in his or her wallet, or convert it to another cryptocurrency. In addition, the buyer will be able to use the UTRUST token with zero commission for payment.
Secure Payments and Features
The company pays special attention to secure payments. UTRUST intends to cover the risks of all purchases that happen in the platform. And we are talking about both acquisitions of goods and many services. For example, PayPal does not provide the same. Vendors in the system will be protected from refunds. That is often due to fraud with credit cards in traditional payment services. The buyer and seller have complete control over their personal keys. Crypto startup UTRUST intends to cover all payments made through the system.
As a result, consumers receive a payment provider with their own gateway. This allows them to implement their cryptocurrencies directly, at the stock exchange rate. Sellers, in turn, do not bother with how to withdraw this money to Fiat. For example, they can go to their settlement account or the purchase of a new batch of goods. At the same time, the blockchain structure facilitates the process of return or cancellation of payment. The internal token will allow possession of transit account in UTRUST, if the seller, for example, does not currently need a banknote.
ICO Stage of Crypto Startup UTRUST
As for latest cryptocurrency news, UTRUST is in the ICO stage and collecting funds for implementation. The $1.5 million raised allowed the team to secure a schedule for technical development, strategic partnerships, and additional marketing initiatives. Round 1 of the public ICO in the first week of October. GMT with a $4 million cap. The seven upcoming round will provide $50 million in funding. UTRUST will use the funds from the ICO to create partnerships to support the platform. The ERC20 compatible tokens are produced on the Ethereum protocol, to be used for payment on the UTRUST gateway in addition to other cryptocurrencies.
In general, UTRUST is an extremely successful example for discussing a long-overdue problem: how to use cryptocurrencies? Yes, there are about 10 million “red-eyed” people in the world (if viewed from the point of view of the masses), who translate something from their wallet to their wallet. Now the cryptocurrency market is if not at the level of barter trade, then certainly not far from it. In the best case, this market reached its level of development to the hammered coinage. Bitcoin and other currencies will soon be ten years old. For now, everything revolves around trading on the stock exchange and investing. As skeptics like to say, “another bubble”.
Main Task of the Community
Now the main task of the community is not to create another stock exchange. It’s not to build a worldwide decentralized network based on a block of flats. It’s not to create an object that will make something transparent, win corruption or help cope with droughts (although the goals are not bad). Blockchain (as a technology) and Bitcoin (as a cryptocurrency) began as financial instruments. However, something was lost and forgotten that was in the manifest of Satoshi.
Projects like crypto startup UTRUST will allow cryptocurrency to spread into the masses. Just like PayPal once told the world that “electronic money is the norm”. But in order for the currency to become a payment instrument, changes have to come. A dumb bank card owner must be able to enter the site of a certain service, register, enter his payment data. He should be able to buy Bitcoin or any other altcoin in a few clicks, absolutely securely and at an acceptable rate (not with a 20% surcharge, as nowadays like to practice). And in the same way, in the opposite direction, pay them for a conditional vacuum cleaner on eBay, Amazon or Aliexpress at the rate to the conditional dollar or euro. All-in-all, crypto startup UTRUST is the most interesting thing that happened in the crypto world for last decade.