Purchasing and selling cryptocurrency is about to become simpler for hedge funds and institutional investors, as a new Blockchain-based terminal is promising to offer transparency via sophisticated compliance software.
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The Blockchain Terminal (BCT) is a desktop designed to bring together the data and information which chief compliance officers (CCOs,) portfolio managers, analysts and traders depend upon to make investments on a daily basis.
BCT’s chief executive is a seasoned asset management executive with decades of experience on Wall Street. The company’s terminals are furnished with large displays that allow users to analyze multiple charts and sources of information at once, and they are fully compatible with hardware wallets. Over time, mobile versions of the software driving BCT are set to be made available, enabling subscribers to follow the markets whenever they’re away from their terminal.
Slowly but surely, greater numbers of investment funds are entertaining the possibility of trading cryptocurrencies. A BarclayHedge poll recently discovered that one in four hedge fund managers already include crypto in their portfolios, or plan to add it within the next six months. Almost one in 10 are examining whether it is feasible.
All the while, estimates from AutonomousNext indicate that hedge funds specializing in cryptocurrency are growing dramatically. Right now, in excess of 225 funds are managing as much as $5 bln in crypto assets.
An emphasis on compliance
BCT argues that the financial sector is unrecognizable compared to a decade ago. The company’s white paper cites the global recession and multimillion-dollar fraud cases as the perfect storm, which has necessitated greater levels of compliance and transparency. Additionally, many investors have been left disillusioned by the expensive fees they are paying while their rewards dwindle.
Through its ComplianceGuard system, which comes as standard on all BCT terminals, BCT is confident that it can tick the boxes of even the most extensive compliance guidelines followed by hedge funds. To this effect, the technology has been put through its paces at 20 funds in a trial.
The ledger at the heart of BCT uses dual Blockchain architecture. This means that delicate hedge fund intelligence can stay private in a local environment, while the transactions they complete are logged on a permissioned blockchain. As a result, immediate audits can be performed as and when required without delay. The system also makes it impossible for records to be altered.
Apps to suit every hedge fund and investor
Helping BCT to become a fully-fledged platform is a dedicated team of developers. They have been working to create a plethora of apps that can be operated through the terminals. The company believes such third-party software will enable its terminals to become essential instruments for investors in a short space of time. BCT’s exchanges also mean users can access data on hundreds of cryptocurrencies without compromising on compliance.
Third-party applications are subject to checks and balances, which help guarantee that users enjoy quality products that don’t cut corners on security. Software is validated by a not-for-profit organization which has the sole objective of helping the Blockchain terminals thrive in the investment world.
There are two sides to the coin when it comes to the platform’s BCT Token. Whereas the native side enables the terminal’s core services to function, the ERC20 token represents a user’s entitlement to access the tools it provides.
Bringing BCT to the world
In the coming month, BCT has the goal of furnishing investment institutions with hundreds of its terminals. The BCT public presale is ongoing, following a successful private presale and airdrop.
By the second half of this year, retail users will get the chance to purchase their own terminal, with apps to follow by the time 2018 draws to a close.
BCT executives have spent recent weeks generating a buzz about their business by visiting fintech and crypto exhibitions internationally. Berlin, Seoul, Singapore and Tel Aviv have been ticked off the list – with team members gearing up for conventions in major US cities over the coming weeks.