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Introduction
Crypto has been on the radar of people from around-the-globe – regardless of divergent views and attitudes towards its growth and impact throughout industries. While the consensus on its real impact on society is still evolving, the scale of crypto adoption is fueling innovation across industries and attracting investors of all different types.
Crypto adoption is the market value of the entire crypto market or the number of active wallets participating on blockchain networks. Although mass adoption in crypto has yet to take off in most countries, it has not stopped ambitious entrepreneurs and investors from creating innovative projects in the crypto space. Some of these crypto projects seek to find solutions to real-world problems that many of us face in our everyday lives.
For instance, in the realms of finance, traditional systems of investment and capital allocation have failed to provide substantial returns – especially for smaller investors. This failure has influenced the digital revolution by giving further rise to decentralized solutions and in turn, enabling a much wider participation in financial matters.
Highly innovative products such as ‘smart contracts’ now drive the fast-growing Decentralized Finance (DeFi) market, instead of traditional banks. DeFi offers financial freedom, opening up new avenues to the hitherto neglected 1.7 billion people around the world who currently do not have a bank account.
Globiance
Globiance is a financial services platform that aspires to be the bridge between the legacy financial system and the new and emerging cryptocurrency world. It aims to provide financial services to corporate as well as retail customers by combining the four main business verticals into one interface; bank accounts in multiple jurisdictions, a crypto currency exchange, debit cards and a crypto payment gateway.
Bank accounts – Globiance offers SEPA and SWIFT accounts for their clients in more than 25 currencies and the latter can be used to send – as well as receive funds. It merges multiple bank accounts into one offering, providing IBANs under a single login – eliminating the need to log-in to multiple banking platforms to make transactions or check balances. The IBANs are provided by different BIN sponsors that provide banking-as-a-service to Globiance through integrated API links.
Crypto exchanges and wallets – Globiance offers integrated wallets and optional bank accounts. It facilitates fiat-to-fiat, fiat-to-crypto and crypto-to-crypto transactions through its licensed exchange (CEX) combined with the ability to instantly withdraw fiat to the integrated wallet or bank account. For users who do not require fiat currencies, Globiance has created a decentralized exchange (DEX) as a separate service offering which can be used to swap any crypto currency against another.
Crypto Payment Gateway – The Globiance Crypto Payment Gateway is a payment platform that provides clients with multi-currency payment options through a single interface. It is built for scalability, high transaction volume and instant settlements. This is useful for all businesses and is very effective for high-risk industries. Clients can pay with crypto currencies instead of their credit cards.
How does Globiance connect traditional financial system and cryptocurrencies?
The Globiance vision is to leverage the quickly-evolving blockchain financial technology, developing a complete ecosystem around a proprietary permissioned blockchain, with the participation of banks, regulators and international businesses in order to create a ‘bridge’ – between the world of crypto and fiat currencies.
Here are some of the pressing issues currently facing the financial system and Globiance’s approach toward mitigating these issues:
Card fraud and chargeback – Card frauds, chargebacks and rolling reserve are some of the risks and disadvantages associated with credit cards payments. Globiance has been designed in such a way, that by replacing credit-card payment-gateways with crypto payments, there will be lower fees, no risks, no rolling-reserves and the transactions will be definite.
This service is also available as a white-label version for merchants and can be seamlessly integrated into their platform. This integration can be done in a short time and there are no set-up costs involved.
Constraints of high volatility in crypto assets – One of the key reasons behind the lack of mass adoption in digital currencies is their extreme price volatility and momentum. However, when using Globiance, merchants and clients do not need to worry about the volatility of received crypto assets because they can be automatically converted into fiat currencies or stable coins.
Lack of avenues for merchants – Despite the rising market capitalization of crypto currencies, there are still a lack of avenues where merchants can use or spend them. Globiance developers have come up with a solution allowing merchants to accept payments in cryptocurrencies which are instantly converted to fiat currencies, then transferred to the corresponding bank account of the e-commerce platform. In this way, merchants and e-commerce firms can now ask for payments in fiat currencies while also allowing the user to pay with cryptocurrencies.
Multiple payment rails for different business regions – For high-risk businesses, or companies doing business globally, dealing with multiple online banking systems on a daily basis can be quite cumbersome.
Through the use of the Globiance platform – including GlobiancePay – a multi-bank platform, SEPA or SWIFT accounts are opened in the customer’s name and multiple accounts are then merged into one single offering. This provides the opportunity for IBANs to use a single login for both incoming and outgoing transactions.
More than 35 Tier-I banking partners are working behind this platform. Users can open one or multiple accounts from each bank to eliminate redundancy and allow different payment rails for business sections or regions. The goal is to facilitate access to all underlying banks through a combined interface.
Lack of scalability with traditional banking systems – Cross-border payments and remittances are a real issue that overseas workers face when trying to send money back home. Converting money into local currency and managing personal finances should always be a low-fee and streamlined process.
Traditional banking settlements are constrained by banking hours – stable coins on the other hand, operate 24/7 and run on blockchain. With the use of stable coins, there is no need to withdraw fiat as assets can be securely held, digitally.
Hidden and illiquid assets – The genius of blockchain technology is that it can offer bottom-up solutions, instead of a top-down approach. This drastically simplifies everything that has historically been done by a “middleman” or in the back-offices of banks.
This technology can be used by any type of industry wanting to use financing as its key feature – as the use of tokenization or digitization of any kind of asset can be done at a fraction of the traditional cost. Governments can also tokenize their services to the public, or support funding at a local level.
Security tokens create new options for the private sector – especially in the real estate market. They can facilitate the trading of illiquid assets in the sector, thereby allowing more investors to participate. Real estate developers can finally reach into every household and convert them into investors.
Raising customer service standards – Since it is the clients money that is literally ‘on-the-line’, when running an online exchange or banking platform, customer service and client support are of paramount importance. It is a quintessential aspect of the operation. Client-support responsibilities at Globiance are a shared across the entire staff and company. If a client has an issue, they will receive an answer from someone who knows and understands the operating system – not from someone reading from a script or hiding behind an email.
International language support – Money, especially when backed by blockchain, has no geographical borders, and the international multi-lingual team at Globiance has extensive experience with working in many parts of the world. It provides a multi-language platform with a dedicated support team for each individual language.
How does Globiance platform benefit industries?
The Globiance ecosystem is designed to cater to both – Retaila and Corporate clients. Some of the platform’s features and benefits are:
Globiance DEX – Globiance DEX is an eXchange InFinite (XinFin) network-based, decentralized exchange, whose hybrid architecture is developer friendly. This interoperable blockchain network for global trade and finance enables digitization, tokenization and instant settlement of trade transactions.
This increases efficiency and reduces reliance on complex FX infrastructure, allowing for more flexibility in liquidity management for financial institutions. It is designed to integrate with legacy financial operating systems.
Globiance CEX – The Globiance Global Exchange Platforms being set up worldwide offer services for all kinds of financial needs, and are conveniently located on a single platform that has been customized for local markets regulations and requirements. The platform now offers multi-language and multi-currency wallet accounts and provides several fiat currencies – as well as crypto currencies.
Apart from buying and selling crypto currencies, users can also manage their payments within the platform, if the platform holds the appropriate payment ‘license’, that permits the execution of third-party payments. Each of the platforms has an individual entity behind it, which must obtain the necessary local licenses and follow the local laws, to ensure they are offering only legally compliant services.
As for the key aspect of liquidity, Globiance has established strong connections to be able to provide nearly unlimited liquidity on a daily basis. This results in a business model that ensures a lower price for users for things like; transaction fees of 0.1% for the buyer or seller. There are no crypto or fiat deposit fees.
Coin Offering – The coins offered can vary per country or region. Since all additions of crypto assets need to be checked for regulatory compliance, the current Globiance platforms have added only utility tokens, but no security tokens.
Wallets – Clients can hold their fiat or crypto assets in Globiance wallets on the platform in optional integrated bank accounts, external bank accounts or they can send them to their personal external wallets. Globiance stores the majority of the assets using cold-wallets, which are kept securely offline and are virtually un-hackable. Globiance keeps only a minimal amount of crypto assets online using what is known as a “hot” (online) wallet.
In order to expand its offerings, Globiance is currently in the process of obtaining further banking licenses in several markets around the world, while continuing to maintain a good ongoing, working relationship with its current banking partners.
Globiance Payment Gateway – The Globiance Payment Gateway is a payments platform providing clients with multi-currency payment options through a single interface. It is built for scalability, high transaction volumes and instant settlements. When using the crypto processing gateway, clients can pay using multiple crypto currencies instead of their credit cards – a useful feature for many businesses and high-risk industries.
Device Coverage – Globiance will provide cross-platform clients for web-based, Android, iOS as well as API.
Purpose of Globiance
The foundation of Globiance has been built on the premise to become the bridge that joins ‘traditional, legacy, financial-systems’ with the emerging world of cryptocurrencies and DeFi, and to provide a single interface for clients and users. Globiance seeks to become the facilitator for those engaged in trade and finance, looking to integrate crypto currency usage with online banking facilities.
Globiance Platform users will be able to do daily transactions such as; trading between fiat and crypto currencies, making global-transfers at minimal cost, and participating in DeFi offerings. Users will be able to do all of this while holding their savings in any currency. Globiance offers all of this and more, on one platform – using a single log-in, in a safe, secure and regulated environment.
Conclusion
The legacy financial system, the world of crypto currency and DeFi, each have their their own unique challenges and risks – including the risk of fraud, price volatility, delays in processing transactions, lack of scalability and language barriers. Even on a micro or retail level, cross-border payments or remittances by overseas workers still involve high-costs and the process is not streamlined.
The mission of Globiance is to address all of these issues by creating a fusion between next generation crypto exchange, DeFi and regulated online banking platforms. It does so not only by leveraging blockchain technology and DeFi, but also by the development of a complete ecosystem around it, with participation of banks, regulators and international businesses, all helping to bridge the worlds of crypto and fiat currencies – together.
Hopefully, you have enjoyed today’s article. Thanks for reading! Have a fantastic day! Live from the Platinum Crypto Trading Floor.
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