The popularity of the crypto industry is arguably at an all-time high as more and more people are trading in crypto and some nations have even regulated or are planning to regulate Bitcoin and other cryptocurrencies. But what has managed to penetrate almost every sector and impressed even the crypto naysayers is the blockchain technology. Therefore, it comes as no surprise that the industry pioneers are now hoping for a future where blockchain plays a major role in the stock market. One of the main players trying to make that vision into reality is DCORP.
DCORP, owned by the DRP token holders, has anticipated a future where traditional stocks, indexes, and currencies (and other cryptocurrencies such as Bitcoin) are all represented by tokens on the Ethereum blockchain. All while being backed by a traditional asset hold on a third-party account, such as a law firm.
These tokens (exposure to the asset) will be traded and will be used as the underlying assets of which the derivative contract derives its value, creating an on-blockchain economy over time.
Various projects like derivatives exchange are funded by DCORP with the ETH it holds. The profit from these projects flows back to DCORP directly, which then is at the disposal of the token holders, so they can vote to pay out dividends or fund other projects. DRP and DCORP exist on the Ethereum blockchain. DRP is considered a share in a company while ETH is more like the currency of Ethereum.
With its unique derivatives exchange, DCORP has created a platform that will allow derivatives trading in the form of smart contracts on the Ethereum blockchain where the exchange exists. The users get the provision of a friendly interface and will need no intermediaries like market makers, bankers or third parties, given the platform’s decentralized and autonomous status.
The value of blockchain will also be enhanced because of the opportunity to use hedging mechanisms, which will ultimately attract more investors. The anonymity offered to the investors will provide additional value to them. According to the founder of DCORP, Frank Bonnet, derivatives will bring many benefits in the medium term like, non-stop trading, instantaneous transactions for fraction of the current fee, nearly no need for third parties except for traditional assets, no downtime, no DDOS type attacks, anonymity and the possibility to execute trades without logging in. With DCORP’s unique derivative exchange, the platform can enable investors to better mitigate risks involved in trading cryptocurrencies and allow them to hedge their bets; all in an effort to turn their vision of a future with the stock market on the blockchain into reality. DCORP is pioneering a novel concept and is open for people’s support via their ongoing crowdsale, which will be concluded on June 29, 2017.