Cryptocurrency risk hedging platform DeHedge over 1,500 ETH raised

DeHedge, a startup that offers infrastructure to protect cryptocurrency investors is now well into their token generation presale event for DHT tokens, set to end on April 20th. The team has now collected over 1,500 ETH during the 5,000 ETH hard capped presale. Backers and contributors are taking advantage of a favorable 25% incentive opportunity to accumulate more tokens. Currently, 1 ETH buys 36,000 DHT and 1 BTC buys 490,000 DHT.

After the presale round, 1 ETH will buy 28,800 DHT and 1 BTC will buy 392,000 DHT. The public ICO will have a hard cap of 50,000 ETH. The funds received from the DHT token sale will be used as reserves to cover future hedging compensations. What is exciting is that the beta of the token sale hedge product is already live with users able to purchase project tokens with hedging for up to 6 months.

Read more about DeHedge and the DHT token below:

Offering Two Type of Hedging
  • For ICO Investors – DeHedge hedges the initial exchange rate of project tokens. If the rate falls during the hedging period, DeHedge reimburses the initial offering price in exchange for the project token. Thus, your maximum losses are equal to hedging compensation. DeHedge offers hedging coverage for two types of projects: 1) Pre-Sale and sale projects, i.e. projects the tokens of which do not circulate in the market; and 2) Projects the tokens of which are traded on crypto-exchanges.
  • For Cryptocurrency Traders – DeHedge offers protection against exchange rate falling on cryptocurrency exchanges. If the rate falls during the hedging period, DeHedge automatically pays back the hedging compensation. Your maximum losses are equal to hedging compensation. DeHedge receives information about the drop in the rate of tokens via a crypto-exchange API, where the tokens that an investor has chosen to hedge are listed. The settlement function of claims for compensation of losses is automatic. The hedge compensation is paid through the Ethereum smart contract. Hedging payment is sent to the wallet details of the hedging purchaser.

Any hedged transaction is made in the form of a smart contract and coverage is formed to suit it, ensuring compensation of losses incurred by an investor in accordance with the hedging scenario. DeHedge’s smart contracts ensure financial operations of the platform. In case of a hedged event, DeHedge compensates its token owners automatically and in full.

DHT Utility Token

The DeHedge Token (DHT) is a commodity and an essential part of the platform. It is used to pay the hedging premium, which triggers the creation of a blockchain record testifying the hedging.
With DHT tokens you can buy hedging. A DHT owner chooses the project, the risks he or she wishes to hedge and the hedging period and pays the hedging premium by sending calculated by the system amount of DHT tokens to DeHedge.

Planned Expansion of Hedging Product Portfolio

DeHedge plans to increase the number of hedging products for the crypto economy and crypto investors. Future planned DeHedge products include:

• The launch of test analytical coverage of major ICOs and events affecting the dynamics and cost of crypto assets;
• Expansion of the product line for miners and buyers of mining equipment to provide them protection from fluctuations in the rates of cryptocurrencies;
• The launch of investor hedging on alternative blockchains;
• The launch of AI scoring;
• The launch of a derivative platform with full functionality for hedging positions (by a decision of the investment committee in case of the absence of a platform toolkit that would meet the needs of the platform users);
• Crypto investor portfolio hedging.

The team believes that the introduction of new products onto the DeHedge platform will increase demand for DHT Tokens, which in turn should positively affect the value of DHT Tokens.

Token Placement Strategy
Cryptocurrency risk hedging platform DeHedge over 1,500 ETH raised
The volume of hedging reserves depends on the total amount of funds raised for a project. The larger the amount raised, the more projects will be available for hedging.

10,000,000,000 (ten billion) DeHedge Tokens will be issued. At the same time, no more than 2,500,000,000 (two and a half billion) Tokens will be offered for placement during the ICO. The reason for offering only 25% of all available Tokens is that DeHedge does not exclude the possibility of conducting additional rounds of sales to increase the main reserve and expand the scale of its business.

The following distribution will apply to the placed 2,500,000,000 DHT Tokens:

80% — will act as an offer within the framework of the Pre-Sale and ICO;
15% — project team and cofounders;
2% — bounty program;
1% —marketing;
2% — advisor compensation

The amount raised during the ICO will be distributed as follows:

80% — hedging reserves;
12% — project development and team administration;
6% — marketing and promotion;
2% — legal and accounting services.

Mini Roadmap

The beta version of the token sale protection platform is already live with a couple of token sale projects already partnered with DeHedge including Superbloom and Shivom.

Before this quarter is over – the DeHedge team plans to launch the hedging platform for tokens on the secondary market, launch test analytical coverage of significant ICOs and events affecting the dynamics and cost of crypto assets, launch underwriting and consulting services.

Before 2018 is over –  the DeHedge team plans for launch of research portal, launch of hedging product for risks of mining, publication in user accounts of the first pool of tools available for hedging with DHT tokens, launch hedging on alternative blockchains, begin development of AI for project scoring, mobile application launch, while 2019 will focus on the development of derivatives platform with full functionality for hedging positions, all of the details can also be seen in the DeHedge whitepaper.

At its core, DeHedge is a decentralized risk-hedging platform for ICO and cryptocurrency investors by providing smart contracts which can save money invested into ICOs as well as cryptocurrency fluctuations. The DeHedge platform is also now open and is welcoming high-quality projects, helping them find their investors. The creators of the DeHedge platform believe that in the future it will develop into a fully functional ecosystem that will be associated with the crypto community for reliability, expertise and unique products to protect crypto assets.

Meet the Founders
  • Mikhail Chernov – Founder & CEO,  Successful IT entrepreneur, the founder of multiple startups, experienced investor in equity and cryptomarkets.
  • Bogdan Leonov – Co-Founder & CCO, Experienced banking professional responsible for relationship management with top-tier clients in a number of local commercial banks.
  • Dmitry Ansimov – Co-Founder & COO: Ph.D., investment banking professional and a partner of Russian top investment bank Troika Dialog (acquired by Sberbank) with 12+ years track record in Global Markets & IB.

For those interested in hedging, projects looking to partner or for those looking to contribute to the ICO, there is much more information to be found on the DeHedge official website. While we have organized a run down to better familiarize yourself with this project, the whitepaper is also available with a fuller view of the proposed hedging ecosystem.

Contract Vault and ChainSecurity join forces for smart contract services

Contract Vault, a leading Crypto Valley-based platform for customizable legal and smart contracts and ChainSecurity, one of the top providers of fully automated formal smart contract audits have announced a strategic partnership. The goal of the partnership in its initial phase will be to promote the safe and secure usage of smart contracts in a growing number of businesses and to further integrate the services of the two companies.

In the coming months, the two companies will explore a range of technical integration possibilities, including a possible offering of services for companies wishing to use smart contracts for various stages of an Initial Coin Offering (ICO).

The partnership and the eventual resulting commercial collaboration between ChainSecurity — a spin-off startup of ETH Zurich’s ICE center and Contract Vault — co-founded by the former Managing Director of one of Switzerland’s first cryptocurrency mining companies — highlights the significant potential for adoption in the near future.

Despite broad interest in the wide range of possible use cases for smart contracts, the lack of technical knowledge among lawyers and business leaders creates a barrier to implementation, and the scarcity of blockchain developers capable of carrying out smart contract audits leads to potential security risks.

By joining forces Contract Vault and ChainSecurity lay the foundation for the expansion of new services for legal firms and forward-looking businesses who wish to gain easy access to legally-enforceable digital contracts that incorporate smart contract elements.

Contract Vault has already partnered with Laux Lawyers and Validity Labs, two of the leading Swiss firms in the area of legal tech and smart contract development respectively.

“We see that many people are scared of smart contracts, mostly because they aren’t technical enough to understand them and how to use them. ChainSecurity’s auditing tools are a great step forward in helping businesses trust the capabilities of this new technology.”

Gordon Mickel, Managing Director of Contract Vault

“For smart contracts to really catch on, we have to get to a point where they are easy to use and to use in conjunction with other areas of technology and business. We like what Contract Vault is doing to make contracts and smart contracts accessible to a broad audience. This is what the industry needs.”

Dr. Petar Tsankov of ChainSecurity

Reserve Bank of India restricts bank transfers for bitcoin exchanges

This past week, the Reserve Bank Of India (RBI) declared new policies concerning the operation of Indian bitcoin and cryptocurrency exchanges. The news came when the RBI announced its bi-monthly monetary policy for the fiscal year 2018-19.

They announced then that all the banks and financial institutions regulated by them shall not provide any service to individuals or organizations dealing in trading of cryptocurrencies such as Bitcoin, Ethereum, etc. With an immediate effect, Indian crypto traders were barred from withdrawing fiat money from the exchanges to their respective banks.

Also, according to Abizer Diwanji, Head, Financial Services, EY India, “A person will not be able to transfer money from his savings account to his crypto wallet.”

As soon as the news broke out, the price of Bitcoin on the Indian crypto exchange, Zebpay, came down from $6989 to $5299 within 3 hours whereas the global average price of bitcoin in the overall market wobbled around $6,680.

It can be interpreted that the fall in price was the FUD created by this news and the way media presented it. However, one should note that India still hasn’t banned cryptocurrencies. RBI is a banking regulatory body that only controls the monetary policies of India. It’s not a legislative body. The only institution in India that can actually ban cryptocurrencies is either the Government of India or the Supreme Court of India. One can also include the State Government and State High Court as well.

See below the declaration made by the RBI:

“In view of the associated risks, it has been decided that, with immediate effect, entities regulated by RBI shall not deal with or provide services to any individual or business entities dealing with or settling VCs. Regulated entities which already provide such services shall exit the relationship within a specified time.”

First things first, the decision/statement was more in line with an earlier statement on the risk associated with the investment in cryptocurrency dated back on February 7th, 2018. Secondly, nowhere in the announcement was it mentioned the date or time of an immediate ban. RBI hasn’t defined the time by which the banks and other financial institution are to stop offering their services to cryptocurrency exchanges.

The CEO, Co-founder of Indian exchange UNOCOIN Mr. Sarthak V, issued a public statement where he clearly mentioned that as of today, no banks that they are working with have issued any notice to them. Even the bank managers have said that no further instructions about the timeline to stop offering services to their crypto-exchange clients have been given to them by the RBI.

The Government of India also has not issued any notice regarding the timeline and deadline for such bans. On top of that, The Supreme Court of India has asked for a response from the Government of India regarding the regulation of cryptocurrencies. So, for now, we can say that articles with titles such as ‘India Bans Cryptocurrencies’ shouldn’t be considered with a serious mind.

Virtual Machines and The Future of Smart Contracts

There’s a lot of hype about smart contracts. And that’s understandable. Trustless agreements enforced by a global computer? It sounds like a concept plucked straight out of a sci-fi novel.

The term itself was first coined by Nick Szabo in the mid-90s, but it wasn’t until relatively recently that advances in decentralized ledger technology brought the abstraction to life.

To an extent, Bitcoin ushered in the first smart contracts – due to its Turing-incomplete nature and fairly restrictive Script language, however, its application remains limited to currency-related use cases. Ethereum made much larger strides with the creation of the EVM, which was set to open up a world of possibilities for developers to write their own programs, contracts, and decentralized applications.

The EVM is far from perfect, though. There are some issues that need to be addressed with the architecture of the virtual machine that forms an integral part of the Ethereum protocol. One that springs to mind straight off the bat is the language it uses Solidity, purpose-built for the platform and relatively simple to use.

The issue with Solidity is unfamiliarity. It’s a new language and has nowhere near the sort of track record and extensive testing that traditional programming languages have. On one hand, people are hailing such a system as the ideal storage platform for all of their most sensitive information, from medical to financial records. On the other, it’s clearly riddled with flaws that result in disaster (such as the DAO and Parity exploits) if not used properly.

Programming on the decentralized plane should really be done using languages we know to be secure. Moreover, developers shouldn’t be limited to just one. I’ve stated before that I’m a big believer in Rust’s forgiving and security-oriented framework, and firmly hold that it should become the go-to language for smart contract scripting. That said, the ideal compiler would support the classics – Java, C, C++ and Go, to name a few.

The EVM relies on a processor using an integer size of 256. For scale, the average home PC uses either a 32 or 64-bit processor. Supposedly, the large size offers better values for cryptographic computations, but as of yet, there remain to be any Solidity projects leveraging this feature – most likely due to the gas cost, which would be extortionate.

I’m of the opinion that there’s a gap to be filled for smart contract engines – why not simply use an x86 virtual machine? Its architecture is extensively used in the computers of today. There’s so many tried and tested tools for it, which would be trivial to port over to a VM on a distributed ledger.

To top it off, there’s the familiarity aspect. Developers know how to write effective code on an x86 system. At the moment, they’re having to dive into programming decentralized applications, without a deep understanding of what they’re programming them with. There’s no need to overcomplicate things that don’t require overcomplication. We’re perfectly capable of building on top of blockchains with the resources we’ve had for decades.

VC firm Venrock partners with crypto asset company CoinFund

CoinFund, a crypto asset investment fund started back in 2015 has announced that it has entered into a strategic partnership with the team at Venrock, a venture capital firm founded by Laurence Rockefeller in 1969.

Venrock has a strong history of helping entrepreneurs build great products and technologies, including early investments in legendary companies such as Intel, Apple, Dollar Shave Club, and Nest. As a proponent of net neutrality and the enabling features of technology, Venrock will continue to work towards building the next era of decentralized infrastructure and applications.

The partnership deal will help to support CoinFund’s growth and expand its network to the greater technology markets.

The CoinFund team says that this partnership reinforces its mandate to continue building out a technology-focused and scientific approach to investment in decentralized networks and new business models enabled by blockchain technology.

By leveraging each other’s domain expertise, the two teams will be able to “mentor, advice, and support projects in the space more effectively than ever before.” CoinFund and Venrock are both backers of YouNow’s PROPS Project and have worked together to help founder Adi Sideman realize his vision of a blockchain-based ecosystem of participatory video applications, starting with its flagship application Rize. The application specifications include crypto integration to incentivize and build an economy where creators can broadcast and earn.

CoinFund, founded nearly three years ago as CoinFund LLC became one of the world’s first diversified portfolios of crypto assets, regarding cryptocurrencies and tokens. The CoinFund team brings together a strong and multidisciplinary background across the fields of technology, computer science, finance, economics, quantitative research, psychology, and law to apply to the growing blockchain space.

The founding partners and team members of CoinFund combine experience from Goldman Sachs, Amazon.com, American Capital, Kirkland & Ellis, and the MIT Digital Currency Initiative, among others. At inception, CoinFund’s foundational thesis was that blockchain-based digital assets would capture the value of decentralized networks and are poised to transform the way we transact with digital finances, online infrastructure, social media, marketplaces, organizations, and consumer services.

Internet of Coins cryptocurrency wallet beta launches

Internet of Coins (IoC), an Amsterdam-based not-for-profit blockchain agnostic project which last year held a token generation event on OpenLedger has now launched the beta for its unique cryptocurrency wallet platform.

Last year, the team raised over $1 million dollars in their crowdfunding. Since this time, the group has been hard at work to develop the wallet from alpha into the present beta version.

On beta launch, the wallet supports 17 blockchains and over 380 tokens. The team commented on the progress as “a big step towards its goal to support all cryptocurrencies on their open platform. In recent months IoC also worked on its new website to make it faster, clearer and to provide easy access to the wallet.”

IoC wallet features

The Internet of Coins wallet is deterministic and runs locally on user devices. The application does not store any keys or account data on Internet of Coins servers. Users will remain in complete control over their wallet and keys. The wallet can be used to make transfers and in the future on the IoC exchange for peer-to-peer trading. The wallet runs in the browser and works on any device.

The wallet employs a fully decentralized storage system that retains data based on Proof of Work delivered by the browser. This makes it possible to store wallet preferences encrypted and decentralized. These processes occur automatically and in the background while using the wallet.