The Functions of AiBlocks
Like many other open sourced systems in this world, AiBlocks is created as an open, interoperable payment and currency system. There are a few key features of our blockchain that makes it a little different from others. Generally, most of the items will be the same as the predecessor network which is Stellar’s asset issuance, the network’s distributed order books and path payment systems that will be generally very useful in a fintech product in the future.
You can issue your own cryptocurrency running on our blockchain. It can be tradeable to represent any asset that you like.
Particularly, if this asset is represented by a real world physical asset like gold, silver or REIT, assets can be transferred at any moment of time, representing the value of the current asset class, turning it into a tradable digital commodity. For example, if you plan to digitize real estate in London that the bank values at £1,000,000. You can digitize the asset into 1,000,000 tokens called LREIT. LREIT collects rental at £5,000 a month. Since you own LREIT, you can sell the shares of LREIT to others to use it to trade or as a holding asset. Let’s say you would like to share the rental returns over a year to the owners of LREIT, you can issue Delos as a payment for participating in LREIT. Truly remarkable to think that you can own a piece of a London based property.
Think of AiBlocks as an expansion of your ideas, making it versatile fintech software that issues tokens, that can be seen, held or traded with any user. It is also highly configurable to achieve certain requirements set by yourself or a governing country. Here is the list of conditions you can set in order to hold AiBlocks or any other token on our blockchain.
You can have a requirement that they need to pass a KYC program
Control token via multi-signature accounts
Create time locked escrows for any account or asset
Enforce registration according to specific country laws for the token
All these functionalities are built into the system that we have today and tokenization is just part of the fundamental of the network making it fast and secure. It is a clear advantage to use AiBlocks, where redeeming and issuing assets is built into the system, taking advantage of the almost instant transaction time and ultra low transactional cost. You can get started quickly and easily.
Hassle free trading
Token trading on peer to peer network
The beauty about adopting the Stellar technology is the ability to trade tokens peer to peer without having to go through a major exchange. See, in the technology that we adopt today, it has an in build system that allows token holders to trade among peers.
The way it works is that users can submit their request very simply, whether to buy or to sell a particular token on the public network, and then the order will execute should there be a person wanting to take the order. It is built in the system that doesn’t need an intermediary or a third party validator to complete the transaction. To summarise this feature, it is a decentralized exchange built into the blockchain.
Among the many blockchains out there, this is unique to the Stellar network and now, it is unique to AiBlocks too. The protocol can keep track of transactions, balances all in a decentralized, ownerless way. This is so important because you are not trusting any third party to hold all your assets but you are holding your own assets. You are in full control of your own assets. The network guarantees settlement.
AiBlocks function like any other payment system in this world. It allows the user to send value to another person digitally.
The power of AiBlocks also allows a user to send a single currency, USD, GBP, Delos, AiBlocks or anything else and receive it in another currency like EUR, JPY or CNY. It gives users the ability to send money and have it exchanged without frills. The feature is called path payment. It is created so that paying and receiving payments are integrated seamlessly. So this is how it works.
The sender would use the native currency (USD) to transact to the receiver which wants to receive (GBP). After entering the amount the system would then start to search for USD/GBP pairs.
The system will find the best rate to convert USD to GBP from the decentralised exchange, taking into consideration the thousands of users around the world that want to either buy or sell USD/GBP, lock in the best price and display it back to the sender.
If the sender agrees to the exchange rate, then the transaction will be initiated with the USD deducted from the sender and the receiver will get GBP, almost instantly.
The transaction is done seamlessly so that neither party gets stuck with the token that they don't want to receive in.
The scenario above shows that the sender doesn’t have to keep GBP just to transact using USD and the receiver doesn’t have to receive USD just to exchange to GBP later on. No one in the middle will occur currency lost due to the time of exchange and having to pay lots of fees for banking charges.