Using the Blockchain Protocol to Transform the Financial Markets

in #blockchain9 years ago (edited)

sharpe-capital.png
Analysts and traders from all over the world are constantly trying to anticipate each other’s perception of the market - the reason is simple: to predict future asset prices. Moreover, a certain number of individual asset managers, sometimes, outperform the market. However, on average their success is nothing more than simply guessing. Could this possibly mean that the stock market is fundamentally unpredictable? Not at all! Most of the times, we, as humans, merely use the wrong approaches and the tools that are not so well suited for decision making.

A bold, innovative way of addressing this issue was the creation of the Sharpe Capital Investment Platform. How does this new system function? The platform is based on the operations performed by cutting-edge machine learning algorithms. How? Through the use of Artificial Neural Networks (at the core of the machine learning modelling algorithm), the platform succeeds in finding best patterns in financial data that are predictive of future asset price. It's worth mentioning that this is supplemented by advanced Natural Language Processing algorithms and analysis of current trends. This review is made through integration with social media channels and popular media outlets, in order to obtain a constant monitorization of the market sentiment, in real time.

Also, artificial intelligence leveraging blockchain technology is used to crowdsource market insights (pertinent, accurate and correct opinion of the users). This crowd sourcing of the insights (also called sentiment) is done through the Ethereum blockchain.

Platform participants earn ether in exchange for their stock market opinions and there is no risk of losing SHP tokens. The more value is provided by this insights, the more SHP is held by the users - and finally, the larger the reward becomes. Accuracy is rewarded through proof of reputation stored on the blockchain. The higher the reputation of the users, the larger the reward becomes. By doing so, Sharpe Capital manages to collect the best asset insights in the world.

How is the asset sentiment crowdsourced?
Users are presented with recent news announcements (regarding global equity markets) - then, they simply have to indicate positive or negative sentiment. This creates an unchanging reputation score, stored on the Ethereum blockchain.

Subject to regulatory approval, the platform needs to issue a crypto derivative token (called SCD) that allows the payment of dividends, according to the performance of the Sharpe fund. These payments will be issued from Ether reserves, by a trading ledger smart contract, which keeps an invariable real-time public record of Sharpe’s trading history.

Sharpe Capital is a highly effective prediction mechanism for hedge funds and investors.

This was the presentation of how Sharpe Capital was founded, operates and rewards its users and members, in just a few paragraphs.

If you want to change the investment market horizon, visit the official Sharpe Capital website at https://www.sharpe.capital and learn more about this platform. Also, download the latest version of the Sharpe Capital whitepaper and prepare to join the token generation event that is set to start at the beginning of November 2017.

Access the official WhitePaper and find out more regarding the road map of this project.

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Thank you for a well written article! I am a a true believer in blockchain, and I am sure it is going to change the financial sector completely!! I hadn't heard about Sharpe Capital...they sound really interesting!!

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Hi, really nice post! I would suggest to make a shorter and more powerfull introduction as it took a while for me to find out what this is about ;)

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