There has been a great advancement in technology around the globe, and the blockchain technology is a good example of this advancement in the monetary sector, with the use of digital currency known as the cryptocurrency, for various commercial and transactional purposes. This currency has been a blessing and a curse to the economy; a blessing because it has created employment for people, improved standard of living of people and a curse because people have lost so much because of the existing blockchain payment system and the volatility of the cryptocurrency market. The Volatility of these digital currencies has slowed its adoption in some parts of the globe; also, the volatility of the cryptocurrency market, makes these cryptocurrencies somewhat unreliable and almost impossible to serve as a sound store of value. Thankfully, the Kinesis Monetary System has presented the public with feasible solutions to the problem by developing a fully decentralized, asset-backed monetary system that is and can be universally adopted.
Vision; To increase participation in the blockchain.
To facilitate the movement of capital, assets, and also improve commercial and economic activities in a very satisfying, sincere, unbiased and rewarding way.
Mission; To develop a monetary system that is based on fair use and returns according to the level of participation and also provide a solution for the world’s need for reliable and authentic money.
Yield, Blockchain/cryptocurrency technology, gold and silver are the primary elements of Kinesis. Most people in the crypto-sphere prefer to hold their crypto-assets in a bid to sell when the value increases, especially during the bearish market. This behaviour has increased the rate of holding in the crypto-sphere and restricted the use of more valuable currencies, and in the process inhibiting the movement of capital. Kinesishas embarked on a mission to improve the value and use of money by providing incentives to users of its currencies, in order to promote commercial and economic activities. Kinesishas provided proof of stability by backing its primary currencies in a 1:1 ratio with an allocated amount of the world’s most stable and valuable metals - gold and silver which is one of Kinesis’ primary elements.
Yield on the other hand which is also another element of Kinesisis permanently generated from economic activities, unlike the fiat currency that is debt-based interest.
The third element of Kinesiswhich is the Blockchain and Cryptocurrency technology is facilitated by a multifaceted yield system and most importantly an asset-backed currency. Kinesisis providing the globe with a more sound and reliable currency that can be very functional in the commercial and economic world and in the process raise capital from investors. The target markets are ;
- The Cryptocurrency Markets
- Gold & Silver Markets
- Fiat Currency Markets
- Investment Asset Markets
Kinesiswould change the whole monetary system with its stability, reduced risks, incentives, enabling participation safe and profitable at the same time. Every businessman aims at maximizing profit, minimizing risk and cost in his business, for the perpetuity of his business. These are mainly what kinesis monetary system is designed to do.
KinesisMarket Entry Strategy
The KinesisMonetary System have brought with them a strategic partner into the market. This strategic partnership is the Allocated Bullion Exchange (ABX) with website www.abx.com, is a global and very successful electronic exchange company for allocated physical gold, silver and precious metals as a whole. It has expanded with decent hubs and successful partnerships since its inception in 2013. It’s most recent partnership is with Deutsche Borse Group European Commodity Clearing (ECC) who are a body responsible for clearing and broad services.
The KinesisMonetary System consists of two unique phases of events that would assist in the development and inception of the system. These events include;
- 1.) KinesisInitial Token Offering (ITO)
- 2.) KinesisInitial Coin Offering (ITO)
(License:]: Kinesis Whitepaper
The Kinesis initial coin offering is set to commence on 12 November 2018, after the KVT ITO ends on 11 November 2018. The KAU and KAG which are the gold-backed coin and silver-backed coin respectively, are the first kinesis cryptocurrencies that would be circulated with each of them backed with a ratio of one is to one (1:1) by allocated physical precious metal.
Design Philosophy Of The KinesisMonetary System.
Addressing Cryptocurrency Market Problems
The major problem the KinesisMonetary System addresses in the cryptocurrency market is the volatility and instability in price and volume of cryptocurrencies. This problem has been the major reason why the adoption of cryptocurrency is some parts of the world is slow and also why these currencies have proved difficult in its efficiency to be used for commerce and economic activity. Kinesishas provided a solution to this problem by introducing currencies backed 1:1 with allocated physical gold and silver.
Addressing Fiat Currency Market Problems
Kinesisalso addresses the issue of the Fiat currency market with is based on a debt based interest. The devaluation and inflation of money in the Fiat currency market has always been prevalent causing negative effects on the economy. The rise of federal debt against GDP has a negative effect on the economy because as the debts continue to rise and accumulate the interest rates also increases. All these problems are as a result of having a central authority at the centre of the global monetary system. The KinesisMonetary system is a more stable and decentralized monetary system which beyond possible doubts would solve this issues we have faced in the Fiat currency market.
Addressing Asset-backed Currency Problems
Graham’s law of money states that “bad money drives out good money”. This law comes into practice when people are more likely to spend a less valuable currency than the more valuable one. This practice increases hoarding of currencies and reduces circulation that currency in commerce and economic activities. The Kinesismonetary system has provided a solution to overcome Graham’s law of money by issuing incentives to users of its currencies.
Another problem affiliated with the asset-backed currencies is that they do not have yield clung to them. The Kinesismonetary system solves this problem by attaching a yield of different degrees according to the active or passive participation of individuals.
Another problem is the problem of security where the asset-backed company are prone to fraudulent activities and theft. The Kinesismonetary system has provided a solution to this problem with its multi-layered third-party audit and verification system of the ABX quality assurance framework.
Addressing Bullion Market Problems
Provision of a digital over the counter trade system in the bullion exchange market which is non-existing in the present bullion market.
Kinesiswill solve the problem of siloed and inefficient market in the bullion market by aggregating global physical liquidity and integrating of the markets.
Kinesiswill solve the problem of inadequate resources in the bullion market by providing freedom to local market participants in expanding their space internationally.
Kinesiswill solve the problem of barriers to entry of the bullion market by interfacing trading centres and breaking down the barriers to entry to specific physical markets and finally, Kinesiswill solve market access problems faced in the existing bullion markets by ABX which allows
Suppliers to play the role of liquidity providers and easily have access to its exchange directly and even sell these precious metals at the offer price.
KinesisMonetary System Featured Components
Kinesisis a full global monetary system that comprises of all element and functions that is needed for a monetary system to be termed effective and successful. These elements functions as independent businesses within the group.
KinesisCurrency Exchange (KCX) - This plays the role of a wholesale market where manufacturing and minting of the currency are carried out via Allocated Bullion Exchange (ABX).
KinesisBlockchain Network (KBN) - This is the blockchain technology backing the Kinesissuite of cryptocurrencies. The spending, saving, trading and exchanging of cryptocurrency are all done with the help of this technology.
KinesisBlockchain Exchange (KBE) - This powered by the blockchain technology and serves as a medium for exchanging the Kinesiscurrencies and other compatible currencies.
KinesisFinancial Network (KFN) - This just like the mobile banking application. It is a mobile banking system where money transaction can be made online with the use of the kinesis currencies.
KinesisCommercial Centre (KCC) - This is the kinesis online aggregator platform where the kinesis currencies can be used as a legal form of payment for goods and services.
The Kinesisblockchain network is forked off the stellar blockchain network in a bid to obtain a high speed of transaction and high level of security to stimulate and facilitate transactions on the kinesis commercial centre (KCC). Improvements have been made in the KinesisMonetary system that would give more room for incentives and value-added features. The currency suite will be used to digitally cling one fine gram of gold contract to a digital token with a unique stamp at a minimum cast bar of 995. Also for the silver-backed Kinesiscurrency, 10 grams of silver will be attached to one unit of silver-backed currency and would also have a unique stamp and serial number.
There are existing wholesale contracts for larger domination of kilograms alongside 1000 troy ounces of silver. These will all have a designated serial number attached to the individual stamps and refiner assured via ABX and KCX.
Velocity-Based Yield System
(License]: Kinesis Whitepaper
Kinesishas developed a monetary system where incentives are given to participants according to their level of participation and the total velocity (which is the rate at which money changes hands) of the Kinesiscurrencies. The KinesisVelocity-Based yield system is developed from interest gotten from an economic output, unlike the Fiat currency market system that depends on debt-based systems. Tether is the most stable cryptocurrency in the existing Market which is backed by the US dollars. Kinesis has studied Tether and its velocity and has used it as an example to establish a better technology that would ensure that the price of the Kinesisvelocity token and currencies is stable with consistent velocity.
KinesisYield System Participants
The Kinesismonetary system provides incentives to participants who create (mint) the currency in the primary markets by exchanging gold or silver for kinesis tokens and then spending these tokens in the secondary market.
Kinesisencourages minters by increasing their yield according to the number of tokens they create. They also give them a decent amount of interest on the total Kinesistoken that they have created since they started creating them.
This yield is made specifically for the passive participants in the system that might just want to hold the Kinesiscurrency and token for a while.
The Kinesisholder yield is designed in such a way that it can compete with bank deposits, dividend yields and property rental yield as holders enjoy benefits of the economic activity of the system while their money is stored safely and used in capital circulation.
This is a yield that is obtained by a participant who refers to or invites other participants and new users to the system.
The yield obtained from a user’s first direct deposit into their private KinesisWallet.
The higher the velocity, the higher the yield.
Depositors receive a decent proportion of the transaction fees as a yield forever, on the Kinesiscurrency or token bought, exchanged and used.
Kinesis Road Map and Timeline
Abas is an investor and holds a decent amount of cryptocurrencies. He has lost a lot of money due to the volatility of the cryptocurrency he bought, he plans to exchange everything to fiat as leaving it in tether would not be beneficial to him anyways. He started searching the web to look for a monetary system that can let him enjoy the economic activity of the system while they hold his money with an adequate store of value and featured holders incentives. He found Kinesisand converted all his cryptocurrencies to the Kinesiscurrency has it’s more stable with consistent velocity and also gain incentives from holding. Abas is now sure of the value of his kinesis cryptocurrencies would not go to dust overnight and he can always invest and use Kinesisfor diverse economic and commercial activities he pleases.
Aniefon is a retired old man that is looking for a suitable monetary system he could invest his money that would yield returns for his family. He has heard several stories about the blockchain and its volatility, so he had doubts in investing until his grandson told him about Kinesisand the solutions its provided to the problems occurring in the existing markets. He was a bit sceptical and needed more conviction until his grandson mentioned the Kinesismonetary system philosophy where it’s currency are backed 1:1 with allocated physical gold and silver which are known for their stability. Aniefon quickly read about the project and invested his money, now he can trust his money to be a suitable store of value, easily exchanged efficiently and not devalue spontaneously.
Kinesismonetary system is the future of good and sustainable money. It is designed to correct the existing flawed cryptocurrencies in the market. The Kinesismonetary system is not a farce or fictitious, it is well planned by professionals in the market, banking, exchange and all other fields affiliated with the blockchain technology and economics. It has a classic distribution network that can be classified as top-notch and a safe and high transaction speed in the exchange and use of the Kinesiscurrencies.
Further Reading and Information about Kinesis
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