Kinesis Monetary System

owoblow-steemit (61)in #crypto • 6 years ago (edited)

Kinesis Monetary System

The vision of kinesis is to deliver an evolutionary step beyond any monetary system available in the world today.

It is a system that upon participation will enhance money as both a store value and as a medium of exchange.

In its mission statement, kinesis embraces and rewards its own currency, stimulating the movement of capital, acting as a system that encourages commerce and economic activities.

The basis of this system is the perpetual incentive and stimulus for money velocity.

Kinesis derives its outside capital through a very attractive risk/return ratio and then put into highly stimulated movement.

This is achieved through giving money an equal direct allocated asset backing and then attaching a very unique multifaceted yield system that supports the exchange and fairly shares the wealth generated by the Kinesis monetary system according to participation and capital velocity.

The primary aims of Kinesis are

Gold and silver
Yield
Blockchain and cryptocurrency technology.

However, anything that can be standardized, traded, and stored as value can be coated in the Kinesis system.
Also, attaching a yield to currency or assets tokens. The risk/return ratios can be forecasted and apparently, all currency and investment asset markets will be targeted and infiltrated into. As a result of this, more currencies and assets will be added, eventually infiltrating more markets spread all over the globe.

Benefits Of Having A Currency Backed By Gold Or Silver

One of Kinesis primary element is gold and silver.

It is the greatest stable and definable store of value for use in commercial and private transactions and investment. Backing the currencies by these elements means that full direct title to the bullion is allocated to the owner of the coin (KAU and KAG coins).

Allocated Bullion Exchange ABX

Kinesis and Kinesis monetary system has been developed in partnership with public company Allocated Bullion Exchange.

The development, roll out, and commencement of the monetary system is comprised of two series of events, distinct and unique. They include;

Initial Token Offering
Initial Coin Offering

Design Principles

Addressing Cryptocurrency Problems.

Due to volatility and price uncertainty in cryptocurrency and even the world’s largest coins, it is evident that they are non-viable stores of value , unsuitable as used for currencies and cannot facilitate global commerce. This characteristics amongst others prevent the masses from adopting these currencies as one would expect currencies to be stable and mimic a fixed article of exchange in the economy.

Addressing Fiat Currency Market Problems

Fiat currency since its inception has experienced devaluation collapse. This has had negative noteworthy implications on that currencies economy as well.

Fiat currency like cryptocurrency is a poor store of value. Various incentives have been made to keep the consumers spending to maintain economic growth in nominal terms like including central bank printing and devaluing money creating price inflation to keep commercial banks lending (without inflation taken into accounts), also, banks deposit globally are almost losing money in real terms by paying interest below the rate of inflation and as a result, the counter party risk incurred by a depositor for depositing fund with a bank is not fiscally responsible.

Given this information and countless others, it is obvious that having a central authority whether it be a bank or government, at the centre of a monetary system is inherently problematic.

Addressing asset-backed currency problems.

Gresham's law states “ bad money drives good money out”. This presents an intrinsic problem that affects both traditional currencies and asset-based cryptocurrency. The Kinesis monetary system defeats Gresham’s law by encouraging people to make use of a valuable currency through a multifaceted reward system based upon participation and money velocity.

Other asset-backed currencies problem originates also from the fact that precious metal and many other assets have no yields attached to them. Furthermore, assets backed currencies final and major problem is a result of security. With the rise in fraud cases, an investor would want to be cautious in who they invest with to avoid the risk of fraud and theft.

The Solution

In Kinesis monetary systems, the primary currencies are backed 1:1 with allocated physical gold and silver, the greatest stable and definable store of value for use in both commercial and private transaction as earlier stated.

Kinesis utilizes the multi-layered third-party audit and verification system of ABX’S quality assurance framework. ABX is a global wholesale spot bullion exchange which has been in perfect operation since 2013.

It has a large physical broker/dealers and traders around the world entrusting in its systems.

Also, large partnerships the likes of Deutsche Borse groups as well as large established mobile banking and vaulting partners. All bullion has a verified audit trail with multi-layered third-party audit and verification in place and regularly audited and transparent holding systems.

This answers to all of the problems listed earlier.

Bullion Market Problem

Currently, wholesale bullion market participant trade-over-the-counter(OTC) in the physical markets way outside the electronic mediums either via mail, in person, or on phone. This method is outdated, manual, less cheap, and completely unreliable. The local physical market is in a very siloed manner, independent and disconnected from one another.

Many organizations do not have the resources to conduct the necessary due diligence,understand the regulatory framework, and establish global operations.

There are significant barriers to entry into the local physical markets. Outside the centralized authorities including banks, the participant can only trade in their home region, therefore, limiting them to primarily local clients.
Furthermore, unlike the energy or base commodity space , precious metals producers and suppliers have no pre-existing way to enter into the wholesale market directly.

The Solution

Kinesis monetary system presents an ideal solution to these problems;

Kinesis via its partnership with ABX and their extensive network of institutional partners, and its operationally segregated wholesale contracts which offer serial number and bar hallmark, provides an ideal solution for bi-lateral wholesale trading through blockain.

Kinesis will efficiently interface this markets and aggregate global liquidity.

Kinesis system and technology will allow local market participants to expand their horizon internationally.

Furthermore, in the absence of pre-existing global aggregator platform, substantial price differentials exist in different liquidity centres around the globe, Kinesis eliminates the barriers to entry to each physical market and becomes an interface to these trading centers thereby allowing traders to arbitrage the differential. These additional markets enable them to benefit from international liquidity and attract international clients.

Currently, producers must sell to an intermediary and hit their “BID” which decreases their revenue materially, ABX provides the facility to enable suppliers to act as liquidity providers and access our exchange directly and sell metal at the offer price. Additionally, ABX integrates the physical trade cycle, allowing for end consumers to access the exchange directly.

Kinesis Monetary Syatem Featured Components

Kinesis is a full circle monetary made up of elements and functions required for successful and effective monetary system. They include:

Kinesis currency exchange KCX
Kinesis blockchain network KBN
Kinesis blockchain exchange KBE
Kinesis financial network KFN
Kinesis commercial center KCC

Kinesis Currency Suite

Kinesis 1:1 fully allocated asset-based digital currency suite will have the following products incorporated;

Reserve and Payment Currencies
Physical gold and silvers
Segregated physical gold and silver bars
Physical banknotes
Digital currencies
Investment currencies
Pair: physical silver/paper silver

VELOCITY BASED YIELD SYSTEM

Kinesis has developed a multi-faceted yield system that is specifically designed to attract institutional and retail capital while encouraging the use and velocity of the velocity suite.

Participants are rewarded based on their participation and overall velocity of the Kinesis currencies. This is purely derived from economic output rather than debt like fiat currency. In the cryptocurrency sphere, the Kinesis currency suite will provide a stabilizing force while its use will be strongly encouraged, thereby stimulating velocity.

Ultimately, a business can pay their employees’ with Kinesis currencies and begin to build a new revenue stream that also increases over time.
Private and institutional participants can circulate their capital and earn more as more Kinesis currencies travel through the system.