ABLE- PIONEERING A NEW ERA IN CRYPTOCURRENCY FINANCE
Traditional banks have always been the main center to acquire loans while offering other services. These banks operate on a business model using lending-deposit spread, which is the difference between the lending and deposit interest rate, wherein the banks actually act as a medium between financial depositors and the borrowers. These banks profit from this difference when they receive deposits at a low-interest rate and lend out at ridiculously high-interest rates and most times following a collateral.
In 2017, 80% of the gross income realized by traditional banks was from the average deposits and lending spread which was recorded at 6%, while only a small portion of 20% was generated from the non-interest income portion of the bank which included service fees, maintenance fees, and foreign exchange income.
Recently, traditional banks have ceased to be the only financial institution involved in lending and deposits following the inclusion of the cryptocurrency banking industry. However, the crypto-based banking industry providing lending and deposit functions employ a centralized operation structure. This is owing to the fact of the merging of the unsustainable huge interest rates and centrally operated services of traditional banks with a decentralized system. This renders these crypto-based financial enterprise banks susceptible to the weaknesses of traditional banking systems like the moral weakness of employees and the susceptibility to hacking as a result of the use of central servers.
The prevailing cryptocurrency banking system allocates the deposits and loans differently instead of connecting the depositors and borrowers. It is very obvious that the current cryptocurrency financial service providers could not eliminate the problem of intermediaries experienced in the banking system since their system was based on the centralized structure.
Also, cryptocurrency banks tend to concentrate majorly on either deposits or loans which makes sufficient liquidity and trading volumes difficult to achieve. In order to increase the trading volume and accumulate sufficient liquidity, there is the need for a cryptocurrency bank that directly links lenders and borrowers. There is also the need to directly connect users through an account that supports a manifold of banking and financial services which includes payroll and investments that are based on smart contracts.
Another major issue is the offering of high unsustainable interest rates of up to 10% on cryptocurrency deposits which entice customers to make deposits, leading to its sanction by governments of several countries in the world due to its ponzi-like interest rates.
There is no doubt that the banking services offered by crypto banks are still in their infancy and subject to the lack of a proven business model. These crypto banks experience problems in which an attempt to resolve has led to the separation of deposits from loans.
Basically, the purpose of the ABLE project is to employ decentralized services to financial and wealth management features that directly links demand and supply via an account using a peer-to-peer basis while validating a system that is very dependable.
Unlike the traditional banks and the centralized crypto-based financial banks, investors in the ABLE project could make receipts on higher interest rates while borrowers can assess loans at lower rates. Obviously, a win-win situation, making users comfortable regardless of the part of the deal they find themselves. This allows both investors and borrowers to partake of the value induced by the removal of the intermediaries in a system created by the ABLE project. As long as the lending and investing are controlled by the smart contract, the vulnerabilities arising from the moral weaknesses of employees and the risk of a data breach through the hacking of its central server are eliminated.
Also, the decentralization of financial businesses as projected by the ABLE project will remove the operational risks associated with banking operations. These operational risks are eliminated since the borrowers meet directly with the investor.
The ABLE project at its foremost stages will make available the following financial services:
Investing/lending which is facilitated by the investing lending matching engine.
Payroll and credit score loan: This is a future-ready service which allows for the payment of salary using cryptocurrency, and loan support using a payment service and credit scores.
Simplified payment and remittances services: The ABLE project will provide a simplified account address and also a reserve remittance.
Investment: ABLE provides an opportunity for individuals to invest in the project through an Initial Coin Offering(ICO). The ICO will be controlled by a smart contract. The ICO will be the means of benefiting from the numerous value propositions and the success of the ABLE project. Investors can click on ABLE ICO to participate in the exercise.
The ABLE ecosystem hugely consists of the ABLE accounts and provides support for third parties that will offer finance, wealth management, and micropayment services. The decentralized Exchange (DEX) will be incorporated into the ABLE project to save the various smart contracts based on a variety of smart contracts.
Using the ABLE ecosystem, multiple investment products are made easily accessible. Also, the ABLE network will provide an environment where different decentralized apps (DApps) and smart contracts can lead to the further development of the ABLE ecosystem through the employment of their services by the ABLE platform.
On the ABLE ecosystem, the currency used is the ABLE Coin and ABLE Dollar. The ABLE coin has been designed to be used as payment for service charges while the ABLE Dollar is used for interest payment.
The ABLE project has already secured a partnership with various platforms which allow for the easy implementation and adoption of the services of the ABLE project.
The ABLE project has been developed by a team of professionals with the goal of improving the global finance sector through the development of a decentralized finance system which not only solves the current challenges experienced by the sector but also offers superior services, ensuring sustainability and growth of the decentralized economy.
Individuals interested in finding out more about the ABLE project can use any of the following links:
WEBSITE: https://www.able-project.io
WHITEPAPER: https://www.able-project.io/data/AB_whitePaper_Eng_180502.pdf
TELEGRAM: https://t.me/ABLE_Project_EN
TWITTER: https://twitter.com/Ablecoinproject
FACEBOOK: https://www.facebook.com/ablecoinproject/
LINKEDIN: https://www.linkedin.com/company/13661933/
YOUTUBE: https://www.youtube.com/channel/UChRc3KUemnVI-riPFAIOntg
BTT USERNAME: KINGIGOLO
BTT LINK: https://bitcointalk.org/index.php?action=profile;u=1416347