The rise of the blockchain technology, as well as the rise in popularity of Bitcoin, Ethereum, and cryptocurrencies, have contributed to the growth of the digital currency industry which shows no sign of slowing down.
This rise, however, is not necessarily a move that reflects the real-world dynamics of cryptocurrencies. In fact, cryptocurrencies are nowhere near mass adoption in online or brick and mortar stores.
For now, cryptocurrencies are largely used by the tech-savvy but it’d be naive to deny the potential that digital currency has in the future.
Brickblock is a platform that helps cryptocurrency investors balance the price volatility of cryptocurrencies by allowing them to invest in real-world assets like ETFs and real estate funds without needing to convert crypto to cash.
In layman’s terms, Brickblock allows its users to diversify their investment portfolio by using cryptocurrencies to purchase real-world assets and funds.
As mentioned earlier, volatility is a recurring issue in cryptocurrencies (with no signs of it getting stable anytime soon); Brickblock plans to solve that problem by doing trades on the blockchain instead.
What sets Brickblock apart from its competitors is that the team has already developed and released the alpha version of the platform on the Ethereum blockchain.
In comparison to other ICOs that only release their product after the token sale, this significant step by Brickblock will boost investors’ confidence in the platform as well as the team’s ability to deliver the final product.
The alpha release of Brickblock also outlines the roadmap of the project as well as a showing a glimpse of Brickblock’s exciting future.
Brickblock is led by Martin Mischke and Jakob Drzazga, both individuals with tons of experience in the blockchain and financial sector.
Martin is the co-founder and ex-CFO of Bitwala, a blockchain-based payment service provider for remittances and international currency transfers as well as the CEO of Transistor, Germany’s largest fintech startup hub.
Drzazga, on the other hand, is a real estate developer who sees decentralization and the blockchain as a ripe opportunity to disrupt the real estate industry–in a good way.
The Brickblock Stock Market
Brickblock gives users an easy platform to hedge cryptocurrency portfolios against volatility.
Again, the platform allows you to convert cryptocurrencies into real-world assets like ETFs and REFs without the expensive fees which is the standard for modern exchanges.
Previously, if you wanted to opt into traditional funds with cryptocurrencies, you would have to bear expensive fees by first converting your crypto to fiat and then working through an alternative exchange.
This adds up a lot along the way because you’re incurring fees in 3-4 processes before you can actually invest.
Brickblock, however, has a better alternative.
By building the entire platform on the Ethereum blockchain which essentially makes it a decentralized app (DApp), you don’t have to wait 2 or 3 days to transfer your funds and then make a purchase.
Instead, your trade can be completed in minutes especially if your trade is within the time it takes for the network to complete several Ethereum block confirmations (which takes less than a couple of minutes).
Brickblock also has the unique advantage in that you don’t need a bank account to participate in the platform.
Brokers and fund managers can then list investment opportunities on the Brickblock platform with each opportunity being thoroughly verified and checked by Brickblock before being listed.
Security-wise, Brickblock will use verification systems like like proof of residence, credit reports, and even criminal record checks to verify listings in the platform.
Finally, Brickblock aims to introduce a transparent approach to trading by showing all financial information such as (but are not limited to) fees, minimum investment pools, and exchange rates.
All of these are clearly listed on the platform so users can easily see how much everything costs and therefore make an informed decision.
Brickblock has several interesting features in the platform:
Invest in cryptocurrency funds
Brickblock lets you invest in crypto funds which means you can invest in a variety of cryptocurrency assets easily. Instead of investing in one or two volatile cryptocurrencies, you can invest in a basket of crypto assets which is less risky.
Invest in ETFs
With Brickblock, you can invest in entire indices or industries with just a single share. The ETFs represent a diverse basket of stocks, bonds, and commodities which you can invest through the platform.
Invest in real estate
The platform also enables investments in real estate funds around the world.
A trusted fund manager will invest in real estate opportunities across the world of which the income from these investments will be transferred directly into your cryptocurrency wallet for token holders.
Fast, 24/7, and borderless trading
The Brickblock platform offers 24/7 trading which eliminates the large price spread of assets as well as eliminating volatility when the market closes.
Referencing an earlier paragraph, there is no need for a bank account to sign up on Brickblock. You can invest without a bank account which means users are not limited by geographical restrictions.
While modern settlements take up to 3 days to complete, Brickblock takes only a few minutes for transactions to be confirmed.
Assets are backed completely
All real-world assets are physically stored and are only claimable by Proof-of-Asset token holders. Dividend payouts are also linked to smart contracts that execute automatically when the agreed terms are met.
Transparent and secure trading
The Brickblock platform is fully transparent with all transactions and financial information being publicly available and trackable. Traders also have access to APIs which can be used to track their performance.
Brickblock will launch a token for sale for the BBT token.
Token name: BBT
Token base: Ethereum (ERC-20 compliant)
Token supply: 500,000,000 (255,000,000 on sale during the token sale)
Token sale duration: 31st of October, 2017 to the 21st of November, 2017
Token sale target: $50,000,000 (hard cap)
Token exchange rate: 1 BBT = $0.40-$0.60