CoinLion is designed to be a blockchain-based trading platform for a range of cyber currencies, fiat money and even digitally managed non-cyber assets.
Token issuance if not the total market cap of both cryptocurrency and digitally managed assets continues to climb. More and more assets that were managed traditionally are now being managed digitally. But how does one have access to a central system where it is all done in one place?
CoinLion offers the solution to a problem which will confront the entire blockchain development world for the next several years and iterations of the technology and its uses.
We recently sat down with Josh Dewitt, the CEO of CoinLion to have a chat with him about the project as well as finding out his thoughts and insights.
Hi, Josh. Thanks for joining us today. Can you tell us more about yourself and CoinLion?
Yes, thanks for having me. My background is in the financial industry. My passion is in portfolio management and construction. Before starting CoinLion, I was with Merrill Lynch working on a team managing traditional assets.
I first got into cryptocurrency through mining. I was fascinated with the technology and the ability to send transactions almost instantly at very low costs. I enjoy both the hardware and software aspect of mining. What really drew me to cryptocurrency was the mathematics driving the blockchain and all of the advantages that it provides.
First off, why did you decide to use blockchain in building CoinLion?
When it comes to asset management it is important to have transparency, immutability, and accuracy and that is what the blockchain provides. When you are tracking performance you need to have unbiased data to have 100% accuracy and many times in traditional assets you have individuals who want to skew or twist the numbers in their favor; this doesn’t happen with blockchain. We chose to work with blockchain because we wanted to create a system that is fully immutable when it comes to tracking performance and other data.
Also our entire team has a passion for new technology and making it easier for everyone to interact with technology.
Why did you decide to build this on an Ethereum core vs say Hyperledger?
We choose ethereum as it is the most widely distributed protocol that allows for the execution of turing-complete smart contracts. Right now, ethereum has provided the best practices and resources and has the longest history of successful projects launched on the blockchain. In addition, using an ERC20 token allows LION to be held in ethereum wallets, providing users ease of use and familiarity. This lends itself well as we build out the platform making it faster and easier to add tokens as they are launched. We are exploring other options for our own proprietary blockchains and will keep participants informed of our progress and releases.
Tell us about how you came up with the idea of CoinLion.
I was spending much of my time trying to figure out how to effectively manage portfolios of digital assets but found the lack of professional tools to be frustrating. There were no platforms available that had the tools needed to properly manage a portfolio.
There were also no platforms that incentivized users to share information and strategies related to the management of digital assets. This social aspect is something that is valuable not only to professional traders but casual investors as well.
In addition, there is a lack of research and analytics in the space. It was out of the desire to solve these problems that CoinLion was founded in early 2017.
Did you face a problem within the industry or do you think there is a gap in the market for CoinLion to fill?
The CoinLion platform is designed to address the challenges crypto investors face in the currently fragmented management and trading environment.
Existing exchanges and platforms have failed to deliver a powerful, secure, user-friendly platform that provides the tools, research, and education needed for the beginner, and advanced alike, to effectively manage digital assets.
Currently, there is a disconnect between the tools, research, and analytics that exist in the modern financial world and those that are available in the cryptocurrency and digital asset space to properly manage portfolios and execute strategies. This has created a cumbersome and confusing user experience, especially for the beginner.
Trading platforms today are also riddled with security issues that have caused a significant barrier to entry for a large percentage of the population. There is no trusted platform that provides crypto traders a community to learn, build, and grow their crypto holdings using simple and powerful tools.
What do you think is the biggest problem CoinLion will solve and why is the problem important to solve?
The biggest problem CoinLion is solving is the lack of professional tools when it comes to digital asset management. CoinLion is dedicated to bringing leadership, stability, and simplicity to digital asset investing through a single, trusted interface. Through a compliant, user-friendly portfolio management platform, CoinLion enables users to purchase and trade with confidence. CoinLion users join a community of cryptocurrency experts, which empowers and incentivizes its members to create and share portfolios, offer trade strategies, and share research they need to make highly informed decisions.
CoinLion will use strict criteria before adding new kinds of cryptocurrency. Can you explain a bit about that process?
We apply a due diligence process when accepting new coins/tokens on the platform. We also are working to add user voting on new coins that will be added and use the two processes in combination. We look at criteria like the team, token use, market potential, token economics, overall presentation and then apply a ranking system to new projects as we add them to the platform.
Editors Pick: CoinLion ICO
Digital asset management – of both crypto assets and other holdings – is one of the fastest growing areas of blockchain development. According to Deloitte, blockchain solutions that span industries and assets will be the area to watch for the next several years of vertical development. Connecting two or more
In the whitepaper, you talk quite a bit about the necessity to correlate digital asset values across different asset classes and blockchains if not cryptocurrencies and beyond. That is a huge task. How do you plan on tackling that?
In the future managers will want to understand how their digital assets are working together with their traditional assets. Crypto can be the ultimate hedge to a portfolio depending on what the correlation is between the crypto asset and the traditional asset in the portfolio. We are working on tools that will allow you to import in your traditional assets such as stocks, bonds, funds and view all of the them in one place. We then use statistical toolsets to solve for important data such as correlation, allocations, ratios, and more.
Regulation-wise, you clearly expect a lot of legal work ahead…and have budgeted a lot of your raise for the same. Why?
We have partnered with several world-class attorneys and legal teams who are working on the all of the required licenses that come with launching the platform. We will be releasing more info coming soon on what firms we are working with in addition to our in-house legal counsel. CoinLion’s mission is to be a trusted exchange and in order to navigate regulation, we need to make sure we are working with the best.
Are there limitations for users in certain countries or is CoinLion truly a global service that can be used by all?
We will follow regulatory guideline as to where we can operate without restrictions. We are a global platform and will restrict users if it is required by regulation.
What are the features that set your service apart from other exchanges that you think are most compelling?
The CoinLion platform consists of three main components working together to maximize the user’s trading experience. A crypto exchange focused on giving users the best trading experience possible. A portfolio management tool that allows for the easy creation and management of cryptocurrency portfolios. A social component that rewards users who create and share portfolios, strategies, and information with other users.
One of the most standout features that sets Coinlion apart is the portfolio management tool.
It allows users to create and manage portfolios in a simple and efficient manner. With the PMT users can buy and sell multiple assets with a single click. Users can select to purchase a group of assets by amount, quantity, or percentage, and submit the order in one click. Market orders will be executed at the best possible price across the various assets. Users can choose to execute these orders at the market price or choose to place more advanced orders for each asset. This allows portfolios to be managed easily and efficiently, putting the user in total control of their assets.
CoinLion PMT also allows users to publish portfolios and name their price in LION for allowing other users to track their portfolios. Publishers of portfolios can set a cost in LION for tracking a specific portfolio over a period: monthly, quarterly, semi-annual or yearly. This empowers users by providing a means to generate LION for creating and sharing portfolios. The user also has the option to allow their portfolio to be publicly tracked and published to the portfolio tracker within CoinLion. This allows to users to showcase their skills when it comes to managing digital assets, and in turn generate additional LION by driving traffic to the portfolio. Top performers on the CoinLion Platform will receive LION bonuses from CoinLion.
This tool in addition to a plethora of the other professional tools it what really makes CoinLion the most complete platform yet.
What has been your happiest moment so far working on CoinLion?
Every day there are new challenges. I have enjoyed working in crypto on all fronts from mining to trading and now building CoinLion.
I can say that it doesn’t feel like work even though you have to be on call 24/7 when starting a new company – especially a blockchain-based company that includes a token sale.
On the flipside, what has been the most painful, or perhaps the most regretful decision you’ve made with CoinLion?
I feel that our biggest challenge and mistake was not coming to market soon enough and then also not having the media coverage early on before we launched the token sale. Even though we are doing well and on pace to exceed all of our goals we feel we got off to a slower start and are still somewhat under the radar.
Is CoinLion already working with notable businesses or firms? Are there any future partnerships in process?
We have several great partnerships locally and then also have been in talks with several others. One to mention is Civic. We have discussed partnering with them and using Civic for KYC verification once the platform has launched. We are still deciding if that is going to be the best fit and user experience. We also have a few other companies we are partnered with and will be announcing these in the future as the relationships progress.
Tell us more about the LION token.
LION is a native token that interacts with the platform helping users learn, build, and grow. LION will create an ecosystem that rewards and incentivizes users to share and create portfolios, strategies, and research related to the management of digital assets.
What is its function on the platform and what can token-holders expect from it in the future?
Within the platform, users can spend and earn LION as shown below. There are also incentives to simply hold LION as well giving you access to various research. CoinLion will not limit the uses of LION and will be adding more uses as the platform is built out.
- Track and duplicate portfolios
- Trade for FREE within the LION Market
- Discounted trading when holding LION
- Create and manage multiple portfolios with the Portfolio Management Tool
- Access research and analytics within the CoinLion Library
- Access to ICOs launched on the platform at a discounted rate
- Advertise portfolios and promote your content on CoinLion and other platforms
- Allow users to track your portfolios
- Create and share content related to the management of cryptocurrencies
- Create and share research
- Create and share strategies with other users
- Allow advertising on your public profile
- Earn LION for being a top performer or researcher
- Create research for the CoinLion library
What do you think is the biggest challenge or obstacle CoinLion will face? How do you plan to tackle that challenge?
I think regulation going forward is going to be one of the biggest challenges. Partnering with world-class firms and building relationships through our advisory board will help us navigate these challenges.
Moving on to more personal stuff, what does a typical day in your life look like?
Right now since we are in the throes of the token sale I am pretty much on 24/7. In the morning I try to tackle the most important tasks for the day. Mornings are my time to be proactive while in the afternoon it often ends up being reactive. I do a lot of interviews and we have visitors at the office. I find myself educating people on crypto quite a bit. I also work late and in the evenings I put my headphones on and will just work until about 1 am. I’m continuing to work on the design of the platform and the research portal. I also always spend a few hours a day responding to emails. I try to be very hands-on and communicate with participants as quickly as possible. We really want to instill confidence in the team and that requires our presence and communication with our supporters.
Can you express one personal opinion of yours about the blockchain? It doesn’t matter if it’s negative or positive, we just want to hear your thoughts on it.
Blockchain is an incredible technology and I believe it is revolutionary. I come from the world of traditional finance. One of my first jobs was working as a banker. On a day-to-day basis, we would do many transactions all taking time and effort. Blockchain allows for near instantaneous, borderless, trustless, transactions and for someone who has done a lot of transactions that is very exciting.
Finally, what other personal goals (besides your career) do you have in life? Is there anything else in life you want to achieve?
I am recently married and live in Sioux Falls SD with my wife and two French bulldogs Lily and Watson. Sioux Falls is a rapidly growing city and there are good people here. My goal is to continue to build CoinLion, provide new jobs here locally, and help continue to drive forward technology and innovation. I also enjoy educating and motivating those around me to do what they love.
That concludes our Interview with Josh DeWitt
We’ll be scheduling even more exclusive interviews like this in the coming weeks to delve into the minds of what makes a blockchain startup tick as well asking the questions you want to know the most.
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