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Economic meltdowns are bound to occur in the future, and currency devaluation is one of the repercussions as governments tend to print more money. Depreciation has its effect on businesses that depend on fiat to manage cash flow. Furthermore, businesses and companies that save their money in banks end up attracting minimal returns of less than 0.1% per annum.
With cryptocurrencies, businesses are potentially in a better position, considering that digital assets have a global reach, to remain afloat during local economic crises. However, despite cryptocurrencies like Bitcoin being widely adopted, they still experience high price volatility. Businesses can therefore not fully rely on such assets to manage cash flow.
AuDeFi introduces an alternative digital asset that enables businesses to manage cash flow. The project has developed the world’s first non-speculative crypto-asset called Cryptium. The project aims to eliminate the effect of price volatility.
What is Cryptium?
Cryptium by AuDeFi is the world’s first non-speculative crypto-asset, eliminating the issue of price volatility. This crypto-annuity token helps businesses to manage extra cash while providing high yields. With Cryptium, businesses can earn predictable dividends meant to replenish their accounts to cover operational costs.
The token is also backed by Dragon’s Vault, a globally distributed investment fund. The asset will become Dragon’s Vault’s core financial instrument supporting a portfolio of companies and their operational cash flow. Furthermore, Cryptium is pegged against gold, unlike the USD.
At launch, 7,680,000 tokens will be privately sold at an initial price of $0.13 and locked until the staking portal and Cryptium token are fully operational. Additionally, 40,320,000 tokens will be sold publicly on Uniswap at an initial price of $0.19. Dragon’s Vault will manage an investment fund of 50 million Cryptium tokens to attract operational businesses and their excess cash flows through a matching contribution. Businesses will have to bring external money into the Cryptium ecosystem in order to unlock these additional funds. Meanwhile, this investment fund will buy equity from the companies it invests in, which will further lead to significant returns to fuel the growth of future generations of small and medium-size businesses (SMBs).
What is Cryptium Value Proposition?
Cryptium introduces the following unique features to the cryptocurrency sphere.
Non-Speculative Economic Returns
The token introduces non-speculative value extrapolated from the cash flow of businesses globally. This is a new financial vehicle that is contrary to equity or loans without cost to businesses. As the asset’s adoption continues, the value will have a high correlation to participants’ global cash flows.
Based on Cryptium’s underlying structure, the asset is bound to keep growing, earning investors profits through three main ways:
- For risk-averse investors: they can stake Cryptium and earn a safe, predictable return with protection against loss of value with an elastic supply mechanism
- For risk-tolerant investors: they can stake PAXG (gold-pegged stablecoin) with the assumption that they may lose their collateral in favor of the risk-averse investors if the growth of Cryptium is below a fixed value.
- For day-traders: they will not have to participate in the staking mechanism at all, but they will not be protected against price volatility from the elastic supply or collateral protection in place for stakers.
|risk-averse||risk-tolerant||day traders (highest risk)|
|Value protection Value = Quantity * Price||yes||yes||no|
|Growth potential||yes with ceiling cap||yes with no ceiling cap||yes with no ceiling cap|
Equity-Free Yield for Businesses
Cryptium is a decentralized investment platform with significant differences from traditional venture capital. Current venture capitals only release funds in various rounds of funding in exchange for equity.
From Cryptium, funds are disbursed daily during the staking period as a matching mechanism to the invested capital. As highlighted, Cryptium is less volatile than normal crypto-assets by offering a predictable cash flow.
The Bottom Line
The current cryptocurrency sector has some barriers toward mainstream adoption. Most specifically, the price volatility challenge continues to be problematic for businesses. Businesses are skeptical of converting extra cash flows to crypto over the fear of suffering losses. However, Cryptium is a real game-changer. By virtue of being the first global crypto-annuity that is non-speculative, investors and businesses are safer to use Cryptium as part of their operations than traditional fiat or crypto-currencies.
Therefore, Cryptium is a safeguard for financial well-being for smart investors and businesses alike. Join us on Discord to keep up to date with news about Cryptium.