Currencies are the primary tools for trade. Since the use of slates of information in the 14th century down to the 20th century when paper money became rampant, it’s evident that currencies, no matter how they are formulated, are the essential tools for exchanging goods and services. Such was the evolution that at a time, the United States Dollars (USD) was pegged to gold for stability. That drive opened up the opportunities for many other currencies to seek a similar framework.
Indeed, the stability of a currency is one of the factors that drive massive appeal and clamouring from many people. Investors love it when they can rely on the non-fluctuation of currencies. This was tenable with the pairing of gold and thee USD, before the latter became powerful and can now remain bullish even in the midst of the red markets.
THE MISSING LINK
The challenges that tore the ligament holding the different currencies and the trust they ought to have in stock for the users began to take a different route since the invention of cryptocurrencies. Digital assets/currencies otherwise called “cryptocurrencies” promised to cut off intermediary controls and restore the power over trade to the end-users. The currencies were successful at that, but failed in some aspects.
The first missing link is the “availability” of cryptocurrencies. Scarcity is one of the factors that add value to a currency, and except for Bitcoin (BTC) that diminishes by supply and is expected to mine the last crypto coins in 2041, only a few cryptocurrencies have towed the same path. Second and most important, only a few cryptocurrencies have been pegged to something of value. Instead, many of them are okay with the pegging to fiat currencies like the USD instead of gunning for the bigger assets like the Gold Standard, which was once used by the USD.
THE SOLUTION
Amidst the challenges rocking cryptocurrencies and which also tend to expand the undervaluing of the currencies, the SORAIX platform has come with a brilliant solution in the form of the SORAIX token. Let’s see how the token could be the recourse for facilitating an improvement in the fortunes of cryptocurrencies.
THE ROLE OF THE SORAIX TOKEN
Worthy of note is that the SORAIX platform has a dedicated platform where emerging and startup cryptocurrency and blockchain-based projects can raise capital. They would use its Equity Token Offering (ETO) not only to raise the seed capital faster, but to also issue Equity Tokens that are less susceptible to price fluctuations.
Once the companies or projects have successfully issued the Equity Tokens to investors in exchange for funds, a portion of the issued tokens would be remitted to the SORAIX platform to serve as the listing fee before the companies’ tokens would trade on its exchange. With that in place, the platform (SORAIX) would then proceed to pair the tokens it got against its built-in and native SORAIX Token (SRX) on a 1:1 exchange.
Interestingly, one peg of the issued Equity Tokens may be as high as $100. So, bringing it down as a pair to the SRX token implies that SORAIX is out to ensure that the value and demand for its native token (SRX) is not only high, but would promote scarcity, which is one attribute that many cryptocurrencies have failed to implement.
Moreover, the pegging to an Equity Token makes it a bit stable than the others pegged to fiat currencies alone. Above all, holders of the SORAIX Token (SRX) can always exchange them for the digital Equity Tokens issued by companies that work alongside SORAIX.
CONCLUSION
The much-needed stability of cryptocurrencies’ prices is already at hand. Thankfully, the propositions by the SORAIX platform are feasible, and I hope they achieve the long-term goals for the benefit of the crypto community.
USEFUL LINKS
Website: https://soraix.com/
Whitepaper: https://soraix.com/static/whitepaper.pdf
Telegram: https://t.me/soraixico
Twitter: https://twitter.com/Soraix3
Facebook: https://www.facebook.com/soraixteam/
AUTHOR'S DETAILS
Bitcointalk Username: Dannev
Bitcointalk Profile Link: https://bitcointalk.org/index.php?action=profile;u=2317961