The market capitalization of digital blockchain assets is increasing, with new use cases and the benefits of blockchain emerging every day. While digital assets are accepted in the blockchain world, they are still somewhat unpopular in the world of traditional finance. However, owners of digital assets have the same need - to be able to use, deposit, or liquidate their assets.
Institutions use storage services for real asset collateral, but there is no such storage for digital assets. This results in locked financial value for markets with large capitalization.
Digital assets do not have the necessary liquidity, and the owner must sell these assets to take advantage of their value. Sales involve high costs / taxes and eliminate the opportunity to profit from these assets in the future.
While theoretically possible, it is expensive, time consuming, inefficient and out of doors for lenders and private companies to build their own digital asset store.
Introducing The Depository Network
Depository Network will provide a secure, decentralized crypto asset asset system that can build hundreds of collateral storage platforms. In this way, each owner of a digital asset, holding a coin or token backed by a Depository Network, can pledge its assets as collateral and receive loans from a number of lending institutions. On the other hand, any lender, worldwide, will be able to build its own storage in the Storage Network and begin accepting digital assets as collateral. Accordingly, each lender will keep the collateral assets in separate independent storage. All lenders define their own terms for receiving, controlling, and releasing collateral. The loan will be granted independently from the Depository platform,
How Does It Work ?
- The crypto owner (borrower) signs a contract with the P2P loan platform, bank, or credit institution (lender) to receive a certain amount of money as a loan and gives coins / tokens tokens as collateral.
- The Storage Network system creates smart contracts (for smart contracted activated systems) or multisignatur addresses (for coins without smart contract support), and the borrower must send a certain number of negotiable coins to the contract or address. As soon as a coin is received and confirmed, the lender provides the loan requested to the borrower.
- The borrower repays the loan to the creditor according to their contract.
- Once the loan is repaid by the borrower to the lender, the transaction begins to the wallet provided by the borrower. Neither the assignor or the representative of the storage network may provide the necessary signatures to sign and transmit the transaction.
The Mission Of The Depository Network Project
- We believe that cryptocurrency is a futuristic asset. By building and deploying DEPO's multi-platform network globally, our goal is to reach a tipping point for mass adoption using blockchain assets in traditional lending.
- The Depository Network will provide a secure and decentralized assurance system for crypto assets where hundreds of collateral storage platforms can be built.
- Therefore, our product allows all holders of cryptocurrency who have coins supported by our platform to qualify for secure loan from a bank or a certified credit institution using the Network Depository system.
Benefits Of The Platform Depository Network
- Collateral smart contract
- Fully integrated with the lender's website
- Time and tax savings
- Flexibility - unlimited adjustment options
- Multi-signature collateral contract
- The borrower retains ownership of its digital assets, thus benefiting from any potential future value enhancement
- Independent service provider
- Quickly set
DEPO Token
The DEPO Token will be used from the lender to pay the annual fee for the arrangement and use the white label storage platform and the borrower to pay the cost to keep the collateral. Deploying a storage platform between the lender and the borrower will increase the demand for the DEPO token.