Hello Friends...happy to meet again with a great article today, as the development of increasingly sophisticated technology, as well as the development of the crypto world is very rapid, It will not be a strange thing on the next five or ten years, crypto world will be known by all levels of society, through this article I will introducing a very good project that is Cryptocoin insurance, It aims to create the first centralized option exchange. Why is the first exchange? Someone can remember the solutions offered by other market participants, but when they see it, it turns out this is about binary options or exchanges that only support Bitcoin. Unlike all solutions on the market today, Cryptocoin Insurance launches a classic option exchange. This will support put and call options for basic 10-20 cryptocurrency. Every client from an exchange, investor, hedger or speculator can buy or sell one of the options quoted.
The Only one Insurance
It is almost impossible to launch an option exchange without resolving some problems on the market. Of course, this is provided that the creator expects to receive real income from it, and not losses.The first problem is the lack of knowledge and competencies needed. Choice is a product that is difficult to understand. It takes several months for many users to master it. The majority of other people don't even try to understand this problem (because everything seems very difficult). However, we all remember that you have to work with a market tool that is not too attractive to the "crowd". And from this perspective, options are a great opportunity for income.In this case, the task is not only in option trading, but in creating exchanges, algorithms, risk management, etc. From the beginning. It's much easier to launch another simple cryptocurrency exchange and not have to bother with the problem above.The second problem is rather a "in mind" problem. Most of us believe that the option on the cryptocurrency market is utopia because of great volatility - no one wants to see the problem and find the answer, even though everything is actually quite simple.Let's take stock options on the American stock market. The market itself only trades a few hours a day. The rest of the time waiting for the opening of the next day, creating a potential big gap, when the news came out.
Just imagine that the stock is closed today at $ 2 and opened tomorrow with a difference of $ 8. 400% growth, large income for option buyers, and big losses for sellers. This is where volatility is very large and option sellers have enormous risks. How can this be compared to cryptocurrency? Indeed, there may be a fall or a strong increase during the day on the market. Bitcoin or Ether can change their prices by 10%, 20%, 30%. But not 400%, right? But there are other things that are most important. This change has no loopholes, which means that the option exchange allows to close a margin call transaction - ending the deposit but without heavy losses, such as in the stock market. The third problem is that everything is too simple until recently. What's this about? This is around a few hundred cryptocurrency exchanges, some of which are written as kitchen table efforts: that is, some programmers gather and offer ready-to-use solutions in a few weeks. Strangely, most of these solutions make money for their creators. The situation is different today. The sharp decline in volume (which is the main type of stock exchange revenue) literally closes the market entrance for new solutions that are poorly understood. Therefore, the focus is on many niche choices.
How Do You Get Your Cryptocoin Insurance?
The company has the following income sources:
• Insurance company. Cryptocoin Insurance sells insurance against market risks that go up or down for customers who don't want to deal with options. Actually, this is also an option, but it's repackaged in insurance that we already know to us.
Profits in this case are obtained from insurance sales and receive insurance premiums.
• Exchange options. The main income comes from the costs of each transaction. The amount is 0.5% per operation or 1% per round. In other words, the client pays 0.5% of the option price when buying and the other 0.5% when selling it later.
Increased option volatility, which allows the potential for profits to be far higher than in the spot market, does not make these costs important for buyers and sellers. At the same time, it allows exchanges to receive high income, compared to the usual cryptocurrency exchange, due to lack of competition.
Additional income is provided for taking tokens to the stock (listing). This will be a very important question for many ICOs. Suppose that certain coins have been registered on 10 exchanges. The listing on the eleventh will not really provide additional benefits to the company, but the list of these coins on the exchange will immediately increase demand for it. This request will be guaranteed by funds and long-term investors, because they will be able to protect their risk.
How Does It Work ?
Any natural or legal person can hedge the risk of the growth or fall of the main cryptocurrencies: BTC, ETH, XRP, etc. The insurance is paid at a fixed cost. The client is guided by the following data:
The current asset price,
The hedged asset price,
The number of the hedging days, and
The cost of hedging
ICO AND TOKEN DETAIL
Price of tokens 1,500 CCIN tokens = 1 ETH
Date of ICO November 1, 2018 – December 27, 2018
Minimum collection amount $0.5 M
ICO main target $5 M
Maximum collection amount $10 M
Token Alocation
Funds Distribution
The Roadmap
The Team
The Advisors
Conclusion-Cryptocoin insurance provides an opportunity to ensure the risk of rapid price changes without the need to end positions. This means that the fund is able to maintain a very large position (worth tens of millions of dollars) openly rather than stop it by stopping losses, with a difference that is not too large. Instead, he can pay for insurance, where (in the event of an insured event) the difference between the entry price and the fall point will be paid. Then, funds can hold positions for months and even years in an effort to maximize profits, with a maximum known level of risk.
For more information, let's check and visit us on the following links :
Website: http://ccin.io/
Whitepaper: http://ccin.io/doc/Whitepapereng.pdf
ANN Thread: https://bitcointalk.org/index.php?topic=4948618
Telegram: https://t.me/ccin_official
Facebook: https://www.facebook.com/ccinofficial/
Twitter: https://twitter.com/ccin_official
Author :poenjabie
Bitcointalk Profile : https://bitcointalk.org/index.php?action=profile;u=1328366
ETH : 0x284B867fA60f55D1AD79860B2BF6ac1B4bca6F14