Ten plus years since the introduction of cryptocurrencies, banks are slowly embracing these assets and the technology behind them – blockchain technology. There is growing realization within the industry that the technology isn't going away soon and could be the future of all financial transactions. This belief is supported by a recent survey by Deloitte that found out around 63% of top managers of some of the world's leading tech companies believe in the next five to ten years; digital assets would become alternatives to paper currency.
As of 2020, the banking sector has been experiencing a paradigm shift in readiness for digital transformation. The introduction of blockchain technology is among the top ten trends for the decade. And it's easy to see why the people leading these institutions are pushing for the technology given the many benefits they stand to gain, including an easier way to identify users, the ability to store data on a secure database that is accessible in different locations, the ability to reduce fraud which is rampant within the industry, help them to cut costs and so forth.
Marriage Between Crypto And Banking
There is a need for this marriage between cryptocurrencies and banking to happen. According to a study done by Deutsche Bank back in April, the Covid-19 pandemic was likely to accelerate the pace at which central banks worked on creating their own digital currencies. But we are a few years away. The problem today with cryptocurrencies as they are is they are highly volatile, lack scalability, and this limits the number of places they are accepted for transactions. Also, for an instrument to fit in as money, it must be consistent, predictable, and transparent.
Among the three, cryptocurrencies only meet transparency thanks to blockchain technology. But high volatility means they are highly unpredictable and inconsistent.
What is needed is a solution that combines traditional financial instruments' liquidity and stability with the transparency and security of blockchain technology. This is where MinePlex banking comes in -a CrossFi project that links banking to the blockchain technology through a mobile crypto bank with its own liquid token. The project's solution is finely balanced between blockchain technology, traditional financial systems, and mobile applications.
Cryptocurrencies were created to liberate people and give those that were excluded from finance access. They offer people the ability to control their own money, at their own convenience and spend it the way they like. But, on top of the problems we have mentioned above, accessing digital coins is a problem given that you either have to buy them from ATMs, which are in few limited locations, or on crypto exchanges, and that requires some education.
But imagine if they are combined with mobile phones. Today there are over 3 billion smartphone users. And thanks to easy access and convenience, mobile banking is expected to exceed 3.6 billion users by 2024, according to digital banking statistics.
This is what MinePlex is doing by offering a solution that reaps the maximum benefits of digital currencies and mobile banking technologies. The project is creating a reliable and convenient mobile cryptographic bank where people can use digital coins daily to buy goods, pay for bills, save and even grow assets from any corner of the world. Additional benefits include reduced costs, saving time spent contacting the bank, and users having guaranteed security for their funds.
At the start, MinePlex CryptoWallet will support MINE and PLEX, its two native tokens, and by spring of 2021, the project will introduce 20 more currencies, including USDT, BTC, and ETH. The native tokens will be generated through staking, and users will have the opportunity to earn 20% returns rewarded in PLEX for staking MINE tokens.
There will also be a P2P exchange that will allow for the fast and secure exchange of digital currencies. It will be linked to the project's crypto wallet enabling users to perform profitable crypto exchanges with each other by finding the best rates and even using debit cards or bank transfer.
Complete Banking Solution
MinePlex will be a complete banking solution aiming to cater to the financial, education, technology, and other sectors. Therefore, it will have a MinePlex debit card that can be used to access various services and goods within the economy. And aid in spending cryptographic currency easily in everyday transactions without restrictions or users having to pay exorbitant fees.
At the core of MinePlex banking is its blockchain built on the Tezos blockchain architecture that allows for changes and updates to happen without forcing hard forks. The architecture uses Liquid Proof of Stake (LPoS) that combines the decentralization of Proof of Work (PoW) with the scalability of Proof of Stake (PoS) systems. The architecture makes MinePlex one of the most decentralized staking networks available today.