Tokenization

Tokenization is the process by which assets or sensitive data are replaced with an algorithmically generated series of numbers, known as a “token.” A large percentage of the global population has been exposed to tokenization in its simplest form, whether they know it or not. Some simple examples of tokenization include credit card payment processors, casino chips, subway cards, and virtual currencies (purchased in fiat) on popular mobile and online games. While the technology behind tokenization has dramatically increased over the past few decades, the idea remains the same—providing a safe and efficient way to transfer assets from one party to another.
Over the past few years, tokenization and the tokenization of assets have become hot topics across a number of industries as companies look to revolutionize their brands, increase their data security, and build upon emerging technologies. In the asset management industry, a number of venture capitalist groups with investments in the blockchain and cryptocurrencies have decided to go the route of tokenizing their funds. The intention of these companies is to increase their liquidity, have additional operational freedom, and reduce costs for both the investor and the company.

Overview of Tokenized Fund Companies

Tokenized funds render the entire venture capital investment process quick, cost-efficient, and transparent. Additionally, companies offering tokenized funds are able to cast a wider net of potential investors and, as a result, generate a larger amount of revenue for the fund’s use. However, there is one primary factor within tokenized funds that make them less transparent than they could be: Investors do not have any clue how their assets will be invested. Sure, companies provide a general overview of how the funds will be used, but sometimes, investors like additional clarity and transparency. The Membrana platform is here to provide that transparency.

Membrana

Membrana is a transparent, secure, trusted, and decentralized platform designed to bring both cryptocurrency investors and experienced traders together in a mutually beneficial agreement with the ultimate goal of generating profits for both parties. Building upon the concept of tokenized funds, Membrana grants the investor complete transparency to see which trades are being made on his or her behalf. Membrana offers the following to its customers which are investors and traders:
  • Safety and transparency of all transactions
  • Funds remain on the investor’s account
  • The ability to set trade parameters, including the requested yield on investment and stop-loss functionality
  • The possibility to attract investments in trust management
  • Support for all major cryptocurrency exchanges on a single terminal
Using a variety of complicated technologies, including smart contracts, ECDSA algorithms, oracles, and user-authentication integration, Membrana’s easy-to-use platform functionality is meant to ensure that each user of a platform has a positive experience. The alpha version (available for private testing now at https://alpha.membrana.io/) offers a first look into the platform and some of the features the final release plans to offer, including trading through API keys and displaying the terms of smart contracts through Etherscan. The beta version of the platform will be available end of Q2 2018 and will be built upon the alpha version by repairing bugs and offering additional features. The final release of Membrana is currently set for Q3 2018 and will offer a full release of the platform with basic functionality.
For additional information regarding the platform, check out the Membrana website at https://membrana.io/, which features the full whitepaper, a business overview, the roadmap, frequently asked questions, and an introduction of the team behind the platform.

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