What are Cryptocurrencies?

Cryptocurrencies are decentralized and cryptographic digital assets that can be used as a medium of exchange anywhere in the world with an internet connection. The agreement between parties is logged into an immutable public ledger, known as the blockchain, where any individual is able to view the transaction to verify the amount exchanged as well as the date and time of the transaction. Users of these digital currencies are able to remain pseudo-anonymous (sometimes completely anonymous, depending on the coin) and don’t require a third-party intermediary, such as a bank, to complete the transaction.
As a result of this revolutionary technology, the value of many modern cryptocurrencies we know today, such as Bitcoin, Ethereum, and Litecoin, boomed in value from when they were first released to now, as investors and traders sprinted to grab a piece of the “modern-day gold rush” taking place. In 2017 alone, the value of Bitcoin rose from a low of $960 to its peak of around $20,000, which amounts to an extraordinary 2,000% increase. It is also worth noting the increase in daily trading across the cryptocurrency global market is more than 20 times what it was in early 2017.
When trading and investing in cryptocurrency, there is a number of factors to take into account, such as the use case of the cryptocurrency, the team behind the coin development, and finally, the technical and fundamental analysis to ensure it is the right time to invest. While this may be second nature for some traders, others struggle with the challenge of consistently attempting to keep up with the latest news in the swift-moving ecosystem. The Membrana platform is a solution created to ensure that anyone can obtain high returns on their investments.

Introducing Membrana

Membrana is a transparent, secure, trusted, and decentralized platform designed to bring investors and experienced traders together in a mutually beneficial agreement with the ultimate goal of generating profits for both parties. Investors will provide their exchange API keys to the platform, and the selected trader will make trades on the investor’s behalf. At no point will the trader ever have direct access to the investor’s API keys, and the investor’s funds will always remain within the investor’s digital wallet. Once the terms of the contract are fully executed, the agreement ends, and both the investor and the trader can potentially gain some profit. As explained the steps below, Membrana is a sophisticated yet simple-to-use platform:
  1. First, the investor will provide his/her exchange API keys to the Membrana platform.
  2. The investor will select the amount of funds to trade via Membrana.
  3. The investor will set specific parameters of the trade, including the contract term, yield percentage, and stop-loss amount.
  4. From there, the investor will search for a suitable trader based on their past performance on the platform.
  5. Once a trader is selected, a smart contract will be executed.
  6. Once the conditions of smart contract are met, the smart contract ends, and the trader is given his or her commission percentage from the successful trades.

The Trust Management Market

In the investment world, trust asset management is a process where investors select asset managers to act on their behalf to maximize their investment portfolio. Despite the large fees an asset manager or investment group receives, the trust management market typically has a high demand worldwide. From 2002 to 2016, the amount of globally managed assets rose from $26.7 trillion to $69.1 trillion.
Some time ago, the global asset industry has seen a slight slowdown due to a number of factors, including the challenging investment landscape, an unwillingness to increase the use of data analytics/emerging technologies, and a decrease in the information given to investors on how their assets will be traded. In addition to the above, traditional trust management systems are also seen as risky to the investor due to the loss of control over invested funds, the lack of trust between investors and managers, and the lack of complete transparency when it comes to analyzing the returns of the managers or management groups investors do business with. Despite the problems described above, there has not been enough change across the industry to act more on the behalf of the investor.
As a result of emerging and consistently growing cryptocurrency markets, investors now have a new space to tap into to increase their profit margins. Since Bitcoin’s inception in 2009, there has been a large number of investment groups that have either been created overnight or have shifted their interests over to the cryptocurrency asset sector. Similar to dealing with traditional investment management groups, there is still a lack of trust within the digital asset investment industry. Investors either transfer their valuable cryptocurrencies over to investment groups, which is extremely risky, or invest funds into a management group in return for tokens as a confirmation of ownership. At the moment, the disadvantages of tokenized funds include a lack of liquidity and vague investment strategies that promise to yield tremendous gains in the market.

The Membrana Difference

Membrana has plans to flip the trust management industry upside down with cutting-edge technology combined with full transparency and trusted investing. Following the end of Q1 2018, the alpha version was completed, which included some of the following features:
  • The addition of API key support from the popular digital asset exchange Bittrex
  • Implementing Trader’s Rating System based on number of successful tradings in the past
  • The ability to view smart contract conditions via etherscan
The beta version of the platform, which will be completed by the end of Q2 2018, is planned to include some of the following features:
  • Support for API keys from the popular digital asset exchanges Binance and Kucoin
  • Recordings of the results of traders’ trades on the blockchain
  • Stop-loss functionality within smart contracts
The Membrana team plans to push the platform out to users in Q3 2018. For additional information regarding Membrana, check out Membrana’s website at Membrana.io, which features the full whitepaper, a business overview, a roadmap, frequently asked questions, and an introduction to the team behind the platform.