Have you ever thought of the possibility of getting banking services within the blockchain? What if you are able to use cryptocurrencies for most of your real life needs wherein as of now you are forced to use traditional banking/financial services? This concept has been made possible through a new blockchain based website- Fusion.
I am going to chisel this article in an easy to understand way so that the readers can effortlessly get an overview of the project.
Internet of Value
The last few years have witnessed a drastic change in the way we see the internet. Internet of things (IoT) has now reduced to a mere part of the internet in a break from its previous position of entirety. Which means that besides being a great treasure of transferrable datas, Internet is now a place of values. Yes, we are living in the new era of internet of values(IoV). Advent and effective working of cryptocurrencies built upon blockchain technology and the much anticipated dependency of people on cryptocurrencies in near future has wide opened a niche for the world of cryptofinance.
Everything now we handle on internet got some value. Especially, if you are a person who uses cryptocurrencies in your day to day life there is no need to explain the value the internet has for you! At some point of your tenure here, you might have imagined the existence of an inclusive platform based on cryptocurrencies that would provide you financial services which you now undoubtedly seeks the help of traditional banks for. But the implementation of such a coordinative system is not as easy as we might think.
Trust and co-ordination issues
The main deterrents in implementing a financial system into the blockchain are the trust factor as well as the difficulty associated with the co-ordination of various blockchain technologies. Release of new tokens and ideas in every given day adds to the dilemma! Alhough the transfer of datas has become inexpensive over the years, the nascent phase of IOV(Internet of value) is still in reluctance to adapt to that cheap mode. Transfer of values on internet always incurs a cost to those who are involved in it. For instance, if you are about to interchange a token based on ERC-20 with a token powered by Neon, you have to approach an exchange and as a result a cost is levied upon you. Does that really sounds good? Give a thought!
Earning the trust of end users is another major problem when it comes to cryptofinance modelling. No person is going to entrust someone with their private keys unless there are sound reasons for credibility. Overcoming this predicament situation was in the list of importance when the idea of creating Fusion emerged. I will talk about it later.
So how the Fusion is going to be effective?
As per their Executive summary which I had gone through, Fusion is going to be a revolution in the realm of cryptofinance with their hitherto unforseen strategies to overcome the prevailing issues. Excerpts from the document-
At the advent of the Internet of Information, what we did was not to transform
the “postal system”, but to create a new “Email system”. Likewise, with the Inter-
net of Values at our doorstep, we hope to create a new system: a value transfer
infrastructure based on various tokens. FUSION can convert values across various
blockchains and can fulfill almost all the functionality of traditional finance, but in
a distributed and more efficient manner, with substantial cost savings. It also can
even achieve many unprecedented financial functions that cannot be imagined in
scenarios of centralized organizations.
Interoperability and trustworthiness are the key factors the Fusion is predominantly concentrating at. As I alluded earlier, Fusion is going to drastically reduce the cost that we have to bear while interchanging various tokens built upon various blockchains. Technically this one thing has been the biggest concern we have to struggle with when we set out for cryptofinance in the contemporary premises. This comes as a great boon to those who were scratching their heads over for a workable solution!
To attract the trust of flocks of crypto enthusiasts Fusion comes up with their core technology of DCRM(Distributed Control Rights Management). Fusion uses DCRM to control the private keys inorder to enable the mapping of cross chain cryptocurrencies. The private keys would be distributed in a decentralized manner to ensure no single node has any private key in its entirety.
It would be better to recite Fusion's own words about the security regarding private keys.
Separate tokens will be generated on the Fusion platform to represent those assets. This process is called "cryptoasset mapping".
This mechanism allows financial transactions of multiple currencies to occur within one platform in a secure and efficient manner, while maintaining the security integrity of the blockchain.
Withoud needing to any interpretation, the quoted words clearly says that all. Decentralisation is the solution this platform offers for the secure transactions and privacy of keys. What efficient way one can expect more than this?
A simple use case of Fusion
Since everything related to this platform is financial, it is too difficult to represent every single use case. One will be able to avail everything now he/she is approaching various financial institutions/Banks for through fusion by crypto assets they hold! I would like to point out one single use case here.
Suppose an end user A owns a house and wants to sell it for 100 Bitcoins ( A biggg house!), he/she can get it done through fusion. Here, let's assume user B who has 80 Bitcoins with him that makes 20 Bitcoins short of actual price of the house of the user B. Here comes the help of users, let's name them C,D,E and F. They each hold 5 Bitcoins worth tokens with them. If the user B is interested in buying the house, it can be made possible through the help C,D, E and F.
When a financial transaction is being done through Fusion both present and future contracts are taken into consideration. Fusion organises everything regardless what currency the end user does use. User B gets the loan of 20 Bitcoins and buys the house from the user A. Users C,D,E and F will be getting benefits of their long term investments! This way mitigates the troubles and creates win-win situation for every participants.
In the end of the day
- User A sells his/her home for 100 Bitcoins
- User B now owns the house despite being short of Bitcoins and owes the money to the Fusion. He pays in installments with a fixed interest rate.
- Users C,D,E and F now have made investments by using their various tokens for which they are benefitting as they wanted!
See the following video to get the picture in a visualised manner-
Yes, it is the resemblance of traditional banking in blockchain! An unprecedented revolution indeed. Isn't it?
To Know More and being a part of Fusion click on the following links-
- Fusion Website
- Fusion Summary
- Fusion WhitePaper
- Fusion Telegram
- Fusion Twitter
- Fusion Reddit
- Fusion BitcoinTalk
- Fusion Medium
- Fusion Videos Page
- Fusion Linkedin
- Fusion Facebook
- Fusion Github
This article is written by me for participating in the contest conducted by @originalworks
fusion2018