Swapy Network - Universal Access to Credit

tharindualwis (28)in #swapynetwork • 7 years ago (edited)

What is Swapy?

Swapy is building a decentralized protocol with a suite of three integrated applications aiming to provide Universal Access to Credit. These applications are: (1) The Swapy Exchange, which aims to connect smart money to emerging economies. It will introduce international investors from countries where the interest rates are comparatively low to credit companies in countries where the interest rates are comparatively high, providing better returns to the investors and lower cost capital for the credit companies; (2) Swapy Financial ID, which aims to empower people, giving them a ﬁnancial identity that has the purpose to be valid anywhere in the world; (3) Swapy Data Market, which aims to transform users’ ﬁnancial data into self-determined value through a token-based system. This suite of decentralized applications will allow the individuals to hold their own data and to choose how many tokens they receive in exchange for it, and when, and with whom they want to share. The Swapy Data Market also aims to reduce the entrance barriers for new participants since huge pools of data will no longer be exclusive to large corporations, and instead will present an opportunity for the new entrants. The Swapy Company envision a world of eﬃcient credit markets, with no barriers to entry for new players, where consumers have the power and reap the beneﬁts of Universal Access to Credit.

The solutions of Swapy

Swapy Network is a decentralized protocol that aims to connect the various participants within the ﬁnancial industry:
(i) borrowers,
(ii) creditors,
(iii) insurers,
(iv) data producers,
(v) data consumers, and others.
With Swapy Network, individuals and/or companies are able to oﬀer or consume services and collaborate within the ecosystem to decrease the prices of ﬁnancial services, all the while being more inclusive of new entrants in the ﬁnancial industry. The fees to operate in Swapy Network will be charged in Swapy cryptographic tokens (SWAPY). This way, token holders will have access rights to use the Swapy Network, beneﬁting from and contributing to it, and receiving tokens in exchange. This section provides an overview of the Swapy Token, the proposed D’Apps, and the protocol itself. Technical details are discussed on Section 5.

How does Swapy Network aims to solve the problems of access to credit?

It facilitates oﬀers of credit in order to lower the costs of capital.
It eliminates information asymmetry between participants through a commonly shared and updated data network.
It provides better data so that credit companies can make better lending decisions and oﬀer lower rates to good clients.
It encourages lower cost capital and better information which can reduce entrance barriers for new companies.

This is Swapy Network market-based approach to accomplish the dream of Universal Access to Credit.

Details about Swapy Token

The Swapy Token (SWAPY) is a ERC2012 token and the basic unit of value in the Swapy Network. One unit will have 18 decimal points, which means that the lowest value one can hold is 0.000000000000000001 SWAPY.
The Swapy Token is an utility token and it will be used to (a) pay for the individual’s information, (b) pay for services in Swapy Network (such as credit scoring) and (c) be used as collateral when requesting loans, as soon as these features become available through the decentralized applications that are being developed by the Swapy team. The Swapy team expect that Swapy Network achieves sustainability and promote a virtuous cycle surrounding the issuance of a new cryptocurrency, promoting beneﬁts to the peers in the Swapy Network.
In addition to the protocol, the Swapy team is building three decentralized open-source applications that Swapy Tokens can be used in: (1) Swapy Financial ID, (2) Swapy Exchange, and (3) Swapy Data Market. Our concept is illustrated by Figure 4. Swapy Financial ID relies on smart contracts for self-sovereign identity, which is the basis for identiﬁcation inside the Swapy Protocol.

Swapy token distribution

The number of Tokens minted at launch will be 100,000,000 (One Hundred Million). There will be no new Swapy Tokens minted over time. Therefore, the total supply of tokens is known and ﬁnite. The distribution after the Token Generation event is illustrated the Figure and will be as follows:
(1) Credit Dream, Inc stockholders: 15% (Founders, employees and early investors);
(2) Credit Dream, Inc Endowment: 15%;
(3) Partners and advisors: 10%;
(4) External developers fund: 10%;
(5) Initial Coin Oﬀering: 50%.

It is important to emphasize that for the founders and employees there will be a mandatory vesting period of 1 year with a 6 months cliﬀ. For early investors, partners and advisors, there will be a lock up period of 6 months before they can sell any token. For security reasons, all contributions will be received in Ethers. If the token purchaser has ﬁat money or other cryptocurrency, he/she will have to exchange it to Ether in their favorite exchange. The hardcap is $30mi USD.