Our business logic will be written on the Ethereum smart contract (and will be written on other smart contract platforms), and it’s using decentralized protocols in every place that we can. For every place that can’t, we have to be custodians because we're going after the entire market. We’re trying as hard to be decentralized and we are - in the avenues that are possible in the technology landscape.
Between being custodians and non-custodians, we’re a combination of both and we let you choose on the degree of the spectrum that you want to be on. If you don’t mind us being the custodians, you can earn interest and use payments instantly, etc. If you want to be the sole custodians, you can use the ease of use and last man partnerships that we’ve built, but you can’t earn interest.
Is India really ready for the Blockchain revolution? This is a question that I’ve asked myself quite often. If you look up ‘Blockchain startups’ on Google, the number of results you’ll get may give you the impression that India is a booming haven for blockchain enterprises and the people involved in them.
At Bank of Hodlers, we strive to create an open and transparent environment based on our philosophy of ‘freedom and responsibility’. Our core philosophy entails people over processes. When I started the Bank of Hodlers, I had every intention of bringing together a team of high performers.
We’re physically present and based out of India because that’s where Sanju and I, and the whole team, are based out of. The problem is, the Indian government hasn’t come out and clearly declared what you can and can’t do in the blockchain space.
If we want to do direct-to-account operations where we actually connect the crypto world with the fiat world, we have to be in compliance with the regulatory authorities that we and our users fall under. We, as a firm, have to be compliant with the Singapore laws. We have to be compliant with the American laws if our users are from the U.S. Similarly, if our users are from the EU, we have to be compliant with the EU laws. Not only do we have to comply with the Singapore laws, we have to be compliant with the users’ underlying jurisdiction laws.
ICOs were the mainstay of firms operating in the blockchain and cryptocurrency space, where billions of dollars were pumped into these companies with a promise of delivering something that would ‘change the world’. This phenomenon of excess capital being raised by ICOs particularly gained traction in the bull market of 2017, continuing well into 2018.
Once we decided what we wanted to do at Bank of Hodlers, the next thing on the agenda was to pull together a team capable of executing all that we intend to accomplish. We, at Bank of Hodlers, strongly believe that a firm is nothing but its people and the culture we build.
When Satoshi Nakamoto released the Whitepaper for Blockchain technology and Bitcoin, he did it with the intention of creating a decentralized payment system that works on a peer-to-peer network sharing protocol. Blockchain technology is the network on which bitcoin (and other currencies) can be transacted. The highlight of the technology was to present a system based on ‘trust’, that operated devoid of a centralized authority.