Hyperion’s Goal of Regulatory Compliance
Founded in 2017, the Canadian-based Hyperion Exchange has made regulatory compliance a priority. Not only are they regulated by the SEC, but also by the US Financial Industry Regulatory Authority, and the non-profit Securities Investor Protection Corporation.
Recent comments made by Michael Zavet, Hyperion’s CEO, reflect their preparation for future regulatory enforcement.
It is likely such regulatory compliance which caught the attention of Kinesis, and their gold and silver backed digital currencies, otherwise known as stablecoins.
Stablecoins as a Reliable Alternative to Both Fiat and Volatile Cryptocurrencies
The popularity of Stablecoins is relatively new. Though the first project went live in 2014, a recent surge of Stablecoins throughout 2018 has likely been the result of the early 2018 Bitcoin crash, which brought down the larger digital currency market with it.
Stablecoins aim to bring stability to the frequently volatile cryptocurrency markets. Kinesis has utilized the commodities of gold and silver to promote such stability.
They have physical gold (KAU) and silver (KAG) secured in seven volts throughout the world: Sydney, Singapore, Hong-Kong, Dubai, Zurich, London, and New York. Such precious metals are digitalized on the blockchain, and can then be sent, traded, or even spent— using the Stellar blockchain— with a Kinesis debit card.
Ultimately, stablecoins offer the ability to exchange an asset-backed, relatively stable digital currency. Traders who want to escape the volatile cryptocurrency markets without turning to traditional fiat, can turn to stablecoins as offered by Kinesis.
The Implications of Increased Liquidity for Asset-Backed Stablecoins
The Memorandum of Understanding suggests a future listing of the Kinesis stablecoins on the Hyperion Exchange. It will allow for the Kinesis stablecoins to be available for exchange, as well as the Kinesis Velocity Token (KVT), which receives a portion of the transaction fees associated with the Kinesis Monetary System.
The new listing will bring added liquidity to the Kinesis digital currencies. As put forth by Ryan Case, the CCO of Kinesis Money,
Zavet, Hyperion’s CEO, made additional remarks concerning the compatibility of Hyperion and the currencies offered by Kinesis.
