The last year has been an exciting one for Crypto market participants. The Cryptocurrency space across the board has been on the rise, as global monetary policy, and Central Bank interference, creates uncertainty in traditional capital markets. The Decentralized Finance space continues to expand as developers build out an assortment of applications and protocols that unlock permission-less financial instruments, that previously only banks and centralized financial intermediaries had access to.
Bitcoin itself has been getting a lot of attention from both the media and institutional investors. In May of 2020 renowned Hedge Fund manager Paul Tudor Jones disclosed a stake in Bitcoin, and said in a market outlook note he entitled ‘The Great Monetary Inflation.’: “If I am forced to forecast, my bet is it will be Bitcoin.” Prior to Jones, fund managers risked career suicide talking about Bitcoin. The proverbial glass ceiling had been shattered, and with it a tidal wave of institutional money has flooded into the cryptocurrency space. In August of 2020 MicroStategy CEO Michael Saylor announced his company would adopt Bitcoin as its primary treasury reserve with a purchase of 21,454 Bitcoin.
Most recently, Tesla’s CEO, Elon Musk, announced that Tesla had purchased $1.5B worth of Bitcoin, and would begin accepting it as payment. Currently in the traditional finance space yield and real returns are near 0%. It’s only a matter of time before traditional financial institutions begin to allocate investment arms into the Decentralized Finance space.
However, CEO’s and CFO’s currently face various problems. Enterprises that wish to leverage the potential that exists in DeFi have a much higher barrier to entry than the average retail participant. The “Key Man Clause” is a contractual clause that prohibits an investment firm or fund manager from new investments if one or more key persons are not available to devote the necessary time to the potential investment. In an emerging market that operates 24/7 such as Crypto, financial institutions can’t pivot and allocate funds towards a project as quickly as the average user. There are fiduciary duties that must be upheld. So, How do these enterprises find a bridge between traditional finance and DeFi?
The All-In-One Asset Management Solution: UNIDO
Unido is a revolutionary platform being built on top of Polkadot. The team behind Unido have been working to bring this product to market for quite some time. With the foresight to anticipate the Crypto custodial problems, development began in 2017 on a proprietary Multi-sig wallet platform, with interoperability to fit the needs of any blockchain platform.The major features of Unido included a centralized dashboard that will allow enterprises to plug into a suite of DeFi and Crypto Banking Management tools. As previously stated, the traditional markets are hungry for yield. DeFi offers many platforms with attractive APY(Annual Percentage Yield), where idle crypto assets can generate cash flows orders of magnitude greater than anywhere else in the world. Unido’s DeFi vault will offer management tools that will allow firms to gain exposure to these protocols all while maintaining proper custody and governance of those assets. This allows them to meet regulatory standards and compliance that they previously couldn’t achieve.
Unido also offers a business banking portal that will allow enterprises to manage day to day operational and capital expenditures. This portal will include a crypto payment solutions that will help to bring accelerated adoption to the cryptocurrency space. As more companies take a play out of Saylor’s playbook and begin to convert a fraction of their fiat currency reserves into crypto assets, Unido can offer a multitude of services that essentially bridge the two worlds into one. The Unido Wallet is already available on the Google Play Store and App Store in various jurisdictions. The frictionless adoption that this product brings is beneficial to not only enterprises, but to consumers as well.
The Bottom Line
As Financial companies, technology companies, high net worth individuals, and enterprises alike continue to acquire exposure to Crypto Assets, it is clear that Unido has strong product-market fit. The demand for an all-in-one solution sets the stage for strong value accrual for equity and token investors alike. Decentralized Finance is continuing to prove valuable, and the traditional space is starting to feel the heat. The firms that adapt will seek out platforms like Unido. With a first-mover advantage in the enterprise management space, Unido is positioned to capture a huge segment of the current market participants, and an even larger segment of those yet to come.
