Unlocking the Power of DeFi: Unleashing Real World Assets with MoneySwitch

Unlocking the Power of DeFi: Unleashing Real World Assets with MoneySwitch

The decentralized finance (DeFi) sector is reshaping the global financial landscape, breaking down barriers, and creating unparalleled opportunities for global investors. At the forefront of this revolution lies a handful of different protocols, and pioneers that have set the stage for innovative and sustainable financial solutions. However, the DeFi ecosystem’s potential is not fully realized until it establishes firm bridges with traditional finance, thus making real-world assets (RWAs) a crucial part of the equation. Enter MoneySwitch.

At MoneySwitch, we believe in a world where DeFi and traditional finance not only coexist but enhance one another, converging in harmony to unlock untapped potential and overcome longstanding challenges. Our mission revolves around eliminating the liquidity barriers faced by cross-border payment providers, using DeFi’s power to usher in real-time, liquidity - a proposition we believe aligns perfectly with Frax’s mission of creating a sustainable, decentralized finance ecosystem.

Bridging the Gap: MoneySwitch’s Value Proposition for Frax Finance

How can MoneySwitch bring value to the Frax ecosystem? We bring to the table a robust FinTech platform tailored to the needs of cross-border payment providers, designed for easy use, even for those unfamiliar with blockchain and digital assets… This fosters broader adoption, deeper liquidity pools, and enhanced customer satisfaction, providing the Frax community the opportunity to delve into a new, high-value client base and earn attractive interest rates.

Moreover, MoneySwitch can enrich the Frax ecosystem with our Liquidity as a Service (LaaS) layer. This innovative feature offers cross-border payment providers access to real-time liquidity outside of traditional constraints, such as time zones, trading hours, and banking holidays, solving a problem faced by SWIFT users - the need for pre-funding. This synergy can open a new revenue stream for the Frax community through the investment in RWA, with the money staked and invested provided as liquidity to real money service businesses.

Risk Management: Built Into the Core & Harnessing the Power of AI

At MoneySwitch, decisions to provide liquidity are supported by a state-of-the-art AI model. Our advanced AI technology plays a pivotal role in liquidity mapping and conducting comprehensive financial due diligence. It dives deeper by analyzing the last three years of a client’s transaction history to understand the velocity of money, further mitigating the risk of providing liquidity. This approach allows us to maintain stable utilization of our liquidity pool, all while ensuring each client’s creditworthiness, and minimizing potential interest rate risks. Our AI-driven philosophy Makes our approach to credit scoring, transparent, unbiased, and founded in mathematical models.

By examining the velocity of money in their operations, we can project and assess their financial performance. This ongoing health check allows us to ensure that our clients are meeting their projected numbers and operating in a financially sound manner. With this proactive approach, we can identify any potential issues early on and maintain a secure and thriving ecosystem for both our clients and investors.

A Revolutionary Leap in Transparency: Transforming DeFi with Real-World Asset Tokenization and Receivables

In the world of DeFi, the traditional approach has been based on collateral. However, past advancements have introduced real-world asset tokenization to the DeFi market. Unfortunately, the level of transparency offered by many of these tokenization models remains inadequate.

At MoneySwitch, we are pioneering a groundbreaking approach that combines the best of tokenization and the receivable model, elevating DeFi to a whole new dimension. By fusing these two concepts, we create a DeFi model that offers full transparency to all liquidity providers, who gains access to detailed information on each underlying transaction, including the recipient, repayment schedules, and more.

This enhanced level of transparency is a game-changer, instilling confidence in liquidity providers. Gone are the days of uncertainty; with MoneySwitch, there is complete transparency, ensuring a fully informed and secure lending experience. By bridging the gap between RWA, tokenized assets, and receivables, we are setting a new standard in DeFi, where trust, confidence and transparency reign supreme.

The Future is Bright: MoneySwitch and Frax

The future holds immense promise for both Frax and MoneySwitch. With MoneySwitch’s advanced AI intelligence layer, powered by on-chain data and activities, the potential for growth and optimization in the cross-border payment industry becomes boundless. This integration allows MoneySwitch to deliver cutting-edge solutions and services tailored to a capital-sensitive industry worth a staggering $190 trillion.

As for Frax, the collaboration with MoneySwitch opens up new horizons for expansion and diversification. By leveraging the platform’s real-time liquidity and risk management mechanisms, Frax gains a reliable channel to broaden its portfolio and explore diverse staking opportunities. This strategic alliance between Frax and MoneySwitch could mark a significant step towards driving innovation and redefining the future of decentralized finance in the global financial ecosystem. Together, we are poised to revolutionize the cross-border payment industry, elevating it to new heights of efficiency and accessibility, and shaping a bright future powered by DeFi, TradFi with cutting-edge financial solutions.

Onboarding a $12bn eco-system

We have so far established partnerships with entities in the cross-border payment industry. Combined, these partners contribute to an ecosystem that handles over $12bn annually, showcasing MoneySwitch’s integration capabilities in providing real-time liquidity.

Upcoming Beta Launch

We are preparing for our upcoming closed beta launch
More details regarding our launch and signed partners are coming very soon.

We invite the Frax community to join us in this transformative journey, offering a unique opportunity to invest in real-world assets and contribute to a better, more inclusive financial future. Together, we can make the leap into tomorrow’s finance, today.

We hope the FRAX community continues to be an integral part of our journey moving forward. If you have any questions or thoughts, please reach out to us.

We will also be at the KBW 2023 in Seoul & Token2049 in Singapore, we are looking forward to meeting you there!

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