ReMeChain, an innovative trading platform for sale and purchase of secondary metals uses smart contracts to provide a safe and fast means of conducting transactions. By doing so, it solves the global problems of the industry and acts as a guarantor of transparent transactions.
Today, the volume of turnover of scrap in the world market exceeds 560 million tons per year, and the cost of transactions is placed at around $160 billion. However, the huge market is still systematically inefficient. Buyers and suppliers lose millions of dollars because of procedural barriers for deal-making, lack of information on counterparties, widespread fraud, and inflated logistics costs.
ReMeChain is the first marketplace, uniting sellers and buyers in the secondary metals market. The project will serve as an open ecosystem with unprecedented transparency when it comes to transactions. The use of blockchain powered smart contracts keeps a record of all the operations conducted by participants on the network, which can be viewed by the entire community. This will enable open rating of counterparties and guarantee high-quality transaction executions.
The idea of consolidating the secondary markets arose in 2014 and the following year, the site lominfo.ru was launched to test the business idea. In the second quarter of 2017, a strong team of developers and partners was formed to fast-track the development of ReMeChain project. Since the past few months, the team is involved in the development of a fully functional project prototype.
The ReMeChain Pre-ICO and ICO are scheduled to be held in November respectively. During the Q4 2017, the alpha version of the platform will be tested by the crypto-investor community and other experts who have been involved in the raw-materials market. It will soon be followed by the launch of mobile application
The beta launch is scheduled for May 2018, which will happen in parallel with a PR campaign to attract buyers and suppliers to the innovative service offering. The ReMeChain platform will be first made available in Russia, followed by expansion into other countries.
ReMeChain will evolve and adapt for use in China in the 3rd quarter of 2018. Recall, that China is the largest consumer of secondary metal in the world – in 2016, the country imported 1.44 million tons. The demand for secondary metals is growing by 7-10% annually. By 2020, ReMeChain will integrate legislative and tax standards for barrier-free international trade. After 3 years, the projected turnover on the marketplace will be $982 million.
How the project will help the raw materials market.
ReMeChain will form the basis of a unified scrap metal scoring system, opening opportunities for international communication and business cooperation between small and medium-sized participants in the secondary metals market from different regions. Earlier, at the international level, only large companies could build trading chains. Integration into a unified system will undoubtedly lead to an increase in liquidity and the formation of an honest market price for scrap metal due to open information about all the representatives of the market, regardless of their business scale.
The ReMeChain project is also aimed at resolving environmental problems arising due to the turbulent activity of mining enterprises, leading to depletion of the global reserves of primary resources. ReMeChain will address the environmental issue by making the use of scrap metal in the production sector more attractive, leading to a rise in market volumes using smart contracts, attracting more producers and recycling companies.
In the foreseeable future, participants in the secondary materials market will have access to a system that allows real-time tracking of demand and supply for scrap of different types, select hundreds of bona fide counterparties and execute safe transactions based on RMC smart contracts.
ReMeChain cryptocurrency – RMC token.
To implement the trading platform, ReMeChain will issue its own cryptocurrency. RMC token is based on open source Ethereum protocol and will be used to conduct smart transactions on the exchange between sellers and buyers. The platform will create a total of 6,600,000 tokens out of which 600,000 tokens will be offered at a price of $1 apiece during the Pre-ICO held from November 11 until November 25, 2017. However, those participating in the Pre-ICO phase will receive a 20% bonus on token purchases.
How the Exchange is Organized
ReMeChain is designed to enable transactions for purchase and sale of secondary metals in record times. It will also offer resources to negotiate the parameters of the contract and assures the parties to a transaction of transparency of the counterparty and reliability of fulfillment of their obligations.
The conclusion of a transaction takes place in several stages:
- The buyer and the seller register on the site, fill in the legal information.
- The buyer chooses a suitable offer, exchanges fiat money for RMC – the project’s cryptocurrency.
- The parties agree to the terms of the transaction – conclude a smart contract.
- The buyer contributes funds that are reserved on the escrow account.
- Upon receipt of the goods, the buyer checks it for compliance with the conditions stated in the transaction. If the terms of the transaction are executed, the buyer confirms this within the ReMeСhain system, and the seller receives funds from the escrow account.
- The blockchain-network records the results of the transaction with the parties’ feedback.
ReMeChain will act as a bilateral guarantor in transactions for the purchase and sale of secondary metals. Before the transaction, the parties will be able to examine the counterparty’s reputation for prior activity. General evaluation standards will help the buyer to quickly find the desired lot, and the seller to form his proposal correctly. The opportunities for small and medium-sized businesses within the ReMeChain marketplace will be equal to the capabilities of large companies and enable them to conduct international trade, scale and develop.
Finally, according to its design, ReMeChain is the only decentralized marketplace that solves systemic problems at the global level. The project sets the standards of work, which will be gradually accepted by all market participants!