The electronic P2P cash system, known as bitcoin emerged in 2009 following the modern world’s worst ever financial crash. Satoshi Nakamoto saw the current centralized financial system in ruins and came up with an alternative that, as he believed, could change the entire financial landscape of the world for the better.
Despite operating as a payment system for several years, no applicable financial instrument was successfully implemented for the day to day bitcoin user.
After the inception of Ethereum (a decentralized app building platform through smart contracts), the new financial application started to develop and cryptocurrency banks began to hit the market.
The main issue faced by most cryptocurrency banks was that the advances of the implemented Ethereum Blockchain improved their technology but not their products.
This lack of implementation could have negative impacts on crypto banks’ future development. In post-2009, the banks were selling toxic assets to their clients. This happened as a result of the centralized systems jeopardizing the new industry with their inclination to corruption when it comes to controlling the information.
Using blockchain as a technology for running back-end procedures does not prevent this from happening again. Because of this, crypto banks cannot yet claim to be a viable alternative to traditional centralized banks, just as bitcoin cannot yet claim to be an alternative payment network.
Crypto startup PayPro is aiming to offer their clients a decentralized portfolio of financial services to guarantee the protection of their interests. The Gibraltar-based fintech startup will set up to make any financial Decentralized-Application (dApp) able to offer its services. PayPro will not grant itself the power to choose which dApps are accepted and which are not. Instead, it will employ a decentralized rating system to allow its community to make such choices.
If PayPro succeeds in reaching this goal, it could totally change the current insurance system, which would result in hundreds of new companies offering various different services. As a result, PayPro aims to develop an eco-system where competition is encouraged and improved services are acceptable for all users. This would be a stark contrast to what commonly happens with many current banks, decentralized banks and even crypto friendly banks.
PayPro is currently launching an Initial Coin Offering (ICO) for issuing its own tokens with a 10% bonus for early contributors. PayPro’s TGE has started on the 22nd of January 2018 and will end on the 28th of January 2018. The minimum contribution is 0.5 ETH which equates to 1,100 PIP.