TDB: Please share with us how the XVC Tech strategic investment in TradeTogether will contribute to the development of Web3-centric funds?
Geoff Ira, Co-Founder & CEO, TradeTogether: XVC Tech & TradeTogether share the same vision of bringing more transparency to generating Return on Investment from Blockchain. The XDC network is one of the few blockchains in the world dedicated to Trade Finance, which is a massive global market (USD 10 Trillion in 2023). In this regard, we share the same goals in how we allocate capital (Centrics) to solve tangible current problems in Trade Finance.
TDB: How will this unlock enhanced regulatory compliance for TradeTogether?
Geoff Ira: The best way to assess counterparty risk is to understand whom you are lending to. Once this groundwork is laid, we are able to conduct the necessary due diligence and credit risk assessment to evaluate our counterparties. Controls such as travel rules (fund and wallet address identification) are tools that help us better manage risk, ultimately allowing us to serve our clients better by accurately determining associated risks. This is the work we carry out with our ecosystem, enabling us to meet international compliance standards and recommendations.
TDB: Given the perceived risks of crypto-assets, how is TradeTogether facilitating clients in making smarter and more prudent Web3 investments?
Geoff Ira: TradeTogether was founded by former Bankers and professionals in risk and cybersecurity who have integrated the concept of risk assessment and compliance rules as a cornerstone of the business. Ignoring these fundamentals is like exploring a city without a map. At TradeTogether, we have decided to tackle cybersecurity and risk issues as a must-do because that is what our clients prioritize first and foremost: growing their wealth, in Web3, safely. In addition to this, we offer our clients downside risk protection for those looking to safeguard their capital in case of high volatility.
TDB: Finally, what is the short to medium term outlook for Web3 investments given recent market volatility?
Geoff Ira: If you had decided to invest in Bitcoin on April 12, 2024, you would currently be experiencing a 13% loss as of the moment I am responding. With our Web3 fund product solution (TradeTogether Bitcoin Advantage Fund), your position would have been protected, limiting your exposure to no more than a 5% loss. At the same time, your potential capital gain could be 50% of Bitcoin’s increase by the end of the year 2024. This is one of TradeTogether’s key strategies to optimally support our clients with this type of digital asset.
TDB: What fundamental or macro-challenges need to be addressed first for it to become a viable asset class?
Geoff Ira: Let’s be boldly provocative. Leading institutions like BlackRock and Fidelity, along with smaller ones like TradeTogether, already regard Bitcoin as a viable asset. Today’s most successful consumer products in the crypto space are meme coins, which attract numerous retail investors seeking lucrative returns. I genuinely believe that Bitcoin will become for Institutions and Governments what meme coins like Dogecoin and PEPE are to retail customers. I invite you to revisit this discussion in 2030 to reassess this perspective and see how it has evolved.
