London, 08:00 Monday 8th June 2015. A world-first, Abacas™ enables Asset Managers to unlock the value of static assets and trade these digitally through Assets Backed by Custody (ABCs).The biggest innovation in finance since the digitalisation of assets this century, Abacas™ creates a whole new source of liquidity within a regulated, transparent and secure exchange.
Never before has there been an exchange that facilitates direct asset-for-asset trades. A product of Abacas™, ABCs are a significant step beyond digital currencies as they are hard-wired to a physical asset in custody, so the intrinsic value of the digital asset will always equal the value of the physical asset; a method that is far superior when performing as a trusted form of exchange.
Abacas™ enables qualified asset purveyors to trade static assets freely using ABCs – including commodities, bonds and equities. With ABCs, assets can be exchanged in just one single transaction, for example to buy UK stocks using gold. Prior to the availability of the Abacas™ Exchange, this process would take up to three transactions and up to two fund transfers, each incurring a fee.
Challenges and issues facing Asset Managers have long been documented and Abacas™ provides powerful solutions across four key areas – risk mitigation, operational efficiency, cost reduction and revenue growth. Abacas™ also presents radical new trading opportunities in the form of direct asset-for-asset trading, asset-backed payments and the ability to trade seamlessly across asset classes. Already heralded as “transformative” by some of Abacas™’ first clients, ABCs are a compelling proposition as they have the security of being backed by physical assets; Asset Managers will be able to trade while their assets remain ‘parked’, vastly saving time and reducing costs.
Driven by fractionalisation, Abacas™ brings asset monetisation and direct asset trading to mainstream markets, thereby revolutionising the way that the Asset Manager manages wealth globally. Says Morgan McDonnell, CEO Abacas™: “Abacas is pretty radical when you think about it – Asset Management finally meets Fintech. It brings the two industries together into a single clean delivery model; a digital currency and digital asset in one. Abacas means Asset Managers can conduct business much more effectively as they have direct access to a whole new source of liquidity, furthering the value proposition.”
Technology has profoundly impacted so many sectors; it’s created opportunities, sped up developments and levelled the playing field. As Marc Andreessen famously said, “software is eating the world” , and the world of financial services is no exception. Abacas™ is a timely addition to the Fintech trend for challenger products because it captures the opportunity to completely redefine the tools and processes in traditional financial frameworks.
As the Abacas™ product gains traction, people who have the appetite to make quicker transactions at lower costs will have access to a new concept in securities trading. For further information and to register to be one of the first Asset Managers to have access, visit www.abacas.global