Despite its overwhelming success, the cryptocurrency space is still lacking the so-much-needed trust from institutional investors and other big players of the financial world. However, the technology underpinning most of the crypto projects is genuine, so it makes sense to work towards highlighting the significant advantages of blockchain and cryptography and converting them into various real-world use cases. VELIC wants to achieve that by developing a unified platform that would incorporate several crypto-related services, with a focus on an innovative asset management infrastructure which supports a multi-service arena in the form of an exchange.

VELIC aims to build a financial platform similar to Goldman Sachs’ Marquee, with the latter comprising trading and risk management solutions. From a broader perspective, the blockchain-oriented startup wants to prove to institutional investors that the cryptocurrency industry is mature enough to be entrusted with big amounts of funds.

The lack of trust in the blockchain systems is fading away, and VELIC intends to speed up the adoption of the distributed ledger technology (DLT) and sophisticated crypto services by providing a secure crypto-finance ecosystem.

The startup is also inspired by other big players of the traditional finance that turned to cryptocurrency. For example, Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange (NYSE), is backing a crypto futures trading platform called Bakkt. Other contributors are Starbucks, Microsoft, and BCG.

NYSE chairman and ICE CEO Jeff Sprecher is confident that cryptocurrencies will find their special place in the financial markets. He stated that digital assets would survive the current bearish sentiment.

VELIC’s Platform is All About High Security

While VELIC is not an isolated case — as more reputable players are entering the crypto space, including from Wall Street — the startup is keen to encourage institutional investors by providing a secure crypto exchange platform that houses a suite of crypto-finance services that comprise Asset Management, Vault, and Loans.

To ensure a high degree of security, VELIC applies its proprietary security protocol layer and a secret sharing protocol. The latter is about to play a significant role as it would act as the foundation upon which a wide range of crypto services might be deployed. The proprietary secret sharing protocol will make sure that neither VELIC members nor any other parties will ever have access to client data, including private keys. Even though VELIC has envisioned the most sophisticated security systems, users will still be able to recover the lost or stolen keys and transfer or recover the keys in extreme cases, such as the death of their owner.

VELIC Addresses Several Major Problems

For many, the cryptocurrency market is still at its nascent stage, which is why participants should be ready to encounter many challenges. Some of the most important problems that must be considered are:

- Hacking attacks — while blockchain is synonymous with the high degree of security and protection, some dApps are prone to hacking attacks.

- Risk management — the crypto market has become an ideal space for speculators. Some crypto service providers benefit from this situation and ignore to encourage proper risk management.

- Price volatility — high volatility is a well-known issue for most of the digital assets. Nonetheless, institutional investors are looking for long-term value proposition rather than short-term gains.

- Lack of decent crypto custody — solid crypto storage solutions which address both security and accessibility are a must-have for those who plan to serve institutional investors.

- Fragmentation — the cryptocurrency industry has an abundance of platforms and operators, but very few of them are open to mutual integration.

- Lack of Sophisticated Products — there is a high demand for sophisticated products that have prudent investors in mind.

- Separation from traditional finance — while some investors are happy to join the cryptocurrency bandwagon, most of them don’t want to leave the real world finance. Thus, a bridge between the crypto and traditional finance is more than welcomed.

VELIC aims to address most of these problems by providing a unified platform that would revolve around a crypto/fiat exchange, asset management, vault, and loan services. The platform applies the DLT in some of its key functions and is meant to ensure full integration between a wide range of financial services via a single user account. The ecosystem will be fueled by the VELT token, which will operate in combination with stable coin VELD.