Stepan Tsaturyan, the chief technology officer (CTO) of crypto-finance and digital asset management firm Zichain, explains how the company’s products can manage funds.
What is the process of setting up funds using the blockchain asset management platform (BAMP) application and how exactly are the portfolios controlled?
The creation process for BAMP is a very intuitive process designed for fund managers who wish to set up a fund using the platform.
When a fund manager creates a fund, he describes the details of the particular fund (for example the name of the token, fees, a list of cryptocurrencies and exchanges etc) which should be used by the declaration.
The platform then automatically deploys an ERC20 token (a technical standard used for smart contracts using the Ethereum blockchain) for the declaration part of the fund setup process.
These tokens will then be distributed among investors. When investors invest cryptocurrency into a funding session, the system automatically creates a multi-sign smart contract for security purposes.
All crypto-streams are controlled by the rules of the multi-sign smart contracts and require a signature from all parties. After the investment process is completed an investor will receive tokens in their digital wallet and will be able to manage tokens within the platform.
How exactly is the market data for CryptoEye gathered and how is it distilled into a format useful to investors?
Market Data in CryptoEye is provided via three steps:
1. Collection of incoming data in a data warehouse: All incoming data has validation procedures and is collected in a data warehouse.
During this step, crypto-currency price data has a time latency of between 10 seconds to 5 minutes, while crypto-currency supply data is collected with a time latency of about 5 to 60 minutes.
2. Market Data Calculation: Based on stored data in the data warehouse (currency prices and supply), we calculate market indexes every 90 seconds with 0.0001% accuracy.
Which crypto indexes are covered across the five funds on TheIndex.Fund? What are the security requirements?
TheIndex.fund covers five crypto-currency indexes:
Blue Coins - blue chips of the crypto-currency market, including the top 5 crypto-currencies by market capitalisation.
Second Tier - the second echelon includes crypto-currencies that rank from 6 to 20 in terms of capitalisation. Together with the Blue Coins it covers more than 90% of the crypto-currency market.
Currencies, Services, Platforms - industry indices. In aggregate, they cover the top 50 crypto-currencies in terms of market capitalisation, divided by their respective sectors.
A detailed methodology for each index can be found here
How are the rates for crypto-currency on Zichange.io calculated? What payment options are available?
Indicative rates for crypto-currency are calculated based on the market data of our liquidity providers - crypto exchanges and OTC desks.
Currently, the available payment method is wire transfer in euros, but there are plans to support US dollars, British pounds, and Swiss francs in the near future.
What features will be available in the Zichain beta and what will be added in the final product?
These are the primary features which will be in beta:
1. Release of the BAMP 1.0 (Beta) which will be the trading platform supporting all major exchanges within one terminal.
2. Launch of the full range of index funds for TheIndex.Fund.
3. Integration of ZiChange services and investment products of TheIndex.Fund into the CryptoEye 2.0 and the release of the iOS and Android mobile applications for CryptoEye 2.0.