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Two Prime, a FinTech firm, launched and introduces cryptocurrency FF1

Two PrimeHong Kong-based FinTech firm Two Prime which focuses on financial applications of cryptocurrency, was launched by the company’s Chief Executive Officer Marc Fleury. The company has announced the creation of the FF Accretive Token (FF1) where up to 5 million tokens will be emitted into circulation onto secondary markets, such as exchanges.

The FF1 will de-risk digital assets, make calculated capital allocations and improve the fund’s performance by investing in real-world projects, including BabelFinance, a commercial crypto finance institution, and crypto investment fund NGC Ventures. The token is expected to be listed in Q1 2020 on Liquid, a cryptocurrency exchange with more than US $50 billion in transactions; and will have a securitized offering in the U.S.

Fleury, expounding on cryptocurrency stated, “It’s been 11 years since Satoshi Nakamoto published the now infamous Bitcoin Whitepaper. Despite its debut as an alternative financial architecture in reaction to the financial crisis, crypto has yet to reach its full potential as a viable asset. The industry has largely been focused on finding blockchain’s ‘killer app,’ which has not been fruitful thus far and largely ignores Bitcoin’s original thesis — financial applications.”

He further mentioned, “In order for the industry to mature and evolve, we must refocus on finance and take a look at where crypto has succeeded. Specifically, crypto has succeeded 1) as a store of value; 2) in rapid fund formation, as demonstrated during the ICO boom; and 3) in the prevalent use of asset-backed tokens in the markets. By bridging the best practices of traditional finance and crypto, our aim is to create a new asset class by applying traditional financial models and theories to crypto and bringing trust and professionalism to the industry.”

The FF1 funds will be invested in the blockchain sector in a structured portfolio of cryptocurrencies, debt, and equity instruments, bringing support to the space. Through the Continuous Token Offering (CTO) model, FF1 will replicate it in the private equity approach of staged, de-risked financing and will continuously release additional tokens into circulation in line with real demand.

“One of the greatest successes of cryptocurrencies is in rapid fund formation, as demonstrated during the ICO boom,” said Alexander S. Blum, Chief Operating Officer, Two Prime. “In 2017, seed funding for startups via tokens offerings on exchanges overtook private equity. As VCs generally shun the seed stage, it filled a niche that traditional financial players left unaddressed.”

He added, “In stark contrast with VC or PE structures that lock up limited partners to their investments for years, the ICOs provided a liquid instrument for purchasers. Unfortunately, in a classic case of misallocation, many ICOs in 2017 wasted their proceeds on useless tech, lavish parties, and illicit activities. With the CTO, Two Prime aims to bring traditional asset allocation to crypto in order to reignite rapid fund formation, restore the industry’s reputation, and professionalize the crypto markets.”

Two Prime aims to bring about the next phase of crypto’s financial applications and reinvigorate the crypto market by introducing traditional tools and models to the space.

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