Blockchain is the enabling technology for what’s believed to be the world’s first crypto-metal exchange.
MetalZoom.Energy is inviting South African miners to join it in disrupting the industry status quo.
“Our crypto-metal exchange will provide a platform for miners to auction physical metal to the global consumer without any interference,” says founder Marc Ward. “The blockchain technology ensures zero corruption and results in untampered supply and demand forces to play out transparently.”
Ward is a data scientist who scored a perfect 800 on the quantitative GRE and claims to have written an algorithm that correctly predicted the next move of the Nasdaq 100 futures market 88% of the time, more than 4 000 times each trading day.
He believes the markets, and prices of precious metals, are controlled by algorithmic dictates.
“I see it as a closed-loop algorithm that announces the prices continuously throughout the day across all futures markets and humans in brokerage firms reacting to the change in prices.” Because it is a closed loop, he says no-one can overwhelm the pricing mechanism.
Ward explains that MetalZoom.Energy aims to disrupt the system by using open source Linux Hyperledger Fabric blockchain to enable open bid auctions of cryptocurrency for metal delivery.
“The futures exchange settles in debt currency instead of metal delivery. We plan to disrupt this by having metal ready for delivery and enabling consumers and investors to bid for that metal delivery with cryptocurrencies across a transparent yet private blockchain framework.”
Other features of MetalZoom.Energy include crypto-metal mining, whereby miners will be able to initiate a mine to produce metal, according to Ward.
Those acquiring these metal delivery contracts would fund the miners directly via smart contracts with cryptocurrency payouts and expect delivery of the metal extracted by the miners via MetalZoom delivery services.
Ward will tour Africa next month to promote MetalZoom.Energy to the local crypto community and miners.