Talking About Blockchain and CryptoCurrency – Q&A With Lodex’s Founders

Cryptocurrencies, Bitcoins, Cryto Exchanges, ICOs and ongoing discussions around changing regulations are all hot topics in the Lodex office.

I am always in-awe of the knowledge our founders have and thought I would do a quick Q&A with Mic and Bill, to share some of their insights. Following are some of the questions we chatted about:

1. Why are you so interested in Cryptocurrencies and blockchain technology?

2. Why do you think this technology is the most exciting revolution since oil?

3. What exchanges/companies would you encourage people to watch?

4. What advice would you give someone looking to invest in this space?

1. Why are you so interested in Cryptocurrencies and Blockchain technology?

Mic – Blockchain technology promises to be able to facilitate transactions and the exchange of value, without the need for centralised powerful intermediaries, such as governments and banks, as arbiters of information. In addition, it promises to be able to protect the privacy of people, allowing them to sell or monetise their information as opposed to other social media platforms and ultimately allow those that are excluded from the financial system to be able to access it. These are huge paradigm shifts from where we are today. That said, blockchain technologies still have some ground to cover to realise their potential.
Cryptocurrencies are a logical evolution of paper currency and have come into vogue in recent times. At its core, cryptocurrency is the ultimate digital currency that has been designed to replace money as it’s secure and unregulated by financial institutions or banks. The possibility of what this means cannot be underestimated for global financial services and business threats and opportunities. Technology is the future.
Bill – Blockchain technology has already started experimentally replacing the complex steps of financial services such as the middle and back office, that today adds costs, time and risks for transactions to be cleared. The technology itself has the potential to replace all paperwork as well as the need of having multiple ledgers on a stand alone basis, which most of the time are inconsistent. Through decentralised ledgers (Blockchain technology) linked via a chain that is consistent and available to all participants and transactions, interactions become super automated. This is so exciting and needs to be considered as part of our Lodex mission to make financial services fast and simple.
Cryptocurrencies are becoming the ambassador of monetising values that are important but couldn’t be quantified until today, such as loyalty and creditworthiness. Some of them (not all) have already been identified as an alternative financial assets for many VCs and this is a trend that will definitely affect, in one way or another, financial services.

2. Why do you think this technology is the most exciting revolution since oil?

Mic – The real battle around the world right now is about data. The businesses with access to data, have been able to monetise it to their benefit. There are social media platforms that have created enormous network effects that become juggernauts and unbeatable. However, already with blockchain technology, we are starting to see businesses emerge enabling people to access, own and monetise their data, instead of social media platforms. Imagine, rather than consumers paying for services or products, businesses will pay them to buy their product or service. This is a massive shift.

Bill – Over the last 3 years there has been more data created in the system than created over the previous 30-40 years. You just need to remember your daily life without social media and smart phones back in 2000 and compare that with your daily life today. Big companies already know more about you than you know about yourself through predictive analytics and this affects the decisions we take and the way we shape our future. But also data availability has reduced the information gap between the two parties, when they interact, levelling  the playing field. So, if oil makes engines move, data moves decisions and this is the most powerful shift in recent economic history.

3. What exchanges/companies would you encourage people to watch?

Mic – There are a number of exchanges out there. Some of the more well known ones to watch are Coinbase, Binance, Coinspot, CoinTree, Kraken and Kucoin.

Bill – Coinbase and Binance provide great and consistent information on the fast moving evolution of Blockchain technology and cryptocurrencies.

4. What advice would you give someone looking to invest in this space?

Mic – It is a very young space and unregulated in most countries. Accordingly, there are risks associated with investing in digital tokens/coins, so research and read up on any tokens/coins that you are interested in, and take the time to understand how exchanges and wallets work. There are review forums which act as good sources of information and start off by paper trading (that is, without actually using your own money), and then when you are comfortable with the process, use a very small amount of money that you can afford to lose.

Cryptocurrencies have historically been very volatile, meaning that their prices can move up or down significantly day by day, so as an investor or buyer, please be aware of this.

Bill – Get informed. Try to understand the value, not the hype, through logical assumptions, as well as understanding the fundamentals of this new industry and the mechanics around these investments. They often consist of high risk investments so fund allocation of any kind you should always follow the profile of the investor as well as investment strategies that he/she follows for high risk investments. Last but not least in many countries cryptocurrencies are unregulated which is something that needs to be managed carefully and after thorough assessment.

5. What impact will this technology have on Lodex?

Mic – Blockchain technology will provide great opportunity for Lodex as it will enable our platform to help more consumers get access to more services at better prices. Watch this space.

Bill – Lodex created with the vision to make financial interactions simpler for both sides of the equation, we have proved that with a number of APIs that we have already integrated. Any technology that works towards this direction is our first priority and we do not afraid to be amongst the early adopters.

6. Why are you starting CryptoCoin Intelligence?

Mic – At Lodex, we believe in providing useful information to help consumers become or stay informed so they can make good decisions regarding their banking needs. We believe that Cryptocurrencies and Blockchain technology is going to have a profound effect on financial services and people generally, hence, we want to keep people informed so they are aware of the opportunities. We will be sharing information about Blockchain technologies, cryptocurrencies and major market news from around the world.
Bill – We strongly believe that Blockchain technology will soon start replacing core financial services processes, reducing costs and risks of current systems. We want our members to understand why and how this will affect their interactions with financial services tomorrow and this something we already do today with our other APIs such as Social Score, Credit Score, Property Reports etc. So for us engaging with Blockchain technology is part of what we do and is core to our DNA. Sharing knowledge of how Cryptocurrencies work and the future of the industry is also part of our educational process.

We are all obsessed about this space and our new News offering, CryptoCoin Intelligence.

Mic says “watch this exciting space” and Bill adds “having built core banking operations and decision models I could not be more excited with the changes that we are about to experience”.

Have any questions then reach out to use at customerservice@lodex.co and we will point you in the right direction.