Cyber Republic Weekly Update 20

Interview: AllianceBlock
By Jeremy G.
What is AllianceBlock and what real-world
problems are they solving?
AllianceBlock is establishing the Investment
Bank of the Future. By leveraging cutting-edge
technology, we collapse all departments of an
investment bank into one flat platform, and
provide SMEs with cheap, quick, and smart
access to regulated tokenized equity and/or
debt financing.
There are many problems we aim to solve.
From a corporate perspective:
Traditional finance -
Investment bank operations are inefficient,
costly, and constricted by legacy technology,
operating systems, and business models.
The financing and settlement process (bond
and share issuance) is long, expensive, and
complex, involving more than 10 departments
in a bank and around 50 people.
SMEs are considered high risk, low return
clients and it is more difficult and more
expensive to access capital (fees up to 11% for
an IPO).
Investor access to the best deals are not
objective and highly dependent on their
network.
Alternative finance -
Crowdfunding and crowdlending offer SMEs
an alternative to traditional banks, however
there is no advisory, no secondary liquidity, no
rating, and the failure rate stands at 75%.
ICOs were the most recent form of
alternative funding,focusing on startups.They
have high barrier to entry, lack safety and
transparency (10% of ICO funds were stolen in
2017, some $600m), and have a 66% failure
rate.
From an investor’s perspective:
Banks rate investors on the total revenues
they generate. During an IPO or a bond
issuance, the banker is at the center of the
equation and will show the deals to the
clients who pay them the most, annually,
making it hard for Tier 2 and Tier 3 institutions
to participate early (and at the best price) in
the best deals.
AllianceBlock:
AllianceBlock integrates all the parts of the
current financing model that investment
banks use (Syndicate, Advisory, Research,
Trading, Sales, Rating etc…) into ONE unique
platform.
It leverages blockchain technology to
provide a safe, transparent, and cheap
platform to issue regulated shares and bonds.
The platform is AI-powered. This enables a
fair, robust, and unbiased rating of
investment opportunities and investors, with
fast, seamless, and constant communication
between them. With no intermediary,
companies and investor interests are aligned.
Active Investors are constantly incentivized
and they can gain influence, followers, and
rewards.
Please introduce the team members. How
did you all meet? Which companies have you
worked with in the past?
Rachid started investing in ICOs in 2017. A
lover of logic, he was surprised at how
tedious, cloudy, and unsafe ICOs were. He
began thinking of a way to make it simple,
secure, and transparent. As his reputation
grew in the crypto community, he was
admitted to private groups on Telegram
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