Dehedge – Offering a Risk Hedging Platform for Investors
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The world of cryptocurrency trading and investing is already very well established. However, trying to keep track of everything that is going on is simply not that easy to do. To be honest, it is all too easy to end up losing your investment, or at least running at a loss thanks to the fluctuations in the market and how volatile it can be.
This becomes an even larger problem when you have invested in various digital currencies, which is why having a method that simplifies things as much as possible will prove to be rather important. That is the very market that DeHedge is seeking to take advantage of, and it seems that they have spent a considerable amount of time determining what it is that people seek from a risk hedging platform.
What is DeHedge?
The platform that has been created by DeHedge is designed to effectively help investors to protect their cryptocurrency investments from the often severe fluctuations in exchange rates that can occur in the market. At the same time, there will also be protection from scams, those projects that are then cancelled and other issues that can really plague the entire industry.
What they are effectively doing is acting as a shield for investors in what will often be a volatile marketplace. Considering the amount of money that can be set aside for a single investment, then this service, which is almost like a form of insurance, should be warmly welcomed by many cryptocurrency investors.
The Technical Aspect of DeHedge
From a technical perspective, the way in which the project tackles these issues is very easy to follow. As an investor, you enter into a Smart Contract with DeHedge themselves who would then pay out should there be any issues as described above. This is achieved as they are operating a decentralized insurance marketplace with an automatic payout when something goes wrong with an event that is covered by the insurance.
The Smart Contracts are also based on the Ethereum blockchain as that is at the absolute root of the entire platform. This provides additional security measures as well as a more sustainable way to scale up the platform without it placing extra strain on other areas.
At the same time, they also offer a system whereby investors can negate the idea of an automated payout, and if the price drops below a certain figure then they can offer to sell their tokens to DeHedge. This payout is sent using either ETH or BTC, or the other alternative is to simply ride out the storm if you believe that the price will indeed move upwards in the near future.
The company also uses Smart Contracts alongside an algorithm that means they are never able to issue insurance policies that exceed their insurance reserves. This is done to protect investors as the money is always going to be there for a payout, if required, and there is no sense of them effectively insuring for an event and then being unable to do anything.
The Advantages of DeHedge
There are a number of pretty obvious advantages to the platform but perhaps the key one has to be the way in which your investments will be protected from unforeseen circumstances just as long as the event itself is covered by the insurance. This should provide a greater sense of confidence in taking not quite a full on gamble, but certainly a slightly higher risk rather than playing it completely safe all of the time.
Also, the way in which they have tied everything into their insurance reserves is also extremely important. You will also note that you can go to their website and study a list of insurance prices for various ICO’s that are currently available to help you in deciding on which one you wish to invest in. It will be with those options that you can ultimately claim back your tokens via your insurance if the price does indeed drop below a certain value.
The Financial Aspect and the ICO
The number of tokens that the company is producing is pretty vast with 10 billion tokens being created and 80% of them will be made available for sale during this period. You should also know that there is a minimum investment of 0.1 ETH which is not that high when compared to other opportunities that are currently out there.
For the ICO, they are going to be able to accept both ETH and BTC with a hard cap in place of 5000 ETH which is also not particularly high. They also plan on creating a price for the ICO which equates to 28,800 DHT for 1 ETH. This will then mean a price of 1 DHT for $0.02 so you can kind of understand the minimum investment level due to the relatively low price of one single token.
Overall Conclusion About DeHedge and the ICO
There are so many potential benefits associated with this product as the idea of being protected thanks to insurance with your investments does make the entire concept of investing appear to be far more favorable than before. Also, they make it abundantly clear as to what they are offering for insurance purposes, so there can be no way in which things can be misunderstood.
The product and service is strong, and it is easy to see why people would believe in taking out a policy with the company especially if they are relatively big hitters. The protection it provides is key, and as long as they can cover the payouts if required, then you can understand why people would see this as being a useful service.
From an investment point of view, then this ICO is strong and worth thinking about purely because of what it can offer the investor. There is a strong need for the service, and with an established team behind the product, then the chances of increasing your investment via this ICO are going to certainly be in your favor.