An air of uncertainty surrounds Bitcoin and the greater cryptocurrency market, as news spreads regarding Bitfinex exchange and prominent stablecoin, Tether (USDT).
New York’s attorney general accused the owners of Bitfinex of covering up $850 million of missing funds, using Tether reserves to cover customer withdrawals instead.
The news triggered an immediate dive in the price of Bitcoin, with more downside possible as the market awaits developments on the story.
A worsening of the situation could spell disaster for the prices of Bitcoin and other major cryptocurrencies, as USDT accounts for more than a quarter of all cryptocurrency trading volume.
Even a Bitfinex executive was quoted worrying that Bitcoin may plummet to under $1000 if they were unable to meet their obligations.
For a cryptocurrency to truly be adopted on a large scale, stability and peace of mind are paramount. As a holder of a currency, you want to know that your money won’t nosedive in value overnight.
Using their own EUM token, Elitium have implemented various mechanisms to ensure that their users are safe from unnecessary volatility, and provide easier accessibility into and out of the ecosystem.
1. Accessibility and Exposure – Online ATM
The simplest way to reduce users’ exposure to cryptocurrency volatility is to not confine them to holding it at all times.
By utilizing an ultra-simple “Online ATM”, Elitium users will be able to seamlessly convert between EUM and fiat currency, at the click of a button.
This way, users are able to take full advantage of the benefits of the EUM coin when required, but are not forced to keep their money in cryptocurrency or on shady exchanges.
2. Real Utility – Not Just Speculation
Most existing cryptocurrencies don’t have much of a base value. Their price is almost solely dependent upon speculation, with holders gambling on how much their coins will be utilized in the future.
Rather than relying solely on speculation, EUM has a fundamental purpose within the Elitium Network. The EUM coin is used to settle all fees, payments, and loyalty rewards on the platform, and its use is essential for operability with smart contracts.
3. Stability and Long-Term Sustainability
To improve stability and general growth of the ecosystem, Elitium will periodically burn a certain number of existing EUM coins. These coin burns will be performed in a publically verifiable way.
Gradual reductions to the total coin supply will improve platform participation, and further stabilize the value of the EUM coin.
Slow and Steady Wins the Race
Combining the above qualities and mechanisms, Elitium is carefully constructing a system free of excessive risk and wild fluctuations.
Rather than be susceptible to wild market swings, the project remains focused on providing a safe and secure user experience.
The key to mass adoption remains in the fundamentals: Build something that provides outstanding value and utility, and users will come.
Buy EUM today on Bitmart and STEX: