Distributed Derivatives Platform Velocity Offers Smart Contract Price Feeds

Startup distributed derivatives platform Velocity has announced a smart contract on price feeds. Using Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tampe Read this Term technology and Ethereum Ethereum Ethereum is an open source, blockchain-based distributed computing platform and operating system featuring smart contract functionality. Created in 2014, Ethereum now stands as the second largest cryptocurrency by market cap at the time of writing.As a decentralized cryptocurrency network and software platform, Ethereum represents the most prominent altcoin. Ethereum also enables the creation Distributed Applications, or dapps. Understanding EthereumEthereum boasts its own programming language, Ethereum is an open source, blockchain-based distributed computing platform and operating system featuring smart contract functionality. Created in 2014, Ethereum now stands as the second largest cryptocurrency by market cap at the time of writing.As a decentralized cryptocurrency network and software platform, Ethereum represents the most prominent altcoin. Ethereum also enables the creation Distributed Applications, or dapps. Understanding EthereumEthereum boasts its own programming language, Read this Term smart contracts, it is meant to make derivatives more transparent, accessible, and secure for the crypto assets community.

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The decentralized options platform allows users to enter into a collar option using a smart contract on the Ethereum blockchain, meaning it doesn’t rely on central servers or middlemen settlement processes to manage funds. Each party purchases a contract by sending a small amount of ETH to the contract’s Ethereum address. Once accepted by the network, the contract will fetch a starting price from the oracle’s price feed, and run for a period of five blocks. The chart displays time, price, and block number for the most recent Ethereum blocks.

The Velocity team has also developed a Twitter bot that shows when users are speculating if prices will go up or down, providing spectators and market-makers in the digital asset industry the potential for blockchain derivatives for cryptocurrency. Users with the Metamask browser wallet are able to send test Ethereum to the Velocity demo smart contract, introducing spectators to the idea of hedging risk using an open-derivatives platform.

“The OTC derivatives market is worth $16 trillion in the U.S. alone, making derivatives integral to today’s financial landscape, in everything from insurance to portfolio management,” said Vignesh Sundaresan, Chief Architect at Velocity. “Velocity provides advanced yet approachable blockchain technology to support cryptocurrency’s trend towards margin trading, and to further adoption of smart contracts on the blockchain.”

In addition to introducing the Velocity platform, the company is planning a crowdsale slated for Q4 2016.