Bitcoin wallet service provider Coinapult and Factom, a blockchain applications provider, have announced collaboration plans that they hope will develop the state of applied blockchain technology. Coinapult, which also provides brokerage services that lets users lock their balances to fiat currencies and stable assets, will team up with Factom, which provides blockchain applications in database management and record-keeping.
CCN sought to find out what these exciting developments will mean to both companies. In a series of questions sent to both companies, CCN was able to get the specifics of the deal. Peter Kirby, Factom president, said that the collaboration would enable each of the parties use the tools of the other party so as to improve business processes.
Ira Miller, CEO, Coinapult said that his company would begin publishing on the Factom platform at the end of March 2015 after the latter concludes its crowd-sale. The crowd-sale would be launched after the Texas Bitcoin Conference. Peter Kirby added that the sale of the tokens would be open-ended and would run till May 2015. The goal of the crowd-sale would be to build a strong endowment that would enable the Factom Foundation “continue to build more robust and powerful Factom software.”
Ira Miller further added,
“Coinapult will benefit by providing information to our users about the safety of their funds. This has been one of our most popular user requests, for obvious historical reasons. This year is going to be very exciting for technology, and we hope to be able to fully bridge the gap between centralized assets and math. Locks is an imperfectly trustworthy implementation because this technology is being invented today. Tomorrow is a whole new world of unrestricted access and movement of basically any asset.”
Leapfrogging Current Financial Systems
Coinapult is interested in Factom’s distributed immutable ledger. Coinapult plans to use the ledger to build a system that will combine two of the great functions of blockchain technology, and those are transparency and privacy. Ira Miller sees it as an opportunity to “leapfrog” current financial systems into taking greater advantage of the potential that blockchain technology uses. On the other hand, the Factom Foundation saw Coinapult as an integral part of their strategy. The endowment that Factom hopes to build from the crowd-sale will involve the use of Coinapult’s platform.
On whether the companies had any plans to get into bitcoin derivatives trading, Ira Miller explained that the companies had no plans to do so. The reason he gave was that the platform they were developing was aimed at consumers, different from derivative platforms that are aimed at professional speculators. He added that they wanted to let
“ everyday bitcoin users protect the value of their wallet by tying the value to US dollars or the asset of their choice.”
He further added that
“the proper use of Factom's technology will give our users the confidence they need to trust their Coinapult wallet more than they trust their debit card.”