Reality Company’s Asset-Backed Tokens: A New Paradigm in the Blockchain Markets

The world of cryptocurrency is facing multiple challenges on a daily basis, and it seems that they keep coming.

One that’s particularly common and even fundamental for the majority of the projects and coins is their lack of fundamental, intrinsic value.

This is the most commonly-used argument of crypto skeptics, and its proponents can be found in all corners of the business world. For instance, the head of the Bank of Korea said that cryptocurrencies are completely devoid of intrinsic value – words that have been spoken many times before.

Edward Cotterell, Founder, and CEO of Reality Company, a global tech start-up that is rolling out its plans to be the first blockchain-based stock exchange, says:

“The importance of liquidity – especially when major cryptocurrency platforms move so much money – cannot be overstated. With the current crypto crash, trading platforms and exchanges can no longer continue business as usual. The pressure is on, and rightly so, to provide real-world value with less volatility in the crypto space.”

Reality Company attempts to tackle this particular issue by delivering an asset-backed cryptocurrency.

A Closer Look

The Reality Company, regulated by the Isle of Man Financial Services Authority, introduces concepts that are aimed at fundamentally altering the world of finance through a multifold approach. Their goals include, but are not limited to:

• Improving capital raising for entrepreneurs
• Making investing accessible to everyone

The company plans to achieve these objectives through the sale of its Reality Coins (ERC 20 tokens). The structure allows for 95% of the investor’s net proceeds to be invested into real-world productive assets – managed by independent market-leading and reputable investment advisors – while the remaining 5% is invested back into the Reality operational ecosystem and reserves.

This will kick-start the creation of the ‘Reality Block Exchange,’ a decentralized blockchain-based stock exchange that will allow small and medium-sized companies to list and tokenize their shares as Reality Coins and get direct access to the capital market to raise funds at a fraction of the cost (and time) usually associated with traditional stock exchanges.

It also means that Reality Coin investors, no matter their bank balance, will have a ring-side seat to companies that normally fall within the orbit of private equity and venture capital investment firms.

Multi-Coin Approach: to Alpha and Infinity

According to the project’s whitepaper, there will be two cryptocurrencies released – the Reality Coin (Alpha) and the Reality Coin (Infinity).

Reality Coin Alpha, also ticked RLTA, will have a variety of different utilities geared at providing multiple benefits for its users.

For example, RLTA holders can:

• Get access to the Reality Platform and the Reality Block Exchange
• Receive preferential ability to buy tokenized equity of the companies that will be listed on the exchange with more favorable terms.
• Use RLTA as a medium of exchange within the ecosystem. This alone can mean that they will be able to pay annual membership fees, obtain advice and support from the project’s team of advisors, conduct transactions, and much more.
• Convert RLTA to other cryptocurrencies.

The Reality Coin (Infinity), also ticked RLTI, on the other hand, provides slightly different utilities. Holders will:

• Have the right to vote on fundamental and important decisions regarding the activities of the project.
• Receive a preferential right to acquire more RLTI before third parties when there is general issuance of new coins.
• Require Reality Holdings to redeem part of their RLTIs.
• Use RLTI as a medium of exchange.

On a mission to revolutionize the world of finance, Reality Company has its name combining tangibility and real-world productive assets based on blockchain technology and intertwined with the crypto universe.

The project is founded on some important principles, such as respect for privacy, integrity, abiding by existing regulations, accountability, inclusivity, security, and disruption.