Cu Coin Metalbx Review: Trade Copper on Ethereum Blockchain
A practical instrument for physical traders, financial speculators, consumers, and long term investors; Cu Coin MBX is the most efficient, secure, and simplest way to trade copper. As Blockchain Metal Company we utilize Ethereum blockchain technology to create a revolutionary warehouse receipt platform for holding and trading industrial and precious metals (the Metabx MBX Ecosystem).
Cu Coin MBX is an ERC-20 token and legally represents a negotiable electronic warehouse receipt in accordance with §475 ff. HGB (German Commercial Code). Each coin is exchangeable for 1 Kg of Grade A Copper Cathodes stored in Blockchain Metal Company warehouses with the initial warehouse located in the Federal Republic of Germany.
Warehouse receipts are legally defined documents that provide proof of ownership for an underlying asset (e.g. Copper Cathode) that is stored in a warehouse. Negotiable warehouse receipts allow for the transfer of ownership without having to deliver the physical asset. Utilizing blockchain technology creates the most secure, efficient, and convenient platform to keep track of and trade warehouse receipts:
- The Public Key of an e-wallet function as ID for holders and the Private Key functions as a transaction validation system similar to a signature.
- The certificates are unforgeable and the system is considered impossible to hack.
- Certificates can be viewed together with their smart contract and information on an easily accessible public ledger (e.g. etherscan.io).
- All transactions are recorded on the public ledger with time stamps, thus information on inventory or trading data can be obtained easily enabling traders to predict prices better.
Blockchain Metal Company will be launching its own online exchange, the Metal Blockchain Exchange, soon after the Initial Token Offering, and releasing new tokenized metals in the future. For more information find the whitepaper in our Data Room on metalbx.com
Advantages of Cu Coin MBX
No Storage Fees: Plays a big part in the superior cost efficiency and simplicity of our product in relation to all other assets available, and is made possible through our integrated warehousing solution. A Physical Exchange Fee applies: 0.5% of the then LME market price for (total amount) of Copper picked up.
Reduced Risks: Direct ownership of Copper creates reduced risks in comparison to derivative trading; no counterparty default risk, imposed stop loss or take profit. Store assets in your own ERC-20 wallet.
Exceptional Discounts: While we apply the LME price for Tons of Copper to Kg purchases, ITO participants also benefit from discounts only available for very large monthly bulk orders.
Smart-Contracts: Smart contracts on the Ethereum blockchain allow trusted transactions and agreements to be carried out among distant parties without the need for external enforcement mechanisms such as banking tools commonly used in the physical trade of commodities (e.g. Standby Letter of Credit). With Cu Coin as the connection between the Ethereum blockchain and tangible copper (that has been inspected by us already), both payment and delivery obligations in a trade deal can be verified and executed a turn in turn, by programming a simple smart-contract.
Efficiency: Low technical infrastructure costs, no intermediaries, and the ability to transact any value for notoriously low fees. Functional 24/7 and faster than any other traditional method of transacting.
Flexibility: Assets can be traded on decentralized and centralized online exchanges or in manual “Over The Counter” off-market trades. Cu Coin MBX can be used as a financial instrument and physical trading tool.
Accessibility: Anyone with access to the internet can trade Cu Coin MBX. Store assets in secure personal Ethereum wallets online, on paper, or in unhackable hardware the size of a USB stick.
Security: Security is in the nature of blockchain technology as all information is stored and processed decentrally. Certificates are unforgeable and the system is unhackable.
Transparency: Access all information of the Token on a public ledger. Easily verify the assets under ownership of a trader. Predict market better with an overview of full trading activity.
Copper has distinctive value in the global market due to its industrial business enterprise worth. It’s an element known for conductivity, durability and corrosion resistance. Spot copper prices are up over 320% since 2002 and it is very likely that copper prices will keep rising in the future.
According to Mining.com, Over 200 copper mines currently in operation will have reached the end of their productive life before 2035. Unless new investments arise, existing mine production will drop from 20 million tonnes to below 12 million tonnes by 2034, leading to a supply shortfall of more than 15 million tonnes.
By 2035, Bloomberg projects a 43% penetration of electric vehicles in the light-duty vehicle market, which will be roughly equal to 110 million cars and 3.6 million tons of extra copper demand – equal to about 15% of the current market. Furthermore, each EV will require a charging port with an additional 8 Kg of copper on its own.
The green energy revolution will be the primary driver for the demand of copper in the coming years: A transition to renewables is inevitable for the survival of our planet, however, this will come at a big cost in the form of copper. Two hundred 3-megawatt (MW) wind turbines are needed to replace one large steam coal or gas turbine. The infrastructure for renewable energies requires 5 times more copper compared to fossil fuel-reliant systems.
About Blockchain Metal Company
Blockchain Metal Company was founded in 2018 in Istanbul with the vision to create a superior trading instrument, provide the required infrastructure, and become the global facilitator for metal commodity trading. Please visit metalbx.com for more information on the Team.
Procurement & Trading: We find, buy and sell the metals backing the crypto-assets (initially copper with Cu Coin MBX).
Warehousing: We store the metals that back our crypto-assets in warehouses located strategically, ensuring favourable supply routes and proximity to industry and logistical centres.
Logistics: We handle transportation of underlying metals to our Warehouse and later on to the desired end destination (e.g. a manufacturing plant).
Online Exchange: We facilitate a smooth online trading experience for traders of our metal backed crypto-assets and provide a secure way for consumers to source their metals.