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As we know, in 2007-2008 the world faced a deep financial crisis. It began in the United States with the crisis in the subprime (high risk) mortgage market and developed into a full-blown international banking crisis with the collapse of major investment banks. The precipitating factor was the high default rate in the United States subprime home mortgage sector. This means that credit rating agencies played a crucial part in the devastating outcome.
What can we take from the global financial crisis?! - A profound worldwide recession and a certainty: it is time to shift from this centralized, greedy and fraudulent financial paradigm we are still living in to something better.
What is Valorem
Enter Valorem, an Ethereum-based multi-layered marketplace with a simple but powerful premises: Bringing back value to where the value is due and, just as importantly, making it accessible to those who need it. As stated in the whitepaper:
“The solution (to the supra mentioned problems) is to transition to a decentralized, blockchain-powered infrastructure, which is not reliant on the mistakes and manipulations of the past.”
Valorem is truly a complete and diversified marketplace and single-point-of-access platform, offering the user so many services and different features it is almost overwhelming.
Features: The 3 Main Development Phases
Breaking Valorem down to 3 main development phases:
On a first stage, the Valorem’s hub will feature microloans, car loans, student loans, rent payments and collection, and P2P network hosts and payment processing. Microloans are designed to support entrepreneurship and mitigate poverty. They are issued to low-income borrowers who lack collateral, steady employment, or a verifiable credit history.
On the second development phase, Valorem will focus on the goods and services market, global small business investment and global commercial and residential real estate crowdfunding.
By allowing users to transact with each other directly, using their native value token, VLR, Valorem intends to disintermediate the current heavy reliance on large companies and retailers to trade goods and services.
Regarding the global small business investing, once this section of the Valorem platform goes live, oracles will be used for verification. This not only helps small business owners getting much-needed funding but also ensures that the financing received from investors is spent wisely.
Later on, the third development phase will see the charity and insurance industries being addressed by Valorem.
Through blockchain and smart contract technology, charity supporters have a feasible way of tracking the money given to a charity program making it a more efficient and transparent industry.
The last addition to the platform is the Valorem insurance policy. Users will be able to purchase home insurance, their renter’s insurance, their life insurance and more.
The VLR Token & ICO
VLR is an ERC20 utility token that will be used as a medium of exchange on all transactions on the Valorem platform.
Valorem will be holding its ICO on the 28th of January, 2018. The ICO token supply represents 75% of the total token supply, so there will be a total of 150,000,000 tokens available, for 0.001 ETH each during the offering. The ICO funding target is 25,000,000 USD, the funding cap is 52,500,000 USD and is expected to end on the 28th of June, 2018 or when the funding cap is reached. Any unsold/remaining tokens will be burned.