How the major problem of the Trust Management can be solved?
The major problem of The Trust Management
Though it sounds paradoxically, but one of the major problem of trust management is a lack of trust between investors and traders as well as a lack of assurance due to the possibility of falsifications the trading results. This problem is followed by the next ones: counterparties don’t trust each other and that limits possibilities for gaining profit and due to the lack of transparency investors can’t get any proofs of trader’s activities. Every fraud hiding under the guise of a responsive trader can send them fake data and steal their money. It’s a widespread practice on the Internet forums and chats. Credulous investors transfer access to their accounts and assets to absolute strangers and then become defrauded, because on the forums you never know exactly what kind a person are you talking to now and what thoughts and intentions that person harbors.
Why do people resort to such thoughtless actions? The answer is obvious — due to the abstinence of the safe platform to conclude contracts between traders and investors which provide them with safety, transparency and verified data.
MBN Global have a great solution to handle all the aforementioned problems. Now investors can forget about their past misfortunes. The blockchain technology used by platform renders investors with the opportunity to choose a suitable trader using the complete and definitive information about those ones who offer their services on trust management.
How does it work?
All trader’s activity on MBN Global, such as contracts and their past trades, are saved in the blockchain. This information is further used to calculate traders’ success using indicators, namely: ROI, rating, the number of contracts awarded, the number of profitable contracts, and the total amount of funds which is currently under management and/or has been managed in the past. These indicators will serve to investors to help them to make more accurate selection of suitable traders.
Let’s speak how MBN use the blockchain technology to validate traders’ details. For this purpose the hash sum of traders’ transactions for the day is saved in the blockchain Ethereum smart-contract. The block, where the hash sum is saved, is dated and cannot be counterfeited; therefore, the validity of all data on traders’ transactions of exchange is confirmed by their hash sum in the blockchain — in the block dated with the respective date of transaction. Thus, it is impossible to save only profitable transactions in the database and their hash sum externally as far as at the moment of saving, because it is not known which transactions are profitable.
So, what kinds of advantages does the rating provide for both investor and trader? Investors receive security and transparency. Owing to the fact that all conditions of transaction are set in smart contract and are unchangeable, investors can be sure in reliability of information about the trader success. Investors can use the rating for selection the most successful trader for investment. At the same time traders receive not only a convenient tool for evaluating the carried out deals, but a tool to attract investors by showing them the indicator of the success. Also it serves as a motivating factor for traders.
How to check trader’s data?
When investors are looking for appropriate traders, they check the list of the active offerings from traders. They are able to exclude unsuitable options and use the variety of filters: trader’s reputation, profitability, contract amount, contract duration, etc. While checking the trader’s profile, one can see the history of his deals made via MBN Platform . This trading history allows an investor to make the analysis of trader’s success. The reliability of the data is confirmed by the hash sum (sha256) stored in the Ethereum block. It’s impossible to counterfeit, change or rewrite the information about deals. All data is fully verified and cryptographically protected.
Everybody can check trader’s deals data. For this purpose one has to take the transactions for any week in the past, count their sha256 amount (available on a number of websites) and compare it to the one recorded in the address of a special smart contract of the platform which is published on such websites as http://etherscan.io.
Since the crypto market is still a relatively new phenomenon, it has a number of unsolved problems connected with fraudulence. And trust management is no exception. But, there are the projects on the crypto market that work hard to implement the products of a high quality to eliminate this issue. MBN Global is one of such projects, that aspires to offer the necessary decision to tackle the problems associated with trust management on the field of crypto assets. The major conception is to support market participants by providing them with a safe and transparent platform that connects investors and traders. The market of crypto has a necessity in a convenient tool for crypto trust management where investors can transfer their assets without fear to lose them over indecent person and where traders can proof their competence and honesty. MBN Global is going to be a platform where people will be really trust each other. The more trust between participants, the more productive and profitable trading is.
Don’t miss the opportunity to take part in the next generation market leader today. Find out more about the project at MBN Global’s web site. Get detailed information about the platform from its white paper; get in touch with us to know more via email or join MBN Global community.
PreICO will start in December 2018.
Stay with us!