Chynge Unveils Stellar Blockchain-Based Service Before ICO
The startup based in Singapore, Chynge, will soon be launching a decentralized remittance platform that will let users make free, instant and safe cross border transactions. The Chynge’s service is powered by the Stellar blockchain protocol, which is used by different companies all over the world.
Chynge has established itself in Hong Kong, Brunei Darussalam, the UK and the UAE. The company has the intention to enter the European Union (EU) and Asia-Pacific. This is one of the reasons why it is talking with regulatory entities from these two regions to keep exploring new exciting territories.
At the moment, it is very complicated to send and receive money between countries, and there are other factors that make it even worse. The process is very slow, transactions have high fees that are sometimes hidden, and users have to provide additional information to comply with current regulations.
With Chynge, these things change. By digitizing payments, the process is very simple. It starts with the sender placing an amount of legal tender currency into the Chynge platform. Then, the currency is converted to XCLP tokens recorded on the distributed ledger.
After it, the tokens are sent to the recipient’s country. Once they arrive, they are converted into the local currency. All the digitization process using blockchain technology will be done on the back end of the system. That would give users no knowledge of cryptocurrencies a frictionless experience.
Chynge has opened bank accounts in all the target destination market that contain local currency, this would ensure sufficient liquidity to facilitate transactions. The system allows for funds to remain within the countries and eliminates extra cost and times.
Chynge founder and CEO, Joe Tusin, commented:
“Digital technology has allowed us to accelerate the growth towards financial inclusion for everyone in the world. A cumbersome remittance service with extra costs affects people in developing countries most severely.”
The company will be using a ‘Smart Compliance’ method, that leverages on AI and Machine Learning in order to create comprehensive profiles of users and transactions. This will allow Chynge to monitor different aspects about money laundering, terrorist financing, and other financial crimes.
At the same time, this will allow the company to be in line with new regulations around the world about AML, and KYC policies.