At Mt Pelerin, we are creating a blockchain-based modular platform that provides a tokenization system to bring the entire bank’s* balance sheet on chain.
With an open approach that allows external banking and financial organizations to be included, this platform will leverage tokenization to democratize investment opportunities to the public while heavily rationalizing the cost structure of those financial services.
It will also be a bridge between traditional and crypto assets, accelerating the platform's global attractiveness.
Here's how we are creating it:
Deposits will be 100% kept in highly liquid reserve, at all time, with the state of the total reserve being public and reported in real time on chain.
Services will be provided through our marketplace, where our customers and third party providers will connect and freely offer and request services at the conditions they choose.
Deposits and assets will be tokenized, i.e. issued on Ethereum blockchain as ERC20 compatible tokens, creating an ecosystem where smart contracts can be applied.
Our marketplace will rely on an open platform providing core services, on top of which each micro-service will be added as an independent API based brick.
Our revenue will come from fees and commissions taken on services and transactions from our marketplace and significantly smaller than those of traditional banks.
We strive to become the first blockchain-based bank* to be established and regulated in a country renowned for the excellence of its financial and legal environment: Switzerland.
Unlike traditional banks, Mt Pelerin will not do on-balance credit. Instead, 100% of assets deposited with us will be kept in highly liquid reserve at all time.
This reserve and its movements will be recorded on blockchain, and will therefore be completely transparent in a permanent and immutable way. Our reserves will be visible to all in real-time, while the state of individual accounts will remain confidential.
Mt Pelerin will also offer custody services for Bitcoin, Ether and other cryptocurrencies with the ability to deposit and withdraw.
With this 100% reserve policy, we bring to the market a truly safe and transparent solution where assets remain in control and at the immediate disposal of their owners.
The core principle at the heart of our project is the blockchain-based tokenization of the entire bank’s* balance sheet. Unlike other crypto-banking projects that merely offer to deal with cryptocurrencies as banks, we proposes a paradigm shift with a comprehensive banking system on blockchain.
With this ambition, our goal is to market a viable solution that leverages the benefits of the blockchain and cryptocurrencies to deal with the ownership and transfer of real-world assets. We want to systematize the tokenization of any asset or liability and make them available to all as highly liquid and easily tradable vehicles.
Our goal is also to provide a bridge between cryptocurrencies and real-world assets, which would finally facilitate exchanges between the two worlds and allow cryptocurrencies to become a much better mean of investment.
In practice, every time an asset or liability will enter our ecosystem, it will be instantly issued as ERC20 tokens immediately available to be used and traded on our marketplaces.
With full tokenization, we will put the entire bank* on chain.
Once fiat currencies and real-world assets become tokenized, smart contracts can be applied on them and their trading becomes simpler, faster and more liquid.
We take advantage of this by letting our customers, both individuals and businesses, have access to financial products and investment opportunities normally reserved to large corporations and investment bankers.
In practice, those products and services will offered through a marketplace with a user-friendly interface that will be seamlessly integrated to our e-banking. This marketplace will connect Mt Pelerin customers as well as third party service providers directly without the usual intermediaries.
With just a few clicks, you will not only be able to buy financial products and invest in all kinds of assets, but also to sell or request services and conclude deals directly with terms you control.
Our marketplace will connect supply and demand through tokenized and smart contract-based financial services.
The first service of our marketplace will be a currency exchange, built with a market-making liquidity bot that executes back-to-back transactions with third party brokers such as Currencycloud for fiat currencies and Kraken and Bitstamp for cryptocurrencies. It will also execute transactions between Mt Pelerin users who placed exchange orders.
With this exchange, users will be able to choose to either get the best available deal immediately (market order), either trigger an exchange when specific conditions are met (limit order).
This exchange offers spreads that are already 10 to 20 times cheaper than traditional banks.
Competitive and convenient crypto and fiat currency exchange for everyone.
Futures markets allow to hedge currency needs in the future. They are also a way to speculate on the future value with leverage as future trading only requires to settle the difference of price at expiration (margin trading). This is also valid for cryptocurrencies, and derivatives contracts can also be concluded on Bitcoins and Ethers on top of traditional fiat currencies.
Just like on our spot exchange market, we intend to connect market makers and liquidity providers on a future and derivative marketplace. To do so, we want to take the famous BitMEX platform as an inspiration and make a Swiss-regulated version of it for the crypto part.
Borrowing money has always been a hassle for people and companies alike, due to prohibitive interest rates, stringent terms & conditions, and very few choice alternatives. Lending money and earning interests is an even more complicated story for anyone who isn't a finance professional.
We democratize entire asset classes for the crowd to own.
With our loan market, our customers and partners will have a solution to meet individuals and companies from all over the world and find suppliers or buyers of loans that satisfy their own criteria and conditions.
In practice, users will be able to search the loan proposals of others or directly post their own loan requests with their own desired conditions (loan purpose, principal, interest rate, repayment terms, etc.).
Those loan requests can either be answered by another user or several other users (which in this case is crowd lending), by corporate loan providers (ex: UBS or BNP Paribas) or by other lending platforms (ex: Lending Club) via API calls.
Automated contractual relationships that can be sold and transferred.
External loan providers (ex: UBS, BNP Paribas, etc.) and platforms (ex: Lending Club) will be able to provide their products on our loan market via API calls.
Loans can be collateralized on our platform, including with cryptocurrencies.
Loans can be contracted for margin trading in both fiat and cryptocurrencies.
We plan to create in the future investment funds dedicated to grow our loan market and provide opportunities tailored for our community.
Our marketplace is also built to offer savings products, such as interest paying savings accounts but also other types of products like the Swiss third pillar retirement plan system, and more.
Those savings products will generate yield by being placed with third party funds specialized in this kind of investments. Just like with the loan market, we also plan to introduce in the future our own fund dedicated to invest in savings products to grow this market and its community.
The interest of users here is again to have access to a much larger panel of savings providers who can provide their services in flexible ways through the power of smart contracts, and to have passive and active fund management options that will fit various risk/reward profiles.
Even more than people, small and medium enterprises have a strong need to access a wider offer of financial services than what is normally available to them.
In most countries, banks tend to lose interest in providing financial services to SMEs as the risks and rewards involved with this scale of business do not fit their strategy anymore.
The problem is, it is SME that drive job creation, dynamism and therefore growth in any economy.
With a dedicated SME section, our marketplace will address this problem by leveraging once again the power of smart contracts to propose funding services and security issuing on chain. SME will therefore have access to a competitive marketplace with diverse services to find the solutions tailored to their needs at cheaper and more flexible conditions.
Later on in the development of our ecosystem, we also have the ambition to start offering tokenized funds to more passive customers.
Indeed, as active ones will be able to research, cherry pick and manage investments in various types of products from our marketplace, some passive users will need to generate a yield on their wealth without having to actively manage it. For them, we plan to introduce three types of solutions: lending funds, discretionary funds and real estate funds.
We will democratize investment funds through tokenization.
The standard Mt Pelerin bank* account available to all customers will include access to a state-of-the-art e-banking interface, and the following features:
When opening an account at Mt Pelerin, customers will receive a multi-currency debit card linked to their account.
The main advantage of this debit card is to be directly connected to our currency exchange market and its 30 fiat + 2 crypto currencies, and enjoy this way the same benefits of that service.
This card will also support contactless payments, a geographical lock function, and an app with online payment approval notification for increased safety.
Moreover, users can also generate an unlimited amount of single-use virtual card numbers to safely make payments online and through NFC compatible phones.
Our debit card will be connected to our currency marketplace, offering the same cheap and convenient currency exchange.
Behind the functionalities of our platform and their benefits, our core IT system running them is designed in a fully open and modular way.
This modular design translates into intercommunicating bricks built on top of each other that communicate via APIs, with each brick managing a specific micro-service or function.
The purpose of this design is to let third party financial service providers join our environment to enrich it. Any person with a technical background can build and add a new, complementary or even competing micro-service block to our ecosystem without having to deal with the financial part of Fintech.
The incentive for such providers to join us is the ability to leverage in a short amount of time and without heavy investment an open ground layer and API-based micro-service bricks that are working, stable, secure and already fulfilling all the legal compliance requirements they are subject to.
Mt Pelerin is proud and lucky to count talented and motivated people in its ranks, who are fully dedicated to make this project a complete success.
Mt Pelerin is proud to count banking, Fintech and blockchain experts as its mentors.
