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Hackernoon logoWe're Making Your Crypto-Investments Smarter - Here's How by@axion

We're Making Your Crypto-Investments Smarter - Here's How

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A global currency, built to serve the people

Throughout the short recent history of the cryptocurrency revolution, everyone from the most dedicated technology evangelists to large institutional investors have been looking for ways to harness the stunning wealth-generation powers of this new financial instrument.

In the beginning, it seemed that cryptocurrency values could go nowhere but up - but it didn't last.

Beginning with Bitcoin, cryptocurrencies have seen meteoric price rises that have made early-adopters wealthy overnight. Then almost as quickly, mass selloffs would erase billions of dollars of gains with little to no warning or appreciable cause. That kind of volatility has become the hallmark of the major cryptocurrencies – interrupted only when large investors sit on the sidelines and quash major price movements.

All along, traditional investors have turned to various solutions to beat the volatility and achieve stable returns. Some have used options like shares of over the counter cryptocurrency trusts, but they're still vulnerable to the price fluctuations of their underlying assets. And so far, there hasn't been a reliable way for the average investor to use cryptocurrencies to create a stream of income that they could depend on.

Until now, that is.

Today, we're giving investors a new cryptocurrency option that we've designed from the ground up to defeat the boom-and-bust cycle of other coins, all while delivering an 8% yield that is sustainable over the long term. It's called Axion, and we think it's going to rewrite the rules of crypto-investing forever.

Introducing Axion

Axion is a new cryptocurrency that we've purpose-built to function as an income-producing vehicle for the investor class. Unlike conventional cryptocurrencies, it's structured in a way that mimics a traditional bank-run certificate of deposit (CD). That means investors can commit their principal for a pre-defined period in exchange for an inflation-based 8% return. And just like a traditional CD, there are penalties for early withdrawal to encourage the kind of stability that allows for growth. But that's where the similarities end.

Unlike a traditional CD, the gains aren't created via an underlying bank-run investment strategy. Instead, we create them with an innovative system that takes advantage of the inherent price structure of the cryptocurrency market. In the most basic terms, the way it works is simplicity itself – it prevents the kind of mass selloffs that create volatility by time-locking investments, and uses daily buybacks to create steady inflation in the value of the token.

How Axion Works Under the Hood

We've designed the Axion Network to collect penalties from investors who withdraw early or after their post-investment withdrawal grace period ends. Each day, those penalty tokens go up for auction, so that new investors or existing stakeholders have an opportunity to buy more Axion.

Afterward, the repurchased Axion is distributed equitably to existing stakeholders, and 80% of the proceeds from the auctions are then used to repurchase additional Axion from the open market. That creates upward inflationary pressure on the price of the token.

And, instead of rewarding miners for their computational contribution to running the network, the funding to maintain the system comes from the remaining 20% of the daily auction proceeds.

That way, the majority of the profits the system generates go straight into the accounts of investors instead of into the pockets of those running the infrastructure.

It's a complete rethinking of the way cryptocurrencies should work, with investors reaping the rewards in a controlled, repeatable way. In other words, we've made sure that you – the investor – will always be the main beneficiary of Axion's success.

Axion Incentivizes Stability

Penalizing stakeholders who withdraw early isn't the only way we've made sure that Axion works to promote price stability. We've also included built-in functions that provide major incentives for stakeholders to commit their money for the long term.

One of them is a bonus multiplier that rewards long-term investors with additional shares of the Axion that is repurchased from the open market daily.

The bonus multiplier rewards stakeholders with a stacking 20% share bonus for every year they commit to holding on to their stake, up to a maximum of five years. That means the longer you remain invested, the bigger your share of the daily redistribution of repurchased Axion will be.

In a five-year term investment, that means it's possible to earn a daily bonus of double what a short-term investor receives.

On top of that, we've also designed Axion to include five built-in big payout days – one each year for five years – when stakeholders will receive additional bonuses.

This is possible because we're allowing investors in the HEX cryptocurrency to convert their holdings to Axion on a 1:1 basis for a limited time at launch. Since it's reasonable to expect that not all owners of HEX will take us up on the offer, there will be a pool of reserved-yet-unclaimed Axion left over.

And rather than simply reallocating them to stakeholders all at once, we instead return those unclaimed tokens to stakeholders on the aforementioned paydays, beginning at 15% of the total at the end of year one and escalating by 5% each year until year five.

That means the biggest recipients of the unclaimed tokens will be those who have retained their investments for the full five-year period.

A New Way to Earn Investment Income

For the typical investor looking for a steady stream of income, Axion's 8% inflation return rate is tough to beat. By contrast, most traditional CD products struggle to yield returns in excess of 1% - and that's if you remain invested for the maximum allowable term. And dividend-producing stocks (aside from some high-risk closed-end funds) rarely perform as well over similar investment periods.

And that doesn't even consider the multiplicative effects of Axion's built-in rewards system or the natural appreciation of the currency that will come from new investors buying in. When you add those effects into the equation, we believe that Axion has the potential to be an unprecedented wealth-generation platform the likes of which the average investor might not see again in their lifetime.

Best of all, the system is transparent, scalable, and built to serve average investors – and not the big cryptocurrency holders that control the major markets. In short, it's a cryptocurrency for real people. And before long, we expect that Axion is going to start to fulfill the promise that cryptocurrency's biggest champions have always envisioned – a currency untethered from the machinations of governments and the moneyed class that can tip the wealth scales back in favor of the little guy for a change.


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