What is TRAXIA?
TRAXIA is a B2B trade finance system based on blockchain technology that gives small and medium-sized enterprises (SMEs) an access to the short-term funding by using their accounts receivables as collateral. TRAXIA development team created an alternative to short-term bank lendings and overdrafts, attracting a wide range of investors to finance the cash gaps of SMEs. ChangeNOW, the leading instant crypto exchange service, has tried to make a TRAXIA price prediction of our own.
As explained in the TRAXIA whitepaper, its ecosystem works like this:
- Sellers upload their invoice, Buyers confirm it with their private keys,
- Issuing Providers write it into a smart contract, a digital token is created based on the agreement and is issued on the blockchain,
- Liquidity Providers distribute cash liquidity,
- The token is listed on the marketplace by Listing providers where Investors can trade the newly created digital assets in parts or as whole,
- As defined in the agreement, the buyer buys the token back from the investor after the agreed duration.
This new trade finance platform operates by means of smart contracts — automated, self-executing digital contracts running on a blockchain. They initiate payments and receipts in real time as goods move through the supply chain.
According to Alexander Kemper, CEO and founder of C2FO, on any given day around the world there are around $43 trillion of accounts receivable or accounts payable on the books of businesses. Banks only finance around $3 trillion of the total.
This can only mean TRAXIA is tapping into a massive market with immense growth potential supported by favourable macroeconomic data and validated by businesses operating in similar segments.
TRAXIA Price Prediction 2019
However, despite its great potential, TRAXIA recent performance on the market was not as promising. There is only space for the speculation as long as trading history goes. Thus, judging by the information we have, it is most likely that the price will be going down in the short term. Yet, it is important to note that due to the low market cap, TMT price can be easily manipulated.
The real question bothering investors, however, is “how to get a good handle on the long-term potential of this particular cryptocurrency?”
Unfortunately, it is quite a mystery for everyone. Where an investment’s value will end up depends on huge number of factors, demand being one of them, and that is almost impossible to gauge at the moment.
What could be a catalyst for TMT success is that SMEs are the bedrock of any economy. They account for more than one-half of the world’s GDP and employ two-thirds of the global workforce (World Economic Forum, 2015). And TRAXIA is bridging the gap between entrepreneurs and investors, and is being extremely useful for expanding a small business and acquiring much-needed inventory. With this in mind, if TRAXIA team succeeds in building trust with its clients and navigating legal issues, there is a possibility it will be in high demand.
Even though this concept looks promising, TRAXIA developers seem to have a hard time attracting investors and promoting their product online. What they need is to show investors how easily they can tap into a new market of tokenized trade assets that are only accessible through the TRAXIA Ecosystem and its partners.
By and large, trading in bear markets is never easy, you can never be sure with such investments — the more risky the venture is, the more you can either get or lose. It is up to you to decide what is at stake. If you are new to investing, do not forget to do thorough research and trust your gut instincts.
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