Blockchain-based ecosystem to decentralize banking services globally

A new blockchain-based payment system is aiming to create infrastructure that will digitize banking like never before — bringing together banks, regulators and consumers.

Cryptoenter says its goal is to blur the lines between fiat and crypto. The platform will deliver services that take inspiration from DeFi, all while providing levels of reliability that traditional banks have become renowned for.

The ecosystem has been in development for the past two-and-a-half years. It has been built by Smart Block Laboratory, which became a registered business partner with IBM back in 2017. A year later, the company was recognized as a silver member of the Linux Foundation — and it has also been accepted by Hyperledger as a general member.

Cryptoenter is said to be the first interbank payments service to be based on Hyperledger Fabric in the world.

Currently in beta, it’s hoped that the platform will unlock “a new level of interaction between users and banks — as well as between users directly.” All market participants will also be given access to new financial instruments, effectively paving the way for consumers and businesses to quickly launch their own digital coins if they so wish or take part in coin staking.

A deep dive into the ecosystem

Cryptoenter’s payment service aims to compare favorably with interbank settlements conducted through SWIFT and SEPA, as well as retail payments via Visa, Mastercard and American Express. It will also offer services reminiscent of electronic payment systems such as PayPal and Amazon Pay, not to mention mobile phone-based money transfer services like M-Pesa.

Overall, Cryptoenter is designed to become a “fully fledged, cross-border payment platform for banks and end users” — delivering features that are “currently in high demand” across global financial markets.

In January 2020, Smart Block Laboratory was awarded $120,000 in free IBM Cloud credits so it could proceed with the rapid launch of Cryptoenter.

At the time, the company’s director Pavel Lvov said: “Thanks to IBM, these free credits will help to launch the Cryptoenter blockchain platform for digital banking and make it accessible for users — as well as decentralize relationships between consumers and banks around the world. Hyperledger Fabric technology and the powerful IBM Cloud provide unique transformative benefits for financial markets, with great efficiency, high speed of transactions and low cost. Cryptoenter is transforming the banking sector just as the invention of the two-way telephone changed the world in the era of radio.”

The features on offer

Through Cryptoenter’s blockchain infrastructure, users can access a social network for investors, as well as a decentralized crowdfunding platform. Everyday consumers can transact with one another directly on a peer-to-peer basis, with cross-border payments executed quickly and at little expense. Shops can also modernize the way they receive retail payments.

The ecosystem is also going to offer cryptocurrency lending and will allow stablecoins to be issued to raise liquidity — all while providing the underlying technology for the creation of a virtual crypto bank.

Looking ahead, Cryptoenter says it is now completing integration into IBM’s marketplace — and it’s hoped this will provide a sales channel to decentralize banking services across the globe. The tech giant’s employees are going to be told about Smart Block Laboratory’s creation at an upcoming seminar.

The company’s blockchain infrastructure for digital banking was scheduled to launch in October 2020 — with the Cryptoenter exchange set to make its debut in November or December. Payment agents will start to be connected in January 2021, and in the first quarter of 2021, the project has the ambition of expanding to Japan, the U.S., and Africa.

The platform has launched and has already attracted 15,000 registered users. To fuel Cryptoenter’s global expansion, Smart Block Laboratory plans to start an open token sale in November 2020.

Cryptoenter’s financial products are scheduled to follow in the summer of 2021 — enabling users to access loans secured by cryptocurrencies.