By Gavin Lim, Chief Executive Officer of HWGG Capital P.L.C
Since its conceptualisation over three decades ago, cryptocurrency has undergone massive changes. From its humble beginnings of an initial proof-of-work scheme for spam control to an important digital asset that challenges traditional currencies, cryptocurrency has changed the way people view online transactions, security, and trust.
But what is cryptocurrency? Before we delve further into cryptocurrency, we must first understand the technology underlying it – Blockchain. Imagine that you conduct a financial transaction online on a computing system that supports blockchain technology. The computer will add your transaction into a ledger, which is essentially an encrypted record of various financial transactions, including yours.
Every computing system gets a copy of the ledger of transactions, represented online as a “block”, and quickly crunch some numbers to verify the data. Once the computing systems in the network approve that the transactions are valid, the block is added to the chain – creating an indelible and transparent record of your transaction. Hence the name “Blockchain”.
Financial institutions and businesses around the world have started to adopt blockchain and cryptocurrency such as Bitcoin to simplify and make ease of their transaction process through the use of public and private keys for security and privacy purposes. This, therefore, allows minimal processing fees and its users to avoid steep charges incurred through conventional transaction processes. Furthermore, the decentralised nature of a cryptocurrency also promises less hassle for two parties to transfer funds between each other without requiring a bank, credit card company, or trusted third-party to verify the transaction.
Blockchain isn’t only limited to cryptocurrency – it can also be used in financial services such as asset management and insurance claims processing, reducing the possibilities of errors and need of intermediaries. In China, Alibaba is championing blockchain technology to not only combat counterfeit food to track food from producer to consumer, but also improve healthcare by sharing patients medical records with doctors in a more efficient manner.
Fledgeling Cryptocurrencies, Growing Pains
Despite its inherent potential to replace financial transactions, cryptocurrency is often seen as a niche product due to its lack of user-friendliness. In the past, accessing or exchanging cryptocurrencies were limited to users who were very tech savvy. Today, many cryptocurrencies are stored in specialised digital wallets or third-party service providers. This has improved the overall user experience, but they can still be difficult to understand for the average user.
Some digital wallets can only be used in specific cryptocurrency exchanges, while others have basic functions that don’t match mainstream online banking, such as regular payments, mobile top up, or built-in bill payments. The number of available retail merchants that accept payments from digital wallets are also extremely limited, which makes its adoption highly unlikely among general users.
Another problem that many cryptocurrencies face today is volatility. Bitcoin, the most notable cryptocurrency, regularly suffers from price fluctuations that result in massive rises and drops in value. In the past year alone, it went as high USD9,500 in May 2018 before crashing down to around USD6,000 a couple of months later. In December 2018, it went as low as USD3,200 before inching its way up to around USD5,000 in April 2019. The volatility of cryptocurrencies makes it very difficult for instant transactions, as well as creates a sense of wariness and scepticism among the general public concerned about its stability.
HWG Cash, a New Stable Digital Cash Token
To address the issues surrounding cryptocurrency, HWGG Capital recently introduced HWG Cash, a new digital token that not only leverages on public blockchain technology but is also regulated and stable. HWGG Capital, is a licensed credit token business by the Labuan Financial Services Authority (LFSA), making HWG Cash Asia’s first regulated cash token.
This distinction of being a regulated cryptocurrency means HWG Cash has a leg up on other cryptocurrencies since its value will not simply fluctuate. By being pegged 1:1 to the US Dollar, HWG Cash is inherently more stable and safe than other digital assets. HWGG Capital is an officially licensed money broker for digital assets under LFSA, allowing them to convert between fiat and digital currencies. This means users who transact in HWG Cash can convert any amount to normal currency and vice versa.
All HWG Cash tokens issued on the everiToken public blockchain network exist as non-fungible tokens. Unlike private blockchains that are less secure and vulnerable to bad actors gaining control of the network, everiToken is the world’s first customised-token public blockchain. It is designed to prevent censorship, fraud, third-party interference, and downtime. This means HWG Cash allows for safer, faster personal and business transactions.
Another major advantage that HWG Cash has over traditional payment methods and its digital assets counterpart is its speediness in verifying transactions. Conventional online payments can take anywhere between 24 hours to 3 days for payment processing. HWG Cash transactions are nearly instantaneous, so this allows users to easier manage their daily cash balance.
HwgPay: One Digital Wallet to Hold All Your Digital Assets
To encourage consumers to use digital assets, HWGG Capital has also released a digital wallet called HwgPay – a secure storage for digital assets with the added features of online transfers and mobile payments. It accepts ERC-20 Compliant tokens, has very low transaction fees, and can be easily integrated with merchants’ existing payment systems. As an added security boost, HwgPay comes with enhanced security, allowing users to store their private key separately from their device as a precaution for those worried about misplacing their smartphone.
With HwgPay, users can purchase HWG Cash with US Dollar or Bitcoin, which will be issued into your HwgPay wallet. Once you’ve made your HWG Cash transaction with the HwgPay app, you have the option of withdrawing cash or exchange it with Bitcoin.
If you are a user sending digital assets to another user, you only need to pay a 0.5% transaction fee. For merchants, the 0.5% transaction fee is charged to you instead.
HwgPay is paving the way for digital assets spending with its easy-to-use interface and strong security features, making it more accessible for everyday consumers. HWG Cash allows users to convert their digital assets to stable cash tokens and store them for future exchanges for products and services via HwgPay without ever having to worry about market volatility causing the value of their tokens to suddenly spike up or down.
HWG Cash: Paving the Way for Digital Assets Payment
For many people, the term ‘cryptocurrency’ still conjures up images of shady characters making deals for illicit materials and services, or scammers trying to defraud investors of their hard-earned money. While it’s undeniable that bad actors have abused cryptocurrency for their own means, digital assets still hold a lot of potential for how we conduct online transactions in the future. The recent debut of HWG Cash as Asia’s first stable token in the market makes it such an exciting prospect, especially since several merchants in Malaysia are starting to use it.
Thanks to HWGG Capital’s global network of popular resorts, entertainment, travel, gaming, shopping, and F&B outlets across the world, such as Resort World Genting, Resort World Manila, Marina Bay Sands in Singapore, and The Grand Ho Tram Strip in Vietnam. It also recently partnered with VHCEX, a licensed Philippines digital asset exchange that lets migrants send home remittances to their loved ones back in the Philippines.
To start using HWG Cash, users can download the HwgPay app, which is free for download and now available on both Android and Apple store platforms. With its simple, intuitive design, fast transaction times, and enhanced security features, HwgPay is the ideal multi-cryptocurrency wallet for HWG Cash, BitCoin, and Ethereum.