Value Network allows users to create binary options markets based on their own parameters, including the trading pair, price level and expiry time of the binary option. The platform also always includes automated markets with different expiry times. The main advantages of the project are the calculation of p2p bets via a smart contract and obtaining price values from the Chainlink oracle. The project recently closed a $250,000 private round, with two business angels as investors.
Value Network project started in 2018 and implemented MVP platforms of decentralised collateralised loans built on Ethereum smart contracts. In 2020, the project made a ‘pivot’.
“Having analysed a large number of 2019 projects in my own blog, I saw the strengthening of DeFi’s fundamentals in the market. By September 2020, we had chosen a new niche and Value Network project came into existence as a binary options platform,” commented Artem Levin, founder and CEO of Value Network.
During the last decade, the binary options market has grown considerably and is now valued at $80-100 billion yearly. A huge number of companies have occupied this niche. Unfortunately, most of them have gradually become synonymous with scam. The platforms engage in fraudulent transactions, fail to report to regulators, make it difficult for traders to withdraw funds, and fake asset prices. For such market players, it is more profitable to make people leave than to let them stay and earn more on binary options. Much of the binary options market operates through online trading platforms that are not necessarily compliant with global regulations and may engage in illegal activity.
“At Value Network, we provide decentralised binary options implemented entirely on open-source auditable smart contracts. Our team expects a much higher customer LTV ratio than the aforementioned binary options services that often cheat their customers. Undoubtedly, it is better for a business to make money from loyal customers than to ‘rip off’ their users and ‘dump them.
We also interact with regulators – for example, we work with Malta’s MFSA regulatory sandbox”, says Artem.
Initially the Value Network project was built on Ethereum blockchain only, but more recently a grant was received from the Qtum project. Qtum’s blockchain allows to minimise transaction costs and conduct transactions faster. The project also runs on Binance Smart Chain and took fifth place at the Binance Smart Chain CIS hackathon.
Value Network recently closed a $250,000 private round with business angels Sergey Volnov and Dmitry Kravchek as investors. Sergey is a serial entrepreneur, venture capitalist, member of the Angels Deck Venture Investors Club, business angel at “Razvedka Boyem”, business angel at the Perm Foundation of Internet Initiatives Development, and member of the American Telemedicine Association (ATA). Value Network caught the investor’s attention by becoming participants in the “Razvedka Boyem” pitch marathon of start-ups.
Another participant of the round is Dmitry Kravchek, a venture capitalist and director of a large chemical company.
The investment at this stage will be used to refine the product, to market it, and to hone the unit economy. The round was structured through the Latvian parent company SIA Value Network, which is established under the Latvian start-up Programme.