XIN Feature Assets Infinity Foundation May, 2017, v1
Content: 1. Assets Overview 2. Assets Usage Examples 1. Assets Overview The Asset Exchange is XIN's built-in decentralised trading engine. Using the Asset Exchange you can create, buy and sell assets that represent data beyond simple coin transfers which opens up wide-ranging possibilities. The Asset Exchange is based on the 'coloured coins' concept whereby a coin or a set of coins can be designated ('coloured') to represent something-else. By contrast, many crypto currencies only ever operate as just that - currencies, and nothing more. However, since the blockchain provides a trustworthy and permanent ledger of all transactions, it can be used to record far more diverse information than purely currency transactions. XIN token can be designated ('coloured') to represent other crypto coins, stocks/bonds, property, commodities, or even ideas. As a result, the XIN network can be used to trade almost anything. The Asset Exchange is suitable for most use cases where users like to buy and sell virtual company shares, fiat-pegged assets, rewarding points or even crypto backed asssets but not for HFT trading since the Asset Exchange is decentralized running with a 60s. blocktime confirmation. The Asset Exchange is completely decentralised and completely unregulated. The substantial benefits this offers are freedom, cost savings, lack of intervention and so on but also come at a price. There is no hand-holding or policing, and scam assets can be and often are created. Whilst the community generally picks up on these relatively quickly, if you make a mistake then there is very little recourse as transactions are irreversible. Before buying an asset, you should at least understand what an asset represents and clarify any doubts with the issuer. 2. Assets Usage Examples XIN assets are a convenient way to represent anything fungible and tradeable. An asset token could represent a bar of silver, a pizza redemption coupon, a share in a company, even a portion of a portfolio of other assets. By representing these things digitally on the blockchain, they can be publicly verified and easily traded. For instance assets can be used for: private equities, public equities, financial instruments of different kind, patents and much more.