With the fall of the cryptocurrency market, a lot of uncertainty has arisen among investors. This has translated into a strong mistrust of crypto products and the decentralized finance (DeFi) space. Times like these in the past have presented the best opportunity for projects that prioritize the security of their users above all else and that is what SwissBorg is doing.
SwissBorg is a solution that allows crypto investors to store, trade and earn returns on crypto. With its bounty program, it has caught the attention of many in the space. However, SwissBorg really shines when it comes to protecting and safeguarding user funds.
The best place to store cryptocurrencies
The collapse of UST and now the insolvency scares of Celsius have made more crypto users wary of the future. Instead of trying to take advantage of lower prices, they flee for safety. This is understandable as these two events have created a lot of fear in space. To bring these users back, the issue of security and the ability to always recover user funds is at the forefront of SwissBorg’s mind.
SwissBorg is arguably one of the safest ways to store, trade, and earn an income from cryptocurrencies. It combines the best parts of centralized finance (CeFi) and decentralized finance (DeFi) to increase the confidence of crypto investors. The ‘Virtual Currency License’ you hold obligates the platform to keep all user funds separate from your corporate funds, as well as ensuring SwissBorg’s financial stability. This means that users can always access their funds, even in the event of bankruptcy, scam or hack.
One of their partnerships is with the world-renowned digital asset security company, Fireblocks. Through the use of MPC keyless technology, SwissBorg adequately protects users’ funds and personal data, along with the use of advanced cryptography.
The app has been tested and approved by trusted white hat hackers who did not find any vulnerabilities in the platform. Its combination of CeFi and DeFi capabilities makes it a secure crypto platform for carrying out digital asset storage, trading, and performance.
SwissBorg is built to last
The crypto market is officially in a downtrend, and unsurprisingly, many projects will not make it through these tough times. The reason behind the fall of so many projects at that time is the lack of planning for the future. However, SwissBorg has taken numerous steps to ensure that it will be here when the bulls emerge once again.
One of the strategies used by SwissBorg is to maintain its treasury using mainly fiat. Since fiat is not as volatile as cryptocurrencies, there is little to no risk of insolvency with the platform. That’s why 2/3 of SwissBorg’s treasury is in fiat and stablecoins. The remaining third is invested in the top 10 tried and tested cryptocurrencies such as Bitcoin and Ethereum.
‘$CHSB’ tokens also serve as part of the treasury. Although these tokens are primarily used to fund the CHST Yield 2.0 and reward the team, they serve as an emergency fund, when needed.
SwissBorg also employs a number of robust risk management strategies, one of which includes investing only in “lower risk” cryptocurrencies. This is why the platform has been able to avoid any exposure to the UST crash. It also employs sound budgeting practices to ensure funds are always available.
Last but not least, SwissBorg has implemented a contingency plan in case the bear market does not resolve itself as soon as expected. So even though cash has dwindled due to current market conditions, SwissBorg remains in a unique position to adequately weather the storm.