General idea
Havven wants to create a payment system with the main focus and feature being a stable price coins. Cryptocurrencies are now known for their volatility and the prices can rapidly change within hours. This can be the biggest issue in wide adaptation of these digital coins. Havven has a plan to change this, they want to introduce an ecosystem and a decentralised stability marketplace where users requiring stability pay those who provide the collateral to back the system.
Payment Network
Havven will simply be a digital payment platform. Their coins can easily be transferred between wallets and used as a payment means. The whole system will be based on the blockchain technology, which means all of the transactions and information about activity on the platform will be stored within the blockchain. This ensures the transparency and decentralization of the whole system, as there is no single person, which would be able to access other people wallets or change any values.
Stability
The main feature of the project is to provide a stable coin for the convenience of the transactions within the network. It is something that many cryptocurrencies lack at the moment, which makes it harder and less convenient to use them in everyday purchases. The goal of Havven is to create a stablecoin. One approach to achieving price stability is to produce a token whose price targets the value of a fiat currency. There are already few examples of such tokens on the market. However, fiat currencies have their faults and are not decentralized. As we are approaching times where digital currencies might become the leading payment means, Havven wants to back their token with another cryptocurrency. Users of the system that want to benefit from the stable currency will simply pay those who provide the collateral and help back the system.
Dual token system
The possible solution to achieve this stability is to create two types of tokens. Nomin is the stablecoin. Its supply floats, however its price measured in fiat should remain rather stable. This is the token that could lead to the wider mainstream adaptation of cryptocurrencies. In order to stabilize Nomin, there will be another token in the system, called Havven. This token provides the collateral for the system and has a static supply. Person, who owns Havvens has the right to issue a number of Nomins proportional to the dollar value of Havvens placed into escrow. Using another digital asset as a collateral may turn out to be much more effective, as this enables a form of representative money in which there is no requirement for a physical asset, therefore removing the problems of trust or storage and security.
Everyday usage
A stable digital currency opens a lot of possibilities. The simpliest use case would be much more convenient usage for everyday purchases. Many retailers aren’t keen on accepting cryptocurrencies as a payment option, as noone really knows how the market will shape their price next day or even in a matter of hours. A stable currency could encourage much wider adaptation in various online marketplaces. Moreover, it could even go to the extend, where you could pay with tokens for your groceries.
Having a stable digital asset can just be a convenient way of storing your money. With more and more people preferring decentralized and trustless services over regular banks and platforms, where you can never be sure if the owner or system moderator won’t take your money or simply disappear. With a blockchain technology everything is transparent.
With a lot of ICOs and crowdfundings taking place recently, it may also be better for the developers to raise funds in a stable currency to be sure that they will have enough money to develop the project and that one bad day and price fluctuations at the market won’t half their funds, for example.
ICO phase
The main token sale is scheduled for the 28th of February and will end on the 6th of March. They have set the hard cap at 30 million dollars. The funds raised in the sale will be used to support the development of the network and to incentivise market participants to integrate with the Havven protocol. As Havven platform will operate on a fee model, the foundation will hold Havvens that generate fees. This means there should ideally be no need to sell Havvens to pay for future expenses and cash requirements. The distribution of generated Havvens is quite fair, with 60% being devoted to the token sale, while 20% is left for the team.
For the people who believe in long term success of the platform, there is an option to escrow their bought Havvens to issue Nomins automatically. The longer someone decide to do this, the higher fees and discounts he can expect.
The team
The team is wide, experienced and have enough members to successfully deliver what they promise. The people behind Havven have previously set up their own successful companies or they have cooperated with big brands and companies. The founder Kain Warwick, before launching Havven, built the largest cryptocurrency payment platform in Australia, with tens of millions in transaction volume. They have a strong programmers team with previous experience in blockchain technologies.
Final thoughts
There are not many similar projects that found such solution to achieve a stable cryptocurrency. And such currency may be in high demand in the near future, allowing for wider adaptation of blockchain technologies and digital payment methods in everyday life. The plan and roadmap of the project look solid and the Havven team seems like proper people to deliver such technology, as they have many talented programmers with years of experience.
