EURET is based on Ethereum 2.0 technology and leverages the security and transparency it provides.
Our foreign exchange reserves are regulated by many parties and are regularly audited. The EURET in circulation always matches our reserves.
EURET is pegged to the legal tender Euro. It is a virtual currency that is kept in a foreign exchange reserve account and supported by legal tender. This method can effectively prevent the price of the cryptocurrency from fluctuating greatly. Basically, the value of a EURET is equal to 1 Euro.
The EURET project is the result of multi-party cooperation. In the future, it will maintain multi-party supervision (including EURET users) and increase the weak centralization of EURET.
The issuance of EURET meets international compliance standards and regulations. The publishing platform “The Zurich Crypto Exchange” is a Swiss licensed exchange and when involve legal currency, the operation requires the users to complete the KYC certification.
The release of EURET will fill the gap of “stable currency anchoring the Euro”, providing new “stabilized currency” options for global digital asset holders and investors.
With the development of digital currency, we firmly believe that in the near future, digital currency will become the daily payment method for people and the mainstream payment method in international trade. Due to its "linked to the Euro" and "value stability", EURET will become the main digital currency payment method for countries in the Eurozone, from personal bill payment, mutual transfer to intercompany settlement. We believe that after the issuance of EURET, the number of merchants accepting EURET as a payment method will continue to increase.
From the essence of currency, currency is a common agreement between holders. It can be used as a trading medium, value storage, accounting unit, etc., and its expression can be gold and silver currency, banknotes, electronic money, etc. It is a general equivalent. People have a basically unified consensus and trust in the value of currency. So today, in the various digital currencies on the market, we can see the sharp price fluctuations of short-term zeroing or ten-fold increase, which makes them unsuitable now extensive daily payments and transactions. Therefore, if you want digital currency to realize the three functions of currency "exchange means, accounting unit, value storage" and promote the application of cryptocurrency in daily life, the stability of currency value is very important, which is also the realistic basis for the birth of stable coin. When the value of the currency is stable, applications based on blockchain loans, financial derivatives, and forecasting markets can be realized.
A small adjustment of the exchange rate is a fixed exchange rate system, but allows for a float between the face value of the linked currency and the predetermined exchange rate range. Face value can be adjusted periodically to reflect inflation and other market conditions, thereby increasing currency stability. This allows the exchange rate to adjust over time rather than suddenly depreciating.
The adjustable fixed exchange rate is also a fixed exchange rate system, but it has a predetermined elastic space (usually between 1% and 2%). If the exchange rate exceeds this range, the central bank will intervene to return the exchange rate to the target range in order to maintain its competitiveness in the export market. It is well known that many Asian developing countries, including Indonesia, Malaysia, the Philippines and South Korea, have implemented such exchange rate regimes to limit the volatility of their currencies against the US dollar and allow cheap exports.
The security principle enhances the security of the system through the use of multi-channel features. The Zurich Crypto Exchange enables isolation of data between the different channels which is used to improve the isolation security of the system; it supports authority management, pluggable architecture, including consensus, multiple modules of ledger mechanism, and encryption and decryption among others.
A currency can also be linked to reliable commodities, such as gold. For many years before the World War II and Bretton Woods agreements were signed, the gold standard was widely used to stabilize currency prices. However, governments and economists believe that this practice may actually inhibit economic growth. Although central banks can still hold some gold as a guarantee, the last currency decoupled from gold is the Swiss franc. It was decoupled from gold in early 2000.
US financial institutions such as JPMorgan Chase, Citibank, and Goldman Sachs are actively deploying the digital currency market, making the future digital currency tend to be standardized and mainstream, and gradually moving closer to the mainstream financial market. In February 2019, JP Morgan Chase became the first bank in the US to create and successfully test digital currency. The digital currency JPM Coin was introduced to facilitate real-time payment transfer between institutional accounts; Chicago Mercantile Exchange (CME) and Options Exchange (CBOE) introduced Bitcoin trading services in segments, and US financial institutions including Citigroup and Goldman Sachs are also actively deploying the digital currency market. The digital asset market has gradually become a new financial battleground for financial giants, which will also hope to drive traditional investors to invest in the digital currency market.