Cryptocurrency exchange service Abra is launching an app that enables users to invest in traditional stocks, exchange traded funds (ETFs), 50 fiat currencies, and more than 30 cryptocurrencies.
Abra announced its early access registration for the “industry first” app in a recent press release.
Bill Barhydt, founder and CEO of Abra, comments: “We are building Bitcoin-backed investing products because, for the first time, we can truly democratize access to investment opportunities at global scale.”
Users who successfully sign up for the early access will net themselves zero trading fees for the rest of 2019 on stock and ETF investments (with a minimum of $5 per investment).
Upon launch, Abra will offer 50 new investment assets, including Facebook, Apple, Amazon, Google, and Netflix, as well as commodities such as SPDR Gold Trust.
Unlike many other crypto exchanges and wallets that function like a traditional bank, Abra is a non-custodial platform. This ensures the company does not collect, store, or have access to its users’ funds.
Since Abra is a non-custodial platform, it should be using some form of multi-signature addresses – though it has not yet disclosed exactly how this will work in its press release.
Available in 155 countries
Fractional investing w/$5 minimums
Private and secure
— Abra (@AbraGlobal) February 6, 2019
For the new app, Abra has utilised a new model for investments known as ‘Crypto Collaterized Contracts,’ or C3s for short.
C3s should allow investors to easily gain investment exposure to any asset by using Bitcoin and smart contracts as part of the underlying technology.
Furthermore, C3s enable investors to quickly change between different kinds of investments and asset classes without having to switch between platforms or wallets.
C3s have an inherently programmable nature, which means that Abra can peg the value of anything with a reliable price feed to the value of Bitcoin. In a sense, C3s are not too dissimilar from stablecoins.
Abra will also hedge its side of the contract, which ensures the user can be fully whole on their investment at any point regardless of the market direction.
Abra notes: “The net effect of the C3 model is that Abra can offer investing with low fees in fractional share increments with near instantaneous settlement times.”
To use Abra, all users must do is download the app from Google Play or the Apple App Store and set up an Abra account. Afterwards, users can transfer their funds into the account and get started.
Users will be able to send their funds to their Abra accounts through a wire transfer, debit/credit card, or through cryptocurrency.