[Update] Swiftcoin Team Announces Launch of Digital Bearer Bonds
From the team that launched Swiftcoin, digital currency bonds linked to the currency are now apparently available. Daniel Bruno’s team says it has launched the Solidus Bond after three years of development.
The development team, also known as BNAK, notes:
Solidus Bonds have maturities of 30 days to ten years and pay the coupon in digital currency to the holder of the bond. All coupons are paid every 30 days until bond redemption in peer-to-peer digital currency. Interest payments and bond redemption are executed by algorithm without human intervention, making default impossible. Duration is reduced.
BNAK indicates that these are digital bearer bonds with ownership conveyed by possession and can be issued in any amount down to three decimals by pointing and clicking the Solidus Bond folder of the Swiftcoin wallet.
Bond purchase and sale do not require a broker and are commission free. Apparently, once purchased, the bond can be transferred to any other Swiftcoin wallet. New bonds sell at face value. Interest rates are high double digits and yields are set in the bond aftermarket.
The problem with the digital currency Swiftcoin is that it is not open source or transparent, and is pegged at 1 Swiftcoin to 1 US Dollar by BNAK. It is also not clear where Daniel Bruno or his team are based. Nonetheless, under another Bruno entity First National Innovation Brokers, they have been for over three years accepting bitcoins for FOREX and Gold trading. FNIB is registered in New Zealand but BNAK may be in Uruguay.
[UPDATE 11 am 12/11/2014] Daniel Bruno replied to this article below. We checked out some of the documentation PDFs on swiftcointalk.org. In the documents, Swiftcoin is described in this way:
- it is only partially open source (enough to demonstrate it is encrypted and peer-to-peer)
- it is not mined;
- its bloc chain is not public (but can be shown to select insiders and investors)