Overview

Vesto: the foundation for #oneprotocolendlesspossibilities

Vesto believes in the transformative power of blockchain technologies and its potential to permanently change the financial industries forever. Incumbent business models are increasingly under pressure from emerging technologies and newer business models. In a future world of banking and finance, traditional intermediaries will be replaced, and cloud-based platforms will enable new markets, giving birth to a new, decentralized, peer-to-peer economy.

Vesto is a strict B2B business and its architecture and protocol provide the foundation for a cloud-based, multi-sided crypto innovation factory.

Figure 1: Vesto protocol & platform

Vesto multi-sided platform for makers and creators

The core of Vesto’s crypto protocol is a comprehensive turnkey platform, built out as a containerized, cloud-based software stack. Deploying this type of solution drastically reduces time to value for Vesto customers, who can in turn focus on creating innovative user experience and value propositions - all the“crypto-plumbing” is provided in one resilient, tried and proven package. This includes the following 5 building blocks.

Fiat on/off ramp

The Vesto protocol comes with a predefined secure gateway to route “fiat money” into and out of the crypto world, automatically converting traditional fiat currency into cryptocurrency. A Vesto instance comes out-of-the-box with support for ACH and wires, further international transfer standards are added constantly. Vesto handles the complexity of fiat to crypto conversion and vice versa under the hood.

Multi-chain with strict two-token architecture

Vesto has developed a bridge to alternative blockchains, at launch integrating with the Polygon sidechain for low fees and quick transactions. Whilst the crypto assets are securely locked into Ethereum based DeFi investment products, a corresponding utility token is being minted and securely "shipped" over to Polygon ecosystem internal transactions. The utility token is customizable according to our customers requirement, e.g. xUSDC for Bank X’ corresponding utility token to an underlying USDC asset. This strict two-token strategy optimizes yield generation in DeFi whilst minimizing transaction cost.

Multi-token support

At the core of Vesto’s architecture sits its multi-signature non-custodial wallet for secure storage and management services of the customer’s crypto deposits, 100% developed in-house and all crypto 100% on-chain for utmost safety, security and transparency.

DeFi – Decentralized finance

Vesto is pre-integrated with leading DeFi protocols such as yearn.finance and element.finance. These advanced lending protocols and fully automated money markets generate on average 10%-15% yield on deposits. All supported pools fully benefit from Vesto’s two-token strategy.

At Vesto, we believe transacting in crypto must be as simple as sending electronic mail or text messages. Ease of use and security when transacting digital currencies is of utmost importance.

Vesto for novel innovative value propositions

Winning digital use cases must differentiate through value proposition and user experience. The availability of a highly secure, scalable and robust underlying crypto infrastructure itself is a mandatory, yet rather costly and time consuming burden. Vesto provides a solid turnkey foundation with access to all relevant crypto services as building blocks. Additionally Vesto provides fully functional and validated web, iOS and Android applications, ready to be white-labeled and customized. Thus Vesto customers are able to jumpstart into crypto and accelerate time-to-value by leveraging our extensive platform and pre-defined assets. Initial customer experience confirms a typical lead-time between deployment and launch of customer-branded solutions of 4-8 weeks only.

For the makers, creators and crypto value architects on the institutional side, value is dependent upon the number of pre-integrated service building blocks on the platform, it scales with sufficient choice.

Vesto for platform services

The platform furthermore has the ability to scale the portfolio of building block services and financial products to include other partners, harnessing a network effect that compounds additional value for the ecosystem. In other words, the platform is open and flexible to integrate e.g. customer, industry or national requirements. From fully automated tax reporting to integrating with a mobile network operator’s CRM system to simply extend the well established core with new crypto capabilities. The same interface would be available for e.g. a customer specific fund with a fractionalized real estate portfolio, available to a closed user group of accredited investors only.

For the service providers and financial product innovators, value is dependent upon the number of use cases and verticals through the platform, it scales with the number of addressable upstream crypto value architects.

Crypto for the “long-tail” with endless opportunities

As of today 2.5 billion people around the world lack access to basic financial services. Often, a precarious income situation prevents incumbent banks from offering basic accounts to these individuals and thus they are unable to take part in their local economies as well as the global financial system. A decentralized, blockchain based, peer-to-peer future world operates without involving any third party or middleman, thereby addressing the current cost issues and reducing transactional costs. This has not only the potential to transform the global payment landscape and provide individuals a safer and faster way to transact but is also a key enabler for financial inclusion globally.

However, being active in crypto today demands a high level of financial savviness. Whilst the leading exchanges offer professional grade features and functionalities for the ambitious and even the professional trader, these platforms are not suitable for the financially uneducated, currently unbanked and general mass population.

With its cost-efficient, turn-key as a service model, the Vesto state of the art platform enables elementary crypto currency based services to the general public, expanding its customer base to the currently unbanked and thereby profitably capture new business opportunities.

Sample Use Case - Remittance + Value in DeFi

Common to all use cases is the ability to bolt innovation onto a banking regulatory grade, resilient and forgiving infrastructure, its seamless integration into existing fiat rails and the ability to intake and dispense cash with local agents or via ATM. Furthermore, all assets in the Vesto ecosystem automatically benefit from low transaction fees and from solid, market leading investment products (such as the yearn.finance or element.fi DeFi pools) typically generating between 10% - 15% annual yield (2021 figures).

Hence, in the below depicted use case, participants on both sides not only benefit from being banked at literally no cost, but also enjoy instant low-cost global transactions and attractive returns.

1. Unbanked person receives wages via stablecoins through Vesto (or white labeled) app.
2. Unbanked person sends money as cryptocurrency via app from wherever they are to anywhere in the world for very low fees.
3. Recipient receives money instantaneously through the app and pays no fees.
4. Both users can visit local participating ATMs or merchants to withdraw cash, and now have access to advanced banking services like high-yield savings and instant loans.
Figure 2: Remittance + Value in DeFi
With Vesto the opportunities are endless for the crypto value architects, the corporate or the startup garage. We provide the crypto core and our customers innovate on use cases for value.

#financefutureworld #oneprotocolendlesspossibilities

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