Inside CrossFi: Changing Banking for the Unbanked, Crypto Natives, & Devs

By the time you are here reading this piece, three major events would have unfolded in different parts of the world:  (i) Someone getting  rejected the credit extension  in Africa (ii) Someone paying  high fees for remittance in Asia  (iii) Someone finding it hard to pay in crypto in some unknown countries  because there’s no crypto to bank settlement possible in their jurisdiction. What does this lead to? Unbalanced growth due to lack of financial service help . How could this be fixed? Frictionless inclusion of individuals to finance. CrossFi chain is guaranteeing that this happens in its own unique ways. 

CrossFi, the moniker for Cross Finance Chain, is an emerging financial ecosystem which is narrowing the gap between crypto and traditional finance by bundling these two dichotomies into one using a modular architecture built using the  Cosmos SDK and Ethereum’s EVMOS. Through these technical innovations, it is possible to integrate blockchains in traditional finance and make fiat to crypto and crypto to fiat operations possible. 

CrossFi creates a unique bridge between Tradefi and crypto to help settle payments and it works in its own custom way as per situations. For example, if you are sending an international payment in crypto to an account in a different geographical location. In such a case, the CrossFi will act like a bridge as depicted in the diagram;

In the image, as you can see, someone sending crypto to another account in crypto requires the receiving party to liquidate the crypto for fiat. However, using CrossFi app, this can be abstracted because the CrossFi app will perform operations at the backend by converting the crypto into XFI token using the Cross Finance’s proprietary processing engine which computes the value of the crypto in XFI tokens and subsequently, it redeems the same for fiat money. 

So, you can understand by this example. Suppose, Alice is sending money to Bob. When Bob receives the payment, there’s some jurisdictional issues with respect to crypto where Bob cannot trade the crypto for fiat. Here the role of CrossFi will start where the matching engine/smart-contracts  will match transactions for the subsequent amount of tokens someone needs and wants to spare fiat/cash for the same. The matching engine/smart-contracts  will match that transaction and trigger a state change by debiting the user balance and crediting the balance of Bob with fiat money in its CrossFi debit card. And parallelly, the user will get the crypto credited to his/her wallet.

Access to banking is a far-fetched dream for many with more than 2.2 Billion unbanked population. However, these individuals are not able to access banking and financial systems for their own specific reasons. For example, some of them do not have valid documentation or some find it hard to maintain the minimum balance required to operate the account. CrossFi helps fuse the best of both: (i) Transparency, (ii) Inclusivity (iii) Fairness of blockchains and (iv) Stability of the traditional financial system to help such users where they can access banking without any obligations and conditions. 

Remittance is an opportunity for any economy but it is mired in difficulties, nonetheless. How? Overall 6.2% of the charges are levied as commision. On top of this, the custodial nature of the operation means an individual has to wait 5 to 7 days until the amount is credited to their account. All of these create a broken financial system for its users which is complex and exploitative. CrossFi chain is helping in building a comprehensive remittance system that can help check all of these challenges. 

More than 95% of the businesses in Asia are looking for smarter ways from where they can accept payments and pay as little commission as they could. Since tech savviness in Asia is at its prime, CrossFi chain is providing ways for new technologies to emerge and benefit the users at large. 

Building on top of blockchain comes with its own share of opportunities and challenges. However, it is very well implied that if fiat/crypto can function sideways, it can drive massive adoption. However, the technology stack should be well developed to accommodate the same. In this regard, CrossFi chain  ecosystem has introduced Cosmos SDK that allows developers to quickly build their own custom consensus engine that speeds up the block verification and aids in expediting the token creation. In addition to this, the integration of EVMOS allows interaction with  smart-contracts and helps CrossFi chain communicate with EVM and non-EVM chains. In this way, developers are relieved from developing everything from scratch and overcome infrastructure challenges hindering faster deployment. Thereby, allowing them to develop apps that simplify crypto to fiat and fiat to crypto payment. 

In the present context of cross-border payments, an economy is highly dependent on diplomatic ties with other countries. For example, a lot of Russian oligarchs’ accounts were suspended in the US and their money seized. Even regular citizens couldn’t enjoy cross-border payments with other countries facing SWIFT bans. Hence, Crossfi chain has completely provided a viable alternative for the same where users can use the CrossFi chain for remittance to those economies where government intervention has obstructed international transfers. . 

Payment apps for the first time can integrate both fiat and crypto in their payments. For example, if you have crypto in your CrossFi wallet, you can easily use the same to make the payment for a good purchase even in a country where there’s no provision for crypto payment as a medium of exchange. 

If you are looking forward to launching your own financial Dapp on the CrossFi chain and you want an expert to support you in the node hosting, in that case, Zeeve has been providing the support to launch Crossfi chain’s validator node.

 Zeeve experts will help you in securing your CrossFi chain validator node and you do not have to lose control of the funds that you are staking for the validator node. The institutional grade infrastructure that Zeeve provides will ensure that you have to face very little risks while running your validator nodes on CrossFi chains. 

In addition to this, you will also get 24.7 monitoring service & support, integrated dashboard and 99.99% uptime with SLA for ensuring that your nodes are running up and live always without a glitch. Talk to your experts for more details about hosting your CrossFi validator node by visiting our Website or scheduling a call.