Dear investors, at this stage, Ahedgefund is on "closed" sales. To apply for a purchase, you need to fill out a form. Sales managers will contact you within 24 hours after reviewing the request. ICO Ahedgefund sagl starts 1.10.2018
What is the hedging?
Hedging is a traditional financial tool. The simplest hedge-tools were used in ancient Japan. In fact, this is an insurance of your risks upon undesirable market trends which is impossible to work out in advance, but which can affect your financial benefit considerably.
Why should I hedge my risks?
Hedging of risks minimizes your possible financial losses. If you assume that the rate of the main cryptocurrencies (bitcoin and ether) isn't stable and you want to secure yourself against sharp falling or, on the contrary, you want to lock in the profits at the maximum level of the prices; or you plan the delayed purchase and you are afraid that exchange rate will sharply grow, or the project in which you have invested has stopped payments for the stated obligations, you should use CDSToken (CDST). You will be able to buy CDST on the website of Ahedgefund with a possibility to choose a credit event, object of insurance and the duration of the derivative or the credit-default swap. CDST will become your financial guarantee in the dynamic cryptocurrency market.
What's the difference between the hedge in the classical market and the hedge in the cryptocurrency market?
There wasn't any hedging in the cryptocurrency market before Ahedgefund. And the hedging system in the market of fiat currency exists more than one century. And all these years it continues to improve models of risk calculation and assessment of the credit-default swaps. That is why the traditional mathematical models which have shown the efficiency have been taken as a basis. Absolutely automatic system of CDST cost calculation will become the main feature of hedging in the cryptocurrency market. It will exclude the subjectivity of the assessment and it considerably will increase the generation speed of the derivative by the issuer.
How do you guarantee payments in risk event occurrence?
Ahedgefund which insurance fund is formed of the issued project tokens will become the underwriter of the payment of a cost difference if any occurrence of the CDST insured event. The initial planned size of the fund will be $100 million. In the subsequent 50% of the sum of each acquired CDST will go for its replenishment.
Who will estimate the weight and reliability of a token which cost is necessary to record and also the cost of the derivative?
We are developing completely automatic objective system of CDST cost calculation based on the main modern algorithms applied in the classical stock market to calculate the CDS price, such as Merton's model, etc.
What is the purpose of AHF tokens creation?
As the Ahedgefund project is infrastructural it will also directly maintain the blockchain market, and in the future (as we assume) it will become an integral part of this market, but the release of CDST is a necessary step. To maintain the blockchain market "from the outside" is impossible when all calculations and payments are carried out with the use of cryptocurrency and built on its rates.
Will I be able to be a user of Ahedgefund in case I'm not an investor of it?
Anyone will be able to buy CDST to insure oneself from the rate changes or from nonpayment on investment obligations.
What benefits will I receive in case I'm an investor of Ahedgefund?
Investors of Ahedgefund gain additional income in proportion to invested funds from investors' fund which is replenished when any CDST is purchased. (50% of cost go to fund)
Are you going to hedge the risks on all tokens which are in the cryptomarket now?
At the beginning of Ahedgefund work it is planned to issue derivatives on the main cryptocurrencies: bitcoin and ether – then the fund plans to develop effective model of risks calculation which will be able to work objectively in respect of any tokens which are generated in the market of cryptocurrency.
May I resell your derivative if my insured event hasn't come or I don't need it anymore?
The released CDST can be freely resold. This will allow to create one more sector of the market which deals with the trade in cryptocurrency.
How and when dividend payout to investors of Ahedgefund (holders of tokens of AHF) will be made?
Payment will be made automatically at the request of the function holder of the smart contract. Also function of the sum determination which is subject to payment will be available. It is possible to call functions of the contract at any time.
The transfer of the percent from CDST sales into the account of the smart contract AHF will happen at the time of CDST purchase.
Balances updating of Ahedgefund investors (and the sums which are the subject to the payment) will be once a month. Thus, investors can transfer the dividends every month or less frequently.
At the sale of AHF tokens to other person, all not removed dividends pass to the new owner.
How and when will be made the payment when an insured event occurs?
The criteria of a loss occurrence depend on the CDST type (duration). Our system in the automatic mode will regularly form events in blockchain. On these bases smart contracts which operate CDST will define an opportunity and the sum of insurance payment. Holders of CDST can call functions of sum check of insurance payment and functions of the insurance payment receiving at any time.
1st day: CDST are bought with falling rate of Ethereum to USD. The insured event - an average rate has dropped more than by 20% per day. Period of CDST validity is 30 days. According to the smart contract an average rate per day at the time of purchase to USD
2-10th day - a rate has grown. It is impossible to receive payment. The contract will return aт error.
11 day - the rate fell by 30% in the moment, but the average rate per day did not drop more than 20%. You can not receive a payment. The contract will return an error.
12 day - the rate fell by 30% in the moment, the average rate per day dropped by 20%. You can receive a payment. The contract will return an amount equal to 20% of x when applying for payment.
Day 13 - the rate fell by 31% in the moment, the average rate per day dropped by 25%. You can receive a payment. The contract will return an amount equal to 25% of x when applying for payment.
Day 14 - the rate fell by 35% in the moment, the average rate per day dropped by 30%. You can receive a payment. The contract will return an amount equal to 30% of x when applying for payment.
On the 15th day - the rate fell by 35% in the moment, the average rate per day dropped by 20%. You can receive a payment. The contract will return an amount equal to 20% of x when applying for payment.
16-30 day - the average rate for the day did not fall more than 20% from x. You can not receive a payment. The contract will return an error.