Anti Derivative

Derivatives are the largest global market, their worth amounting to $500 trillion. It has undergone significant regulatory changes recently: after 2016 mostfinancial institutions may choose to dishonor their contracts without penalty, if they find themselves in financial difficulties. Clients (derivative holders) may end up being out of pocket (they have paid for theirinsurance anyhow), out of luck (they will get nothing), and at the mercy of any liquidity shortfall, experienced by the financial institution they have chosen as their counterparty.

The anti-derivative token is a practical solution merging legal, financial and technological innovations into a multi-layer collateral that may be used in any derivative contract. This is how its functionalities address the above challenges:

1. automated execution of contract in case of counterparty failure;
2. blocking pledged tokens to ensure their availability and satisfy derivative holders;
3. full regulatory compliance and market transparency

It will allow small and medium financial institutions to compete with large banks for clients by offering more certainty on the largest market in financial history.