Web3 is the next generation of the internet. In an era where privacy rights are being compromised and censorship is increasing, it seems like Web3 is the solution that users have been waiting for. Web3 solutions and products have shown that users can be in control of their data, resulting in fewer breaches.
Decentralized Communication Finance (Dcfi).
Some Web3 startups have taken this as a starting point and are working to develop solutions that allow for decentralized finance to be combined with decentralized communications. Pravica Club, an Egypt-based Web3 company, recently launched a messaging platform.
Mohamed Abdou (the startup's cofounder and chief executive officer) said Pravica Club, a Web3 messaging, self custody, and blockchain-enabled conversation app, gives users the "opportunity" to create their communities in a safe environment.
Bitcoin.com News' Abdou explained how the app is competitive due to Pravica Club’s eternal message, and its crypto payments functions. The co-founder shared information about the messaging app and his views on crypto regulations, as well as the rise of the United Arab Emirates (UAE), a crypto hub and blockchain.
Below are Abdou’s written responses to the questions he was asked.
Bitcoin.com News (BCN). You have recently launched a decentralized communications finance (dcfi), platform you call Pravica Club. Could you please explain the "dcfi" and why such a platform is necessary?
Mohamed Abdou MA: DCFI is a term that has been rising in crypto and describes the nature of platforms that allow decentralized communication as well as decentralized financing under one platform. This allows a broad range of users to access the same platform.
Pravica Club fits perfectly under this description. We enable secure, private, and decentralized messaging that is encrypted at all times with the user's own encryption keys. Pravica Club users log in using their own decentralized identities, DIDs (decentralized identities), without the need to use a username/password or mobile number. BTC or ETH. BTC, and so forth.
We offer people in the Web3 era an opportunity to build their communities safely and earn through multiple channels such as Value Weighted Messages. VWM allows community members to like posts and also "value" them with a fraction of crypto tokens to show their appreciation to the person who posted them.
Community builders can also earn bitcoin by offering premium features to their community members and followers. They will stack (not staking), for a certain amount crypto tokens, and then redirect the rewards to community owners.
BCN: Your company recently posted that the messaging platform includes the "eternal messages" feature. What makes your platform better or more efficient than the centralized messaging services?
MA Every message sent via messaging apps like WhatsApp and Telegram is stored on servers owned by the service provider. What if you wanted to save a conversation so that it remains forever, even if you discontinue using the service? It is impossible to save a conversation in the web2 world. However, smart contracts allow people to take a portion of the conversation and place it in plain text on a chain. This will convert it into a single transaction ID that can be shared with anyone. The blockchain will keep it forever where you can verify it and use it as proof-of-chat.
It is a message that cannot be deleted or modified and is in an NFT (non-fungible token) format, which allows owners to possibly benefit from it.
For example, Vitalik Buterin's announcement of the success with the Ethereum merge was a great example. If he shared it with his Pravica Club community, that statement could become an everlasting message. Maybe 100 years later, this message can be found on the blockchain.
BCN: According to what you stated in a recent statement users of Dcfi are now able send crypto payments. Could you please clarify this?
MA Once you have authenticated with your cryptocurrency wallet, you can interact directly with your crypto assets while you're chatting. This amazing feature, which we call CASH_TAG, allows users to send and get crypto assets while they chat. It is not necessary to quit chatting and ask for the crypto address of the other party. You can then go to your crypto wallet and complete the transaction in just a few clicks. Web3.
BCN: Your company is based Eygpt where monetary authorities have recently reaffirmed their opposition to cryptocurrencies. You also have prominent Egyptian billionaire Naguib Seeiris, who denounces cryptocurrencies like Bitcoin. What does this mean for your efforts to encourage cryptocurrencies as a payment option by Pravica Club members based in Egypt?
MA What a great question. We are grateful for shining a light on this matter. Pravica is an Egyptian, UAE, and USA-registered company. Our mission is to address a major problem in data privacy. While we use blockchain technology to address these issues, we don't promote cryptocurrency. We also don't allow tokens to be used in our tools or services.
There is no problem, as long as we follow the Egyptian regulator's guidelines. We warn our users that any service dealing directly with crypto assets should ensure that they comply with all regulations.
Pravica is a global company and is not aimed at any particular country. We are taking advantage of Egypt's position by employing great talent and using the cost efficiency to operate. We are proud to have been the first company in Egypt to start working in the blockchain space three years ago, and are still in operation despite all the challenges.
MA Although I don’t have any statistics to confirm this, I was reading an article from months back that indicated that Egypt had about 2% of its population owning crypto (more then 2 million people). I don’t know if this is correct or not.
Personally, I think Egypt is no different to the rest of the globe. More people are beginning to embrace crypto. That is why we built the fully web3 crypto native Pravica Club platform. Because if there are users today who aren't into crypto, they will soon be.
BCN: Although regulators in the Middle East and North Africa (MENA), tend to be conservative when it comes to blockchain and cryptocurrency, many UAE regulators have embraced the technology. The UAE has become a major hub for blockchain and crypto startups in the MENA region. What does the UAE's emergence as a hub of crypto and blockchain tell you about the country’s approach to regulation of cryptocurrencies?
MA This is my opinion on how to best adopt and use this amazing technology. UAE is moving aggressively towards technology adoption. This is why Pravica registered in UAE under DMCC and crypto centre.
UAE is leading the adoption of blockchain technology in the region. They have issued regulations to organize how people deal with it. I believe many countries will follow their lead. I also see a tremendous initiative in Saudi Arabia to issue the regulations necessary to organize how people deal with virtual assets and crypto.
Crypto is here to stay. As soon as you adopt it as your country, the maximum amount of profit you'll earn. Pravica will continue expanding our offerings and geographical presence. We are currently seeking a seed round to fund $5 million.
Sign up here to receive a weekly update about African news delivered to your inbox:
What do you think about this interview? Please comment below to let us know your thoughts.
Frequently Asked Questions
What precious metal is best for investing?
This question is dependent on the amount of risk you are willing and able to accept as well as the type of return you desire. Gold is a traditional haven investment. However, it is not always the most profitable. If you are looking for quick profits, gold might not be the right investment. If you have time and patience, you should consider investing in silver instead.
If you don’t desire to become rich quickly, gold may be your best option. Silver may be a better option for investors who want long-term steady returns.
What proportion of your portfolio should you have in precious metals
To answer this question we need to first define precious metals. Precious Metals are elements that have a very high relative value to other commodities. This makes them valuable in investment and trading. Today, gold is the most commonly traded precious metal.
But, there are other types of precious metals available, including platinum and silver. The price volatility of gold can be unpredictable, but it is generally stable during periods of economic turmoil. It is also relatively unaffected both by inflation and deflation.
In general, prices for precious metals tend increase with the overall marketplace. But they don't always move in tandem with one another. For example, when the economy is doing poorly, the price of gold typically rises while the prices of other precious metals tend to fall. Investors are more likely to expect lower interest rates making bonds less attractive investments.
When the economy is healthy, however, the opposite effect occurs. Investors want safe assets such Treasury Bonds and are less inclined to demand precious metals. These precious metals are rare and become more costly.
Diversifying across precious metals is a great way to maximize your investment returns. Because precious metals prices are subject to fluctuations, it is best to invest across multiple precious metal types, rather than focusing on one.
What does a gold IRA look like?
People who wish to invest in precious metals can use Gold Ira accounts as a tax-free investment vehicle.
You can purchase gold bullion coins in physical form at any moment. You don't have a retirement date to invest in gold.
An IRA lets you keep your gold for life. When you die, your gold assets won't be subjected to taxes.
Your gold will be passed on to your heirs, without you having to pay capital gains taxes. And because your gold remains outside of the estate, you aren't required to include it in your final estate report.
To open a Gold IRA, you'll need to first set up an Individual Retirement Account (IRA). After you do this, you will be granted an IRA custodian. This company acts in the role of a middleman between your IRS agent and you.
Your gold IRA Custodian will manage the paperwork and submit all necessary forms to IRS. This includes filing annual reports.
After you have established your gold IRA you will be able purchase gold bullion coin. The minimum deposit required to purchase gold bullion coins is $1,000 However, you'll receive a higher interest rate if you put in more.
Taxes will apply to gold that you take out of an IRA. You'll have to pay income taxes and a 10% penalty if you withdraw the entire amount.
A small percentage may mean that you don't have to pay taxes. There are exceptions. There are some exceptions. For instance, if you take out 30% or more from your total IRA assets, federal income taxes will apply plus a 20 percent penalty.
You should avoid taking out more than 50% of your total IRA assets yearly. A violation of this rule can lead to severe financial consequences.
- You can only purchase gold bars at least 99.5% purity. (forbes.com)
- Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)
- (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
- 7 U.S. Code SS7 – Designation boards of trade as contract market authorities
- 26 U.S. Code SS 408 – Individual retirement account
- Yahoo Finance – Barrick Gold Corporation Stock Price, News & Quote – Barrick Gold Corporation (GOLD).
How to Hold Physical Gold in an IRA
The most obvious way to invest in gold is by buying shares from companies producing gold. But, this approach comes with risks. These companies may not survive the next few years. Even if they survive, there's always the risk that they will lose money due fluctuations in gold prices.
An alternative option would be to buy physical gold itself. This means that you will need to open an account at a bank, bullion seller online, or purchase gold from a trusted seller. This option offers the advantages of being able to purchase gold at low prices and easy access (you don’t need to deal directly with stock exchanges). It is easier to view how much gold has been stored. You will receive a receipt detailing exactly what you paid. You also have a lower chance of theft than stocks.
However, there are disadvantages. You won't be able to benefit from investment funds or interest rates offered by banks. It won't allow you to diversify any of your holdings. Instead, you'll be stuck with what's been bought. Finally, the taxman might want to know where your gold has been placed!
BullionVault.com offers more information on buying gold for an IRA.
By: Terence Zimwara
Title: Founder of Web3 Messaging App: Decentralized Platforms Enable Users ‘to Build Their Communities in a Safe Place’
Sourced From: news.bitcoin.com/founder-of-web3-messaging-app-decentralized-platforms-enable-users-to-build-their-communities-in-a-safe-place/
Published Date: Fri, 23 Sep 2022 10:30:32 +0000