How is this for an attention getter? The price of TenX had jumped almost 250% since late June to around the $1.22 level.
Since it peaked at $5.00 around Christmas time, TenX investors have lost big time. So, is the recent action grounds for excitement? I believe the answer is yes. After taking a close look, there are some very cool things about TenX. Of course there is always a difference between a flashy whitepaper and a finished product, but TenX could deliver some interesting stuff. So stay with me and let’s take a look.
The Basic Structure
Just for starters, TenX is a debit card driven wallet. But that is only part of the story. The founders claim to offer a major game changer by enabling users to spend their blockchain assets through their mobile phone or a physical debit card. That is a very cool way facilitate mass acceptance of crypto, but TenX is hardly the first.
There are already quite a few including Xapo, Bitwala, Monaco, Tokencard and Wirex that have been around for several years. On the other hand, TenX’s ICO raised $64 million taking the #8 ranking in 2017 for the biggest raise. Presumably somebody back then looked at all the competition and decided to place their bets on TenX.
On the surface, TenX is a project to make a better mouse trap. They claim to be the only company to be able to make multiple cryptocurrencies instantly spendable. If you do some digging you will see how others like Bitwala, Monaco and Tokencard focus solely on Bitcoin or Ether. TenX’s current list includes Bitcoin, Ether and Dash. The idea is to eventually include virtually any blockchain asset.
To make this all happen the COMET network is under development. The acronym stands for Routing Protocol and Cross-chain Payment Channels. The goal is to create a trustless, instantaneous network that is, above all else, lowest cost provider.
At the outset, the TenX app or physical debit card will be accepted in roundly 200 countries and 36 million locations.
TenX Promises To Be Cheaper
In addition to accepting Bitcoin, Ether and Dash, TenX also incorporates both MasterCard and Visa. All customer assets are held in crypto form until the last moment before being converted to the designated fiat currency. Cardholder transaction fees are free. Instead, holders receive 0.1% refund on purchases.
The release of the iOS and Android version of the mobile app started in October of last year and both versions of the mobile application available for download in all countries.
One of the nice things is the ease of signing up with the app that is a lesson in user friendliness that most crypto exchanges could draw a lesson from. The only drawback for some potential users is the requirement to list both place of residence as well as place of citizenship. For most this is not a big deal but could offend some crypto purists.
As of April, TenX offered full support for BTC, ETH and Litecoin (LTC). Later this year, the intent is to add additional support for all other ERC20 tokens as well as Ripple.
The next step is for TenX to receive approval for a banking license. When this takes place, TenX will be able to issue it’s own debit or even credit card without dependence on the Visa or MasterCard networks or other third party issuers. In my view, that is when the real fun begins for investors.
Having over $60 million from their ICO enables the project to be fully staffed. In addition to four co-founders, there are sixteen engineers, a dozen members on the operations side, seven in Legal & Compliance, six in product design and development and over a half dozen in related capacities. In other words, this is company appears well beyond the whitepaper stage and capable of delivering on their bold promises.
Why The Price Tumbled
In early January, just as the crypto selling wave was going into high gear, Visa announced that it was terminating its relationship with the payment processing company WaveCrest. Affected cards under association with WaveCrest included CryptoPay, Bitwala and TenX. At first the Visa decision appeared to be cryptocurrency related.
After the noise quieted down it became clear that the move was strictly related to WaveCrest. The WaveCrest termination does not affect other card programs approved by Visa that use fiat funds converted from cryptocurrency. Nevertheless, the damage had been done by the time all facts were known. TenX’s relationship with Visa remained valid.
Keep An Eye On TenX
So to restate the question, what’s going on with TenX: quite a bit actually. The real question remains, is the recent price spike the beginning of a major move? Fundamentally, things look promising and in the long run that will create higher value. So this is name on which to do your homework.
Featured image courtesy of Shutterstock.