Case Studies
Yacht Sales In Traditional Finance
Yacht Sales In Traditional Finance
Yacht Sales In Traditional Finance
Two brokers have been working on behalf of their respective clients for weeks on a deal. Negotiations have been intense, and sometimes gotten a little heated, but an agreement has been made, and contracts are ready to be signed. Its a Tuesday afternoon when the buyer receives the contract to sign. They won't be able to initiate wire tr
Two brokers have been working on behalf of their respective clients for weeks on a deal. Negotiations have been intense, and sometimes gotten a little heated, but an agreement has been made, and contracts are ready to be signed. Its a Tuesday afternoon when the buyer receives the contract to sign. They won't be able to initiate wire transfer of $1.2 million dollars until Wednesday morning. In the meantime, the buyer is coming from Europe for a business meeting in California. The timing of the sale will allow for he and his wife to take delivery of their new yacht in Florida, and do a quick long weekend shakedown cruise to the Bahamas before continuing on their business trip. They arrive in Miami Thursday night with the expectation to have keys in their hands Friday morning. Even though a confirmation letter is in hand, funds have not hit the sellers account, and don't on that day. The wire took longer than expected. The maiden voyage is cancelled, and while everything will eventually settle, all parties are agitated and tempers run hot while waiting for the bank to process funds.
Yacht Sales With Blockchain
Yacht Sales In Traditional Finance
Yacht Sales In Traditional Finance
Now lets take this exact same scenario with a few changes....
In this scenario, everything is the same except the buyer doesn't receive the contract until Thursday afternoon. After reviewing and signing the contract, it's 5:30 pm when the sellers broker (your organization) receives the contract. They confirm with the buyer that it's recei
Now lets take this exact same scenario with a few changes....
In this scenario, everything is the same except the buyer doesn't receive the contract until Thursday afternoon. After reviewing and signing the contract, it's 5:30 pm when the sellers broker (your organization) receives the contract. They confirm with the buyer that it's received. Because your organization has an established crypto wallet you can accept USDC (a stable coin pegged to the US dollar by means of USD treasury bond and cash holdings) funds at 5:31 pm on a Thursday. After a quick confirmation of routing details, the complete amount of $1.2 million dollars is received by 5:35 pm on Thursday afternoon. The client boards their flight a few hours later, and you're there on the dock with a bottle of champagne and the keys to their new adventure. After seeing your clients off, you go back to the office, convert the funds to USD, send them on to the seller, and everyone is happy.
A Study in Charter Funds (TradFi)
A Study in Charter Funds (TradFi)
A Study in Charter Funds (TradFi)
In the market of charter reservations, brokerage houses may receive depository funds for future charters. Client funds can be held in traditional banking products such as money market accounts, offering a safe and liquid ways to earn returns. These money market accounts provide higher yields than standard checking or savings accounts. While exact rates depend on the current market environment, an account holding over six figures can reasonable expect a .5% APY. In an example of a 50% deposit on a $500,000 charter scheduled six months in advance, the $250,000 would reasonably expect to gain $625 in interest.
A Study in Charter Funds (DeFi)
A Study in Charter Funds (TradFi)
A Study in Charter Funds (TradFi)
When comparing traditional banking products to crypto holdings, the differences are notable. While money market accounts offer stable and predictable yields under 1%, crypto can offer safe yields of 3-5%. These returns can vary depending on the platform used (Centralized Exchanges vs Decentralized Exchanges). It is important to note that while crypto holdings are not yet FDIC insured, there are insurance policies available for these types of products. To our comparison, the same $250,000 deposit held for six months and held at a major central exchange currently offering 3.85% APY could reasonably expect to gain $4,812 in interest over the same time period.
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