Q&A with MinePlex co-founder Alexander Mamasidikov

The financial industry needs to undergo crucial changes and developments to remain appealing. Neobanking is one of the trends that paves the way for cheaper solutions presented in a digital format.

Invezz had the opportunity to host a Q&A with Alexander Mamasidikov, Co-founder of MinePlex to better understand the issues it is looking to tackle.

1. What major issues in finance do projects like MinePlex help solve?

A growing number of banking applications are now becoming mobile. Mobile payments are used by more than two billion people globally. Analysts predict that mobile payments will double by 2025. In some regions like Southeast Asia and South America, the younger generation has skipped the usual process of owning a credit or debit card in favor of using mobile apps.

In China, the use of all-in-one apps has been growing for a long time. I think the future belongs to applications that make it possible to have anything you need in your pocket. MinePlex was designed to allow users to access digital currencies and next-generation banking services.

With MinePlex, customers can reduce their transaction expenses, save time when contacting the bank, and store their assets securely. Using MinePlex, however, is as simple as opening up a Google account.

 2. What operations can be carried out using MINE tokens?

MINE, which is the platform’s native token, gives users access to all the benefits of our services and lets them make transactions on the MinePlex blockchain network. It is the computing power of the blockchain. MINE tokens allow the owner to stake MINE and extract rewards in PLEX. 

3. What are some advantages of holding PLEX? 

PLEX is the second native token of the MinePlex platform. It is listed on cryptocurrency exchanges. This is the main token used to access all the services in the broad MinePlex ecosystem — marketplace, crypto cards, banking, etc.

PLEX’s value is constantly rising following the algorithm on which it has been built. By holding MINE tokens in their wallets, users automatically participate in liquid token PLEX mining with a limited supply. New coins are distributed among MINE holders and are mined in the amount of 20% of the monthly deposit. Users can convert PLEX into MINE tokens directly on the MinePlex blockchain.

 4. Is selling or hodling crypto more lucrative at the moment, given the state of the market?  

The performance of certain operations depends on the investment strategy. Professional traders make money in any market. At the same time, many community members hold cryptocurrency and try to use market conditions to increase the number of coins in their portfolio as soon as the opportunity presents itself.

With a balanced portfolio, they are guaranteed to make a profit when they sell their assets.

5. What are the biggest advantages of neobanking?

The primary benefit of neobanking is usability. The customer does not need to leave their home, adjust to the working hours of a particular department, or stand in queues. Any operation available with neobank can be performed online at a convenient time.

If you look at it from the banker’s perspective, they will note such advantages as small costs, favorable rates, customer base growth, easier loan approvals, a focus on lending to small businesses, etc.

6. What challenges does neobanking face?  

Today, neobanking faces certain difficulties, including high costs for the creation and implementation of banking applications, specialized programs, and sites for customer service, as well as significant costs associated with the development and implementation of reliable protection against cyber fraudsters and virus programs.

At the very start, a neobank may face a lack of investment capital and the need for large initial investments for the development of neobank. In addition, part of the population does not trust neobanks and has a low level of computer and financial literacy, which also negatively affects the growth and development of neobanks.

 7. Do you believe erosions of differences – lack of distinction between neobanks — is an issue in the sector? 

The similarity of existing neobanks, visible at first glance, should not be misleading. Upon closer examination, virtually all projects on the market differ from one another: for example, in the quality of service or in the product line. At the same time, the homogeneity of classic banking products increases competition in the neobank segment, which ultimately benefits the consumer.

8. How will increasing regulations impact the digital asset industry in general? 

Regulatory legislation is the biggest issue that state economies are tackling at the moment. The development of new payment infrastructure and frameworks for digital-asset recordkeeping and taxation has helped progressive economies achieve new milestones.

The latter is largely aimed at making cryptocurrencies accessible to a broader user base, including the unbanked layers of the population.

Regulatory legislation is the key to making cryptocurrencies a legal means of payment for commercial and financial settlements. We can draw a parallel to the e-invoice market, which has seen a big growth in demand in the US B2B market after the federal Office of Management and Budget officially backed the usage of electronic invoices in 2015.

Companies across the country have seen the benefits of the approach and started adopting it. The same will happen with cryptocurrencies once proper regulatory legislation has been implemented.

The aforementioned framework must focus on convenience and usability. Its founding pillars must be compliance, transparency, and security to make sure instant payments are maintained as one of the core values of the underlying blockchain basis.

The infrastructure as a whole must give SMEs, public services, businesses and average users the chance to leverage the advantages of cryptocurrencies and apply them in the commercial environment. That extends well beyond the B2B sector into everyday activities like grocery shopping.

To impede the spread of criminal activities in state economies and the cryptocurrency industry, the public must be educated in the proper use of cryptocurrencies and related applications. Any regulation, however, must take into account the rights and opportunities of law-abiding citizens while acting as a vanguard against fraud.

The drafting of such regulation and its adoption is likely to become the main vector of market development in 2022-2025.

9. What is the next most important project you’re going to work on?

After a year and a half of work on the project, we launched a unique CrossFi technology, developed and released the MinePlex blockchain, and created several innovative financial instruments. Banking and crypto cards will be launched right now. All this has been accomplished in such a short time.

We have ambitious plans for the next 5 years. This will change the history of the crypto market. This is what I will continue to work on. I am totally focused on this project. This is my life’s work. I draw inspiration every day from my team and the support of my community.

10. How does the future of finance look?

The digitalization of finance will continue. At the same time, lawmakers will expand opportunities for converting financial services into digital ones. More financial services will focus on the social needs of their consumers, such as shopping and entertainment.

There are new generation banks available that offer customers concierge service, table reservations, bookings of hotel rooms, and custom services tailored specifically for them. The number of mobile payment transactions and remote services will grow, so the traditional banking branches will cease to exist during the next 10 years.

Among other trends that will go mainstream, I would also like to highlight instant payments, the sharing economy, and subscription services.

The role of cryptocurrencies will continue to grow in the modern financial industry. Today, major market players like JP Morgan, Visa and PayPal work with cryptocurrencies and recognize the need to merge them with the traditional sectors of the economy. The recognition of digital currencies, therefore, will reach a peak. 

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