Fortuna – Solving OTC Derivatives Problems with Blockchain
FOTA is an abbreviation for “Futures & Options Trading Applications” and they describe themselves as the “Next Generation Crypto Derivatives Trading platform”.
In a Daily Chain Exclusive we are the first to show you a brand new introductory video to the FOTA platform:
I sat down with Brian Cai, CEO, to discuss the project further.
When did you first hear about Crypto and what was it that drew you into the space?
I heard of bitcoin in 2010 and have been interested in blockchain technology since 2014 because of the project “U-Transfer” which focused on solving the inefficiency and high cost of international transfers. In 2014, I heard of one company, the infamous Ripple, who was also focused on the same problem with the technical base solution of the blockchain.
What is your background and what was the driving force behind starting your own Crypto based derivatives trading platform?
I graduated from Yale University in 2011, majored in Computer Science. After that, I have been occupied in investment banking, corporate finance, and private banking while working in New York, London, Hong Kong, Shanghai, and Hangzhou. So during those years working in different areas of finance, I realized that the internet and the blockchain will be the most disruptive force to solve the problem of efficiency, transparency, and cost of financial services. So I launched Fortuna in 2017, a blockchain project which focuses on derivatives trading with blockchain technology.
2018 was a tough year for the cryptocurrency market. However, from a tech perspective, we witnessed even more innovation and advancements than ever before. Can you talk about the progress you made last year?
In 2018, we have published our test net of DPOSA which is an innovative consensus algorithm and web wallet. We have also published our weekly cryptocurrency options trading platform which is called “Black Friday.” Most importantly, we launched FOTA.com(Futures & Options Trading Application), which is the only futures platform in cryptocurrency industry supporting a portfolio cross-margining system, on par with the top two margin system in the world: SPAN from CME and STANS from OCC. We also support options trading on FOTA.com, and we will publish a dozen new derivatives product in the near future.
What was your finest achievement in 2018?
My most exceptional achievement is FOTA.com.
FOTA a.k.a Futures & Options Trading Application, built by a team of directors and senior members from Goldman Sachs, Credit Suisse, and the OCC. FOTA.com’s proprietary STAMP (System for Theoretical Analysis and Margin Portfolio) is currently the only portfolio cross-margin system in the cryptocurrency industry. STAMP’s mechanisms and risk frameworks are designed to integrate those of the SPAN system of CME and the STANS system of the OCC. Professionals highly praised this system including former Chair of ASIC and senior executive at CFFEX.
Designed to serve both retail and institutional investors, STAMP allows its clients to
• Maximize margin utilization rate (given specific risk tolerances)
• Reduces the overall chance and/or impact of liquidations
• Withdraw or make use of realized & unrealized p&l 24*7
• Never incur negative margin and/or socialized loss
You recently launched the European ATM Option which you’ve described as “the world’s most advanced digital assets options.” Please, could you talk a little about this release and why it’s so significant for your platform?
An option is an excellent tool for an individual investor to invest in cryptocurrency with free leverage trading and without worrying about the complexities of derivatives. Our option contracts are simple and have a gamified, yet intuitive feel, which we believe is excellent for the cryptocurrency community. Currently, we have European ATM and OTM Option, and we will support more option products for individual investors to trade in the coming months.
A major incentive of yours has been the “Most Attractive” referral programme which offers up to 50% trading commissions. Referral codes are a popular tool in Crypto so what was your decision to offer such an impressive amount?
We offer not only a 50% referral program but also a 40% dividend program. Our funding is very sufficient, so we want to share more profit with our clients and community members for supporting us. At Fortuna, we believe that if we take care of our users, they will take care of us.
You’ve recently launched both an iOS and Android mobile app giving your users more flexibility and accessibility with their trading. Can you talk about the success of these releases so far?
The mobile app is essential for convenient trading anytime and anywhere, especially for the individual investor. So we have put many resources in mobile app developing to provide a good user experience on mobile. Our community had great feedback, and they have enjoyed the experience.
What can we expect from Fortuna 2019? Are there are many surprises around the corner?
FOTA.com will develop many brokers in 2019 including spot exchanges. We will utilize the advantages of our futures and options to establish a B2B2C business model. Yes, we have new releases every two weeks, so our community gets a surprise every other week, although we don’t like to share ahead of time. When I started this company, I took a vow to myself, that I would not allow our company to live off of hype like many other cryptocurrency companies. I believe in developing real value that will create long term volume.
What are your views on Crypto as a whole for 2019?
Before the massive BTC pullback, I told our team and our community that winter was coming. I knew an enormous crash was near so thankfully we prepared for the worst. As for the events of 2019, I do not know.
I do know that many companies will die. The industry will get smarter and begin to realize that marketing is not a replacement for a great product. The teams that will survive will be the ones that put their heads down and create real value, not just unwarranted hype. I may sound bearish on the space, although I do have high confidence in the future of cryptocurrencies.
Can you summarise your ultimate vision for Fortuna?
The ultimate vision of Fortuna is to become the largest cryptocurrency derivatives product supplier and the most significant blockchain-based platform for traditional derivatives trading.
I thank Brian for his time.
If you would like to learn more you can find FOTA’s relevant information below:
*If you would like to donate some $FOTA to help fund the site you can do so below. These proceeds will be used to ensure that content remains free and costs such as web hosting are covered.