This is a CredibleCryptos.com interview with the entrepreneur and creator of Masonicoin, David Pearsall.
What is Masonicoin? Masonicoin was created to be a cryptocurrency with a charitable cause. When someone provides a contribution on masonicoin.com, they are provided the cryptocurrency. It was built to allow anyone in the world to contribute and own a piece of Masonicoin on the blockchain. The Knights Templars created the world's first banking system. Now with the mass adoption of cryptocurrency, Masonicoin was developed and is managed by members of the world's oldest, most powerful and most benevolent worldwide fraternal organization, Freemasonry.
The cryptocurrency Masonicoin officially launched on a public decentralized exchange on March 1st, 2018 with a limited amount of 333 billion Masonicoin. Since then, this cryptocurrency has been listed on 10 different exchanges and has added over 66 billion Masonicoin onto the blockchain with most of it being held in a 3-year price stability fund. Over 14 Million dollars in value has also been donated to Masonic Grand Lodges throughout the world. According to Masonicoin creators, their goal in part is to be a resource and financial contributor to the craft while encouraging candidates to join their local lodge.
Credible Cryptos (CC) had some questions about Masonicoin so we reached out to the creator of Masonicoin, David Pearsall (DP) to ask a few questions and learn more about this exciting new cryptocurrency.
CC: Masonicoin seems to be everywhere and has essentially come out of nowhere. What is the purpose and what inspired you to develop Masonicoin?
DP: I have given the same answer for every new venture. When one has an inspired thought and the expertise to execute, they should trust their instincts and immediately act. Initially, I saw a need in the market to launch a craft coin as a fund-raising method for Freemasonry. We launched and provided an allocation of Masonicoin for free to each Master Mason who registered. Another portion of the supply was allocated for free to Masonic Grand Lodges all over the world. Now, we continually provide new supply of Masonicoin to anyone who makes a charitable contribution on masonicoin.com. Portions of the contributions are for charitable causes, a distressed worthy brother or a local lodge in need.
Ultimately, this grew into being something for everyone, not just for Freemasons and Shriners. Masonicoin is and should always be available to anyone, anywhere who wants to own a piece of it on the blockchain.
CC: What differentiates Masonicoin in the Market?
DP: One of the things that makes Masonicoin unique may be how we compare operationally to other cryptocurrencies. We chose a blockchain that does not have mining like Bitcoin or Ethereum. Instead, we use the Graphene blockchain and technology which is said to be the most secure, powers only the best platforms and is truly decentralized.
To simplify the purpose of crypto Mining. It is the process that increases new supply to reward those who provide a transactional ledger. However, what happens in the long run when mining ends or if a select few who control most of mining want to manipulate the market? The Graphene technology replaces mining with third party witnesses and committee members to process transactions and keep ledgers. I believe it's a more secure environment, removes potential price manipulation, helps ensure longevity by having a lifetime ledger of transactions and is truly decentralized with instantaneous verifiable transactions.
CC: This brings up more questions regarding what we think people know about the blockchain. Are people unknowingly taking a bigger risk with centralized exchanges or with online wallets like Coinbase?
DP: I think so and Coinbase sometimes has taken me hours to deliver an otherwise instant transaction. I have many ideas on why, but I think they are essentially a centralized online wallet that controls your money like a bank. They do have a nice customer interface, but that is all I like about them. By us being a part of a truly decentralized system without any company controlling the transactions, I think it gives the consumer an added level of security by having complete control over their own funds.
CC: If you do not have mining, how do you increase the supply of Masonicoin on the blockchain?
DP: We as the issuer convert unissued supply of Masonicoin from the founding repository and provide it to you on the blockchain for contributions made exclusively at masonicoin.com.
Like most cryptocurrencies, there is a maximum total supply of Masonicoin that limits the quantity and availability. When you contribute online, the founding repository converts unissued to issued Masonicoin which increases the overall total supply on the blockchain. Although new supply increases overall on the exchanges, the limited availability of unissued decreases. Your charitable contribution on masonicoin.com helps us increase supply and reserves you a piece of Masonicoin on the blockchain.
CC: There are some major exchanges who now list Masonicoin. What decentralized exchanges is Masonicoin listed on?
DP: The first exchange was Bitshares who also has its own cryptocurrency, BTS. Masonicoin can trade against many fiat currencies like the USD, EUR or CNY. But we mostly trade against Bitshares. According to historical data, Bitshares has previously transacted more in daily volume than Bitcoin and Ethereum combined. Think about that and what it means for Masonicoin. Transactions on Bitshares won't get lost in the ether. Pun intended! Ethereum, ERC 20 is the primary blockchain most new cryptocurrencies are building on today. However, I think it may be because they are overlooking it or do not know about Graphene yet.
Other premier exchanges who list Masonicoin are based in China, like WINEX and Bit Empire, Open Ledger is a great exchange in the Netherlands and one of the most popular is in Russia, RuDEX. Two very promising new exchanges just launched who list Masonicoin, DEEX.exchange and SmartHoldem.io. A full list of them can be found at masonicoin.com.
CC: What are some of the other differentiating factors about Masonicoin?
DP: We created a simple scalable system to allow anyone new to get involved with cryptocurrency. We have our own one-way payment gateway that allows contributions to be made with a credit card, PayPal or other cryptocurrencies. This is something all other cryptocurrencies and some exchanges seem to be missing.
Since we accept credit cards for crypto, we integrated a system with Artificial Intelligence to provide a highly advanced level of security and verification. Document verification is something we only see some exchanges or online crypto wallets doing, not the coin creator. We took it even further and added facial recognition to make sure the documents provided are not stolen or faked. This verification process is offered to everyone and only mandatory if an account has been flagged. Flagged accounts are generally due to discrepancies in information provided to what may be actual or publicly listed. This process only takes a few minutes and includes document verification, facial recognition with spoof proof protection and it can cross reference against Anti-Money Laundering checklists.
We have an easy to follow user guide with video tutorials. Masonicoin.com has breach insurance with a 100,000 dollar protection plan with McAfee Secure to further help protect us all against fraud and identity theft. In addition to allowing one-time contributions, we created Masonicoin Monthly plans to allow someone to contribute automatically each month. Our Masonicoin Monthly members receive additional perks and issuer incentives and it helps them contribute responsibly each month according to their own financial means while increasing their holdings of Masonicoin.
CC: What are some of the current or foreseeable challenges?
DP: One challenge is managing the psychology of others when they see huge swings in the market. We obviously have no control over the value of Masonicoin on the exchanges. However, we do have some controls regarding the issuing of new founding supply. We can control the base conversion rate and quantity we offer of new supply for contributions made at masonicoin.com and it must be advantageous compared to the current market value. Being a newer cryptocurrency, we see wide Bid and Ask strike prices. That tells me volatility, volatility means uncertainty and uncertainty means opportunity. The solution was to create a base value of new Masonicoin supply and provide that equivalent in value of someone’s contribution. In addition, we have a 3-year fund that currently holds the majority of issued Masonicoin on the blockchain to help with price stability.
A profit or loss is only realized when one sells which leads me to the second challenge we have like most new cryptocurrencies, liquidity. So, our recent solution was to not provide new supply for cryptocurrency contributions made on masonicoin.com unless necessary. We created a mostly automated system that allows someone to contribute on masonicoin.com with cryptocurrencies DASH, BTC, LTC or BCH. That transaction then purchases open Sell orders in BTS instead of creating new supply and provides it to their exchange account.
Let me explain. For example, let's say you contribute on masonicoin.com using Litecoin to receive 10,000 Masonicoin. That Litecoin will automatically convert in real time into our preferred trading pair with the most liquidity, BTS. That quantity of BTS then purchases 10,000 Masonicoin from open Sell orders and provides it to the contributor’s account.
CC: What if there is not enough available for sale to purchase 10,000 Masonicoin?
DP: If 10,000 is not available for purchase in the open market or if the markets Sell price suddenly increases in the interim so high that it does not allow for all 10,000 Masonicoin to be acquired, we will simply provide the necessary difference from new supply. This may sound complex, but it is mostly automated and is a solution to help provide liquidity in the market.
CC: In conclusion. What are the future plans for Masonicoin? Any parting words?
DP: There is a lot in the works for our future. Not to give anything away, I will say this. We have a much bigger target market outside of the United States with an immediate core base of potential users we are focused on who have accepted Masonicoin and believe it is the next big thing in cryptocurrency. We need mass adoption by users, merchants and markets so we are working on implementing solutions. We plan to create a better looking and more user-friendly customer interface and work closely with companies who will accept Masonicoin as payment for goods or services. Our own Android and IOS apps are a probability.
I would like to thank those who believed in us and got involved early. I am extremely grateful to everyone who has supported, promoted and contributed on masonicoin.com. We have done several splits at the end of each month and we plan on doing another August 1st for contributions made in July. For a limited time, we are providing an additional 50% more Masonicoin with each contribution and everyone gets 3 free Masonicoin when they create a masonicoin.com account. If you are one of those skeptics than those 3 free ones are for you!
To learn more visit masonicoin.com. Contact Masonicoin at email@example.com or Credible Cryptos at firstname.lastname@example.org
View of Masonicoin and Bitshares on July 24, 2018