Aviva Zacks of Safety Detectives has the pleasure of interviewing Gene Deyev, CEO of Stobox. She asked him all about his company’s DS Dashboard.
Safety Detectives: Tell me about your company’s services.
Gene Deyev: Our mission is to comprehensively help businesses in adopting virtual assets; thus, transforming their business models and financing models. We offer a broad suite of products and services to achieve this purpose.
Our primary product is the Stobox DS Dashboard. It’s a tool for managing a full lifecycle of securities on blockchain: investor onboarding and verification, primary sale, P2P transfers, corporate actions, dividend distribution, etc. A new revolutionary product we are offering is called DS Swap—an automated market-making protocol (DeX) for security tokens. Standard DeXes, like Uniswap, cannot be used for that purpose in a legally compliant way. DS Swap closes this gap, creating liquidity for millions of privately-held companies. Other plans include the launch of on-chain identity via Soulbound tokens.
Our services include consulting, legal management, financial modeling, and preparing a whitepaper of a business plan. Consulting is especially important, as it guarantees the selection of the right model for each particular business. To create genuine value, your implementation of digital assets should make sense from a legal, practical, operational, financial, and technical standpoint.
Usually, rather than buying only one service, our clients are more likely to buy a bundle of services needed to achieve a specific goal, such as raising capital or increasing the liquidity of their assets. This typically includes a combination of consulting, legal management, DS Dashboard, and a DS Swap.
SD: What is your customer base?
GD: Our customer base is quite diverse because many different industries can now benefit from the use of digital assets. The advantages range from a reduction in the cost of capital to an increase in customer engagement. One of the most attractive use cases is unlocking new sources of revenue.
The most active clientele is real estate entrepreneurs. Currently, this is the fastest-growing sector of asset tokenization. Being one of the least liquid assets classes, real estate can benefit tremendously from tokenization.
Besides, we have many other clients: natural resources companies, crypto startups, Fintech banks, crypto-mining projects, and investment funds, just to mention a few. The breadth of our project portfolio gives us experience in different areas, which can be transferred and synergized to offer more creative and tailored solutions.
SD: What makes your company unique?
GD: The asset tokenization industry is becoming increasingly popular; it keeps developing faster and faster every day. An astounding growth rate coupled with a multi-trillion-dollar market size attracts dozens, if not hundreds of competitors. This makes differentiation even more important.
Our primary advantage is that we offer more than simply a set of services. We offer a long-term partnership to transform clients’ businesses through innovation, making them dynamic, community-driven, and more decentralized. Instead of selling a hammer and nails, we sell a picture hanging on the wall. It means, that we will go the extra mile to make the client successful to get repeated revenue and projects.
This makes it easier and safer for clients to work with us. Working in a single one-stop-shop instead of working with a dozen different providers reduces the client’s overhead and the risk of misalignment.
Moreover, we have a very strong culture of continuous innovation. Thus, after implementing one project we will be often reaching out to our clients with suggestions for innovations we can implement for them. This way, we help our client to be always ahead of the competition in the technology adoption rate.
SD: How does your company handle its customers’ security?
GD: We apply the best practices to ensure the security of client data and assets. Firstly, we do not store our clients’ financial assets, crypto, or money. Clients manage their assets themselves through their personal wallets or bank account. Thus, even if our security system will be compromised, this will not affect the clients’ funds. Secondly, we use the necessary encryption protocols for client data. Thirdly, internal procedures ensure security and limited access to sensitive data. Lastly, our security token smart contract enables data recovery: the true state of the register is recorded in the blockchain and can be restored after the attack.
The combination of these factors ensures a high level of security for our clients.
SD: How is the pandemic affecting your industry?
GD: Honestly, the pandemic had a very positive impact on our industry for two main reasons. Firstly, it has shown businesses the importance of digital transformation and, thus, now more customers desire to collaborate with us and want to invest in developing their digital assets to stay competitive.
The second reason is that many investors received cash bonuses from the government, which they invested in crypto-assets. This contributed to rapid growth in this market and, surely, an increase in its popularity; thus, positively impacting our customer base.
Crises such as the COVID pandemic trigger creative destruction. They are often detrimental to some industries; at the same time, they create incentives for exploring new technologies, which get a chance to show greater resilience in the face of global challenges.