As Bitcoin heads toward mainstream adoption, the demand for businesses like the Bitcoin exchange grows. This calls for service providers that can support startups and even established companies that cater to such needs on the market.
This is when AlphaPoint enters the picture, a company that offers white label digital currency exchange and remarketer platform. Our CoinPoint correspondent spoke with Vadim Telyatnikov, CEO of AlphaPoint, who gave light on how his business impacts the Bitcoin ecosystem.
He even expressed his interest in the ‘transparency and provably fair gaming’ made possible by the digital currency, which shows hints of probably collaboration of the AlphaPoint exchange platform with Bitcoin gambling and even Bitcoin forex markets in the future.
Hi Vadim. AlphaPoint operates in the Bitcoin market. How did you become indulged in Bitcoin or in cryptocurrency in general?
Soon after selling my last company to OpenX, I helped start Admire Capital, a systemic value and activist hedge fund. We began trading Bitcoin at Admire, but decided there wasn’t enough liquidity to pursue it as a standalone strategy. Although we didn’t pursue Bitcoin at Admire, I fell in love with the blockchain and the underlying technology. Seeing the huge potential ultimately led me to decide this was where I needed to dedicate 100% of my energy.
How would you describe the relationship between your latest venture and the cryptocurrency?
AlphaPoint’s role is to build and maintain reliable, scalable infrastructure for exchanges and businesses needing access to liquidity. By providing technology and infrastructure to exchanges, we help ensure that every person in the world can have easy access to buy and sell digital currency.
Our mission is to make it easy for businesses to launch, scale, and operate digital currency exchanges all over the world. We provide a SaaS platform that allows entrepreneurs to quickly launch their own digital currency exchange and helps established firms add support for digital currencies to their current offerings. Ultimately we are aiming to help change how the business world and everyday people transact.
What have been the remarkable accomplishments you’ve had while operating your business since it began?
Launching our first client in early 2014 and hitting our fifteenth client milestone were the big early accomplishments. Recently, we were incredibly excited when Bitfinex, the world’s largest BTCUSD exchange, chose to migrate to our platform.
How about the major challenges you face to further your cause?
Our early challenges were all technical in nature, with the focus squarely on building the fastest and most scalable platform possible. Most of the challenges we face today we encounter indirectly through our clients. Often they face regulatory uncertainty and challenges securing banking. In response, we’ve taken steps to help clients automate compliance processes, educated exchanges on regulatory issues, and assisted them with banking relationships when possible.
There have been significant changes on the market than how it was before like last year. How would you describe the Bitcoin economy today?
Right now we’re seeing a layer necessary of infrastructure being built for the next wave of applications. So far the companies that have gained the most traction in the Bitcoin space have been infrastructure-focused (exchanges like Bitfinex or wallet services like Coinbase), and we’ve seen merchant facing applications be successfully implemented on top of this layer today, 80,000+ merchants accept Bitcoin. The next step is to leverage the growing infrastructure base to build innovative, consumer facing applications for wider adoption.
We believe that as more useful applications are rolled out, the demand for Bitcoin will increase and that this will reduce volatility over the long term. We also believe the use of applications locking Bitcoin to existing currencies (e.g. Tether, Bitreserve, or Coinapult Locks), will continue to grow in popularity as a way to manage volatility.
Have you arrived at a Bitcoin price prediction, though?
At this moment I’m 50/50 that it will stabilize around $100 or $400.
In what ways do you think AlphaPoint positively impact the global promotion and adoption of Bitcoin?
For Bitcoin to continue to grow and evolve, it’s crucial that it can be quickly and easily exchanged for any fiat currency, and vice versa. This is true whether the end user is an individual or a multinational enterprise. We provide the marketplace with proven, secure architecture for building those exchange solutions.
How do you view the effects of altcoins or the Bitcoin 2.0 technology on the future of Bitcoin?
Like the rest of the community, we are eager to see what happens with Sidechains, Ethereum, Omni, and similar projects. We’re excited about the types of applications that can be built on Bitcoin 2.0 technology and believe they will be used widely in the future.
What are your plans for your ventures? Are you planning on expanding any time soon?
Right now our plan is to continue building AlphaPoint into what we all believe it can be the “Intel Inside” technology powering the world’s premiere digital currency exchanges.
We’ve grown our team exponentially over the past few months and have a number of new projects in the pipeline, which we’ll announce throughout 2015. We’re excited about our new frontend, which we demoed last month at FinovateEurope. This is an all new, widget-based toolkit that allows clients to deploy their user experience with almost zero turnaround time.
Now that Bitcoin is gaining more attention, what advice can you give to the thousands of Bitcoin enthusiasts, especially to new adopters and entrepreneurs?
These are still the early days. Many problems are still waiting to be solved and the community is always hungry for innovation and insight. It’s important to keep in mind that even as more infrastructure is being built, which paves the way for the next wave of applications, there’s still no killer app for Bitcoin or the blockchain. Entrepreneurs should be focused on building that killer app.
Before we close, one of the stronger Bitcoin markets remains to be Bitcoin gambling. Do you have any opinions regarding this industry?
We don’t work directly in the gambling space, but are excited by the opportunities we see for transparency and provably fair gaming. Often exchanges are used in conjunction with gambling sites for Bitcoin/fiat conversion.
Any additional information you’d like to share with the world?
I predict the blockchain’s impact on the payments industry will ultimately rival the Internet’s impact on media and content. Being able to play a role and help move the industry forward is incredibly exciting.
I wish you all the success with AlphaPoint and thank you very much.