Invest in rare earths and critical metals
The Institute for Rare Earths and Strategic Metals (ISE) has been following the idea of Deporia since 2018, as we were called in from the start to bring our knowledge of the raw material markets to bear. The idea was to simplify investments in rare earths and strategic metals to the bare minimum. It is indisputable that everyone agrees that the prices of these elements can only increase in the future. The demand is growing enormously, whether in the electronics, automotive, semiconductor or numerous other high-tech industries. On the other hand, the resources are finite. Already today there are supply bottlenecks for various rare earths and metals classified as critical. The trade dispute between the USA and China has shown us very clearly how vulnerable our high-tech nations are when the raw materials from which their products are made are no longer available.
Every week we receive several inquiries from ISE from investors who have bought shopping baskets of rare earths or other metals in the past and all of them have the same problem. How do I resell my shopping cart and to whom? The basic idea of investing in markets other than gold, platinum and silver is certainly very good. However, the metals of the groups mentioned here do not have a standardized trading platform as is customary with precious metals. This follows the problem of storage, the analysis of the goods, the best buying and selling, as well as the general problem of sales. As a rule, an investor does not want to deal with the markets in a physical nature, but would rather go in cheaply and more expensively out of the market. A purchase and a sale should be possible at any time and in the shortest possible time without great costs.
This problem was the hour of birth of the Deporia idea. Similar to the widespread gold standard established in 1880 that the same amount of gold was deposited on a piece of money. However, Deporia is not intended to become a currency, but rather an easy-to-trade securitized security in metals from the categories: rare earths, critical metals and precious metals. The securitization of a physical inventory in a crypto-coin allows these metals to be bought and sold just as easily as a dollar, euro or ruble.
Since this is about real values, Deporia agreed from the start that it is too unsafe to build the coin or token on an existing blockchain such as Bitcoin or Ethereum. A separate blockchain was programmed that meets the very highest security requirements, or even exceeds it. The test run of the Deporia Blockchain has been running for over a year. Numerous attacks on the system have been recorded so far and each has served to improve the blockchain. In the future, the Deporia Blockchain should also be the basis for a smart contracting system, which is still under development.
Deporia is currently waiting for approval by the European supervisory authorities, as Deporia is a security coin. In contrast to the utility coins, which often have nothing behind them but a program code, the value issued is in metals at Deporia. This makes Deporia a financial product that is subject to registration and must meet the same requirements as, for example, a publicly traded fund or a share. Approval for the public offer is expected in spring 2021. At the moment only institutional investors are served. One counts as an institutional investor if a minimum amount of EUR 100.000 is invested.
The Institute for Rare Earths and Metals will select, analyze and evaluate the depot metals for Deporia. A notary will sift through the analyzes and the metals before each value addition is officially confirmed. Selected metal dealers sell the metals they are looking for at various discounts to Deporia. The metal dealers' discounts cover the operating and development costs for Deporia; This ensures that the value of the metal deposit is also spent in the coins in a ratio of 1: 1. The ISE will evaluate all Deporia holdings on a quarterly basis in order to keep the value of the total depot always up to date.
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or your contact at the Institute for Rare Earths and Metals
December 2020 ISE
