High Fidelity pilots HFC and Ethereum trading

via High Fidelity

On Tuesday, January 8th, 2019, High Fidelity announced the start of a pilot programme that will allow High Fidelity users to trade between High Fidelity Coin s(HFC) and Ehterium Either (ETH).

Etherium is an open-source, public, blockchain based distributed computing platform / operating system featuring smart contract (scripting) functionality. It incorporates a cryptocurrency  – the Ether.

The latter functions in a similar manner to the Bitcoin, and its use has been boosted over the last two years by the  Enterprise Ethereum Alliance (EEA), an non-profit organisation of over 150 members, including national and global banks, technology companies such as Cisco and Microsoft, investment houses and research organisations, with the aim of driving the use of Ethereum blockchain technology as an open-standard across multiple market sectors.

via High Fidelity

Initially, High Fidelity will be allowing users to purchase HFC using ETH. However, over time, all High Fidelity users will be able to buy and sell their HFC for ETH, although an ETH wallet will be required.

Trades of HFC will be handled in fixed amounts of $25 or $50 (HFC 2,500 or 5,000), and will be handled via an in-world banker, through a process similar to that currently used to convert HFCs to USD. As the programme with ETH develops, High Fidelity plan to start offering an automated means of selling HFCs for ETH, and may eventually see the ability to sell HFCs directly for USD values discontinued.

An important point to note with trades is that HFC is a stablecoin pegged to the US dollar (100 HFC = US $1.00), while Ethereum varies against the Dollar. Thus, the exchange rate between HFC and ETH will fluctuate.

This is a further interesting move by High Fidelity, which High Fidelity see as being key to the future of buying / selling HFC:

Over time, we see this being our primary method for purchasing and selling HFC. It’s convenient, global, well-governed and broadly adopted. In future, we may enable trades to other cryptocurrencies or tokens, either directly or through third-party exchanges. We also hope that HFC will be used by other VR platforms or applications, making the transfer to Ethereum even more useful.

– High Fidelity blog post on HFC and ETH trading

You can read the full announcement here.

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