About Sphinks Token
With the advent of distributed ledger systems that possess the ability to perform as intended without the threat of malicious intervention, we have the power to place code as law and thus removing virtually all forms of trust in any such system. The unique value proposition of this project lies both with the capability to transition to a “virtual” system from its initial fiat pegging and the ability to provide a practically stable currency that is essentially free from nefarious manipulation. The main vision of this project is to provide a transparent and reliable monetary system which functions independently of traditional systems and trusted third-parties. The long- term prospect is to provide both the benefits and means of a macro economic transition from fiat currencies to cryptocurrencies.
The more we understand what gives value to currency we realize that virtual systems with no physical links to traditional systems have the potential to function on a global scale if they provide practical usability with definitive rules in both code and operation. As we analyze the root of perceived value in any fiat pegged or otherwise stable cryptocurrency, there exists nothing other than a unified belief among users of underlying value or concepts to provide volatility mitigation. That belief is formed when a catalyst such as placing a dollar on lien occurs, thereby creating the perception that the user has transferred such value into the tokenized system. This project proposes a different system of “cryptocurrency value transfer with floating cryptocurrency- collateralization” rather than fiat-collateralization or non-collateralization as the mechanism for bringing value to each token; thus removing reliance and trust on traditional systems.