EXECUTIVE SUMMARY

1xBinary was built with a mission of bringing clear-cut transparency to the financial derivatives markets as well as creating brand new instruments that would finally put an end to obsolete shady schemes. So now we are proud to introduce our leading-edge platform for peer-to-peer binary options, powered with Ethereum smart contracts.

Binary Options is a financial derivatives instrument that requires traders to correctly indicate the price movement direction for the underlying asset at a given point of time in the future. The forecasting horizon can vary from a few seconds up to several hours.

Thousands of brokers and traders worldwide were massively employing this instrument back then. It was greatly favored for the simplicity of concept and high chances of success. The industry was experiencing exponential growth until 2014, reaching over $30 billion in its annual turnover. But something went wrong there.

In the following years, regulators from all over the world have been making rather strong statements, claiming that binary options are a deceit and discouraging traders to get involved. Evidently, a great concept behind Binary Options has been ruined by shady, dishonest brokers, their lust for gain and the fact that there are limitless possibilities for them to deceive their customers.

We have got good news for you, though. We are launching a revolutionary peer-to-peer platform for binary options, 1xBinary, that will substantially improve the way betting is done. We designed a radically new business model to shift user mindset from worrying about the integrity of platform providers to focusing on our own capacity to make profit.

With 1xBinary, traders will be placing bets against each other and never against platform providers or any other intermediaries. Built with Blockchain technology, unlike traditional platforms, 1xBinary will provide access to real-time data, thereby, ensuring absolute transparency of its system. So, there is no doubt that all users are treated equally and fairly.

Users will be forming one large common pool of liquidity for each underlying asset in order to maximize users‟ gain. The platform’s commission will be 15% only, the liquidity will be derived from a common pool of brokers, and brokers themselves will integrate into the platform via the white label mechanism. This is the only platform, where as much as 85% of funds are distributed among traders who make correct assumptions.

We tried to create an interface as simple as possible. The process of placing a bet looks like this: a trader picks one of the trading pairs (Assets) and selects one of the six trade intervals (Time), then decides on the amount to bet (Bet Amount) and, finally, indicates in which direction the price will move: Up (Call) or Down (Put).

Once the outcome of the forecast is known, the tokens of the traders who made the wrong prediction are divided among the traders who made the correct forecast of the price movement direction. At the same time, before paying the payouts, the platform charges a 15% commission.

During the two preliminary rounds of 1xBinary token sale, we expect to attract financing of $1 million. This budget is planned for 1 year of active development and promotion of the project. According to our calculations, these funds will be sufficient to implement all the planned technical solutions, obtain the necessary licenses, provide legal support, fund research, finance marketing activities, and cover operational expenses.

Powered by Ethereum smart contracts, 1xBinary brings undisputable transparency, fair conduct, and auditable results to the binary options trading