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Vault CEO Austin Kimm Talks Crypto Banking and the New VLT Token
We spoke with Austin Kimm, CEO of Time, a company that offers white label digital and crypto banking products and APIs, making the launch of digital/crypto banking services and apps for various entities, including banks, fintechs and institutions, much faster and more cost-efficient. Kimm shared insights into the current climate in the B2B industry, delved into Vault’s business approach, the connection with Choise.com AND Choose.aias well as the soon-to-launch VLT token and their innovative marketplace concept.
Could you provide us with insights into how the B2B cryptocurrency industry is performing during the first quarter of 2024? Given the market volatility following Bitcoin’s new all-time high, subsequent declines, and its drop below $58,000, how has this affected interest from potential clients such as startups and banks, and in turn, impacted your activity?
In the B2B industry, especially in cryptocurrency B2B, there is almost no distinction between cryptocurrency seasons. While B2B staking protocols may experience fluctuations in activity during cryptocurrency winters and summers, Vault’s integration between traditional finance and cryptocurrencies ensures a stable customer base regardless of market conditions. Our business model is highly resistant to cryptocurrency market fluctuations.
Additionally, Vault is not a supplier to crypto-only companies. The future development of the cryptocurrency environment involves its integration with traditional financial services, known as TradFi, such as payment cards and bank accounts. We expect significant progress through the convergence of crypto payment cards and bank accounts into a unified ecosystem. This integration makes cryptocurrencies more accessible to non-crypto-native individuals, improving their usability for spending, downloading, and purchasing through conventional means.
In fact, during periods of increased crypto activity, more crypto companies emerge thanks to improving financial conditions. However, the general market trend, whether in winter or summer, does not have a significant impact on Vault’s operations. Despite launching in the midst of the latest crypto winter, Vault continues to onboard enterprise customers consistently, without being affected by market fluctuations.
In summary, Bitcoin price and market cycles are peripheral factors in Vault’s provision of B2B solutions that integrate cryptocurrencies into traditional finance.
Which of Vault’s product solutions are currently experiencing the highest demand?
The Vault solution comprises three interconnected products, referred to as the “Holy Trinity”: payment cards, IBANs and cryptocurrencies. These products complement each other perfectly, satisfying different customer needs and preferences. Whether customers are crypto enthusiasts intrigued by the integration of cryptocurrencies into traditional banking or traditional finance users looking to explore cryptocurrencies, the synergy between cryptocurrencies and cards remains the focus.
For many customers, the appeal lies in the ability to use cryptocurrencies and payment cards at the same time, facilitating convenient cryptocurrency spending on the go. Additionally, the geographic reach of our services sets us apart from the competition, as we offer global payment card services in over 200 countries. Unlike region-specific providers, our approach prioritizes global accessibility, allowing customers to think beyond local borders and tap into international markets.
Consider a company based in the Philippines, where remittances play a vital role due to the large number of foreign workers. While the company’s focus may be local, a significant portion of its user base resides outside of the Philippines. With Vault’s global card program, individuals can seamlessly transfer funds between countries, revolutionizing cross-border transactions. This use case exemplifies the unprecedented convenience our platform offers, overcoming geographic barriers and simplifying financial interactions around the world.
In essence, while cryptocurrencies serve as the foundation, the main attraction lies in the seamless integration between cryptocurrencies and payment cards on a global scale, transcending regional limitations.
Vault recently became part of an ecosystem, Choise.ai, along with Choise.com, both founded by the same team. Could you tell us more about it?
Time and Choise.comtogether with some other projects, they form an interconnected project Choose.ai ecosystem, where each project provides distinct services that complement each other seamlessly. Vault, essentially born out of Choise.com, leverages the platform’s foundations to offer a range of financial services tailored to the needs of businesses. As a result, Vault shares its revenue with Choise.com, recognizing its vital role in Vault’s existence and collaborating on various aspects such as customer support and vendor management.
Despite being separate entities, Vault and Choise.com operate in tandem, each with their own focus. Rather than simply funneling revenue into the Choise.com ecosystem, the goal is to improve integration between the two businesses by encouraging users to support both systems. This symbiotic relationship creates a virtuous cycle, where users of one platform are incentivized to interact with the other, fostering mutual benefit and growth.
Additionally, the Choise.ai ecosystem extends beyond Vault and Choise.com, incorporating entities like Charism.io, a DeFi earnings protocol. While Charism faced challenges during its launch, its technology remains relevant and will be integrated into Vault’s services for white label customers. This integration further strengthens the ecosystem, as users familiar with DeFi environments can introduce new customers to Vault’s offerings.
In summary, the collaboration between Vault, Choise.com and other entities exemplifies a harmonious partnership with Choise.ai aimed at mutual growth through lead generation and motivation programs, creating a dynamic and interconnected ecosystem.
CHO serves as the backbone of Choise.ai, and, we hear, Vault plans to share up to 20% of its revenue with CHO holders. Can you confirm whether the company has already signed numerous multi-million dollar contracts and acquired over 50 customers? Because if all this is true, the community must be full of anticipation.
Vault offers a complete ecosystem for white label customers, who then provide these services to their end users. Our income commission structure ensures mutual success for both the white label client and Vault. Creating a new customer involves a lot of preparatory work, although our streamlined system speeds up the process.
While other vendors may charge setup fees ranging from $50,000 to $250,000, Vault’s fee structure is closely aligned with industry standards. At a comparable price, Vault offers a full suite of solutions, including IBAN accounts, cryptocurrency custody and exchange functions, in addition to payment cards.
Each client agrees to enter into a minimum three-year contract to facilitate mutual growth. Additionally, customers must meet a minimum subscription fee of around $10,000 per month, ensuring their commitment to the platform.
With each customer on board, Vault expects to generate an additional $360,000 in revenue over a three-year period. However, the potential revenue exceeds this baseline, as evidenced by customers ordering tens of thousands of cards in advance.
Customers have the flexibility to add a margin to Vault’s fees, allowing them to generate additional revenue. Vault’s rapidly expanding customer base, currently standing at approximately 50 customers with an additional five or more joining monthly, presents significant revenue potential, with some customers expected to exceed $400,000 in monthly revenue.
Active user engagement generates revenue, with each active user generating an average of $20 per month. With a sizeable user base, the earning potential can reach millions per month.
Up to twenty percent of this revenue will go to Choise.ai for platform support, benefiting CHO token owners through rewards and loyalty programs. This revenue sharing model increases the attractiveness of the overall ecosystem.
Speaking of tokens, Vault is launching their own token, VLT, in less than 60 days, right? What will its use cases be?
The new token, VLT, differs from traditional tokens. It cannot be purchased, has no presale discounts, and is not available on decentralized exchanges for early acquisition. Instead, it is closely tied to a rewards program tied to CHO infrastructure and Choise.ai. CHO, conceived as an earnings token, still maintains its core value proposition, albeit in an evolving landscape where stability has been disrupted by market changes such as Luna and FTX.
While CHO remains primarily an earnings token, the focus now extends beyond just earnings. VLT aims to be an active token used by users. By engaging in various activities on the platform, users can earn rewards, not limited to staking but also transactions made with Visa cards, lending activities and other actions similar to traditional reward programs in the financial industry.
The VLT token is dynamic and adapts to evolving user behaviors and ecosystem needs. Usage of the token will be closely tied to the success of Vault and usage patterns within the Choise.ai ecosystem. We may also activate various rewards programs that may vary monthly, encouraging beneficial actions for users. Finally, although initially linked to the CHO, its scope extends to various actions, subject to continuous evolution and refinement.
Can you perhaps give us some indication of the things you are currently working on and which will be announced in the coming period? We heard about a market…
I mentioned the three main products, the “Holy Trinity” of Vault: cards, bank accounts and cryptocurrencies. However, there is more to offer. Our goal is to provide customers with a granular approach to the services they want. For example, within Choise.ai, users can save and stake cryptocurrencies to earn rewards. It makes sense to integrate these features into the Vault ecosystem. However, not everyone may want a savings account. So, let’s introduce a market. Here one or two providers offer various services such as rewards programs and trading platforms. Customers can opt in or out based on their needs. This ensures personalization without overwhelming users. Our goal is to replicate the full functionality of apps like WeChat or Alipay, but with customizable features. While maintaining the core functions, we offer additional features tailored to customer preferences.
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