META 1 has developed a series of Smart Contracts to assign and verify assets on the META Blockchain and to ensure all aspects of operations are executed properly. Smart Contracts, simply stated, are a set of rules applied to a cryptocurrency coin. They are unbreachable contracts on the blockchain.
META 1 Coin is unique among cryptocurrencies because of the way its Smart Contracts validate transactions on the blockchain and provide stability. META 1 Coin is an asset-backed coin, and the value of gold assets plays a major part in the coin’s value and price. These contracts ensure that META 1 Coin cannot trade below the total value of all assets backing the coin, also known as the total asset value.
There are additional purposes for these contracts as well. One of the contracts is used to assign the value of new assets to the coin incrementally over time, to aid in stability and to avoid a sudden spike in coin value. Another Smart Contract is used to prevent non-human entities, such as large corporations, from acquiring the coin, since META 1 Coin was developed exclusively for individuals.
META 1 Coin also uses Smart Contracts to facilitate an upward trajectory in coin value. For example, there is a contract that prevents the coin from being sold for less than the asset value. The result is an upward trend algorithm that promotes growth as assets expand and appreciate.
To gain an in-depth view of how META 1 Coin’s Smart Contracts function, this two-part article series will delve into the details about their inner workings. In Part 1, we’ll examine specifically how three of these contracts work, as described below.
Asset Purchased “In Processing” Smart Contract
META 1 Coin Trust is continually purchasing new assets (which serve as tangible backing for the coin) and publishing the acquisition information. META 1 Coin completes asset evaluations before releasing final affidavits defining new assets. Once this is achieved, surety bonds are issued, and the assets are ready to be verified. The assets “in processing” is a queue of soon-to-be verified securities for the META 1 Coin.
Once fully validated, new assets are assigned to the Asset Verification Smart Contract for final verification. This provides the market with transparency concerning new META 1 assets that are soon to be allocated as security for the META 1 Coin. During the in-process stage, 25% market value of the asset is assigned to the Appreciation Smart Contract, increasing the META 1 Coin value accordingly.
Asset Verification Smart Contract
This Smart Contract verifies the asset value and its authenticity. Up to six third parties confirm the assets by publishing a professional opinion notice. All opinion notices are published per asset on the META Blockchain. Once the asset has been verified, the status of verification is embedded into the META Blockchain. Asset verification is part of every coin in perpetuity. This process represents real-time due diligence, ensuring all participants of valid asset assignment. When the Asset Verification Smart Contract is completed, the remaining 75% market value of the verified asset is added to the Coin Appreciation Smart Contract, increasing the META 1 Coin value accordingly.
Appreciation Smart Contract
This Smart Contract addresses coin value and cannot be altered. It is embedded into META 1 Coin as follows: the coin value will automatically increase based on any new asset assignment to the META 1 Coin Trust.
This contract is defined as nine-times (9X) the newly added asset value, plus the original entire asset value, divided by the fixed number of coins, and equals the value per coin. In our pro forma financial projections, the coin will increase in value by approximately $22.22 per coin, per $1 billion in asset assignment. As the asset is in process and then verified in the two prior Smart Contracts, the META 1 Coin will realize 100% of the market value of the new asset.
In Part 2 of this two-part article series, we’ll look at additional Smart Contracts that are also used to ensure META 1 Coin’s stability and operations.