The wealthy will always have means of growing their riches unimaginably higher. However, these services require not just a lot of brainpower, but cunning and willingness to stay within the grey areas of the law. Offshore banking affords this, as a way for the 1% to keep their assets hidden from taxes and the peering eyes of the government. But what if there's a way that the average joe and jane could have that power, too? This is where our Haven Protocol (XHV) review comes in.
The birth of cryptocurrencies is supposed to herald the new beginning of greater accessibility and equitable rewards for the common folk within the financial system. Whereas in the past, you'd need a net worth in the millions to get the best banks to work with you, crypto levels the playing field. Now, our Haven Protocol (XHV) review is going to take a look at one such platform that is bringing the power of old-school asset management, with a new level of smartness right at your fingertips.
What is Haven Protocol?
Haven Protocol is an open-source, decentralized, cryptocurrency-powered “bank”. Its tagline is quite simply “an offshore bank, without banks”. In short, Haven Protocol is an asset management-like or a non-custodian, pseudo bank where you can store and manage digital assets within the platform anonymously, securely, and privately. In that sense, Haven Protocol works sort of like a wallet, where you have a vault in which you can keep and convert between crypto and synthetic assets.
These assets could include synthesized versions of regular fiat currencies, precious metals, commodities, stocks, and so on that allows a user to completely create an entire investment portfolio without reliance on third parties or intermediaries. You can easily access Haven Protocol's services through its web interface, or download its ‘vaults' onto the desktop with your operating system of choice; Windows, macOS, or Linux.
What are Haven Protocol's Features?
Haven Protocol boasts that each user could manage their assets in an untraceable manner via a ‘vault'. This is where you'll store and be able to organize your assets through Haven Protocol. The setup process is quite simple, needing only a specified vault name (just like a username) and a vault password, while you also get 25 seed phrases from which you can restore a vault with. The setup process is therefore very straightforward, and you could get up and running in a pinch.
There are plenty of unique features with Haven Protocol that we've uncovered for our Haven Protocol review. Here are the highlights that we found…
1. Complete Anonymity and Privacy
The one tiny detail that we should take a look at is where Haven Protocol compares itself to an ‘offshore' bank, not a more mainstream (or ‘onshore') bank. In the traditional understanding, offshore banking operates in a less regulated manner compared to the mainstream brick and mortar banks that you and I are more familiar with. With offshore banks, they are more shadowy and keep things hushed when it comes to who their customers are, and how they manage money.
Haven Protocol works the same way, by turning that philosophy to instead try and give users complete financial privacy and anonymity. Haven Protocol's privacy features are based on Monero, which is regarded as the most private and anonymous cryptocurrency today. It uses a number of technologies such as Stealth Addresses, RingCT, and Ring Signatures to hide the source of your wealth, as well as encrypting all your transactions so that they cannot be traced back to your vault.
2. Decentralized Financial Management
Haven Protocol operates in a wholly decentralized ecosystem, where there's not a single governing entity or centralized structure on which it relies on. As an open-source project, its development is lead by the community. To make sure that no single party could take even a small majority control of Haven Protocol, they never held a single initial coin offering (ICO) or initial funding rounds as of this Haven Protocol review. Some of their team members even work mostly voluntarily.
To keep Haven Protocol's concurrent and future development funded, there is a 5% governance fee, along with fees charged when exchanging assets within your vault. This money will also help with marketing and other operational expenses. Maintaining that principle of decentralization, there is not a single middleman or counterparties within Haven Protocol, as all exchanges and ownership of your funds are completely non-custodial and on-chain.
3. Easy Digital Asset Management
Once again sticking with decentralization, Haven Protocol has eschewed the need for centralized pricing data. Instead, they're tapping both on- and off-chain pricing feeds thanks to the use of Chainlink oracle. This has the benefit of improving the efficiency of asset conversions within a vault with the best prices, determined by Haven's own algorithmic models. As we highlighted earlier in our Haven Protocol review, their interface is quite easy to use and navigate through, as well.
To round up the whole experience, you're not subject to any liquidity limits within your vault. Unlike, say, a decentralized exchange or other DeFi-based liquidity protocols, Haven claims their platform offers ‘infinite liquidity'. This means that any user could seamlessly convert their xAssets (more on that later) within a vault without limits. Moreover, the transaction costs on Haven Protocol are very low, with the average fees being a fraction of a cent.
4. Diverse Array of Unique Assets
As we've learned thus far in our Haven Protocol review, we've made mentions of digital and synthetic assets that could be held and manage within your vault. So, what are these assets? Inside of Haven, they are referred to as ‘xAssets'. Currently, among the assets that could be held in your Haven vault are their two native cryptocurrencies; the XHV base currency token, and the xUSD stablecoin. There are also xEUR (Euro), xCNY (Chinese Yuan), xAU (Gold), and xAG (Silver) xAssets.
You can thus be able to buy and keep these xAssets within a vault, and organize them as necessary, such as converting from one xAsset to another. These synthetic assets have exposure to their real equivalents without needing you to hold them physically, such as how xAU will be exposed to the market movements of gold in the real world. There are no limits to how many xAssets could be added onto Haven Protocol, only limited by price feeds, so we could expect more to appear soon.
5. Easy and Seamless Payments
Currently, Haven Protocol works more like a storage vault than a cryptocurrency wallet, in that it doesn't yet support instant settlements. However, they are working on e-commerce plugins where you would be able to use XHV tokens or other assets for payments. Although, Haven Protocol already has a good solution for payments in the form of the Haven Debit Card. With this, you can easily make purchases with their in-house xUSD stablecoin without paying extra transaction fees.
It works by transferring xUSD to a unique address tied to your debit card before Haven could then convert it into fiat every time you swipe to pay. The only significant caveat is Haven's debit card doesn't support any VISA or Mastercard systems, so you could only use it with merchants that accept Apple Pay, Google Pay, or Samsung Pay. Granted, the card is now widely supported in stores such as 7-Eleven, Walmart, Walgreens, and CVS across the US, along with 31 European countries.
What are Haven Protocol's XHV Cryptocurrency Tokens?
The native cryptocurrency of Haven Protocol – aside from the xUSD stablecoin – is the XHV token. Mainly, it behaves as the collateral for the entire Haven ecosystem and a base currency from which you can use its value to acquire other xAssets, such as synthetic precious metals, into your vault's portfolio. However, XHV is also used for network incentives, such as paying Haven's development team, funding the platform, as well as reward miners since Haven is based on a PoW blockchain.
As of this Haven Protocol review, the price of one XHV is $21.50. In the relatively short time that Haven has been around, this price marks a monstrous 27,996.74% gain from its all-time lows in late-2019 and is just around 25% shy away from its all-time highs in April 2021. The value of XHV tokens has been on a tear since mid-2020, and especially so after January 2021. Haven's XHV has a market capitalization value of $307,406,917, making it the 157th-most valuable cryptocurrency.
There is a supply cap set at 18,400,00 XHV, where 14,298,230 XHV are currently in circulation. As much of Haven's protocol carries Monero‘s privacy features, its tokenomics are similar, too. The current block rewards of 2 XHV will be halved by May 2021, and again to become ‘tail emission' by 2022. This will make XHV inflationary with 0.6 XHV continually mined per block. Nonetheless, the supply and demand economics will be balanced out by Haven's ‘mint and burn' procedure, whereby XHV tokens are burned when turned into xAssets.
What are Haven Protocol's Future Roadmap Updates?
While writing this Haven Protocol review, we've found quite an extensive catalog of roadmap updates set by the Haven team. Some of the earlier updates from Q4 2020 still remain in their test-net phases. Some of those updates include improving the utility of Haven Protocol by integrating a WooCommerce plugin, which would enable users to connect their vaults and the xAssets within them to be used easily for payments. This is set to go live in Q1 2021.
Meanwhile, their roadmap for Q1 2021, which includes adding an XHV/USDT trading pair on the Polarity exchange and adding new xAssets, has already been completed. Q2 2021 will be quite busy for Haven Protocol with a huge laundry list of exciting updates to come. For our Haven Protocol review, the most anticipated announcement is their upcoming integration within THORChain to help improve the liquidity of XHV and xUSD tokens. Other xAssets will be added on THORChain, too.
The FIO Protocol is set to arrive into Haven's vaults, which would streamline the user experience with a simplified address naming system. After that, Haven's focus on commerce continues with an eventual integration with Travala, where XHV tokens can be used for payments to book more than 2-million hotels and accommodations worldwide, as well as flight tickets and more. More xAssets will be offered in Q2, as well as establishing a non-profit foundation to oversee Haven's growth.
Haven Protocol Review – Conclusion
Rounding off our Haven Protocol Review, there's no doubt a lot of excitement for this young platform, even if the mainstream press and audiences have heard little to nothing of it. That said, there's a growing desire for more consumers to look towards alternative financial and banking services, such as decentralized finance, as well as enjoy the added security and anonymity of privacy-focused tokens and protocols. Haven will surely enjoy this continued surge even more.
Haven Protocol is one of the most unassumingly exciting projects we've seen in crypto-space as of late. As a user, not only could you literally be your own bank, but enjoy what was once considered to be a top-tier banking service made readily available for the masses, while staying completely anonymous as you manage an entire portfolio of unique digital and synthetic assets. Combined with its low fees, ample liquidity, and ease of use, Haven Protocol is one mightily capable “bank” to keep an eye on.
Haven Protocol Review
Ease of Use
Long Term Sustainability
- The user interface is very easy to use and navigate.
- Top-notch privacy features to ensure completely untraceable transactions.
- Low fees for transactions and asset conversions, with a lot of liquidity available.
- Seamless payments thanks to Haven's debit card and (future) integrations with e-commerce.
- Able to store theoretically a large number of assets, including unique synthetic assets.
- A very promising future roadmap planned to maximize growth.
- Only very few assets (xAssets) are currently supported.