The Truth About How Stock Markets Really Work

Welcome to Shareslake, the Blockchain where real shares live. An ecosystem for companies' success.

Have you ever wondered about how stock markets work? Do you know? We can sum it up for you:

The current stock markets are closed systems designed to be operated by intermediate entities that are set between investors and the market itself. That approach incurs various fees and commissions that investors must lead with and a deficient flow of the capital from the investors to intermediate entities instead of companies. Doesn't sound good, right? Don't worry, here is the solution.

Just imagine we remove intermediates, we use blockchain technology to do that. Blockchain technology forces an open system free of intermediaries and total transaction transparency. Not bad, let's continue.

Now think about a stock market where investors don't have to pay any commission to intermedia... oh wait, we just removed them, meaning that there are no trading commissions. Well, more can be done. What if we reward listed companies? Makes sense. In the traditional market, they get funds on the IPO, but they don't see any funds unless they issue new shares, even though the shares are being traded, instead, they have to pay to be listed. We reward them for each transaction of their shares, and what is more incredible, without charging the investors for that.

The fact that the company shares are traded evidences that the company has real value, the shares are traded based on the investor’s belief that it will produce a net benefit so that trade should represent a direct fund for the company, to contribute to its success, which should be the ultimate reason of the market’s existence. An investor gives money to a company to help them reach the target of being profitable, if the investor’s trades do not affect the company's funds, the market loses its sense.

That’s the reason why Shareslake was designed in a way that, when an investor trades some shares of a company, the target company obtains a direct benefit from that operation. The more trades, the more benefit a company obtains compared with the rest of the companies, creating a competitive environment of trying to generate the highest value.

Finally, have you ever tried to move your stock portfolio to a different broker? Well, we also remove that pain, since you will have a single pluggable wallet that you can connect to any exchange operating in the Shareslake network. You will always carry your portfolio with you wherever you decide to trade.

Shareslake is an auto-sufficient ecosystem that benefits
every single person

The Shareslake protocol not only helps to remove all commissions and fees that investors used to pay, but also it provides periodical funds for companies in exchange for the usability and investing capabilities of the Redeemable, the Shareslake’s base coin.

If you are still curious about how we are shaping the future of stock markets, you can read the entire whitepaper.