Here you will find answers to the most common questions about the ecrop platform, our services, and the legal framework. If you cannot find the answer to your question here, please do not hesitate to contact our support team.

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General

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What is ecrop?

ecrop is a BaFin-regulated FinTech company (grandfathering; full license pending) that offers a secure and scalable SaaS platform for the management of digital assets. We specialize in crypto securities registry management and crypto custody (license pending), providing institutional clients and professional investors with innovative solutions for the digital future of the financial market.

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What services does ecrop offer?

ecrop offers two core products:

  • Crypto Securities Register: Enables the issuance, management, and transfer of crypto securities in accordance with the eWpG. (grandfathering; full license pending)
  • Crypto Custody: Secure custody of crypto assets, especially ETH, in accordance with the KWG. (license pending)

In addition, we offer an optional staking service for Ethereum.

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Who is the ecrop platform intended for?

Our platform is aimed at institutional clients and professional investors, such as banks, asset managers, family offices, companies, and FinTechs, who wish to issue, trade, or custody digital assets.

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Is ecrop regulated?

Yes, ecrop is a financial institution regulated by the German Federal Financial Supervisory Authority (BaFin). We have a license (grandfathering; final license pending) as a crypto securities registrar and are currently undergoing the licensing process for crypto custody.

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How does ecrop differ from other providers?

ecrop is distinguished by the following features:

  • Focus on Security and Compliance: We meet the highest security standards and all relevant regulatory requirements.
  • Innovative Technology: We rely on a modern, cloud-native architecture and utilize the advantages of blockchain technology.
  • Hybrid Approach: We combine the benefits of a private permissioned blockchain with decentralized validators.
  • User-Friendliness: Our platform is intuitive and easy to use.
  • Flexibility and Scalability: Our modular architecture allows for flexible adaptation to your needs.
  • Zero-Gas-Fee Model: We offer an innovative pricing model without transaction fees (“gas fees”) for using the blockchain.

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How can I learn more about ecrop?

Visit our website, read our detailed documentation, or contact our sales team for a personal consultation and demo. (Links to website, documentation, and contact form)

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Crypto Securities Register

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What is a crypto securities register?

A crypto securities register is an electronic register in which crypto securities are managed in accordance with the eWpG. It serves for the legally secure and transparent management of crypto securities and enables their transfer and trading.

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What are the advantages of issuing crypto securities?

Issuing crypto securities offers numerous advantages over traditional securities, such as:

  • Increased Efficiency: Automated processes and faster transaction processing.
  • Lower Costs: Reduction of issuance and administration costs.
  • More Transparency: Immutable and transparent recording of all transactions on the blockchain.
  • New Investors: Access to a broader investor base through the possibility of fractionalization and trading on digital marketplaces.
  • Programmability: Integration of smart contracts to automate processes and create new functionalities.

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What types of crypto securities can be issued via ecrop?

Currently, the focus is on the issuance of crypto bonds. In the future, the issuance of crypto shares and other types of crypto securities is also planned.

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How does the issuance of crypto securities work with ecrop?

The issuance process takes place in several steps:

  1. Application: The issuer submits an issuance application via the ecrop platform.
  2. Review: ecrop reviews the application and the submitted documents.
  3. KYC/AML: Investors undergo a KYC/AML process.
  4. Tokenization: After successful verification, the security is tokenized and entered into the crypto securities register.
  5. Distribution: The issuer can distribute the crypto securities directly to investors or via partner platforms.

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What role does the blockchain play in the crypto securities register?

The blockchain serves as a decentralized and tamper-proof register for crypto securities. All transactions and changes to the register are stored on the blockchain, making them transparent and traceable.

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How is the security of crypto securities ensured?

ecrop relies on a multi-layered security architecture that includes encryption, access controls, multi-factor authentication, and regular security audits. In addition, the private keys are securely stored in cold storage.

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What fees are charged for using the crypto securities register?

The fees for using the crypto securities register depend on the issuance volume, the number of transactions, and the additional services used. (Link to price list)

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How can I transfer a crypto security?

The transfer of crypto securities is done via the ecrop platform. The seller issues an instruction to transfer the security to the buyer. The transfer is recorded in the crypto securities register and is effective immediately.

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Can I transfer my crypto securities to another register?

Yes, a change of the crypto securities register is possible under certain conditions.

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What happens if the private keys are lost or stolen?

Since the custody of crypto securities is a so-called “hot wallet”, a loss is impossible.

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Crypto Custody

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What is crypto custody?

Crypto custody is the secure storage of crypto assets and their associated private keys by a specialized service provider.

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What are the advantages of crypto custody by ecrop?

  • Maximum Security: ecrop relies on a multi-layered security architecture and cold storage to protect your crypto assets from loss, theft, and unauthorized access.
  • Regulatory Compliance: ecrop meets all relevant regulatory requirements for the custody of crypto assets.
  • Comfort and Efficiency: You do not have to worry about the complex management of your private keys.
  • Insurance Coverage: Your assets are insured against loss due to hacking or other security incidents.
  • 24/7 Monitoring: We monitor your assets around the clock and react immediately to suspicious activities.

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Which crypto assets does ecrop support?

Currently, we support the custody of Ethereum (ETH). The support of further cryptocurrencies and tokens is planned and will be continuously expanded.

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How does the deposit of crypto assets work?

You generate a unique deposit address in your ecrop account and transfer your crypto assets from your external wallet to this address. After a certain number of confirmations in the network, the crypto assets will be credited to your ecrop wallet.

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How does the withdrawal of crypto assets work?

You can request the withdrawal of your crypto assets at any time. After a security check and approval by ecrop, the crypto assets will be transferred to the wallet address you provided.

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How secure is custody with ecrop?

The security of your crypto assets has the highest priority for ecrop. We rely on a multi-layered security architecture that includes cold storage, multi-factor authentication, encryption, and regular security audits.

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What fees are charged for crypto custody?

The fees for crypto custody depend on the value of the assets under custody and the chosen additional services.

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What is the difference between hot and cold storage?

  • Hot Wallets are connected to the internet and allow for quick access to crypto assets. However, they are more vulnerable to cyberattacks.
  • Cold Wallets are offline and therefore offer greater protection against hacker attacks. They are suitable for the long-term and secure storage of large amounts of crypto assets.

ecrop uses a combination of hot and cold wallets to ensure an optimal balance between security and availability.

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What happens if ecrop is hacked?

ecrop has comprehensive security measures and emergency plans in place to minimize the risk of a hack and to respond quickly and effectively in the event of an attack. Customer funds are protected by cold storage and insurance.

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What happens if I lose my private key?

Since the custody of crypto securities is a so-called “hot wallet”, a loss is impossible.

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Staking

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What is staking?

Staking is a process in which crypto assets are held in a blockchain network to support the security and operation of the network. In return, participants receive staking rewards in the form of additional crypto assets.

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What are the advantages of staking with ecrop?

  • Additional Income: Generate passive income by staking your crypto assets.
  • Security: ecrop takes over the technical complexity of staking and ensures the secure custody of your assets.
  • Transparency: You receive regular reports on your staking rewards and the performance of the validators.
  • Flexibility: You can start and stop staking at any time.

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Which crypto assets can I stake with ecrop?

Currently, we support the staking of Ethereum (ETH).

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How high are the staking rewards?

The amount of staking rewards varies depending on the cryptocurrency and network utilization. ecrop passes on a portion of the rewards generated to customers and retains a small fee.

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How can I start staking?

You can activate staking directly in your ecrop account. Simply select the desired cryptocurrency and the amount you want to stake.

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What risks are associated with staking?

Staking is associated with certain risks, such as the risk of slashing (loss of ETH due to validator misbehavior) or the volatility of the cryptocurrency. However, ecrop takes all necessary precautions to minimize these risks.

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Crypto Shares

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What are crypto shares?

Crypto shares are electronic shares that are managed on a crypto securities register in accordance with the eWpG. They offer the same rights and obligations as traditional shares but are issued and managed in digital form.

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What are the advantages of crypto shares?

  • Efficiency: Faster and cheaper processing of transactions.
  • Transparency: Immutable and transparent recording of all transactions on the blockchain.
  • Security: Increased protection against manipulation and fraud.
  • Flexibility: Enable new forms of corporate financing and participation, e.g., through multiple voting rights or the issuance of shares with different rights and obligations.
  • Liquidity: Increased tradability through connection to digital trading venues.

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How can I issue crypto shares?

The issuance of crypto shares takes place via the ecrop platform. We support you in all steps of the issuance process, from the creation of the issuance documentation to the registration of the shares in the crypto securities register.

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How can I invest in crypto shares?

You can invest in crypto shares via the ecrop platform (OmniApp). You need an ecrop account and a compatible wallet for this.

Crypto shares are subject to the eWpG and other relevant capital market regulations. ecrop ensures compliance with all legal requirements.

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Security & Compliance

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What security measures does ecrop implement?

ecrop relies on a multi-layered security architecture that includes cold storage, multi-factor authentication, encryption, regular security audits, and penetration testing.

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How does ecrop ensure compliance with regulations?

ecrop has a comprehensive compliance management system that ensures compliance with all relevant regulations, such as KYC/AML and GDPR.

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Is ecrop regulated?

Yes, ecrop is a BaFin-regulated financial institution and has a license as a crypto securities registrar. The application for a license for crypto custody according to KWG has been submitted.

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How is my data protected?

ecrop places the highest value on the protection of your data. We use state-of-the-art encryption technologies and store your data on secure servers in Germany.

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Technical Questions

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How does the integration with the ecrop platform work?

ecrop offers comprehensive API documentation and SDKs in various programming languages to facilitate integration with existing systems.

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Which blockchain technology does ecrop use?

ecrop uses a private permissioned blockchain based on Hyperledger Besu.

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Which programming languages are supported?

Our API supports various programming languages, including Java, Python, and JavaScript.

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How can I report errors or suggest improvements?

Please use our contact form or send an email to support@ecrop.de to report errors or suggest improvements.

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Onboarding and Integration

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How long does the onboarding process take?

The onboarding process usually takes less than 24 hours, depending on the complexity of the integration and the individual requirements of the client.

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What documents are required for registration?

The required documents depend on the type of company and the chosen services.

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What are the technical requirements?

The technical requirements for using the ecrop platform are minimal. You only need an up-to-date web browser and an internet connection. Programming skills are required to integrate the API.

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How can I integrate the ecrop platform into my existing systems?

ecrop offers various integration options, including a REST API and SDKs in various programming languages. Our support team will be happy to assist you with the integration.

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Staking

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How does staking work with ecrop?

ecrop allows customers to stake their ETH and earn rewards for doing so. The process is simple and transparent.

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What risks are associated with staking?

Staking is associated with certain risks, such as the risk of slashing (loss of ETH due to validator misbehavior) or the volatility of the cryptocurrency. However, ecrop takes all necessary precautions to minimize these risks.

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How high are the staking rewards?

The amount of staking rewards varies depending on network utilization and other factors. ecrop passes on a portion of the rewards generated to customers and retains a small fee.

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How can I start staking?

You can activate staking directly in your ecrop account. Simply select the desired cryptocurrency and the amount you want to stake.

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When will I receive my staking rewards?

Staking rewards are credited at regular intervals.

Do you have any further questions?

Our support team is always available to answer your questions and assist you in using the ecrop platform. Feel free to contact us via the contact form, by email, or by phone.

Important Notes:

  • This FAQ section is for informational purposes only and does not constitute investment advice.
  • The information in this FAQ section is subject to change. Please consult the current version of the ecrop documentation for the latest information.

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