As of today, the crypto “hodling” app that uses Bitcoin-based derivatives contracts for almost everything it does, now holds and supports Ether on a foundational level. Specifically, what this means is that now Abra users can start with Bitcoin, Bitcoin Cash, Litecoin, or Ether in their efforts to invest in the many different assets, including stocks, that Abra has to offer.
This starting point is precisely why Abra has remained unique. It is not only simple to use, the Abra team only holds these four assets in true custody, which means that if someone wants to invest in another cryptoasset that the platform supports, he or she will not truly exchange currencies to receive it. Abra gives its’ users the rights to much more assets like ADA and XLM through smart contracts that promise the user these rights on the basis of one of Abra’s four natively held currencies.
In other words, if ADA went up and you wanted to cash out, until today, you could only do so with Bitcoin, Bitcoin Cash, Litecoin, or fiat. Logically, this seemingly sudden addition of Ether to this list raises an important question.
Why now? Why introduce support for Ether during the midst of a powerful bear market where a lot of uncertainty still surrounds even crypto’s top ten currencies? On one hand, the answer could lie in the SEC’s recent confirmation that Ether tokens are not securities.
While this explanation seems reasonable, at the time of publication, Abra had neither confirmed nor denied this possibility. What company representatives did say is that the future of their platform includes support for many different ERC-20 tokens. Considering this, it is easy to see why starting with full end-to-end support of the Ether currency is paramount at this juncture.
By: BGN Editorial Staff