The importance of liteAPI
Litepal is a gateway to cryptocurrency on a global scale with liteAPI as the backbone of our payment infrastructure. Initially, we planned to have to it released and ready for use, but a number of delays, mainly architectural changes to the way we process transactions led to catastrophic delays.
liteAPI is for developers, coders and programmers, enabling programmatic generation and monitoring of Bitcoin and Litecoin transactions using our infrastructure as the base.
liteAPI is now nearing readiness and should be up and online soon. We plan to enable testnet transactions only at this stage to allow us to monitor security and stability in a safe environment. Normal transactions should be possible soon, we have no exact ETA right now.
Developing integrations for existing e-commerce platforms is simple once we have a secure and solid foundation set up to process those transactions, which is why liteAPI is such a big deal.
Proprietary cryptocurrency processing
Litepal uses proprietary cryptocurrency processing software for all of our payment infrastructure, which means we built it all ourselves just for us alone.
At the heart of our system is a pioneering processing technique enabled through the use of heterogeneous database architecture with the Bitcoin and Litecoin clients, opening the door to maximum performance both now and in the future.
Unfortunately developing proprietary software proved to be exceptionally complex and despite the breakthroughs made in production, we still faced a lot of problems with synchronization across our infrastructure.
The good news is we’ve hit these problems head on and have a solution ready to meet the real world, through liteAPI.
Litepal financial regulations
Financial regulations and adherence here at litepal are a very complicated subject.
Conventional payment processors are a heavily regulated industry in Australia and these issues are compounded by the fact that litepal isn’t a conventional payment processor.
KYC/AML regulation and AUSTRAC is surprisingly the most simple regulatory burden we face right now. Compliance with Australian Securities & Investments Commision (ASIC) directions is very complex because we potentially fall under low-value NCP (non-cash payment) facilities law.
The silver lining in our situation is that low-value NCP potentially means we can hold fiat currency on consumer accounts with a restricted balance of $1,000 AUD or less per account, that’s around $750.00 USD.
Right now we’re not processing any payments through hedging or in cryptocurrency and also cannot progress with allowing normal (mainnet) cryptocurrency transactions until advised to do so by legal.
There are a few more minor issues in the legal department to clarify but we’re positive and optimistic about the likely results.
Financial services license
Litepal does not currently hold an AFSL but we plan to apply for a license in the near future. An AFSL will enable us to offer financial products to our users and solidify greater trust; opening the door to a litepal cryptocurrency exchange, ATM network integration and much more.
However, the benefits of an AFSL presently do not outweigh the spent cost, which is around $40,000.00 (AUD) in insurance and legal fees.
New company information
Presently, litepal is a registered sole proprietary business in Australia, Sydney with pending trademarks in a number of locations, registered with ASIC and trading under the ABN 57 857 821 358.
As we reach critical mass and begin engaging with investors, it’s important to acknowledge the need for a more stronger business structure, which is why we’re now in the process of transitioning litepal from a sole proprietary to a complete corporate business structure.
Furthermore, complying with KYC and AML regulations under a sole proprietary business structure is not viable and will inevitably lead to the need for a corporate structure.
Corporate structure means new faces
In order to transition to a complete corporate structure and legal entity, litepal requires someone experienced in the corporate field of business management.
Edin Jusupovic, the founder of litepal, has agreed to take on a part-time role in an undisclosed capacity while an immediate family member, who is experienced in corporate management, is transferred the ownership of litepal.
Litepal will then commence engagement with investors on funding and begin the restructuring process. This will allow us to develop litepal faster than ever possible before.
Edin will continue to work on or with litepal in an undisclosed but close function. Litepal will still push forward with the same roadmap, same vision and the same goal.
Once the transfer of litepal is complete and litepal is a registered legal entity and company in Australia, all ABN references will be changed to the new litepal ACN.
The litepal blog is back
We had to make some changes with domains, we’re now back and excited to start posting updates.