About the App¶
The Reserve application is designed to help people living in hyperinflationary economies protect their savings from devaluation and recover the freedom to use their money however they want. The app provides access to a stable and inflation-free currency called the Reserve dollar (RSV), a cryptocurrency governed by the Reserve protocol. Reserve dollars (RSV) have 1 to 1 parity with the US dollar.
The Reserve app allows people to save, spend, and receive money in stable currency, without the need for a foreign bank account. The app facilitates conversion of local currency into Reserve dollars (RSV), so users can move money freely between their local banks and the most popular online payment platforms and cryptocurrencies.
These transactions are carried out by Independent Liquidity Providers (ILPs): third-party entities verified and authorized by the Reserve team to perform this function.
What are Independent Liquidity Providers?¶
The Reserve app automatically assigns deposit and withdrawal requests to an Independent Liquidity Provider (ILP). ILPs set the exchange rates and commissions for each transaction. In the rare case of a dispute between the parties, the Reserve team analyzes the transaction and assists the ILP and app user in finding a solution.
When users deposit funds in the Reserve app, they do so by directly sending money to the ILP, via a bank transfer or from another platform. Once the transaction is confirmed, the ILP credits the Reserve dollars to the user’s in-app balance.
When a user wants to withdraw funds, the reverse occurs. The user gives a certain amount of their in-app balance to an ILP, in exchange for a deposit into the selected payment platform, such as a bank.
Countries with current app service have multiple active ILPs. Reserve ensures thorough knowledge of financial transaction systems in each country before establishing ties with these ILPs, to ensure all operations are legitimate.
The accounts to which funds are deposited may change with every transaction. The user should carefully verify the details for the assigned account for teh transaction, because they correspond to a specific Independent Liquidity Provider (ILP) that is available to complete the transaction.