About Residual Token, Inc. dba unFederalReserve

Residual Token, Inc.
7 min readJul 8, 2022


In business since 2018, Residual’s team of former bankers, technologists and compliance professionals have been exploring ways to make crypto lending and borrowing markets safer and traditional markets more efficient. They currently have in development a handful of Web3 DeFi Infrastructure software available for license. Its flagship product, ReserveLending, allows permission-less access to crypto holders so that they can deposit, earn and borrow top digital assets safely, easily and effectively for cash management, hedging or speculative purposes.

Key Facts

Howard Krieger, Founder & CEO, unFederalReserve

Howard Krieger is a serial entrepreneur. He is well-versed in risk and valuation concepts, consumer and commercial lending and executive leadership.. He is the founder & CEO, unFederalReserve™, a fintech SaaS company that combines software built on blockchain technology and 200+ years of banking experience. He holds a bachelor’s degree in Business Administration from James Madison University and an MBA with a concentration in Quantitative Finance from Rutgers School of Business. Prior to founding unFederalReserve™, Krieger served as Managing Director at CBIZ Valuation Group, Valuation Director at WithumSmith+Brown and was also a Senior Manager at KPMG LLP. As an innovative blockchain-based bank loan origination and settlement system design and operational collaborator, Howard is also a quant jockey and a player’s coach.

Conception of unFederalReserve

30,000 non-bank lenders in the U.S. struggle with limited capital sources and settlement speeds, observes Howard. Noting that blockchain-based technology effortlessly handles these transactions in a secure, immutable manner, this technology enthusiast points out that unFederalReserve™ has selected premium elements of the crypto ecosystem and it is in a best-in-class regulatory framework that delivers its middle-market clients a B2B lending, cash reporting and overnight lending/borrowing utility tool. “We offer the security of immutable records, near instantaneous settlement and encryption well beyond what the largest global banks currently use. Sophisticated borrowers are experts at identifying mispriced opportunities. Unsophisticated lenders, however, can be at the mercy of seasoned borrowing professionals seeking to exploit risk vs yield mismatches. The unFederalReserve™ safe harbor uses algorithm settings targeted to minimize those situations. When it comes to speed, lending and borrowing transactions settle almost instantaneously on our blockchain-enabled platform.”

Enabling blockchain technology to create fintech SaaS solutions

“Our core is a Compound® fork that we have been working with to learn the limits of an extremely stable DeFI protocol. We also leverage Securitize for on-chain identity management, Chainalysis for transaction monitoring, Fireblocks for wallet security and Circle for money conversion. We tie these pieces together with years of experience to deliver safe, effective and less costly cash management.”

ReserveLending platform

ReserveLending was the firm’s first product, and the first major release, says Howard. “Our FinCEN registered, P2P crypto lending platform is easy to use, and allows crypto holders to lend, deposit or borrow cryptocurrencies at reasonable rates, and monitored for suspicious activity. At launch we had close to $400mn Total Value Locked on the platform.”

The Blockchain Journey

Noting that he was introduced to the concept by his co-founder and friend, Ryan Medlin, Howard adds that the latter brought the technology and marketability of the software to my attention, and the need for sophistication in the borrowing/lending space. “We did a hackathon a few years back and the rest is history.”

Challenges Galore

“I think it starts with identifying what risks matter most to your business model, and literally lay them out on a spreadsheet, and detail the severity of the risk and risk mitigation step to take, if possible.” Blockchain is not a cure-all, and certainly one category of risk has to be whether it’s the software or the user that poses the greatest risk. Build redundancy, monitoring and control processes and you should be fine.

Leadership Traits

unFederalReserve™ lives by 5 key principles: Safety, Courtesy, Inclusivity, Efficiency and Experience. The team knows everything they do has to abide by those principles. “I also think that role vs expectation gaps are the source of all interpersonal conflicts. Communication is the only thing that solves that.” Empathy being a critical trait, Howard stresses on the need to keep perspective and take care of yourself as you go through knocking out priority items.

Words of Advice

This fintech specialist recommends start-ups to be caretakers of the capital, team and the product. “Blockchain start-ups, specifically, should strongly consider affiliating with entities that either understand the tech’s benefits already or are agnostic to how it works. The tech is nice, but the tech is not what sells. The product which uses the tech and its flexibility to integrate with existing workflows is what gets traction.”

The Success Mantra

“Be okay with admitting when you messed up. It is a liberating experience. The best part about being CEO of a blockchain tech company is the people at the end of the day. I love chatting it up about how I got here, but my success is really a story of how thousands of people just said one day, “This team is talking about products for underserved entities that just makes sense.”

Forward-Looking Statements

This press release includes “forward-looking statements” within the meaning of, and within the safe harbor provided by the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements give our current expectations, opinions, belief or forecasts of future events and performance. A statement identified by the use of forward-looking words including “will,” “may,” “expects,” “projects,” “anticipates,” “plans,” “believes,” “estimate,” “should,” and certain of the other foregoing statements may be deemed forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, these statements involve risks and uncertainties that may cause actual future activities and results to be materially different from those suggested or described in this news release. Factors that may cause such a difference include risks and uncertainties related to our need for additional capital which may not be available on commercially acceptable terms, if at all, which raises questions about our ability to continue as a going concern; the fact that the COVID-19 pandemic has had, and is expected to continue to have, a significant material adverse impact on the travel industry and our business, operating results and liquidity; amounts owed to us by third parties which may not be paid timely, if at all; certain amounts we owe under outstanding indebtedness which are secured by substantially all of our assets and penalties we may incur in connection therewith; the fact that we have significant indebtedness, which could adversely affect our business and financial condition; uncertainty and illiquidity in credit and capital markets which may impair our ability to obtain credit and financing on acceptable terms and may adversely affect the financial strength of our business partners; the officers and directors of the Company have the ability to exercise significant influence over the Company; stockholders may be diluted significantly through our efforts to obtain financing, satisfy obligations and complete acquisitions through the issuance of additional shares of our common or preferred stock; if we are unable to adapt to changes in technology, our business could be harmed; if we do not adequately protect our intellectual property, our ability to compete could be impaired; our long-term travel business success depends, in part, on our ability to expand our property owner, manager and traveler bases outside of the United States and, as a result, our travel business is susceptible to risks associated with international operations; unfavorable changes in, or interpretations of, government regulations or taxation of the evolving ALR, Internet and e-commerce industries which could harm our operating results; risks associated with the operations of, the business of, and the regulation of, Longroot and NextBank (formerly IFEB); the market in which we participate being highly competitive, and because of that we may be unable to compete successfully with our current or future competitors; our potential inability to adapt to changes in technology, which could harm our business; the volatility of our stock price; risks associated with the integration of the operations of HotPlay Enterprise Limited, which acquisition we recently competed; the fact that we may be subject to liability for the activities of our property owners and managers, which could harm our reputation and increase our operating costs; and that we have incurred significant losses to date and require additional capital which may not be available on commercially acceptable terms, if at all. More information about the risks and uncertainties faced by the Company are detailed from time to time in the Company’s periodic reports filed with the SEC, including its most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, under the headings “Risk Factors”. These reports are available at www.sec.gov. Other unknown or unpredictable factors also could have material adverse effects on the Company’s future results and/or could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements. Investors are cautioned that any forward-looking statements are not guarantees of future performance and actual results or developments may differ materially from those projected. The forward-looking statements in this press release are made only as of the date hereof. The Company takes no obligation to update or correct its own forward-looking statements, except as required by law, or those prepared by third parties that are not paid for by the Company. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements.



Residual Token, Inc.

Permissionless lending and borrowing software, regulatory and operational consulting