Godfather of Fintech Uses Cryptocurrency and Blockchain Technology to Make Crowdfunding More Legitimate
Thomas Carter, a fintech startup veteran and serial entrepreneur, is on a mission to disrupt the traditional finance model capital raising by leveraging cryptocurrency and blockchain technology. Although ICOs are known for their scams and Ponzi schemes, Carter has found a new way to leverage the ICO model and create an alternative to bank financing without the messy scams. He calls this Dealbox, a business accelerator and crowdfunding platform that tokenizes startup companies.
A Quarter Century of Experience in FinTech
As a serial entrepreneur with over 30 years experience in the startup sector, and as a founder who has raised capital in a number industries from finance, multimedia, to sports, and marketing, Carter noted that there had to be a more accessible procedure to fund a company.
Carter mentioned to Entrepreneur Magazine that he launched Dealbox because he wanted to use his experience to help new startup founders and companies raise capital unconventionally, especially since it’s an extremely tough process.
Dealbox: a Business Accelerator and Crowdfunding Platform
Carter created Dealbox, a crowdfunding platform and business accelerator that helps companies in cutting-edge industries like artificial intelligence, 3D printing, Cannabis, payment processing. Carter intends to disrupt the traditional capital raising model by allowing founders to share their business plans with many investors at once instead of doing many rounds of pitches.
The new approach is possible by leveraging new financial technologies to handle large data sets in real-time.
Instead of the traditional crowdfunding approach, DealBox works with and sources the capital organizations from family offices, private equity firms, and knowledgeable investors during the pre-sales process before the public sale.
He noted that one of the most substantial benefits of crowdfunding is its ability to enable the startup to secure small or large investments from a large number of investors. In return, the investors gain partial ownership, dividends, and appreciation for the funds.
Bringing Due Diligence to the ICO Ecosystem
To invest in DealBox’s startups, investors need to purchase “DLBX” tokens during the pre and public sales. DealBox exchanges the cash as early stage investments in the platform. The crowdfunding and business accelerator then undergoes a “lock-up” period for 12 months.
The tokens are fixed at $1 and do not trade freely, ensuring that the investors are protected from any initial volatility. DealBox then ensures that there is an exit after this period like pursuing Form s-1 Filing or uplisting on a cryptocurrency exchange. Part of the company’s profits is then given to the investors in the form of royalties.
“Our crypto-economic analysts rigorously vet startups against the same compliance standards applied to public companies,” said Carter. “DealBox is creating real economic value by raising standards to improve the overall health of the blockchain ecosystem.”
Demand For Blockchain Remains Strong Despite Bearish Cryptocurrency Market
In an interview with Bloomberg, Grainne McNamara, the blockchain lead at PricewaterhouseCoopers (PwC), mentioned on September 18, 2018, that there is a lot of demand for blockchain technology and interest in the token economy despite the bearish cryptocurrency market.
While blockchain is prevalent emerging technology, regulatory uncertainty is a massive ongoing concern that can impact blockchain’s ability to grow and scale.
The Token Economy is Very Distinct from the Cryptocurrency Industry
While there is a substantial overlap between cryptocurrencies and the token economy, McNamara clarified in the interview that the interest in blockchain technology, token assets, and the token economy is growing and distinct from the cryptocurrency market.
Cryptocurrencies can be the result of a specific blockchain or, however, the token economy is a network of systems that use valuable tokens as a means of incentivizing people within a community. Since tokenization is the strategic interaction between governance and game theory, its definition is significantly broader than cryptocurrencies.
The token economy and token assets provide a lot more possibilities and opportunities for enterprises to leverage the technology. McNamara expanded on token economics by using the example that not all token assets are cryptocurrencies.
Some serve different functions like security tokens that can represent assets in companies or earnings streams or utility tokens which function can provide access to goods and services that a project will launch in the future.
When it comes to blockchain advisory services, the demand remains high and strong. While the service started out in the financial sector, it has expanded to every industry PwC provides services for.
The interview also explored the results gained from the PwC blockchain 2018 survey. While 84 percent of respondents mentioned that they had some involvement with the technology, 54 percent said that the effort had not been justified.
McNamara clarified that, while gaining a return on investment (ROI) is difficult with blockchain technology, it’s not necessarily a problem with the core technology but rather the company’s ability to implement blockchain technology on a commercial application at scale.
PwC report Shows that China Will Become a Blockchain Leader
The interview also touched on China’s development and growth in the blockchain sector in comparison to the US. While there is a lot of legacy infrastructure in the United States, such as supply chains and financial institutions, McNamara noted that the regulatory environment could be a hindrance to the development of the sector in the United States states.
In August 2018, PwC also released a report on the nature of regulatory uncertainty and its impact on the blockchain industry. The report mentioned that at the current rate, China would overtake the U.S. as the primary blockchain developer in only three to five years.
Less than a week since our major upgrade to the Markethive Dashboard and all is settling down nicely.
This is all for preparation of transferring into the blockchain, so we can deliver even better privacy, security, power and a Universal Income based on Entrepreneurial pursuits, not some government theft and giveaway all the other options seem to have become.
This process has eliminated all the affiliate type levels that used to exist in Markethive. Gone are the Alpha Legacy levels, gone are the Voyager, Navigator and Commanders levels.
Alpha Legacy is now 1/10th of an ILP, the new crowdfunding share we are in pre-launch with. We are gearing up to convert to the blockchain, so we have our own financial systems. We are gearing up to deliver 3+ commerce platforms. We are gearing up to deliver a legitimate Godly Universal Income. We are gearing up to insure you have total privacy and security at Markethive.
We are about to officially launch our ICO (ILP actually) crowdfunding campaign and sharing that effort with you, the people that make Markethive run.
Come to our Sunday meetings as we continue to reveal what this means, and how it benefits you in so many ways.
I hold 2 meetings on Sunday because it is the 1st day of the week, look at your calendar, it is the first day.
Central Time (That is USA central time) Check the World Clock if you are confused
Sunday @ 10am and 5pm
The calendar can be found at http://markethive.com along with the link to the conference room (found within the calendar)
New Back Linking Tool (Blows SEO away)
This Saturday (check the calendar) @ 2 pm (USA Central)
I am going to show you how to use the new backlinking tool. It has become incredibly organized and can literally produce and manage 100s even 1000s of legitimate backlinks, manage them, sort them and will even have the option to have them listed in your profile page for even greater robotic indexing.
There is nothing even close to this elsewhere for free or fee.
Saturday @ 2pm (USA central)
I still need journalists. This is a well-paying job. Please register here for an interview and job benefits.
Markethive is sailing ahead to become the leading Market Network, the champion of the Entrepreneur, delivering a real legitimate Universal Income, with a huge and free platform that pays you to build your future.
This is why Markethive will replace Facebook
“Airdrops combine the best of paid referral programs with stock options. Potential users get paid for joining or using the network and have the potential upside if the network increases in value.”
Brayton Williams to CoinDesk
Why Do Projects Airdrop Their Tokens For Free?
Airdrops raise awareness, even Paypal (pre blockchain) discovered the awareness effect, and goodwill giving away $20 to sign up and verify your account back in the early 2000s. Paypal is now a household word and $50 billion company.
This awareness has a tendency to increase the token value as well as create a network effect. IE: A network effect (also called network externality or demand-side economies of scale) is the positive effect described in economics and business that an additional user of a good or service has on the value of that product to others.
This marketing strategy plays on a cognitive bias known as the endowment effect. In psychology and behavioral economics, the endowment effect (also known as divestiture aversion and related to the mere ownership effect in social psychology) is the hypothesis that people ascribe more value to things merely because they own them.
Are Airdrops Effective Marketing Tools?
OmiseGo conducted the first airdrop of this kind and amplitude on September 4th – distributing 5% of the total issuance of OMG token to every ETH address, with a minimum balance of 0.1 ETH. The airdrop enabled each ETH holder, by providing them with a share of the 5%, proportional to their share of the total circulating supply of Ether.
The aim of the airdrop was to allow the token to be distributed as widely as possible, allowing for true decentralisation of the platform, to ultimately increase its network security.
On the chart below from Google Trends, you can see that a surge in search interest related to OmiseGo occurred during the days of the airdrop, reaching a peak close to the end of 2017, and dropping to a tenth of the search interest in June 2018. Most websites such as CoinDesk, CoinTelegraph, and much of the Twittersphere spoke about the airdrop, leading to many people wondering what the project was about, and increasing OMG brand awareness.
The TRON foundation just recently completed an airdrop to market the Tron platform, which was set to launch a few days after the drop. Its desired effect on awareness had little impact most likely caused by the current bear market.
The cause could be simply that Tron was omnipresent in social media since January, meaning people were already aware of an incoming airdrop, or as this is the first airdrop that took place squarely in the middle of the current bear market we find ourselves in, so overall interest in cryptocurrency has led to this lack of interest in Tron’s airdrop.
However, POLY (Polymath) after privately raising 12.9 million decided to airdrop 10 million POLY coins to the blockchain community instead of an ICO, deciding to allow anyone to subscribe to the airdrop regardless of their holdings.
They received more than 40,000 applications complete with KYC and AML screening, to ensure that the tokens were airdropped to real users, rather than bots. All the people which completed the procedure received 250 POLY, worth $165 at the time of writing and $400 at the token’s all-time high.
Similarly to the other projects, besides Tron, the marketing scheme worked, as the search interest for Polymath reached its all-time high by the 10th of January, the deadline to apply to the airdrop.
In summary, it is strongly evident the additional benefits awareness causes trading and coin demand increase drives coin prices up.
What are Infinity Airdrops?
Inspired by the Paypal Hack, the Dropbox Campaign, then Crypto based Airdrops by OMG, EOS and TRON, amazing successes, effective yet short events; Markethive in the spirit of the Bitcoin Faucet and Universal Income is delivering the Infinity Airdrop. Simply join Markethive and receive coin, an offer with no end.
What are faucets? I assume most people know what a faucet is, but I am wrong in that assumption. It is a relatively new phenomenon, in that by simply visiting a website, entering in your Bitcoin wallet address, and solving a simple captcha challenge you can get paid free Bitcoin. Case in point:
Imagine a faucet giving away 5BTC! That’s what Gavin Andresen’s faucet was paying back in June of 2010. It was his first bitcoin-related coding project and he started it off with à¸¿1,100. At today’s prices, that’s close to $7,150,000. Your claim of à¸¿5 would be worth $32,500!
The concept created a huge, subculture phenomenon; with literally 1000s of sites operating like survey sites to get free Bitcoin. Unfortunately, the process today is anti-productive and only the most stalwart contenders are able to keep to the tasks due to the oppressive popup ads, viruses, browser hijackings, etc. The concept is intriguing and we believe the promise is solid, just waiting for a system to do this right.
Airdrops, Faucets and Universal Income
There is something there, blockchain, crypto, anti-inflationary coins, faucets and airdrops and Universal Income. Conventional Wisdom seems to think by heavily taxing the elite and profitable business interests, the masses can be given a sustainable income to survive. We do not agree. It is nothing more than a repackaged attempt at communism, stealing from the rich by the middleman, and giving to the poor, creating an entitlement culture, and a rich and powerful middleman (after all they will become more equal than you) bureaucracy and autocrats running the show. There is the absence of any motivation for the recipient of their allotted Universal Income (thereby destroying self-esteem) and the whole idea supports tyranny in every way.
We offer an alternative Universal Income. Get paid to support the entrepreneurial culture by simply working at building your dream within the ecosystem of Markethive. To attract the masses of entrepreneurs, we launch and operate the Airdrop. The never-ending Airdrop.
Markethive has set goals to build out portfolios of Coin Exchanges (like Bittrex and Cryptopia), News Sites (Like Cointelegraph and News.Bitcoin), Web building systems (like Wix and Volusion), Green House hybrid mining systems, and an ongoing strategy to build “money machines” to contribute to the sustainability of the Markethive Universal Income for Entrepreneurs.
The Billion Coin Drop
Markethive’s vision is to deliver Entrepreneurs a Universal Income in an Ecocenter environment designed to accelerate success as well as return huge profits to the founders who financed the initial stages of the platform, like the following have done:
Paypal valued today at $50 billion New customers got $10 for signing up, and existing ones got $10 for referrals. Growth went exponential, and PayPal wound up paying $20 for each new customer. It felt like things were working and not working at the same time; 7 to 10% daily growth and 100 million users was good. No revenues and an exponentially growing cost structure were not. Things felt a little unstable. PayPal needed buzz so it could raise more capital and continue on. (Ultimately, this worked out. That does not mean it’s the best way to run a company. Indeed, it probably isn’t.)”
Dropbox valued today at $10 billion While PayPal rewarded its users with cash, Dropbox gave extra storage space to both the referrer and the referees. This was clever, because it invests the users in the product. It made sense for PayPal to give cash, because they’re a payments company and need users to use their service to make financial transactions. Dropbox is a storage company, and they need their users to use their service to store stuff. In both cases, the optimal currency is the lifeblood of the product. In World of Warcraft, the reward is in-game social currency, in the form of rare Mounts that can be shown off.
EOS Marketcap at $6.4 billion EOS has become a powerhouse in the crypto space. One of the most promising things about it is the airdrops. Unlike Ethereum, many EOS projects are choosing to collect zero funds up front. Instead, they simply drop their token to the EOS community, while dropping themselves tokens to fund their project. The EOS markets then decide the value of the token based on demand, The team then sells some of its tokens to raise money. Since it’s easy and practically free to start a project on EOS, new players are popping up every day.
OMG Marketcap at $1 billion Shortly after their first Airdrop, things started happening for OMG. OmiseGo's OMG token is reporting double-digit gains today, figures that throw shade on the rest of the top 25 cryptocurrencies by market valuation. Having clocked a two-month high of $20.67 earlier today, OMG is now changing hands at $18.20 on Bitfinex – up 15 percent in the last 24 hours. Meanwhile, OMG's BTC-denominated exchange rate jumped to a seven-month high (highest since Sept. 30) of 0.0023466BTC. The price rise may be associated with the OMG's listing today on Bithumb, one of the biggest cryptocurrency exchanges in South Korea. The token was also listed on Zebpay, one of India's largest cryptocurrency exchanges, yesterday. According to the chart analysis, though, the outlook will remain bullish as long as prices hold above $14.40.
By The Numbers
First Airdrop will utilize 1 Billion Coins
500 coins will be transferred to every new subscriber to Markethive upon completion of the registration process. An additional 100% matching bonus will be awarded to (either) the qualifying referrer, or in a rotational share assigned to a qualifying member in the CAP (Customer Acquisition Program) Thus 1000 coins will be used for every new subscriber, thereby producing 1 million new Markethive subscribers.
To qualify for the matching bonus, the CAP, and other benefits, the subscriber must upgrade to the Entrepreneur level at $100 per month. The benefits of this upgrade far outweigh the monthly costs. The Entrepreneur upgrade is explained in detail further down.
In scores of focus groups when the participants understand the benefits with the Entrepreneur upgrade we consistently get 100% of the participants agreeing they would enthusiastically upgrade to Entrepreneur. We are downgrading our projection to 10% for this illustration at the lowest expectations.
First Airdrop of 1 billion coins divided by 1000 (500 to the new registrant and 500 to the referrer) equals a total of 1 million registered members. Estimating 10% will upgrade to the Entrepreneur level at $100 per month or pre Pay $1000 per year ($200 discount) that monthly income revenue valued at $10 million in USDA.
20% of Markethive revenue (profit) is set aside to pay back the loan (ILP) holders, share(s) of that profit. There are 4 phases in the crowdfunding. If the Airdrop is launched when Phase one is completed, and that Airdrop produces 1 million subscribers as projected and 10% of those subscribers upgrade to Entrepreneur level, as projected, then those 125 ILP shareholders will each receive $16,000 as projected (but not guaranteed) the first or second month, depending upon the effectiveness of that campaign.
As such if we do not launch until Phase 2 is completed, there will be 250 ILP shareholders activated to receive equal shares of the projected revenue of 20% of the $10 million making each holder $8,000 per month as illustrated and projected.
If we should complete all 4 phases prior to launching the Airdrop etc. then the projected revenue will be shared amongst 1000 shareholders (500 active and the 500 projected Shadow holders) paying out $2,000 per month per share.
We are seriously preparing to replace both LinkedIn and Facebook as the next-gen network, the Market Network.
No other system out there has the advantage to do this. We are well branded. Markethive perfectly brands and illustrates exactly what we are. A Market Network, a name easily remembered, a name that has been trademarked in the US and internationally in as many classes possible, ensuring command over the usage of the name. We have also taken control on 95% of all TLD domains. We also control the name as a username on every Social Network that matters.
Markethive has been operational in BETA with over 5000 subscribers for nearly 4 years. Our entire system is run on our copyrighted code. It is a proven system and continually improves.
Appendix of options and requirements:
Mention 3 referrers activates the Micro Payment system
Markethive is converting to the blockchain to increase security, ensure privacy and establish digital currency viability. Blockchain conversion gives us our own coin to conduct internal commerce but also trade and commerce outside globally.
Having our own viable coin, allows us to activate a Micro Payment system, to reward active members, with a real Universal Income with Markethive tradeable coin.
The Markethive Free Program
Everything (Airdrop, Inbound Marketing, Social Networks, Blogging Platform, Broadcasting, Groups, Campaigns, Capture Pages, Conference Rooms, earning free coins, Messaging, Wallets, etc.) in Markethive is free. You can even be rewarded for referring your friends and traffic to sign up via the Infinity Airdrop. Markethive has a Micro Payment reward system where you can earn income by simply using the tools of the system. To activate it, you simply refer 3 people to sign up via your profile page.
The Entrepreneur Upgrade program
100% Matching Referrals
Earn 100% Matching Bonus on all signups referred through your profile page. This can be as much as 500 coins, traffic 1000 people to register through your profile page and earn up to 500,000 coins. (Steem a social networked blog blockchain platform only, coins are trading at $1.30 and earlier this year had reached over $6 per coin. We expect Markethive coin to eclipse Steem once Markethive gets rolling).
Build Quality level Leads
Facebook makes friends, LinkedIn makes connections, and Twitter makes contacts. None of these give you additional social accounts, verified phone number, full name, IP, agreement to connect, etc. Markethive’s Entrepreneur program acquires this for you and calls them Associates, superior lead development within a nurturing program.
Company Ad Co-op
Buying customers is a relatively new concept. Trivita does this for their distributors. Buy a marketing share and receive 1 customer. They charge between $60 to $150 per customer. It is a sound concept and helps to grow the budget for larger advertising campaigns. The Entrepreneur upgrade is built on this concept. We take the revenue raised by the Entrepreneur Upgrade and run million dollar ad campaigns, video ads, press releases, articles, social networked reaches to drive the awareness of the Markethive Airdrop, the Markethive system, and the Markethive Universal Income.
Our Co-op sells shares, which means you could receive a lot of “customer” referral signups, not just one.
Thomas Prendergast the CEO and Founder of Markethive coined the term “Traffic Portals” back in the 90s. Traffic Portals offer something of value. A news site, a search engine is a version of a Traffic Portal. Markethive already has a portfolio of Traffic sites in the works;
Bigcaboodle.com (A WIX like web site builder)
Aboutbitco.in (A news site like Cointegraph.com)
Hiveroom.com (A webinar service like Gotomeeting)
Beelancers.com (A freelancers pier to pier commerce type site)
MarketExchange (A cryptocoin Exchange site)
CryptoPonics (A hybred coin mining and herb greenhouse facility)
The epitome of Inbound Marketing is the Traffic Portals. They assist in generating additional traffic that converts to customers for your benefit as the Entrepreneur upgrade at Markethive.
Exclusive Banner Program
Banners appear throughout all Markethive dash board pages, blogs, and Traffic Portals. Exposure is guaranteed. Banner advertising is exclusive to the Entrepreneur Upgrade. Banner ads may run up to 7 days. Compare to other systems banner ad programs average $100 per day per banner. Banner ad placement in the Markethive system is unlimited.
Shadow Share ILP (ICO) incentive
As an Entrepreneur Upgrade, you also get your own replicated IO site. An IO site is the web page we use to raise crowdfunding. Most blockchain start-ups, like TRON, EOS, OMG, etc. utilize a similar type of page for their ICO (Initial Coin Offering)
Having your own replicated site will tag all crowdfunding applicants to you. Any ILP that is processed will earn you an equal shadow version of that ILP. The only difference a showdown ILP is to an active ILP is the shadow is not actively sharing profit until the crowdfunding campaign is completed. Then the shadow ILPs become active for the same terms the ILPs Have.
This can be a significant opportunity to build an investment that has the potential to return significant revenue over the years of the terms of the ILP.
Markethive’s wallet app is multi-purpose. It acts as a wallet, set up to receive Markethive coin, works as a messaging system integrated with the Markethive dashboard for both the news feed and messaging, acts as the 2FA for login and holds the KYC keys for membership verification. Operates on PC and Apple PCs, Droid and Apple phones and Tablets.
1. Hive Wallet Balances
The Markethive wallet is a software program that stores private and public keys and interacts with various blockchains to enable users to send and receive digital currency and monitor their balance, with the additional options to send payments through the messaging system. The wallet also receives Markethive auto revenue payments
The initial subscription into Markethive requires a mature social network and a cell number is the second level of verification. But further verification is required to conduct business. This is where the 2FA process requires documents that when approved, they are encrypted and the Wallet becomes the only point giving the subscriber the only access to their own privacy
3. Hive Verification
Security blockchain end to end, private key for verification access to the Markethive platform. KYC documentation is stored in the blockchain and only accessed via your wallet with the wallets 2FA. Upon logging into Markethive, the wallet delivers several layers of protection.
4. Hive Messenger
Decentralized messenger, p2p, the blockchain, voice, text, 3+ call ways, groups and channels, built-in whiteboard and desktop share webinar. Encrypted, private, crypto coin transfers, shapeshifter, runs from the wallet. Pays to use it. Reads and publishes to the Markethive Newsfeed.
Find out more about the proposed, developing, and operating leading edge tech we bring to you, to support your environment to build your dreams in our machine. All p[art of delivering Universal Income for the entrepreneur.
What is an Initial Loan Procurement and why it will drive the Markethive.
There seems to be a lack of awareness around Initial Loan Procurements (ILPs), as well as a lot of confusion if that. This post will try to explain what ILPs are and their significance to finance and Markethive.
The Initial Loan Procurement is a new fundraising method that is similar to an Initial Coin Offering (ICO) but in the form of loans rather than coins. In this ILP scenario, borrowers and creditors enter loan agreements through legally binding smart contracts. Markethive is one of the firsts to offer an ILP along with the originator from Blockhive.
ILPs (Initial Loan Procurement) disrupt the global debt capital market and have the potential to become bigger than ICOs. Blockchain is revolutionizing finance, especially capital markets, which allow companies (and even governments) to raise money from investors globally.
Let’s talk about how companies and governments raise investor money:
Companies can either sell stakes in the company or equity. This is done by issuing stocks and stockholders share the company’s profits. Likewise company losses are stockholders losses and companies aren’t required to pay the investors back. On the other hand, companies can borrow from investors by issuing corporate bonds. Although bondholders don’t share in the company’s profit, they will be paid back their original investment + interest unless the company goes bankrupt.
Governments can issue government bonds to big investors as well and the logic works the same as corporate bonds. Since the government is deemed less risky, government bonds typically have lower interest rates. Examples are US Treasury bonds.
When companies/governments first issue these financial securities, they are issued in what is called the primary market. The average joe does not participate in this market. The big banks and institutional investors are the usual investors. After this, the already-issued securities are traded in the secondary market which includes retail investors like the average joe. Ex. Stock market
Then there’s the private capital market. All companies start private and once they get big, they might go public and list on one of the stock exchanges. Ex. Uber is currently a private company valued at $70B, and they are supposedly planning an IPO soon. Only then, would the average joe be able to buy Uber stocks and invest in the company. So who invests in these private companies early on? Big institutional investors such as Venture Capital firms (VCs) with lots of money get to invest early on for equity and if the company takes off, they could multiply their investments by orders of magnitudes.
This was how things were done TRADITIONALLY. With Blockchain technologies, modern finance is changing. Initial Coin Offerings provide companies (and governments) with a whole new way of raising capital. It’s easier, faster, and the whole world gets to participate. Although coins are not 100% like stocks, a lot of them behave that way: Many tokens will profit if the issuing blockchain company becomes successful. (For example exchange token holders earning trading commission fees). Like stocks, there is no legal obligation for the company to pay the investors back their original investment. Initial Coin Offerings serve as the primary market and exchanges like Binance serve as the secondary market. This change is happening extremely fast. In 2017, more money was raised with ICOs for blockchain start-ups than ALL of Venture Capital. Pretty much EVERYONE can participate in these ICOs as well as trade the tokens once they are listed on exchanges.
This is why regulators are going crazy about cryptocurrencies right now. Throughout history, financial market crashes have devastated many lives, and each time regulators stepped in with rules to protect consumers. Let’s not debate the pros and cons of regulation here, but it’s just the way things are. With cryptocurrencies, regulators see more risk than ever for consumers as now regular people are participating not just in this unregulated secondary crypto market, but in primary markets as well through ICOs.
Meanwhile, the global debt capital market has barely been disrupted by blockchain tech. If anything, there are many crypto projects in the works for peer-to-peer lending, but there is only one project that I know of focused on disrupting the public debt capital market: Initial Loan Procurements (ILPs).
A fundraising structure utilized by Markethive, this has the potential to grow even bigger than ICOs (The world debt market is way bigger than the world equity market). This year Markethive will be one of the firsts to offer an ILP, like Blockhive, and will be one of the first companies to raise capital by decentralized crowdfunding of debt.
To summarize Markethive’s ILP: we are targeting 10.5M Dollars (USD in Bitcoin) from lenders (think ILP). In this decentralized world, anyone can participate. The loan period is projected to be 10 years and the interest is 20% of Markethive’s operating profit. For example, if I lent Markethive $1,000 through this ILP, I will be repaid this principal in 10 years, and also earn interest over that period (In Markethive's case, 20% of Markethive’s operating profit will be distributed across the lenders. Furthermore, the ILP structure issues Hive Foundation Shares (HFS), which will allow me to sell my loan contract in the secondary market, if I don’t want to wait 10 years to be paid back. Each ILP will have its own FLAT to provide liquidity in the secondary market. Markethive's FLAT is also called Hive Founding Shares.
All ILPs are powered by legally-binding smart contracts (loan contracts between each creditor/issuer), and digital identity/signature solutions. The token utilized for these products will be traded on the open market exchanges (yet to be announced)
This is HUGE. Instead of issuing traditional bonds, corporations and governments can participate in this decentralized form of crowdfunding loans. It’s fast, easy, and the whole world can participate.
The financial revolution is now just starting.
The Markethive team believes that there is a need for an alternative to ICO due to the following shortcomings. The token economy is based on the demand, and sometimes selling tokens doesn’t make sense because the token has no real function for your business. Also, laws and regulation are an important consideration, because countries such as China have banned ICOs. Taxes also play a major part. Some countries consider money raised through ICOs to be income rather than capital and may tax it at rates as high as 40 percent.
Markethive has partnered with smart-contract development firm Menlo Tech and the original developer of the Monero Coin to develop a way to raise funds using loans. Here are some unique points of ILP:
The structure is as effective as an ICO because it is open to individuals around the world.
It is legally binding because agreements are digitally signed using blockchain technology which records information in a distributed database so they can’t be easily altered, adding a level of security for creditors.
Because ILP is in the form of loans, it is considered to be debt, and not subject to tax.
For businesses that don’t need tokens in the first place, ILP provides an alternative so more time and energy can be spent on business development, rather than creating tokens with no actual usage.
The ILP is regulation-friendly. Markethive conforms with regulatory frameworks designed to fight fraud and money laundering. Therefore, participants of ILP will be required to submit their identification and to go through the process of authentication (KYC).
The Markethive team says, “ILP provides a fast track alternative so more time and energy can be spent on business development. Last, but not least, because ILP is in the form of loans, it is considered to be debt, and not subject to tax.”
How does it work?
In Markethive’s case,
We first ask our creditors to register their identification, address and other information.
Then, they will digitally sign the loan agreement and send Bitcoin to our registered account.
Once we receive the Bitcoin, the contract is made.
That means Markethive’s creditors can receive 20 percent of Markethive’s monthly profit as an interest payment.
After the loan contract is made, Markethive will issue the Hive Foundation Shares (HFS the FLAT Future Loan Access Tokens). HFS gives creditors the right to transfer loans to others, using Markethive’s Wallets, Markethive’s internal exchange or on public exchanges.
The team further clarifies, “When individuals receive HFS tokens, they become potential creditors and can use the tokens to sign loan agreements with the borrower, in this case, Markethive. Once they have signed the loan agreement with Markethive, they are now the new creditors of the loan agreement and they will get the interest payments.”
Take part in the Markethive ILP
The ILP seems like a much more secure approach to fundraising while keeping the ease of raising funds like the ICO. Markethive is a first test case of this new funding method. It is currently in pre-launch and you can register for it here – https://markethive.io
Russian Institutions to Trial Central Bank ICO Platform
Two Russian financial institutions are set to test a regulatory platform
that aims to make domestic initial coin offerings (ICOs) more transparent and secure for traditional investors. Russia's National Settlement Depository (NSD) announced on Thursday that it is working with Sberbank CIB, the bank's corporate and investment banking arm, to test an ICO issuance platform launched by the Bank of Russia – the country's central bank – in April.
According to an announcement, in the testing environment, a company named Level One will launch a token sale, for which Sberbank will act as the "issuance coordinator and anchor investor." The NSD, on the other hand, will serve as the custodian, recording and settling transactions, as well as safeguarding the assets. The firms say the platform will ultimately provide transparency that would reduce risks for traditional investors in the token issuance process. It's hoped the test, along with feedback from the central bank, will help improve the platform before it can be scaled up for real-world use.
Igor Bulantsev, senior vice president of Sberbank and head of Sberbank CIB, said:
"Sberbank CIB considers the Russian ICO market to be very promising. Many Sberbank clients are interested in this type of investment, and we plan to promote this service proactively once the appropriate legislative framework comes into effect; we will be one of the drivers to institutionalize and popularize this type of transaction."
As previously reported by CoinDesk, the Bank of Russia and the Ministry of Finance have already resolved a disagreement over one draft bill covering ICOs, and the country has now slated in a summer deadline for introducing two relevant pieces of legislation. Eddie Astanin, chairman of the executive board at the NSD, said the end goal of the project is to allow "the emergence of a new type of asset for investors" and the circulation of digital assets on the secondary market.
A member of the CoinDesk editorial team since June 2017, Wolfie writes all things about the blockchain and cryptocurrency. He studies Business and Economic Reporting at New York University, and does not currently hold value in any digital currencies or projects
Markethive is bringing Universal Income for Entrepreneurs
Markethive is all I do. It is what I do. It is why I do everything I do. It is a mission, it is a vision and it is on the verge of rising up. Its primary mission is to build a universal income, an Income to support the entrepreneur’s effort to build their business, to build their dreams. This is our mission.
It is part of the New Revolution. It is 27 years of proven technology. It is merging with the blockchain. And this will result in a flotilla of money machines driving the basic platforms and, making an eco-centre for entrepreneurs to attain a liveable income while they build their dreams with the Markethive dream machine.
Because that is what Markethive is, it is a money machine, a dream machine a revolution for you the rank and file, the aspiring for something bigger than you are, the mom and pop who struggle to make the dream come true.
We are not launching an ICO, but we could. Come to our Sunday webinars to find out exactly what we are doing. Because what we are about to launch could make you wealthy. It is called Markethive and we plan on making huge waves with it.
Speaking of amazing dreamers, our special guest Andrew Grieg of Electric Universe, will be speaking about Data being the new Oil, Hemp Power and how the EU’s (Electronic Universe) Heart Transverter and Hemp makes it all possible.
We will be revealing the details of the coming Airdrop and how that can accelerate your business and literally make you a fortune. How this all ties into Markethive bringing “Universal Income” to the entrepreneur. How hemp power plays into Markethive building a huge flotilla of internationally sovereign money machines (hives). How all this will drive Markethive into the top ten Crypto Currencies and the number one Market (social) Network in the world (nothing wrong with big dreams)!
David Hickman is our special guest to reveal the power of Menlo Tech and his perspective of Markethive.
Our new engineering organization with over 200 engineers is run by David Hickman, a long-time friend of Doug Yates and this single factor is the tipping point for Markethive’s rise to prominence in the market. We have already addressed and updated many aspects of Markethive already. And how all the unfinished projects in Development are being completed and made ready to upgrade into Production. Buckle up brothers and sisters, because Markethve is about to take over the world (I know I know, I am a big thinker and dreamer but this is the Lord’s vision, I am just the Hive Keeper)
Doug Yates and I will also be revealing, discussing and displaying our White Paper’s headway as it is being completed, our plans, why we choose to fund via ILP instead of ICO, as well as our Infographics on the entire workings of Markethive, current systems, in development systems and proposed systems. This is going to be a big event with a lot of beautiful eye candy as well.
See you there,
Thomas Prendergast, Doug Yates and Annette Schwindt
which ones to participate in a very complicated task, and the competition between them extremely fierce. Back in 2015, the Lisk founders raised 14,000 bitcoin with a team of just 2 people! Doing that today seems impossible: teams are paying thousands just to get famous industry advisors, and all the noise while very little fundamental substance exists. Furthermore, it’s thought that perhaps 75% of projects offering token sales have ideas that are too convoluted to ever become tangible or real. Nor would their teams have the ability or means to implement such ideas into real-world use realistically either. To help you out in this mess, here are a few ICOs that are raising their heads above the rest, and likely to deliver spectacular gains in 2018.
This project could be a total game changer. The team is tackling one of the most crucial and interesting problems in the industry: scaling the Ethereum platform. Despite not having a background in crypto, the team won the ETHWaterloo, the World’s Largest Ethereum Hackathon, a 36-hour event where participants worked alongside founders Vitalik Buterin and Joseph Lubin.
Essentially, the GoNetwork is a fast, low-cost and scalable network that connects the Ethereum blockchain to other mobile, desktop and web platforms. It will be mobile-focused and uses a technology called state channels to minimize on-chain transactions by accumulating transactions off-chain before any output is given. This solution is particularly favorable to mobile, due to architecture and programming language, where the majority of internet traffic is taking place nowadays.
Now here is the deal: on top of this solution, the developers will build a decentralized marketplace for games and digital goods. Given that the CEO, Rashid Kahn, is also the founder of one of Canada’s largest game studios, their track record in this market works in their favor. If they use their scalable, mobile Ethereum network to create some real-world adoption, the possibilities are huge! ICO is open to accredited investors only and more info can be found at GoNetwork.co.
Despite the evolution of crypto in the last few years, it is still an industry in its infancy. A key part of it becoming mature is developing fully functional, state of the art decentralized exchanges to replace the centralized, non-secure gatekeepers that exist nowadays. There are many contenders for this position, but we would like to highlight one that is keeping out of the media spotlight while developing a very interesting solution.
NEX is cryptographic trade and payment service platform built on the NEO blockchain. It will offer a technical off chain matching verification for trading and will allow more complex trading such as limit orders, something that existing DEX’s cannot do. Another interesting idea is the development of a Chrome extension that will act as a wallet and still be connected to the exchange, effectively making it a Metamask for all NEP-5 tokens.
In general, the project has extremely solid foundations: the team is chocked full of talented programmers with a track record, who have literally not even opened a Telegram account in order to stay focused on delivering. The roadmap is very comprehensive and includes every detail needed in such a grand vision, including entry points for fiat purchases of NEP-5 tokens. What is most interesting, however, is the role such a project will play in the development of the NEO Smart Economy, the amazing vision that sets NEO apart from the rest of the industry. It’s no surprise that NEO founders and core developers, Da Hongfei and Erik Zhang, both sit on the advisory board.
One of the most interesting projects in terms of possible ROI versus complexity is Optitoken, which has just recently come into the spotlight. It is the first ever actual hyper-deflationary currency, whose value is supported by an automated portfolio that uses professional trading techniques, AI, and machine learning. The portfolio will be bought with funds from their ICO, giving it serious value early on.
Their CEO Sean Donato is an old-school crypto trader and who was also one of the founders of BitHalo which was an early pioneer start-up in crypto and of which is a free software still active and available for smart contracting. His strategies tweaked in depth by the team are being coded into the “OptiX” which is an algorithmic swing trading engine. The project has a transparent portfolio demonstrating OptiX live on their website OptiToken.io which serves an MVP as it’s been active and also managed to outpace Bitcoin since November of 2017.
The gains made by the algorithmic trading will be used in part to buy back their own tokens on exchanges, creating constant upward price pressure and nurturing a market that has very strong buy support this is the function that seeks to massively drive the currencies value upwards continually. The rest of profits from buy cycles is reinvested to grow the initial holdings. OptiToken Interestingly also solves a common problem of new ICO’s, that can’t find any volume early on. CEO Sean Donato said, “Trading is perhaps 90% psychology and so often times people find themselves following trends after the fact as opposed to using solid fundamentals and then selling overbought and buying oversold based on traditional price fluctuations of the asset or perhaps RSI’s.” After the buybacks, 100% of the tokens purchased are sent to a transparent and verified unspendable address and thus destroyed forever in order to create value through scarcity. This combination is very innovative in the space and should attract serious organic buys on exchanges to partake in the price action.
What is great about this project is that can be immediately profitable. The technology is relatively straightforward to build, as the team is not promising a perhaps working product for a fantastic idea in Q3 of 2019 AKA “vaporware”. Rather, the product, already in Beta, will be in alpha in a few months, trading the proceeds from the ICO, and will hit exchanges just before or after this time frame according to projection. The ICO is open to Non-US and Non-China citizens now at OptiToken.io and is filling up fast.
MainNet that is now 7 days and 13 hours away, Justin Sun is gifting the TRX community what he calls ‘Millions of TRX Candies’. These candies are in the form of TRX airdrops received for inviting friends to the Tron Telegram Channel. The Airdrop is currently ongoing and all you have to do is follow the link provided and enter your corresponding ETH wallet address. The announcement looks legitimate in that Justin Sun announced it himself on twitter, and the TRX team on Telegram, also confirmed his statements.
Justin had this to say via twitter:
$TRX #TRON mainnet will be launched soon, we prepared millions of #TRX candies, join us to get #TRX candies, you can also get more by inviting friends, the airdrop will be ended at 12:00 AM June, 1, if candies were given out, it will be ended in advance.
The Tron Telegram channel also echoed his statements:
$TRX #TRON mainnet will be launched soon, we prepared millions of #TRX candies, join us https://tron.network/activity/d8c1d4aa43e12e39?lang=en to get TRX candies, you can also get more by inviting friends, the airdrop will be ended on 12:00 AM June, 1, if candies were given out, it will be ended in advance.
The link to the airdrop states that you get 2 TRX the first time, and get an additional 4 TRX when you invite a friend to join the Telegram group. The Airdrop ends on the 1st of June. However, and due to regulatory issues, the airdrop is not available for participants from China, USA, New Zealand, Canada, South Korea and OFAC sanctioned countries.
TRX has also not been spared by the current market decline that has seen some of our favorite coins decrease by the double digits. TRX is hanging onto the number 9 spot on coinmarketcap.com and is currently trading at $0.0718 at the moment of writing this. The token is down 10% in 24 hours and currently has a market capitalization lead over IOTA that is equivalent to $455 Million. These two cryptocurrencies have been competing for the number 9 position for the past few weeks and constantly switching between the #9 and #10 slots.
Article Produced By John P. Njui A Crypto Enthusiast. Terrible dancer. Former DJ. Amateur Marathoner. Electrical Engineer. Kool kat.