Difference Between Regular ICO And MonetaryCoin Distribution
A new blockchain-based startup called MonetaryCoin has been launched recently. MonetaryCoin combines several important features that distinguish it from other similar ICO projects. It takes into account the GDP rate, works on the basis of the Proof-of-Stake algorithm, uses different types of ERC20 tokens and provides for changeable forging processes instead of a standard one.
MonetaryCoin has a distribution that differs from regular ICO:
- Each sales window has its own token price recalculated.
- Regardless of spent ether, a fixed amount of coins is distributed in each window.
- Purchased tokens can be used for forging immediately.
The participants of the MonetaryCoin distribution will undergo a standard KYC procedure to comply with money laundering regulations. If a user does not want to undergo such a procedure, he can still acquire tokens on an exchange and participate in a forging process.
All important information on the project can be found on its official website. It includes the timer, which is counting down the time to the next ICO tokens sale window, the number of tokens, smart contracts' addresses, guides and other useful materials. According to the audit report, MonetaryCoin provides its clients with two different types of tokens. Each token is dedicated to a specific purpose. The main peculiarity of MonetaryCoin is its connection to the GDP with all its fluctuations. For this reason, the platform has a special type of tokens called M5, which is connected to the negative GDP changes. Once the GDP rate decreases, users receive M5 tokens while forging. As soon as the GDP rate recovers and reaches the level before the decrease, miners get an opportunity to exchange M5 tokens for normal coins. This way developers motivate users to keep forging even amid economic depression.
As a rule, a certain amount of tokens is issued during the presale stage, while the rest part of them is later available for forging. According to MonetaryCoin, the foundation is going to issue 10% of the initial amount of tokens for presale. The remaining 90% will be distributed among the network users through forging.
Most of Ethereum-based ICOs use the Proof-of-Work algorithm, while MonetaryCoin sticks to the Proof-of-Stake method. According to MonetaryCoin whitepaper, some details of PoS were changed in favor of the ICO concept. Currently, the PoS algorithm is not used within the Ethereum blockchain, still, the plan to integrate it is under development.
MonetaryCoin uses a smart contracts system to implement PoS which is used only for fair distribution of tokens.
In conclusion, it is worth underlining that the connection between MonetaryCoin tokens and the GDP rate adds a new dimension to the blockchain reliability concept.
Sergey Borsuk, Blockspoint