An ICO is the sale of digital tokens. The revenues generated from tokens are used to further business ventures. In an ICO, a newly issued digital token is sold to the buyers in exchange for fiat or crypto-currencies. The newly issued token can “reward” the buyers in a variety of ways, such as access to exclusive features, exchange for service, or to realize a discount, to name a few.
ICOs are often compared to Initial Public Offerings (IPOs). IPOs are the primary issuance of equity shares to the public. They are similar in that both ICOs and IPOs are meant to raise funds. However, while IPOs sell equities, which are residual ownership of the company’s profits, ICOs sell rewards.
The ICO market started with the Mastercoin/Omni ICO in July 2013. It raised roughly 5,000 Bitcoin (BTC) ($500,000 at the time), and was heralded a success. However, over time its market value eroded considerably. Ethereum, the second ICO, was able to raise BTC 50 million ($17.3 million equivalent) in August 2014 to launch the Ethereum blockchain.
The unilateral crackdown by governments does not indicate that the ICO market will cease to exist. In fact, the Japanese government has accepted the ICO boom, and is authorizing compliant and responsible cryptocurrency business operators. Instead, this is a momentary pause that points to the ICO market and cryptocurrencies increasingly being under the purview of financial regulatory authorities around the world.
DigiSphere will follow a standard for releasing ICOs in a legally compliant and regulatory friendly manner which will give investors and financiers access to legally compliant ICOs, with full institutional procedures and standards, like that of the standard financial securities market.
The DigiSphere Exchange token is designed as the Transactional Coin for Digisphere. It is an Asset Backed financial instrument created to support the Circular Economy and encourage accelerated adoption of sustainable practices for in Accordance with the Paris Climate Agreement.
DigiSphere tokens will be offered through our ICO to fund the development and start-up costs associated with establishing the Digisphere and the DigiSphere Fuels Project in Arizona.
Each DigiSphere token will be backed by both tangible and intangible assets created from our first Sustainable Fuels project, DigiSphere Fuels (DSF) in Arizona.
Carbon neutrality, or having a net zero carbon footprint, refers to achieving net zero carbon emissions by balancing a measured amount of carbon released with an equivalent amount sequestered or offset, or buying enough carbon credits to make up the difference.
The Presale will open on August 1st, 2018 and will close upon achieving minimum project funding target.
The Whitelist Sale will open no later than August 7th, 2018 and close August 14th, 2018. The Whitelist will be a limited sale open to participants whose applications are accepted by the team. Anyone can apply, but only a select number of applicants will be chosen to participate in this sale. The amount of tokens to be sold in this phase will be released prior to the opening of the sale. The goal of the whitelisting process is to ensure diverse token distribution and help mitigate market risk imposed by single large token holders.
The General Sale will open on August 14th, 2018 and will close September 15th, 2018. A mild bonus structure will be released prior to the opening of the general sale.
833,333,333 DigiSphere tokens (83% of total supply) will be available during all phases of the token sale.
136,666,667 tokens (14% of total supply) tokens will be held in the founder’s lockup contract for 6 months. These funds will be used to expand the management team after production release in key areas and founder’s equity. This amount is the maximum amount that can be withdrawn from the Lockup contract. The amounts actually withdrawn will be left up to the founders to decide up to the maximum allowed by the contract. This contract will be made available on Github for public review.
20,000,000 tokens (2% of total supply) will be used for promotion once the Digisphere platform is in production. These tokens will provide incentives to sign up and use the platform during the ramp up of production.
10,000,000 tokens (1% of total supply) will be allocated for bounty programs. The following programs are included in this allocation DigiSphere Community members (1% of total supply), General Affiliate System (up to 2.6% of total supply), General Bounty (1% of total supply) for bitcointalk members, Marketing Bounty (0.4% of total supply), such as promotional programs, Banner ads for 3rd party sites. The Marketing Bounty is an additional bounty campaign, not a guaranteed distribution and will be up to the management team who can receive this bounty.
These funds will be allocated to both the existing core team and also to recruit new developers to help bring the Digisphere system to market.
The stakeholders acknowledge that security is paramount for any crypto based product. We plan to use this portion of funds to secure outside security audits.
Day to Day operations will consist of admin, HR and operations staff. These funds will be used to ensure a smooth operation and as growth starts that we have the required manpower to keep up with demand.
We acknowledge that in order for the Digisphere system to get mass adoption we need to place a large focus on market exposure. With this is mind, we have allocated a large portion of funds received towards marketing. Marketing strategies will include, but are not limited to, affiliate marketing, online campaigns, CPA campaigns and gorilla marketing.
These funds will be used for legal review of all service agreements, terms and privacy policies. We also use a portion of these funds for any potential jurisdictional reviews required.