Entrepreneurs from Minsk Created Terminals for the Cryptocurrency Payments and Now Approach the ICO. What Their Plan is about
The conpay project founded by a number of Belarusian entrepreneurs announced its approaching the ICO. The idea is to create a network of terminals around the world that will allow the use of cryptocurrencies as a means of settlement. The technology is already operational in several companies. The initial stage, pre-ICO, started on August 28. The ultimate goal of the team is to raise USD 10 million.
The news is also noteworthy because the interest in raising funds in tokens (cryptocurrencies) is growing.
We had a look now how the terminal for settlements in cryptocurrencies is already working, and also received some comments from Vladimir Serzhanovich, the co-founder of the conpay project and the CЕО Inna Samovich.
— The essence of the conpay project is the creation of a network of terminals with zero transactional payments, no commission or transaction fee. The conpay terminal is a program normally installed on a PC or mobile device and it does not require any special operating conditions. It can be integrated into the accounting software (and nowadays it’s being adapted to the 1C system).
In early 2017, we decided to launch the ConsensusLab laboratory focusing on the blockchain technology. One of the laboratory’s ideas is the formation of an infrastructure to begin introducing the cryptocurrency market to people. We realized that the payment function for cryptocurrency now is so complicated that only crypto-enthusiasts (people keen on it) use it, but they compose just small fractions of a percent of all the customers. We decided to create a conpay network in order as many people as possible to use cryptocurrencies for making simple settlements.
The product development
The product development was launched in March 2017. Our team includes a participant of the blockchain development process of the Belarusian stock and currency exchange Timur Kornienko, entrepreneur Pavel Kazachyonok, the project CEO Inna Samovich.
The project team is still forming. Now we strive for attracting international advisors who could help not only by recommendations, but also by the promotion of the terminals to the new markets.
Our product is aimed at the world market, but we are testing it in Belarus, since the skeleton staff of our team is located here. The first terminal was installed early in August in the network of tire service centers TYREPLUS Michelin. By mid-August, the number of the terminals installed in Minsk has reached five. Now they are installed in cafeConnect (the authorized reseller of Apple) and other companies.
I can say that this is a new technology for Belarus, but it is already showing external interest. In the tire center where the terminal is installed, we are waiting for the appearance of people who will pay with tokens, and it does not have to be exactly bitcoins, many other cryptocurrencies are being developed in the world.
Legal support
The Belarusian legislation doesn’t contain a concept of cryptocurrency, therefore Bitcoin and Etherium are considered in accounting as short-term assets. At the moment, the operation has three parts. Let’s suppose a product costs 100 rubles. The revenue is the same 100 rubles, 1 ruble of which will be paid with fiat money. 99 rubles will be short-term assets in the form of a cryptocurrency.
The regulatory environment for the operation of the terminals may differ in others countries. Currently, the conpay team is negotiating with an auditing company from the ‘Big Four’ referring the support in the terminal introduction around the world. We will determine together with the professionals the jurisdiction of the company to receive money from the ICO on its account; it will be decided at the stage of the ICO preparation.
Why exactly ICO
We already have an operating product demanded in the market. We chose exactly the ICO format because the project philosophy itself coincides with the crypto-society philosophy. Right now we have offers from venture investors and business angels, but we would like to hold the ICO first, and only after that we are ready to seek additional investment, if necessary.
The process of raising funds through the ICO will consist of two stages: pre-ICO and ICO. The Pre-ICO will be held from August 28 till September 11 this year with the amount of funds raised equaling to USD 500 thousand.
The ICO is scheduled for October, during which it is planned to attract another USD 9.5 million.
The wide use of cryptocurrency as a means of settlement is inevitable. By the end of 2018, according to our estimates, it will have become a full-fledged means of payment. Therefore, we are sure that our terminals should appear everywhere, all over the world. The idea is simple: a person having a cryptocurrency should be able to pay with it anywhere in the world.
Terminal monetization model
The terminal is installed for free, and no commission fee is charged for paying via it, but we aren’t going to limit the functional range of the program only to settlement transactions.
In addition to the original function of payment acceptance, the terminal will be added with extra services of conversion from fiat money — into cryptocurrencies and back. There will be also a function of exchange, cross-border transfers and legal support. The application has its own wallet, which keeps records of all the transactions with a specific binding to the user, and imports the data into the accounting.
The extra services of the application will be available only in exchange for the project tokens (own cryptocurrency) that will appear within the ICO.
A full list of the conpay additional services will be operational in 2018–2019. A breakthrough in the cryptocurrency payments market is estimated to have been performed by this time, and we will contribute to this.
Our post-ICO product, the application, will allow to form a full-fledged community of sellers and customers. The first will be able to create their affiliate programs developing their reputation among the customers, while the latter will earn discounts. In addition to the network of terminals, it is planned to create a conpay blockchain, which will be used by the FinTech payment systems and projects. There will be a Marketplace in the blockchain with additional services for the conpay community partners and participants.
Plans for the development of the terminal network
We are confident that taking into account the growing popularity of blockchain technology and the total volume of trade in cryptocurrency, the use of the conpay terminals will soon give important competitive advantages to the participants of the network.
Tens of organizations from Belarus, Russia and Ukraine are to be the next in installing the terminals. The nearest future plans consist in entering these and later other European markets. In addition, there is certain interest in the conpay terminal from the companies of the USA and Chile. Now the team is adapting the terminal to those markets. This is about to happen by the end of this year already.
During 2018, the project will be launched (besides North and South America) in Asia, Africa and Australia. We will pay bonus tokens for the conpay installation, making payments and disseminating the program, but only at the first stage of the network deployment with a limited premium for each country.
via probusiness.io
