POLYGON INITIAL COIN OFFERING DETAILS
June 22, 2017
Bitcoin was the first decentralised cryptocurrency and initially experimental with no monetary value, so it was appropriate to distribute the currency entirely through mining. More recently Zcash has chosen the same process with a % of the coinbase mining reward in the early period of emission being passed to the open source project — with resultant incredible price volatility. Other ledgers such as ethereum have instead sold a large % of the final coin supply as part of an initial coin 13 offering (ICO). This has the benefit that early adopters still potentially gain through supporting the project, but additionally the project itself may generate funds to continue development and bootstrap and grow the project from infancy. The ICO approach also allows a market to develop easily as a larger float of coins is available to investors to buy and sell from the genesis block. Auroracoin (2014) took a different approach offering everyone in Iceland an equal share of the ICO, while developers kept 50% of the entire coin supply for themselves. Other cryptocurrencies have either simply cloned bitcoin entirely or started afresh with a new chain but different codebase.
Benefits of Initial Coin Offering
Inital Coin Offering offers a wide range of advantages for Investors:
* Low entry price
* Boost development with funds gathered
* Ensure a market stability and a market capitalization since the launch
* Gives an high return/ low risk ratio for investment made as you can check for the previous issued ICOs here: https://icostats.com/roi-since-ico
Coin (tokens) issuance
The POLY tokens initial issuance will be the following:
* ICO of 40 millions POLY prior to launch.
*A further 3 millions POLY will be held in a genesis block address for use by foundation (Less than 10% of total supply of 44 Millions)
*1 Million POLY tokens will be held for community bounties promotions
ICO CAPS & ALLOCATION METHOD:
MAX CAP: 7500 BTC (ETH worth included)
Coins allocation will be calculated as follow:
1) we calculate the final cost of each token (cap reached / coins for sale (40M))
2) we divide the amount each user invested by the final cost of tokens.
EXAMPLE: If we reach a 1000 BTC cap and you have invested 1 BTC you will get (1 BTC / 0.000025 [which is the final cost of token calculated on 1k cap]) = 40000 POLY.
While we develop the final stable version of Polygon Blockchain the POLY will be distributed as an ERC20 token (ethereum blockchain based tokens) to allow users to be able to transfer the tokens or trade at their will
POLY tokens will be listed on many cryptocurrencies exchange as we finish the ICO period. Investors will be free to trade their POLY even before the final stable release version will be ready.
Coin emission schedule
Total amount of coins ever to be produced is set to 50 Millions.
As said a total of 44 Millions tokens will be issued as ICO, so the remaining 6 Millions POLY will be mined through PoS 3.0 during the next 150 years circa.
POLY Proof of Stake 3.0 is a form of mining which doesn’t need any kind of miner. You mine blocks and contribute securing the network and get block rewards simply holding your coins in a synced wallet.
Any kind of amounts hold into the wallet generate hashing power to mine PoS 3.0 blocks, depending on the amount of coins you own you will receive a relative reward from PoS mining. The more the coins you own in your wallet, the more you will get bigger reward for PoS mined blocks. This is a great incentive for Investors to buy in ICO and hold their coins instead of selling for quick profits.
POLY PoS 3.0 is set to earn an annual stake reward of 0.6% of your owned coins. This number gives both interest rewards and avoid massive hyperinflation.
Polygon: the project itself
Polygon Blockchain: the blockchain based infrastructure
POLY: the name of the coins (tokens) which are used to make transfer of values and currency on the Polygon Blockchain
POLY tokens: name of the ERC20 token which will be issued to investors after ICO and before mainnet release. ERC20 tokens will be swapped at 1:1 ratio when mainnet is released.