Making Token Sales Great Again: Introducing the Tierion Token Sale
Token sales are broken. Today, Tierion is announcing a token sale system that sets a new standard for ease-of-use and industry best practices. We worked with the team at Element Group to solve many of the most frustrating problems with past token sales. The result is a system that surpasses the already high standard set by Civic with their recent token sale.
Why are token sales so frustrating?
Let’s start by looking at a typical buyer’s user experience. Buyers sign up to receive information and begin researching the project. Some participate in a presale. In exchange for a guaranteed slot, they must pay up to two weeks in advance. This makes buyers anxious as they watch the price of Bitcoin and Ethereum move prior to the sale date.
On the morning of the sale, the seller posts a BTC or ETH address. Many of the tokens have already been sold, and everyone rushes to purchase what remains. The sale reaches its cap within minutes. Buyers that didn’t get into the sale now have Bitcoin and Ethereum locked up for weeks while the seller issues refunds.
This is a terrible user experience.
The process is equally frustrating for the sellers. The presale is primarily managed via email. A wallet must be manually generated for each buyer. Purchases are tracked in spreadsheets. This cumbersome process is the primary reason for long presale periods.
On the day of the sale, sellers are inundated with emails from frustrated buyers. Transactions continue to be posted to the sale addresses long after the cap is reached. Purchases are manually reconciled and processing refunds can take weeks. A tired admin worker is one “fat-finger” moment away from losing your Bitcoin forever.
This madness must stop.
We’ve created a better token sale experience
We think buying tokens should be safe and easy. We want participants in the Tierion token sale to have the same quality user experience they get when using our products. We collaborated with Element Group, who previously did the Blockchain Capital and Storj token sales. The result sets a new high-bar for the industry.
Bitcoin & Ethereum
Buyers can pay with a combination of Bitcoin and Ethereum.
Buyers have clear and easy-to-understand user experience.
Buyers are put into a queue with a limited time to complete their purchase. If the sale target is reached, the queue remains open for a short time period to allow transactions in the queue to process. This process is similar to many online systems for purchasing event tickets, and gives small buyers a fair chance to be part of the sale.
A unique BTC or ETH address is automatically generated for each buyer. This is a huge improvement on the standard practice of manually providing addresses for presale buyers, and a single sale address for everyone else.
Manual spreadsheets have been replaced with a backend that tracks each transaction. This reduces the risk of errors and the time necessary to process refunds.
Tierion is being used to collect data and create a proof of the purchase process. This is part of our effort to run the Tierion token sale in full compliance with regulations.
Lengthy presales no longer required
These advances eliminate the need for lengthy presale periods. This will please many who have expressed concern about locking up coins for two weeks, especially given the recent market volatility.
For Tierion, we’re able to reduce the presale period to five days before the main sale date! Presale participants will be able to complete their purchase on July 22nd. The token sale date remains July 27th.
We weren’t satisfied with the status quo. We believe there’s a better way to conduct a token sale, and we’re leading by example. We hope to make participating in token sales secure and convenient.