Weekly Report, Utility Token vs Coin or ‘Security Token’

April 28, 2018

Today, more than ever, there is intense scrutiny in the U.S. of organizations that run ICOs. In particular, the Securities Exchange Commission is closely scrutinizing organizations that are running legitimate crowd sharing efforts such as ICOs. Governmental agencies around the world are scrutinizing the cryptocurrency markets like never before trying to determine how they can best monetize these efforts. In the case of the SEC, one of the most powerful agencies in the world, they are closely examining the offers during ICOs to determine if they constitute legitimate investment opportunities; and, if so, do they follow specific practices or not. Therefore, all offers constitute one of two types of offers — a token or a coin. A utility token is an object that represents future value or access to a company’s products or services. This feature alone exempts tokens for security regulations. The defining characteristic of a token is that it is not viewed as an investment and its value is only within that organization’s network. Bezop is a utility token. Its only value is within the Bezop network as a unit of exchange in e-commerce transactions exclusively in our network. Therefore, a Bez, legally, does not represent an investment.

Now, an example of a “coin” or a token that represents an “investment” under the rules of the securities exchange commission is the ‘security token’ tZERO. “The tZERO token is classified as a security token, meaning that only accredited investors will be able to participate in the ICO. Significantly, the security classification allows tZERO to assign features to the token that utility token developers cannot. For instance, the token will entitle investors to a percentage of tZERO’s quarterly profits. Platform users will also receive a discount on trading fees if they pay with tZERO tokens rather than U.S. dollars.” — Strategic Coin

So as subscribers to Bezop Blockchain’s Bezops, please understand, as it is clearly laid out in all our documentation, that the Bezop represents a utility token. Its value is created when used exclusively in our network during the purchase of merchandise on our network. Legally, we must refer to you as subscribers and we must follow very specific rules when representing our token.

Now, we know the market is beginning to come back and that many of you hold concerns about why the Bezop isn’t also increasing in value. As the token begins to move during the course of transactions on our network, due to the built-in scarcity model, it will by design, increase in value. It is, however, pinned to the use of the token on our network during the exchange of merchandise. Please be patient as the model will work when the network begins to do its work. That will not happen, though, until merchants begin to sell and trade their merchandise on our network.

Today, we’ll be providing updates on the following activities:

· Announcements

· Marketing

· Product Development and Performance to Roadmap

· Summary

Announcements

I have been given permission to contract with a major PR firm to help get the ball rolling. They have offices around the world with headquarters in San Francisco and the original office and founder in London. They represent major tech firms all over the world running multiple brands. Now, this is a process that will take about a month to fully get off the ground…but the bottom line — I’ve been given permission to pull the trigger!!

We are right on target with our Roadmap. In fact, for the most part, we are well ahead of our published roadmap. We’re continuing our research into the network design as we continue to make steady overall progress with our beta platform. We continue to drive updates in terms of bug fixes and system tweaks enhancing our beta product.

As previously mentioned, we’ve applied to and are waiting on Voom 2018! We are still waiting on responses to our exchange applications. Again — not in our control. As mentioned during our live webinar a couple of weeks ago, we are putting out the call for proposals. That’s right — this is your opportunity to get truly engaged and to get your idea(s) monetized and incorporated into Bezop e-commerce. As you know, our new marketing video is out. It’s just the beginning of what’s to come once the market bulls begin to run.

Marketing

We are still working on the planning for our Airdrop program so just stay tuned and we’ll announce as soon as it’s ready. Of course, you’ve already read about Voom! Both here, online and in the investor letter that went out to all of you. We need your votes. Finally, if you haven’t seen it yet, go check out our new video at Bezop e-Commerce.

As mention in the announcements above, I have been given permission to contract with a major PR firm. I can’t name the name until the contract is finalized. I will be reaching out to them on Monday and request an immediate proposal. The process takes a little time as they have to interview us and get to know our situation and then prepare a PR plan. I expect that we would be able to begin execution on that plan in about a month. This is phenomenal news and long overdue. This will go a long way toward getting our name out where it needs to be.

Product Development & Performance to Roadmap

We continue to charge ahead of our schedule as exhibited by our existing roadmap. We released an update to our beta product last week and will continue to roll out bug fixes and minor design changes as we continue to test. Be sure to check it out. We are formally kicking off a research phase into the development of our very own network and will keep you posted as we make progress on that front.

Summary

In summary, folks, it is critical that you understand that when we “naysay” investment talk, it is for critical legal reasons. We are a utility token. We’ve always been a utility token. Our value is tied to our network and as merchants begin to use our network and scarcity kicks in, well, things will be different.

We understand why many of you participated in our ICO. We know you are feeling discouraged. This is why we are bringing in a major PR firm to help with our image and to help with the messaging about our company. We’ve got a great product that is only going to get better. As we start getting e-commerce companies on our platform and they start seeing how easy it is to use and how much money it will save them, things will begin to change. I’ve worked with this firm in the past and they are real pros. The combination of our being ahead of schedule and hitting on all cylinders when it comes to our product and getting the other issues ironed out now by bringing in this firm, well, it’s going to change a great deal.

https://voom.virginmediabusiness.co.uk/pitches/disrupt-a-multi-trillion-dollar-ecommerce-market