Zero Carbon Project ICO — Literally EVERYTHING You Need To Know About Their Initial Coin Offering
Alright guys, as so often we’ve reached the final part of our ICO research process in which we will have a closer look at the ICO terms and conditions that await us if we decide to invest. This is a crucial part in every investment process (not like this is investment advice) and should be looked at closely before making a decision.
So far we’ve learned a lot about the Zero Carbon Project, the market and problem it’s tackling, the solution they are presenting, the actual use case of the token that’s going to be offered in their ICO as well as their plan on how to realize their vision. Now we’ll have a look at their numbers and see if their offer to the public is worthy an investment. Without further ado, let’s jump right into the raw numbers!
Initial Coin Offering Basics
- Token Type: ERC20
- Token Description: Energis Token (NRG)
- Total Token Supply: 240,000,000 NRG
- Token for Sale: 121,000,000 NRG
- Soft Cap: $2,000,000
- Hard Cap: $20,000,000
- Token Price: $0.2 per NRG
All unsold tokens will be burned after the reserve token sale — which brings us to the next important ICO information — the sale phases.
During the ICO there will be four sale phases in which people are able to purchase Energis token:
Private Pre-Sale
- Token Available for purchase: 20,000,000 NRG
- Token Price: $0.10 per NRG
- Bonus structure: 50% Discount to the base price of Energis token (i.e $0.10 instead of $0.20)
- Additional Bonus structure: 5% bonus for 5–15 ETH; 10% for 15–50 ETH; 20% for 50+ ETH (!)
Public Pre-Sale
- Token Available for purchase: 20,000,000 NRG (+ remaining tokens from private pre-sale)
- Token Price: $0.15 per NRG
- Bonus structure: 25% Discount to the base price of Energis token (i.e $0.10 instead of $0.20)
- Additional Bonus structure: No additional bonus structure
Public Main-Sale
- Token Available for purchase: 75,000,000 NRG (+ remaining tokens from public pre-sale)
- Token Price: $0.20 per NRG
- Bonus structure: No bonus structure
- Additional Bonus structure: No additional bonus structure
Reserve Token Sale
- Token Available for purchase: Remaining NRG tokens from previous sale phases
- Token Price: $0.20 per NRG
- Bonus structure: No bonus structure
- Additional Bonus structure: No additional bonus structure
That’s about it for the ICO dates and facts. The raised fund will be divided by four sections on how they are being used: Taxes (16%), Development (15%), Operations (24%) and Marketing with a whopping 45%.
Alright, that’s about it. So, if you’ve read this far you are probably keen to know my opinion on the ICO terms. Just as a quick reminder, this is not financial advice and I’m not a financial adviser, I’m just a rational thinking person that happens to be quite interested in cryptocurrencies, startups, entrepreneurship and making financially smart investments that allow me to retire within the next 5–10 years.
Overall the project has a super interesting concept to show for. Their vision is clearly laid out and they obviously have a plan to not only keep it a vision but also to realize it. Their roadmap is transparent and the process seems to be going on quite nicely. They clearly have necessary connections to sign up a relevant amount of energy suppliers across the UK and have already started to do so.
The concerns I personally have as an entrepreneur myself and rather well-versed tech person is the end-user. As we all know, people don’t like change. Actually, nearly nobody does. Switching to a market that’s fuelled by “internet money” and is “decentralized” might put off some average Joes if they were looking for an alternative energy supplier comparison platform. This however is a pure question of marketing and how Zero Carbon is presenting them to the public, so this can be easily avoided by wording things more user-friendly and not actually use the crypto-lingo we use in this articles.
Another thing that bothers be a tad is the ICO sale structure. As listed above, the individual sale phases are clearly build to the favour of first-come-first-serve principle, which isn’t a bad thing per se and was quite a usual way of handling ICOs during the ICO boom in Q3 and Q4 of 2017. However the bonus structure on the very first sale phase, the private pre-sale is in my opinion over the top. Even though this phase brings more risk to its investor due to the longer lock-up time and uncertainity at such an early stage in the project (and should therefore compensate through a higher return potential) I do think that the bonus structure is over the top.
Taking into consideration that the basic token price is already discounted at 50%, the additional bonus structure of 5–20% basically reduces the token price as low as $0.08 per NRG which is a total discount of -60%. Even though this would require an investment of >50ETH it’s still something to think about when purchasing NRG in later phases of the ICO. The one thing I REALLY like about this however, is the fact that people who purchased token in this stage will NOT receive their tokens at the same rate as usual purchasers. They will receive their tokens in six monthly instalments which basically avoids price dumping and favours long term investors. This is a compromise I can personally live with, based on the fact that the pre-sale investors do have a way higher risk attached to their investment.
Another huge bonus for the project is their way of splitting their ICO funds. Taking 45% and investing it into marketing is one of the few things I have not seen so far from projects in the cryptocurrency space, and it’s great! I do think that the Zero Carbon Project will thrive on taking early marketing actions and position themselves early on as market leaders in this industry. Lately I’ve realized that projects that do focus on marketing, communication and transparency perform WAY better than their counterparts. Taking the message to the outside world is crucial for real world adaption, which directly correlates with the price action of the NRG tokens and therefore with our investment.
I personally am excited about the Zero Carbon Project and how it will perform in the future. The signs are looking good and the conditions are better than ever. If the crypto markets live through another bull market when the Zero Carbon Project rolls out and mainstream media is covering blockchain related topics again, I do think we’re in for a ride!
That’s it from me. Thanks for working this project through with me and I’ll see you guys in the next ICO review series. Take care!
