Tokensale distribution breakdown
Hello Follow Coin community members,
As our public tokensale on the 27th october 2017 is getting closer, the Follow Coin team is working hard to ensure the safety as well as the convenience of the tokensale. For this reason, we want to give the community an update concerning the tokensale cap and the procedures during the tokensale.
Make sure you have all of the prerequisites in place to participate! You can check what these are here. https://medium.com/@followcoin/tokensale-prerequisites-3c53ef0c3b32
When you’re ready with that, head to our detailed instructions for the token sale here. https://medium.com/@followcoin/tokensale-instructions-824d9a47cb
First, we have received several recommendations regarding the amount of tokens reserved for the public tokensale. A lot of community members asked us if we could raise the original 33% of total supply since that would be more attractive for everyone and would prevent price manipulation by large participants from the preliminary round.
As we stated before, the Follow Coin team is really open minded and appreciates every recommendation we receive. Since we are aiming to build a community-driven platform, the user in mind is always our priority. Hence, we reviewed the token sale structure and decided to raise the original 33% of max supply to 49%.
The new token structure would be: 49% for public token sale, 33% distributed to the Follow Coin team with a structured lockup (see below) and 18% for incentive of the platform usage.
We recognize the confusion regarding the tokensale cap since we made a communication mistake by stating the total tokensale cap would be $33,000,000. This communication mistake is already corrected in all communication channels and we sincerely apologise for any confusion this may have caused.
Preliminary and private token allocation
Furthermore, to clarify the questions regarding the preliminary and private participants, this amount is not included in the public token sale portion, but in the 18% for platform maintenance. The public tokensale will be the full 49% allocation.
Token lockup and unsold tokens
All pre and public tokensale tokens will be locked for 21 days after the tokensale closes and any tokens from the 49% allocated to the token sale that are not sold will be burned before the tokens become transferable. The burn will be made public with a smart contract.
Aiming towards a responsible cryptocurrency environment, Follow Coin will lock up it’s 33% to ensure the stability of the ecosystem. The lockup will last 18 months and vesting will happen in 6 month increments with each period releasing ⅓ of the locked amount for distribution to the founders.
Although the exact budget distribution from the crowdsale will depend on how much is raised, we have this general plan in mind now. Immediately after the crowdsale closes, 40% of the funds raised will be allocated for continued development. After that, 30% will be released each consecutive year for 2 years.
Additionally, the 18% allocated for platform maintenance — minus the amount used in the pre sales — will be released at a rate of 0.5% per month.
Any changes to the above information regarding token vesting and budget distribution is subject to change. Any changes will be made public by the Follow Coin team via this blog.
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Last, but not least, the Follow Coin team thank you for your support and patience, we are very excited for the journey ahead and keep you posted with the updates!
Thomas van der Bijl
CEO of Follow Coin