Introducing Investoland: A global decentralized investment network

Investoland
4 min readAug 22, 2018

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Investment opportunities have always been reserved for the wealthy and financially literate. You’re not a part of their circle, and so, you get left out. The opportunities which have allowed these people to amass their wealth have always been reserved for a small, select number of people. This exclusion is caused by bureaucratic barriers, minimum amounts of investment or even by things as arbitrary as your place of birth.

Crowd investments arrived to solve this problem, but were cut short by the inefficiencies inherent to the traditional financial and banking system, such a as high banking costs, excessive minimum amounts, and a need to comply with each jurisdiction’s regulatory issues. This cumbersome structure drives costs up and eventually investors and entrepreneurs are the ones to pick up the tab, thus hindering innovation and the chance for investors to yield good returns on their savings, otherwise limited to laughable returns from banks or traditional financial institutions.

SeSocio.com is a Latin American based investment site, with over 50,000 investments made, 30 full-time team members with extended track records both in technology and finance, with a valuation set at USD 50M during its last funding round. The company provides an easy and intuitive way for inexperienced investors to access a world previously reserved for the wealthy, with investments options ranging from traditional ones, such as real estate, going on through start ups, on to more modern ones like cryptocurrencies.

SeSocio was started with the ultimate goal being to democratize the field of investments, and allow anyone to take part in a smooth, hassle-free manner. Even though we took the first step in the right direction, there’s still much to be done. To improve on this and honor our initial values, we are developing Investoland, with its native token, the InveCoin. Investoland will be a global decentralized investment network built on top of the Ethereum network. Any company, software, or individual will be able to carry out its financial interactions with Inve tokens on Ethereum smart contracts in an intuitive and effortless way.

This network will bring forth a whole new generation of investments, an investment revolution, where the process is performed end-to-end, without unnecessary middlemen, in a transparent, fast, low-cost and efficient manner. SeSocio will migrate its current operations to Investoland’s network and transform its current projects into a smart contract-governed one, only obtainable by means of the network’s native currency. The USD 56 M in tradable assets within the platform would establish a floor for the token price.

A smart contract governed investment will work as follows:

A user sends the native currency to one of the project’s smart contracts, and receives in return project tokens, which entitles the hodler to its economic rights. In the case of dividend paying projects, when the financed party sends the funds to the smart contract, they get distributed in a pro-rata way between all the hodlers.

Furthermore, these smart contract governed investments provide the tokenization of the underlying assets and thus resolve the long lasting struggle for traditional business models: liquidity. You couldn’t possibly sell 5% of the house you bought for renting out, at least not without paying heavy fees and enduring a tiresome process, that might take weeks or even months… Until now. By tokenizing the underlying investment, people can seamlessly monetize their investment by finding buyers on the network.

Projects within SeSocio will have an integrated continuous liquidity mechanism, similar to the one described at Bancor Protocol. This continuous liquidity protocol will act as an automated market maker, effectively allowing users to always buy and sell the project tokens through the project’s own liquidity smart contracts at a price that constantly adjusts to reflect supply and demand. Effectively, projects will come with a built-in liquidity mechanism that ensures that the project token is continuously convertible for Inve tokens.This protocol will be an addition to the trading platform, and, in practice, will operate as another user in the order book, constantly issuing buy and sell order at the price determined by its price algorithm.

SeSocio strives to achieve the highest level of decentralization possible, without compromising its usability or security. That’s why the company’s website, to contribute to the decentralization of trust, will have its own incentive-based social network where 5% of the company’s gross commission will be distributed between top ranking users of this social network.

By creating a decentralized investment network we aim to democratize investments like never before, allowing small and medium savers to maximize returns on their investments in a reliable and painless way. Using Ethereum smart contracts and blockchain technology we will usher in a new era of company funding and investments, removing unnecessary middlemen and allowing one of the most under-exploited markets out there to thrive, reach its true potential, and shift the traditional arrangement from investment funds onto retail investors.

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