Kazakh company Solai Tech launches an ICO to develop its mobile app that relies on the idea of a 2D economy. The entrepreneurs from Almaty plan to attract the second round of investment into the project with a completely new idea
Like any ICO, this one is crowdfunding using a smart contract. The main idea of such ICOs is to get lucky, or to become a shareholder in a project that will grow to be a global company. This is exactly what Likecoin owners are aiming for, because at the very least, they are creating a platform for a new economy.
Head of Solai Tech TOO Aset Nauryzbaev explains what 2D economy is and how it is implemented in practice.
- The world is such that people equally valuable to society have different standards of living. A good businessman lives very well, but a scientist equal in importance has a much more modest life. The individuals are equal, but the activity of the scientist is not aimed towards making money, so he has a lower standard of life. We think that society need to measure not only financial, but also social capital, or operate a 2D economy. And we see that elements of a 2D economy are already implemented in our everyday life. It is, for example, discount for famous people, different types of arts patronage, when socially important projects are financed without the aim of receiving profit. We simply monetise the social component of the economy, — said the head of the startup.
2D economy ecosystem
Aset Nauryzbaev said that Likecoin is an ecosystem of a 2D economy. The measure of social capital in it is a coin — the likecoin. The more social capital the users have, the less financial capital they will need to buy goods or services. 2D economy is the economy in two dimensions: financial and social capital.
- We now have an instrument to measure the relationship between people. The more people like you, the higher your social capital. Existing social networks have unlimited likes, the user can give them left and right. We think that it is wrong; it devalues the relationships expressed through likes. That is why our social network limits the ability to give likes (in our version — to send likecoins) according to the user’s level, — Mr. Nauryzbaev explained.
He also told us that now Solai Tech is conducting a crowdfunding campaign, for which it developed LCbrix smart contract. The contract after two years can be exchanged for shares of the Likecoin holding company. In total 2 million smart contracts were issued. According to Aset Nauryzbaev, no later than 1st May 2020 Likecoin holding company will be modified into a joint stock company, 20% of shares of which are reserved for exchanging for LCbrix.
- Later we will use LCbrix in loyalty programmes. There will be a possibility to accumulate them and spend in any country of the world. Generally speaking, apart from the idea of a two-dimensional economy, we are not inventing anything special, we just put things into their place, because modern technologies offer so many opportunities for making people’s life easier, — the businessman explained.
The mobile app is called Likecoin and is available for Android and iOS. At first sight, it is an ordinary coupon app: the user is offered to buy coupons for discounts for different establishments. However, the purchase is made for likecoins — the very social currency inside the network.
When registering in Likecoin you receive level one. It means that every morning you get 10 coins into your account- the very same likecoins that you can now spend on discounts. After that, each day you will receive the number of coins that corresponds to your level. For example, level one — 10 coins, level five — 50 coins. Thus the higher someone’s level, the more discounts they can access. In Likecoin it is impossible to become rich immediately, having won likecoins in a lottery or stolen them. Your level is the result of your work during your whole life.
You can raise your level by receiving likecoins from other users for some good actions, or just because, from friendship. Because your very first social capital is friends and family.
But of course, it is better to earn likecoins through good actions. So, starting from level five, you can become a brand-ambassador for a business. You will advertise it in Likecoin social network, and it will give you a permanent discount and will share with you the likecoins it receives. Starting from level ten, you can start a blog-channel, earning likecoins from subscriptions.
And, of course, you can start your own business and sell goods and services not just for money, but also for likecoins. Even if you just work in such a place, its owner, most likely, will include you into the list of people that receive the likecoins that the establishment receives.
The developers intend that Likecoin social network will also act as an assistant for its users. For example, it will remind them about trips to hairdressers or dentists. The newsfeed will be formed based on the user’s searches — no hype.
- Next is the online-wallet for the users. After topping up their account, the user will be able to pay by phone instead of a bank card. There will be no need to carry lots of cards — bank, discount, even business cards — because all of this will be “hardwired” into the app, — Aset Nauryzbaev summed up.
What does Likecoin offer businesses?
As of today, Likecoin social network has some 100 merchant companies that offer discounts in exchange for Likecoins. The received likes raise not the company’s social capital, but the social capital of its employees, among whom the company distributes the coins. How — it is the internal matter of the company, in which, as Aset Nauryzbaev said, the owners set up “internal socialism”. For this purposes there is the merchant Likecoin app.
The merchant, when using Likecoin, receives a ready-made loyalty scheme — without buying special modules and without manufacturing cards. At the same time, in exchange for offered discounts, the establishment receives advertising in the social network.
There is a separate Likecoin service for brand ambassadors. In the app the merchant can offer a client to become a brand ambassador in exchange for a permanent discount. In this case, next to the brand ambassador’s profile picture, the company will display its icon. It is a kind of walking advertising.
The client, apart from the discount, will receive his or her share of likecoins from the company. It is possible to become a brand ambassador for three companies at the same time.
How does Likecoin make money?
Likecoin social network is free to use for individuals and companies. The developers make their money on advertising and take a commission in likecoins for using the system. Thus they demonstrate their belief in the 2D economy. As the project develops and the online wallet appear, the social network will make money on commissions and conversions.
In a year the app developers plan to gain 100,000 users in 10 largest cities in Europe and USA.
- From the point of view of society readiness, we are targeting the USA and European markets. In Almaty we work with our “technology evangelists” — people that like technical innovation and who like the idea of a two-dimensional economy, where money is not the only thing that matters, — Aset Nauryzbaev said.
