Why Did Pocketinns Decide Against a Cryptocurrency Presale?
It seems like issues with ICOs pop up every day. This isn’t good news for investors looking to get in on the ground floor.
Whether it’s outright fraud, like this ICO the SEC stopped in early December, or simply a bad project, such as all these cryptocurrencies that have gone extinct, participating in an ICO carries far more risk than it should.
We want to reduce risk as much as possible with our ITO.
This is why we’ve decided against a presale at Pocketinns. We want to protect our investors — the people who support us on our journey to build the world’s first community-driven cryptomarketplace.
Pre-sales can lead to selloffs once the public sale starts
You’ve probably seen it before.
“Buy during the pre-sale. Receive a 30% bonus!” a startup will state during its ICO.
That sounds nice, right?
Too often, this leads to a selloff once the ICO launches for the general public. Folks take their profits and run. Nothing substantial remains.
We’re not doing a pre-sale because we don’t want artificial bonuses negatively impacting our investing environment. We want our investors to know they’re putting their money in a meaningful project.
Admittedly, this wasn’t an easy decision for us.
As our CEO, Sarva Mada, attests, deciding to not hold a pre-sale was difficult.
“It’s our biggest risk as a project, as we outright rejected big money offered for discounts on our tokens. But the decision was made as a team. We know we’re working to redefine how the cryptocurrency space is operating,” says Sarva.
We want investors to determine the price
We’re running a reverse Dutch auction. We’ll set an initial price in ETH, gradually lowering it until sufficient buyers are found. The market will then decide what a PINNS token is worth.
We’re not going to dictate the price through a pre-sale. We’re not going to say, “Buy now at 0.01 ETH. Price will be 0.02 when the public sale launches.”
Quite frankly, such pre-sales create an unfair playing field. That’s not what we’re about.
We’re focused on the long-term. A lavish pre-sale doesn’t make sense for our investors, given our ambitions.
Our investors sustain our ecosystem
We’re a blockchain-based ecosystem that values community above all else. We aim to be the ultimate decentralized marketplace. Our investors are integral to moving our dreams forward.
To ensure our investors are protected and benefit from the Pocketinns project, we’ve taken steps to safeguard them. We simply aren’t going to fool around with your money.
In addition to not doing a pre-sale, we’re also SEC self-regulated (exempt securities offering under Rule 506(c) — accredited investors worldwide only). We’re also AML/KYC compliant (anti-money laundering and know your customer).
Without investor support, we wouldn’t be able to build a decentralized platform where buyers and sellers can operate freely — and where trade is truly democratized. That’s why we’ve taken the appropriate steps to protect our investors.
To learn more about Pocketinns from the people building the platform, join our Telegram group.