Q&A session with Setcoin team

Can you tell us in 1–2 sentences what is Setcoin about?

1. What are the fees on traditional marketplaces?

Traditional marketplace with peer-to-peer business model get from 10% to 20% fees for every transaction that is going at marketplace.

Is there another advantage of your platform than no fees?

Yes we create global service marketplace with one starting point for customers to high frequency services in everyday use. This is main advantages for customers as market have a lot of booking systems in some niches and sectors and no one big service marketplace with all major services that people use in everyday.

For service providers it is a quick way to get on market and start to accept orders and clients for his/her services. In traditional way of starting business sole-entrepreneur need to create website implement marketing budget to get traffic on his website and social media profiles, find his/her auditorium and after that take first orders from clients. It require a lot of time and energy that needed to be invested not in direct area of work.

Also even service provider already done it he/she needed spend a lot of time to manage everyday orders and booking with the customers via comments in social media, private messages, telephone. It also require a lot of time for service provider to do.

Inserviss marketplace will offer quick and easy solution to create profile, fill it with services that offered setup time and dates when services are available and manage all orders in CRM at marketplace, so service provider can focus his/her time and attention at main service that is doing for client and increasing the quality of services that offered for clients, not at everyday routine tasks that is required to manage business.

To all this, Inserviss marketplace don’t get fees for transactions as every small/medium business have a lot of bills that needed to be paid for keeping business in work.

2. The way I see it unfolding in the future, is that one marketplace will be dominant, because people don’t want to hold accounts and tokens for many marketplaces at the same time… how do you plan to grow a large user base to be a leader?

Yes, as I notice earlier we are planning to create one big services marketplace with one starting point for customers and grow it globally in most usable sectors and niches. After users critical mass will be get in marketplace we are planning to take focus of customers at high quality services that will be offered by service providers so chip and low quality services will be available only for customers that setup price range in this space.

I think it will be main advantages of Inserviss marketplace that customers will exactly know where they can quick find needed service with good quality for best prices.

3. There is lots of competition in the ICO market, but you are the only ICO trying to build a marketplace, do you know why no other ICO is trying this?

Our project was born not at ICO market it was born from real people needs that people need for everyday use. Blockchain was perfectly integrated in our idea and complimented it with new benefits that is not available in traditional business models. Maybe it is main key reason why we are standing out of the competitions of ICO market with unique idea and solution.

4. What can you do against an existing and recognized company like Ebay shifting to blockchain? They already have the customers, user accounts, Paypal accounts, everything is ready; Ebay could just hire a few dozens developers and implement blockchain. What do you think?

We don’t have now at the market global service marketplace that’s why we create it. Ebay, Amazon and other marketplaces are product/goods marketplace that are offering in major products to be sell. It is trend of E-commerce that was born in 90th and are going now. We are thinking that in further we will have some shift in consumer services as more and more people wanted to get service with already product not only sole product or goods. Products become part of services that offer service providers and we expect in further more and more customers will get services that already include products and main consumers of products will be services providers that buy products and include them in their services that they offer to their final customers. We all see some shifting value from goods and products to services and I think it will be continues.

5. Most cryptocurrency users are males. Why did you take nail services as your starting niche?

As I mention earlier we came from real sector and implement crypto opportunities in our idea. Beauty sector is one of the hot sector for customers services like some others Medical, Personal Learning and so on and it will be our major sectors from what we will be start.

Cryptocurrency users are focus now in major at financial project and startups but Blockchain it is only Decentralized Database that can be used in other sectors like Medical, Official etc. And I think we will see some transformation in cryptocurrency users minds for other sectors when speculative moods will be calm down. Today major purpose of investing crypto are speculative and wish get quick gains for short period of time and some investors don’t review a projects where they invest and going invest only as crowd invest in there or some any other reasons like ratings and so on.

I think it is normal situation for something new that was born in our world. But in further crypto market will be have some cleaning with speculation moods and get onboard institutional and professional investors that will be more selective with project that they get in their portfolio and as they have more experience and understanding that creating something new and valuable require some time to be done so investments deals will close for mid and long timeframe to be in project.

As you might know that ICO (Initial Coin Offering) or Token Generation Event (TGE) it is great opportunity vs traditional VC. It is ability to not be locked at investments in project for long time. In traditional VC investors locked until M&A or IPO and it usually take 5–8 years to get ROI. But crypto world or TGE allow to be free in your investments decision after TGE is ending and token get tradable at exchanges. You need only be selective and try get with projects that will create liquidity of their token to be able easy get in or get out from ecosystem. It is good opportunity that crypto world was created but with this it tempt with speculations moods for short term that is so attractive for crowd.

I think at current stage of the cryptomarket we can’t ignore it as it already exists and it declared of it existence and born, but be selective and try to get only quality projects (I don’t mean with high ratings) which create products that would be good to use for you in further like customer — it’s in your hands.

6. How do you make profits if there are no fees on the platform? with the tokens that you have from the beginning? If so, how will you do in five years if you will have spent all the money?

Inserviss it is marketplace with own cryptocurrency Setcoin. Setcoin was issued for transactions between service providers and customers inbound of marketplace and out of it. As we don’t take any payments not from Service providers not from customers our main assets will be Setcoin. We don’t limit Setcoin in issue, as we reserve the right for us to create as many Setcoins as we needed for ecosystem in further. In same time we understand that as strong will be Setcoin at the market as strong will be our company at all. So we becoming as a market makers of Setcoin and we need to have some control of Setcoin value at the market as it is our only single asset of the company. All future investment for the project we can get only if we create strong our own economy/ecosystem where we can get investments for future growth of the project. So we are getting in one boat with buyers of Setcoin as our success depending from success of setcoin ecosystem at all.

It is one more criterion by which you can define a project for buying. Try to get in your portfolio projects where success of the project depending of success of all token ecosystem. It is good sign that founders will thinking about economic of their ecosystem not less as they think about the product that they create. And it is always good for crypto users that buying tokens.

7. What is the soft cap, the hard cap, and the token distribution?

Our total Setcoin issue at current time is 1Billion.

50M available for Pre-Sale

300M available for Sale/TGE

350M reserved for 5-years growth and future financing of project growth

200M hold for team

100M hold for partners.

Soft cap at pre-sale is 1M

Hard Cap — 5M

Prices for Sale or TGE will be defined after pre-sale.

8. Customers AND service providers will have to buy and sell Setcoins with their credit cards, and they will pay fees for that. So for them, in the end, there will be fees, no?

At early stage yes, we will have fees for processing centers of credit cards but in further we are planning to launch our own processing center to reduce fees to absolute zero.

Maybe at early stage we will be able to subside processing fees of credit cards with our own budget for first transactions until critical mass will be get to the project. But we will try to prepare all legal and technical solutions for full zero fees before major global expansion.

9. Are you already planning on being listed on some exchanges? When?

Yes, we already have listing at waves DEX and next exchange in our list is Bittrex and Binance.

I think step by step will get listing to all major crypto exchanges it is depending from requirements of each exchanges.

10. Why did you choose Red Belly Blockchain consensus? what makes this consensus algorithm faster?

Red Belly Blockchain was the first Blockchain that get significant higher transaction speed depending of current solutions that are on the market. Today more and more startups preparing to launch Blockchain with high speed of transactions with 1M transactions per second and higher. We are now at R&D phase for algorithms and solutions that will be implemented in Setcoin Blockchain, but I think in further high speed of transactions it will be not a benefits or unique solution of some Blockchain or startup, it will be must have for every Blockchain that is going to the market. As we are planning to operate in high frequency low/mid costs transactions per payment we need to try implement in core of Setcoin Blockchain some solutions with good capacity and ability to grow in further with 1M, 10M, or even 100M tps. Red Belly Blockchain it is not final solution it is reference point what we need in further.

11. Why people are still launching most ICOs as ERC20 if Red Belly Blockchain consensus is better?

Red Belly Blockchain is now only available in research labs and not for commercial use. But I think success of ICO depending not only at speed of transactions at Blockchain it depending at more factors like available exchanges for new token, support of community, recognizability technology from investors and so on. We are launching our ICO at waves platform they have some key benefits rather that ERC20 like Easy setup, speed, quick listing at waves DEX, fast growing community and so on. You can find more details about our decision why we choose waves in my article Setcoin liquidity at waves DEX after ICO: https://www.techbullion.com/setcoin-liquidity-at-waves-dex-after-ico/

12. You are planning to settle in California; what do you think about the SEC and CFTC planning to regulate ICOs in the US?

We are planning to create two companies: first Inserviss.inc in Delawer,US (it is now at post incorporating stage) and second Setcoin ltd. in Switzerland, Zug (Crypto Valley). Main goal of Inserviss will be to create marketplace (Product, Marketing, Legal etc.) and hire engineers and employers for this purpose. Main goal of Setcoin will be launching Token Generation Event according requirement and classification of Switzerland regulators (FINMA) and manage Setcoin economic and ecosystem in further.

Headquarter will be implemented in Playa Vista, California it is heart of Silicon Beach and perfect fast growing hub of Tech, Media and Entertainment. In my opinion it will be easier for us to create user friendly product and more user oriented rather we can do it in Silicon Valley with only tech focus, without Media and Entertainment.

13. Can you tell us about the team and the advisors? how did you meet them?

Our CCO/Co-founder is Elena Perepelychnaya we have with her earlier experience to create e-commerce startup with 12000% growth in revenue per year from scratch in our local CIS region. We met with her 9 years ago and have experience to work together not only with projects but also with family as she is my wife :)

Our first Advisor was David Drake he join us from November 2017 and have active participation is our projects with his recommendations and contacts that he has been working for not one decade of years. He and his team have great faith in our project and try to help as many as they can to keep moving project forward.

Our CTO is Aravind Babu he join us in January 2018 and for short period have active participating for our project in technical area to keep moving company forward.

14. In conclusion, why should investors invest in your token, what is your big plus?

As crypto industry is at early stage most of projects are at idea stage and have no tracking data for analyzing. I think each investor or token buyers need to have his own list of requirements of what project he/her take in their portfolio. Ratings/Partners/Advisors and other solutions that usually use potential investors to make decision may not show real value as crypto industry overload speculative moods at current stage and all this criteria adjust for each startup in manual mode. In my opinion it need to be simple check list as much as you can do it, but enough to be selective from crowd moods.

My criteria are next,

Choose company/project that:

1. Create understandable product that will be useful for your life and add some value to your personal life in further when it will be done.

2. Offer to you as investor sit down in one boat with founders and ecosystem/economics at all. If company planning get value only from their economics/ecosystem they will think about value of their and in same time of your assets/tokens in high priority.

3. You like and trust team that is doing this project.

I think it is short but in same time enough list of criteria which is able to lead you to a decision about investments at idea stage of startups.

If our project satisfies all this criteria in your vision, please join us and welcome onBoard for long-term growth!

Thanks!

CEO/Founder and CCO/Co-founder

Inserviss & Setcoin GROUP

Igor & Elena Perepelychnyi