Since launching the Nervos project at the start of 2018, the team has worked tirelessly to build what we believe to be the leading blockchain solution for the foundation of the decentralized economy, achieved via the development of the Nervos Network and the Nervos CKB (Common Knowledge Base) — the layer 1, proof of work public blockchain protocol of the Nervos Network.
Today, we are excited to announce the details of the Nervos CKByte Public Token Sale. The Nervos team has worked diligently to structure our token sale to be as inclusive and fair as possible while doing our best to ensure compliance with existing regulations in different regions around the world.
Regulatory compliance is an important consideration and the reason why there was no “placeholder” or ERC20 token for the Nervos Network. The Nervos CKByte token is the utility token for the Nervos Network and will be used for resource management and miner incentivisation, and entitles the holder to an allocation of state storage space on the CKB blockchain.
For more info about the Nervos Network and Common Knowledge Base please visit our website.
Key details of the Nervos Public Sale
- The official Token Sale will be conducted on CoinList with registration and KYC starting on the 1st October and the sale starting on the 16th October.
- The Public Sale will close on 31 Oct, or 24 hours after the total sale allocation has been reached
- The initial total supply of tokens released in the Genesis block will be 33.6 Billion CKB, we will offer 20% of the initial total supply of tokens for purchase in the public sale.
- The public sale token price will be 1 CKB = 0.01 USD.
- All tokens purchased will be released in the Genesis block (the first block of the Nervos Common Knowledge Base) at Mainnet launch, currently scheduled for Q4 2019.
- The initial circulating supply upon mainnet launch is expected to be 12,375,988,800 CKB (details stated in the Token Distribution section).
Public Sale Platform
For the Nervos CKB public sale, we will be working with CoinList, a licensed token offering platform and it is the only official channel for the CKByte token sale. The Nervos Foundation does not endorse any other 3rd party platforms or resellers.
Token Distribution of Initial Supply at Mainnet Launch
*Updated: The Coinlist Public Sale was finished with a raise over 72M USD (21.5% of the total initial token supply) on Oct 24th, 2019, which surpassed the initial goal of 67.2M USD (20% of the total initial token supply).
To accommodate the excess amount raised during the token sale, 1.5% of the ecosystem portion will be used to accommodate the public sale overflow amount. To offset this, all of the Nervos Foundation’s tokens (2% of initial supply) will be locked until 07/2020.The overall issuance curve has remained unchanged. Please check here for the latest chart of token distribution.
Public Token Sale
- 20% circulating upon mainnet launch, no-lockup
- Available via a licensed token offering platform
- 18.5% non-circulating upon mainnet launch
- The ecosystem fund will be reserved to build the Nervos ecosystem, and will be unlocked over 2 years.
- 15% vested over 4 years, 1/3 circulating upon mainnet launch
Private Sale (2018)
- 14% vesting over 2 years, 2/3 circulating upon mainnet
- We sold 14% of the total tokens in genesis block for approximately 28M USD to certain institutional investors in early 2018. You can find more details here.
- The private sale token price was approximately 1 CKB = 0.006 USD
Strategic Founding Partners
- 5% non-circulating upon mainnet
- rewarded to Strategic Founding Partners who helped start the Nervos Network.
- 2% circulating upon mainnet
- The Nervos Foundation reserves 2% of the Genesis tokens for “common good” use of the state storage capacity such as providing built-in libraries.
- 0.5% circulating upon mainnet
- Rewards for testnet participants through the mining competitions and the bug bounty program.
- 25% of the Genesis tokens will be burned (non-circulating) in the Genesis block and never enter the circulating supply.
At 1 cent per token, initial circulating supply market cap will be around 36.8% of the initial total supply for around 123.76 million USD.
The economics model of the Nervos CKB allows token holders to lock tokens in the NervosDAO to mitigate the inflationary effect of the Secondary Issuance. The “Equivalent Circulating Supply for Long Term Token Holders” lines shows circulating supply without the secondary issuance, the effect felt by long term token holders that lock their tokens in the NervosDAO and receive part of the secondary issuance block reward. In this case the inflationary effect of secondary issuance is expected to be nominal, equivalent to holding tokens with a hard cap.
New Token Issuance Schedule
- 33.6B CKB in genesis block, with 8.4B CKBytes immediately burned
- 33.6B CKB in total will be issued. Annual base issuance halves every 4 years
- 1.344B CKB per annum
To understand more on how new tokens are issued, please read the crypto-economics RFC of the Nervos CKB.
To stay up to date with Nervos and get the latest announcements and developments please signup to the newsletter and social channels here.
PLEASE BE AWARE: Nervos Foundation is not responsible for, has not approved, and has not been involved in any pre-trading, funding pools or reselling of Nervos CKByte tokens. Any and all the details of the Nervos public sale will be announced through our official website, official social channels and should be the sole source of information. PLEASE DO NOT RELY ON ANY OTHER SOURCES OF INFORMATION. Please ensure extreme care and due diligence in all matters regarding token purchasing and ownership. The Nervos Foundation is not responsible or liable for any loss of funds or other issues arising from actions taken by third parties, bad actors or your negligence.
The offer and sale of the Nervos CKB has not been registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”) or under the securities laws of any state or foreign jurisdiction. This offering is being made (1) inside the United States only to “accredited investors” (as defined in Section 501 of the Securities Act) in reliance on Regulation D under the Securities Act, and (2) outside the United States to non-U.S. persons (as defined in Section 902 of Regulation S under the Securities Act) (and only in jurisdictions where such offer and sale is permitted under applicable law) in reliance on Regulation S under the Securities Act. The Nervos CKB may not be transferred, pledged or hypothecated except as permitted under the Securities Act and applicable state and foreign securities laws pursuant to an effective registration statement or an exemption therefrom. Your participation, if any, in the Public Sale are subject to the terms of sale set forth in connection with such sale. This announcement is provided for informational purposes only and does not guarantee anyone a right to participate in the Public Sale.
The Nervos Public Sale and all associated events and activities are not and will not be offered or sold, directly or indirectly, to any natural person, legal person, unincorporated organization or any other entity within the People’s Republic of China (for such purposes, not including the Hong Kong and Macau special administrative regions and Taiwan), South Korea and Japan, or any person who is a resident, organized, or located in any country or territory subject to OFAC comprehensive sanctions programs from time to time, including Cuba, Crimea region of Ukraine, Democratic People’s Republic of Korea (e.g., North Korea), Iran and Syria, any person found on the OFAC Specially Designated Nationals, Blocked Persons List, any other consolidated prohibited persons list as determined by any applicable governmental authority, or any persons who are organized, located, or residents of New York State. Sales of securities to US persons will be pursuant to Regulation D and sales of securities to non-US persons will be pursuant to Regulation S.
Nervos Foundation reserves the right to change or modify any of the terms of the Public Sale set forth herein at any time.