Mealtoken, the latest utility token is on its way to reform the franchise sector
The Spanish quick service restaurant chain Nostrum plan to launch its own utility token MealToken through an ICO in order to accelerate the expansion of business and bring reformation to the mainstream franchise model.
Maybe after reading this, some questions suddenly come to your mind: what is an ICO? Why is MealToken a utility token? And why will it reform the franchise sector? This article will explain you all in detail.
The ICO (initial coin offering) is a new creative fundraising mechanism in which start-ups and companies can raise capital by issuing crypto tokens on a blockchain. There are many kinds of tokens of different ICOs, which may confuse the investors: Which kind of token is it? How does it work? What is the difference between one and another? To make things clear, we elaborate this article in order to classify and clarify the different tokens.
Below you will find the principal categories of the commonly used crypto tokens:
- Currency tokens
The currency tokens are the origin of cryptocurrency. Their value is determined by supply and demand. Bitcoins are the most commonly known currency tokens. Ethereum is another type of currency token that a lot of people are currently using.
The utility tokens give the owners access to something that a particular network allows the individual to do. As its name implies, it provides users with future access to a product or service (other than store-of-value), which can be used to pay for computations on the Ethereum network (Ether), file storage (Filecoin) or even pay for food (MealToken).
A security token could be any kind of tradable asset which is subject to security regulations.These types of tokens represent either a participatory role in decentralized platforms or shares in the ownership of a company. Sometimes these tokens represent shares in physical assets like gold or oil. In such situation the purpose of the blockchain is to provide simple trading environment.
Equity tokens are a subcategory of security tokens that represent ownership of an asset, such as debt or company stock. It is similar to equity shares in a company. Through equity tokens, programmers are able to fund the development of the network. There is no access to the services provided by the developed program; instead, investors earn “dividends.” In most cases, equity-token holders also have the right to vote on major company proposals.
Tokens that are asset based represent an actual product or asset. For instance a “TV token” would represent an individual owning a television or how many days they are allowed to use it.
As the mealtoken (abbreviated as MEAL) is a token with a payment function within and limited to the Nostrum tokenized ecosystem, can grant access to certain Nostrum service and act as a reward/incentive instrument under a certain condition. It is an example of utility token, which is designed to work in Nostrum ecosystem and product/service line. It is not a security, share, investment or ownership of Nostrum company.
Nostrum ecosystem consist of 4 parts, the Fans Club, the franchise system, the incentive model and the smart social delivery system.
Clientes of Fans Club will have to first top-up their digital wallet with MEALS and then purchase food in MEALS in order to enjoy smart discount on Nostrum´s products.
As many other franchise systems, the franchisee should pay an entry fee in return for the acquired know-how while debuting in the franchise. Under Nostrum´s ecosystem, it enables the franchisee to deposit the entry fee in MEAL and have chance to recover his expenditure once the franchise agreement ends.
The incentive model works in a way that if the franchisee achieves one of the goals set by Nostrum, such as reach a certain sales volume or bringing in a new franchisee, it will be awarded with MEAL which can be used to purchase upgrades from Nostrum´s rewards catalog.
Nostrum will also set up a Smart Social Delivery system. It is a simple system which allows for acquaintances to deliver Nostrums’ products to the clients. Upon delivery of the food, the deliverer will be awarded with MEAL which can be used for the purchase of Nostrum´s food.
As all mentioned above, by applying MealToken in the Nostrum´s ecosystem, Nostrum will create a totally new and creative franchise model. Through the application of this new Franchise system, Nostrum can accelerate the global growth and raise the brand awareness internationally.