A Tale of two Tokens

The Treecoin Hybrid Token Offering

TreeCoin
TreeCoin
4 min readOct 25, 2019

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Hybrid Token Offering Coming Soon — TreeCoinBlockchain is still a very new and exciting world, with the industry barely a decade old.

This is a space where investors and enthusiasts are coming to terms with the concepts of tokenized assets and decentralized fundraising. With more recent terms coming to the fore, it can be easy to overlook just how unique the TreeCoin Hybrid Token Offering (HTO) really is.

Let’s take a look at the TreeCoin HTO benefits and why so many people are looking forward to it.

A Unique Token Offering? Let’s Remind You Why

On the surface, the TreeCoin Hybrid Token Offering immediately stands out because it involves TWO unique tokens: the TREE token, which is the security token on sale during the HTO, and an accompanying TreeCoin token (TXC), which is a cryptocurrency token generated with every TREE token sold.

Together, these tokens provide a programmable and transparent method to monitor our operations, distribute dividends to shareholders, and run an online economy.

We have covered extensively the TreeCoin HTO investment opportunity in past blog posts. You might want to refresh your memory by re-reading our posts on:

A Tangible, Feasible and Mature Sector

One of the first steps to understanding the TreeCoin HTO as an investment prospect is to examine the industry being tokenized: timber.

Timber is one of the oldest industries in the world. Ever since man first learned to build his own shelter millions of years ago, we have been felling trees to use their wood to build strong, lasting structures. Even today with harder, sturdier materials, we continue to use wood as a dominant material for construction and development.

It was plentiful in the past, forests covered the vast expanse of our planet. But today, natural forests are scarce. Thankfully, we now know how to grow our own timber. As a crop, timber actually grows quite well on its own, and choosing timber as an asset means you have control over a constantly growing asset as part of a sustainable investment.

Programmable. Transparent. Sustainable.

It can be quite a task to comprehend how TreeCoin has managed to combine the analog world of timber together with the digital world of blockchain.

IIt’s really just a more efficient and accountable way of doing things. A normal timber industry would still have to calculate how investors put up money by issuing shares. They would then assign profits and investors would have to trust that figures are accurate.

Blockchain and smart contracts take away all that. They ensure investors get a verifiable amount of profit with full transparency — and cryptographic security protecting data.

As TreeCoin co-founder Markus Oeser once put it: “Put simply, anyone can very well imagine the stability and growth of trees and their future uses. In conjunction with blockchain, we create a sustainable investment opportunity with transparency and stability. By doing this, we developed the first completely state-approved security token (TREE) in Switzerland.”

In a Nutshell: TREE and TXC In Numbers

1 TREE ($23) 1 tree planted 70 TXC (+30 TXC to project) 40% share of profit from harvest

It is easy to visualize TREE since each token represents an actual eucalyptus tree to be replanted. When you buy 1 TREE token at the HTO, you are buying the ownership rights to one eucalyptus tree being planted in Paraguay. This includes the associated costs of reclaiming and restoring the farmland it uses.

Each TREE also comes with an attribute that automatically assigns 40% of profits derived from harvested trees to the token holder.

Our target for tree plantation in the initial stage: 10 million trees. Hence, we have a target of selling 10 million TREE during the HTO.

Since each TREE sold will generate 100 TXC, of which 70 is assigned to the TREE holder and 30 to the project for reinvestment and growth. If we reach our HTO target, there will be a maximum supply of 1 billion TXC.

Rounding It Off

Co-founder Marcel Moye summarized the TreeCoin HTO as a fluid system that brings together technical and sustainability aspects. Co-founder Jens Nocke further outlined how blockchain and the TREE token enable the symbiotic relationship for timber and the opportunity it gives for a fair economy in the industry.

TREE will be globally tradable via the HTO in a transparent manner. Anyone with access to the internet to buy and sell timber securities will be able to buy.

Marcel believes that TreeCoin will set new standards, saying: “The combination of security and payment tokens is unique. My tip to anyone who wants to invest: Never sell your TREE.”

Originally published at https://tree-coin.io on October 25, 2019.

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TreeCoin
TreeCoin

We generate a value covered Coin to convert grazing land into fertile soil and create new habitats for the flora and fauna in Paraguay.