The uses of ZrCoin
ZrCoin is our project’s ICO token, but it will have application beyond the crowdsale due to its nature as a cutting-edge blockchain financial instrument.
We will shortly be holding the ZrCoin crowdsale, in which we hope to raise at least $3.5 million to fund the creation of a manufacturing plant for synthetic zirconium dioxide (synth. ZrO2).
Zirconium is a highly in-demand material used as a refractory — it is very durable at high temperatures and pressures, which makes it ideal for use in glass-making and other such applications. Usually, the zirconium used for firebricks in kilns is extracted from the earth, at a high financial and environmental cost. These bricks are periodically replaced because they degrade under the extreme conditions to which they are subjected. Our process recovers ZrO2 from these industrial wastes, and the end result is a product that has superior properties and greater cost benefits than the natural alternative.
Our research with manufacturers and knowledge of the existing market suggests that we will be able to sell synth. ZrO2 at a price of $2,800 per tonne. Every ZrCoin sold at ICO will represent an option for 1kg ZrO2, and so will be redeemed in a later buyback at a price of $2.80. They will sell at ICO at a discount, starting at $1.40. This is how our investors will gain ROI.
Industry, investors, traders
There are three main ways in which ZrCoin might be used in the future:
1) As an option on ZrO2. Because ZrCoin is backed by a real commodity, it is possible to take physical possession of the ZrO2. We expect a number of businesses to do just this. Manufacturers who need zirconium for their factories will buy ZrCoin ahead of time, at a discount — allowing them to acquire zirconium at below market prices. This will prove an attractive choice for forward-thinking businesses who have the money to invest in their future.
2) As an investment in its own right. As a blockchain-based option, ZrCoin will be treated as an investment or speculative instrument by traders. Those who invest at ICO can expect a healthy ROI. Because ZrCoin will trade on secondary markets after the crowdsale, other investors will have access to it and may be able to pick some up at an attractive price. Due to the discount offered and the market price of ZrO2, it is likely that ZrCoin will trade between $1.40 and $2.80. However, the cryptocurrency markets are notoriously volatile, and how the coin is priced in each currency will depend on its trading pairs and the performance of those currencies against fiat (most notably BTC).
3) As a store of value. Lastly, ZrCoin is backed by a real commodity, and has a theoretical real-world value of $2.80 (depending on market conditions). It should therefore have a relatively stable price, particularly over the longer term. ZrCoin will be a way to hedge against inflation and for traders to use to park value when trading more volatile coins, such as BTC and alts.
The ZrCoin crowdsale will be held in the coming weeks. To register for updates or to find out more, visit www.ZrCoin.io.