Crypto Commonwealth has designed a decentralized novel financial product to facilitate the sales of its natural token, COMM. “In essence, it is a substitute for our main token COMM in lock with the same tokenomics,” said Wayne Yee, the founder of Crypto Commonwealth and the leading designer of CBND. “We’d like to give our investors more freedom, offer the market more liquidity and make the locked token sale a trusted and transparent process. We pondered a lot on a derivative product that bears a name of options or futures, but now it’s official – the name is Bond, COMM’s Bond!”
Initial Coin Offering, or ICO, has emerged as a popular option for fundraising, especially among blockchain-based projects. During an ICO event, the project distributes tokens to the public worldwide, and raises initial funds to grow its digital ecosystem, promote the token use and consolidate its circulation. Typical IPOs and ICOs often come with lock periods, during which the shares or tokens distributed are not tradable. This secures the funds for project development, yet reduces the investment liquidity and strongly restricts the ways investors manage their risks.
A bridge between initial funding and listing, CBND or ‘C Bond’ is the world’s first Convertible Crypto Bond aiming for a solution to this dilemma. It shares certain features in common with convertible bond in the traditional financial market, but with significant simplifications. It is expected to improve COMM’s liquidity and locking transparency for its ICO. The token sale is essentially on the crypto underlying, COMM. Unlike typical ICOs, investors would receive tradable CBNDs while having the same amount of COMMs locked. When the lock period is over, 1:1 and one-way redemption would be offered to convert each CBND to COMM, the main token. All redeemed CBNDs would be burnt immediately, leaving the token in scarcity. The remaining and circulating CBNDs in the market, if any, would share the same tokenomics with COMM and continue to persist.
The sales of CBND is conducted at COMM’s dedicated ICO website, cryptocommonwealth.co, starting on March 1st, 2020 and to last a month. The CBNDs will be listed immediately after all stages. Meanwhile, sales will run in sync on crypto exchanges of note. COMM has a fixed total supply, 50% of which is reserved for investors in tiered sales, and 30% for ecosystem development and content mining. The remaining 20% is reserved for the team, locked irrevocably by an audited smart contract and to be released linearly over the next 5 years.
A pioneer in scientific publishing and asset management on blockchain, CBND and COMM’s issuer – Crypto Commonwealth is COMMitted to building an ecosystem that endows value upon the exploration of new knowledge and promotes it into productivity. It harnesses the power of knowledge produced by leading scholars and compensates them with fair token payments. This enables crowd-based publisher operations and the offering of transparent, research-based investment strategies. Some strategies have already been brought online with capital allocated. Both scientific publishing and asset management industries are highly centralized, globalized and homogeneous among different regions, where decentralized tokenomics and blockchain technology can play an important role, with the assistance of a just currency policy and well-designed economic model. Crypto Commonwealth believes that a strong crypto project should be open-minded and willing to benefit the welfare of society. That spirit is the best nourishment for the ecosystem under a healthy token distribution structure, where the team and the COMMunity’s interests fully align. They are hereby forging a crypto ecosystem for the common good, hence the name “Commonwealth”.
The CBND and COMM team has a strong background in traditional and digital assets, derivative pricing, and portfolio management. Most of the core team members are quantitative Ph.D.s from renowned tech companies, hedge funds and academic institutions including Google, Cadence, Worldquant, Harvard, MIT, and Fermilab. Moreover, several top advisors are dedicated to assisting their publishing and financing endeavors. Among them is a doctoral supervisor from a top university, senior derivative quant in investment banking, and #1 ranked experts on reputed ICO rating sites including ICO Bench and ICO Holder.
“The design of CBND was challenging and exciting,” said Wayne. “It desired a new pricing mechanism that no one ever thought of before. We started totally from scratch and were super careful about each featured design. When we eventually came up with this new type of token derivative, we kept going and polished it further to a simple and elegant product, one that adds significant value to its holders. That is, our investors can enjoy much higher liquidity throughout the investment period, and more flexibility in their risk management. The rise of CBND embodies great efforts and expertise of our dedicated team, and we are all very proud of it!”
Telegram channel: https://t.me/CryptoCommonwealth_ANN