SKALE to be the first project to launch on ConsenSys Codefi’s token sale platform, Activate
Layer-2 scaling project SKALE will be the first project to distribute its token by means of Activate, a platform constructed by ConsenSys Codefi for launching decentralized networks. Activate’s distinctive design permits buyers to buy new belongings however deters hypothesis by requiring token holders to use these tokens for his or her supposed objective. In SKALE’s case, buyers would wish to stake not less than half of their holdings on the SKALE community for 90 days earlier than they’ll switch or redeem the acquired tokens. Activate estimates SKALE’s Dutch public sale and launch on the Ethereum mainnet will happen in Q2 ’20.
Why it issues:
Activate’s “Proof of Use” mannequin originates from Token Foundry, one other ConsenSys-backed startup. Several initiatives have since adopted this token distribution technique, together with Edgeware and NuCypher, as a result of it may theoretically seize extra buyers with a long-term curiosity in the community than airdrops or ICOs. Now Activate has managed to commercialize Proof of Use, so initiatives not have to construct these options in-house.
Activate additionally screens its launch companions and works to maintain these initiatives accountable on their path to maturity (i.e., decentralization). While Activate’s requirements are nonetheless susceptible to bias, this vetting course of is one other step in the direction of discovering a compliant middle-ground for token gross sales.