crypto bond?
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Typically a bond has a face value and the fixed rate interest is paid on the face value. Its like a load a person makes to the Bond seller. Bonds are then traded on markets like stocks based on their yield.
The immediate questions are:
1. How does someone purchase these bonds?
2. What currency is used to purchase the bonds?
3. In what currency is the Interest paid?
4. What term are the bonds (1 year, 2 years, 10 years, etc.)?
5. What happens when the term expires or if there is no term, can the holder sell the bond back to the company for its face value?
6. Where are these bonds held? What are they, paper? Emails? How does a holder know its real?
7. Who is keeping records and how?
I have lots more but this is a start.
The immediate questions are:
1. How does someone purchase these bonds?
2. What currency is used to purchase the bonds?
3. In what currency is the Interest paid?
4. What term are the bonds (1 year, 2 years, 10 years, etc.)?
5. What happens when the term expires or if there is no term, can the holder sell the bond back to the company for its face value?
6. Where are these bonds held? What are they, paper? Emails? How does a holder know its real?
7. Who is keeping records and how?
I have lots more but this is a start.
Face value of bonds will be 1$.
Interest rate will be fixed and will be determined before issuing.
1. Ways you will be able to buy these bonds don’t differ from those that you can use when buying shares (AmberCoin).
2. It can be BTC, USD or EUR.
3. Interest is calculated in USD and will be paid in USD, EUR or BTC.
4. Terms of the bonds will be different. From 1 year. There will be 2 options of yield payment: once per month or at the end of bond’s term.
5. When term of bond expires company pays to holder face value + interest (yield).
6. Bonds will be based on blockchain technology and issued in form of cryptobonds.
7. Holder will keep his bonds by himself like now shareholders keep their shares (AmberCoins).
At the beginning one serie of bonds will be issued.
Later company will develop a technology to be able to issue multiple series of cryptobonds for itself and other companies.
Of course holders will be able to trade their cryptobonds on exchanges during the term of bonds.
