What are the advantages of doing a BCO compared to an ICO/IEO/DCO?
One major difference is that there is
no pre-mint.
For ICO/IEO/DCO all tokens are minted upfront, then eventually sold to investors.
In a BCO everyone has to buy from the Curve directly, even the project itself.
As the price raise up quickly along with tokens minted out the contract, it also
favors much more early investors.In addition the liquidity goes inside the contract, not in the pocket of the token issuer.
Thus, it
makes it more transparent and ensure permanent liquidity for the token in a decentralized manner.
In other words, there is
No more need for market makers doing wash trading all day on centralized exchanges to ensure liquidity. (Case of ICO/IEO)
It is closer from a DCO (DEX Coin offering) without the pre-mint and with a tailor-made AMM favoring much more early investors.
Also more difficult to deploy than a simple ERC20 token
seems there is two crowdfunding method born now
in this thread there is a BCO and i read in below article there is a BRO
This BRO seems to be an interesting concept, looking like a SAFT (Standard Agreement for Future Tokens).
Similar to what Polkadot did with DOT but via a smart contract directly instead of paper.
Main difference with BCO is that the BCO contains an AMM and you can
not only buy but also sell back to the contract.Would eventually worth considering to mixing both for more fairness (BCRO?)
Thanks for sharing
I think there's no unique feature it has over another, still the same thing.
It does have major difference on the way tokens are emitted and in the potential gains for early investors/believers.
Bitcoin mining makes its distribution somehow fair: early miners received a lot, supply decreases overtime, driving its price up progressively.
The BCO contract reproduces this mechanism because every new token minted out of it is exponentially more expensive than the one before.
So if you buy from BCO contract earlier, you get the token at a better price.
Liquidity is also going inside the contract directly, (like a DEX's liquidity pool) so it is more transparent and fair (backs the token price with actual liquidity).
