- UAICO is a new ICO model that allows additional issuances of a currency.
- Since all invested funds are used as the underlying asset, any additional issuance of a currency is less likely to cause the price to fall. (It may even cause the price to increase)
https://cdn-images-1.medium.com/max/800/1*eWp8Bra2sECxInCfUlWZcg.png
After the ICO, the price of a newly issued cryptocurrency is determined by the market. The invested capital will gradually be consumed, and ICO businesses use the invested funds to pursue technical development and generate revenue.
Many ICO investors tend to seek out for cryptocurrencies with high usability and high probability of getting listed on the top exchanges so that they can maximize capital gain. Naturally, they prefer to avoid an increase in the total supply of a currency from additional issuance because it most often leads to a sharp decline in the overall price.
UAICO safely stores all the invested funds within the smart contract and utilizes them as the underlying asset of a newly issued cryptocurrency. This model allows companies to start out with a relatively smaller budget and carry out additional issuance as the business grow bigger.
Compared to the current ICO models, UAICO is less likely to experience a steep decrease in the price (after its supply has increased) because the underlying asset of the currency will increases as much as the inflow of the invested funds. In addition, depending on the conditions of the additional issuance, the incumbent investors may be able to gain further profit.
The table below is an example of UAICO, carrying out multiple issuances of a cryptocurrency.
Table 1: https://docs.google.com/spreadsheets/d/1HoIUNR-K55de0KaysTnZiMjszJtl_qU0C0AXG58jlQc/edit#gid=0
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HarborToken(UAICO) Additional Issuance Scenarios Examples
Additional issuance has a direct impact on the price of a currency. While UAICO can control and manage most parts of the currency, it cannot guarantee a full control. However, depending on certain conditions, as demonstrated on table 1, incumbent investors are capable of increasing their capital gain by increasing the underlying assets.
UAICO aims to reduce profit gained from an issuance and focus more on a gradual but consistent growth of a currency. This model returns the profit gained from an increase in the supply and maintain its stability by increasing the underlying asset. In the long term, investors can anticipate an increase in the overall value as well as some dominance in the competitive crypto-market.
[Information about Harbor & UAICO]
brief description
https://medium.com/@junghan.kim/harbor-brief-description-e1ab7c0018a3
Site
https://www.toharbor.com
UAICO online meetup:
https://meetup.toharbor.com
Our Prototype
https://medium.com/@junghan.kim/harbor-platform-prototype-296ea429d513
History of underlying asset currency and UAICO
https://medium.com/@junghan.kim/new-ico-model-for-business-uaico-underlying-asset-initial-coin-offering-435c59c2c1d2
A New ICO model for Businesses — UAICO (Underlying Asset ICO)
https://medium.com/@junghan.kim/a-new-ico-model-for-businesses-uaico-underlying-asset-ico-25e9a4c478ee
The Value of a Cryptocurrency and Additional Issuance
https://medium.com/@junghan.kim/the-value-of-a-cryptocurrency-and-additional-issuance-bbc1d4350c1e
Underlying Asset as a Momentum for Stability and Steady Increase in Price
https://medium.com/@junghan.kim/underlying-asset-as-a-momentum-for-stability-and-steady-increase-in-price-b3f52b05ac40
A new consensus protocol in creating a decentralized and democratic market–Underlying Asset ICO Veto System
https://medium.com/@junghan.kim/a-new-consensus-protocol-in-creating-a-decentralized-and-democratic-market-underlying-asset-ico-cfc67a424db4