Open Collectors Network (ECTO) ICO review
The possible uses cases for unique tokens is almost endless. We have several that are already implemented and more that we have thought about and working on. But more importantly, it's the ones we didn't think about that are most exciting: our platform is open to everyone and we expect innovative ideas to be implemented on top of our platform, especially since it abstracts away all blockchain related complexity.
Open Collectors Network is the first decentralized platform for one-of-a-kind tokens, where everyone can seamlessly own, create, customize, interact with and trade individual tokens, on an open market, based on existing standard specifications.
The more read about the blockchain, the more we saw the beauty in it, and we knew that’s what we wanted to do from then on. But at some point it hit us: all the coins out there were just currency, and like money, they’re fungible. Whereas in our daily jobs, writing code is all about working with things that are non-fungible: like the list of company products, users, roles, services and so on. The list of possible use-cases for unique tokens is virtually endless: the entire IT industry depends on it, and if they converted to the blockchain, they’d get all the benefits decentralization brings: security, transparency, trust and the ease of attaching monetary value to something (virtual currency).
Non-fungible vs fungible
Best way to explain how we understand this concept, and how it applies to our project, is by example. Imagine you printed 1000 flyers and are handing them out on the street. You don't care which flyer you hand out from the stack, because they are all identical: same size, same content, same purpose etc. This collection of flyers is said to be fungible and it's equivalent to current crypto currencies: if you send someone 1 coin, it doesn't matter which one from your wallet it is, any one coin will do.
But let's consider now, another collection: paintings by famous artists. Already, we can tell a difference: though all of them are paintings, if you wanted to buy one, you wouldn't just pick randomly. You like some more than others, some are more expensive and so on. They're unique (nonfungible), as they are all one-of-a-kind and it does matter "which" one it is.
- Public: Individuals or groups can tokenize unique things of value to them, for personal use.
- Auction houses: maintaining their inventory on the public ledger to increase trust among its client base.
- Virtual object marketplace for content creators: The ability to buy digital assets with the intent to use them within a game or within the development of a game is possible through leveraging the ERC721 standard. This means the marketplace offers the tools for game developers to sell their creations or use those creations for further game development.
- Digital media and rights marketplace: It is worth noting that any digital media could be represented here. This could be a graphic, image, music, book, or anything else that one may want. For example, any artist, writer, musician would be able to sell their asset, as long as it was digital to anyone who wanted to do purchase the asset. Going further, digital rights relating to the ownership of the digital media can be bought and sold via the marketplace. The latter has the benefit of circumventing digital rights auction houses and significantly reducing cost of transacting and the fees related therein. Small creations, like a brand-name, or a logo can be directly held on-chain, whereas larger ones can be stored anywhere on the cloud, and only a hash of their value stored on the ledger. This brings the best of both worlds: cheap/fast storage and full accountability.
- Trustless ICO investment pool: It is quite common lately for groups of individuals to pool together small amonts of virtual currency, in order to participate in the private sale stages of an ICO, where there is a mandatory minimum investment. Most use plain old Excel sheets to keep track of contributions and distribute tokens after the sale, by having an owner/manager do the transactions. Needless to say, this is less than ideal, and there’s been quite a few cases of things going bad. An ICO pool is certainly a non-fungible token, where its unique attributes are the token sale address and the token contract address. In fact, this will be our first implemented use-case. At the time of this writing, it is currently in testing phase.
- Gaming platform: certain types of games, like Magic: The Gathering© or in-game collectibles like a Dragon Lore AWP skin in Counter-Strike©, can be held on the public ledger, increasing accountability and transparency for the owning company. It also makes it trivial to attach & value (virtual currency) to any item.
- Business sector: any freelancer or business can easily tokenize their personlized products (like a car, an article or hand-crafted items).
- Discounts: partnerships with companies which can tokenize their products; let's take for example a user which lives and breathes Apple products; he will create/buy different Apple unique tokens, at which point he, or even we, can approach the company and obtain discounts for him as a reward.
- Embedded: features like 'Facebook like button' that can be easily put up in place using only a script tag on your website.
- User identity: Our platform aims to partner with a KYC solution, where after a user has his identity verified, a unique token for him is created on the blockchain. Whenever the user needs to verify his identity with another web site, he can use Metamask to sign a transaction verifying he is the owner of the token with all his information and the web site can double-check using our API. The same can apply for the more ordinary use case of logging into a website and it would work in just the same way as logging in with Facebook or Google, except it would be decentralized and you would own your credentials, not a 3rd party company.
- BlockchainCollection: One of the most basic and common patterns in coding in general is using a collection of objects with different attributes. Standard ones include array, list, dictionary, hashmap and there are many open source libraries which provide specialized collections (think C++ Boost, .Net C5 etc). Our platform will provide such an open-source library with collections that store objects on the public ledger, bringing with it all the benefits of decentralization while abstracting away all blockchain complexity. All that would be needed is just a wallet capable of signing transactions.
Our idea incubator will allow literally anyone who has an idea or a need for interacting with something that is unique or rare, to share his idea or simply support others’ ideas that he likes.
Operations on the platform are done using our own coin, the ECTO. It is needed to ensure fair usage of the platform and avoid spamming and overloading of the Ethereum network, especially with regards to the creation and trading of unique items.
In addition, having ECTO in your wallet also offers several benefits, according to a special proof-of-stake algorithm:
- Discounts for all operations.
- Voting rights for features that the platform should implement first.
- Airdrops given out periodically, in the form of ECTO airdrops, based on a combination of activity on the platform and the amount of ECTO you hold.
25% activity is measured in relation with the total activity by all users of the platform.
75% ECTO stake refers to the amount of ECTO you have in your wallet at the time of calculation.
This mechanism will be fully implemented into smart contracts, for added transparency and accountability.
- Total supply: 150,000,000
- Sale supply: 97,500,500 ( 65% )
- Advisors: 15,000,000 ( 10% ) - released in batches
- Founders: 15,000,000 ( 10% ) - vested for 12 months
- Company: 19,500,000 ( 13% ) - used for partnerships & future ECTO related events
- Bounty & Airdrop: 3,000,000 ( 2% )
- Soft cap : 3,000 ETH
- Hard cap: 15,000 ETH
- Funds allocation
- Development: 37%
- Partnerships: 30%
- Marketing: 20%
- Legal & Operations: 10%
- Unforseen: 3%