Post
Topic
Board Altcoin Discussion
Re: Question about new projects
by
Coin_trader
on 05/02/2021, 15:47:07 UTC
Why do almost 90% of the platforms introduced through this forum have to create their own coins and tokens immediately?
What I've learned about the founders of giant platforms like Paypal, Alibaba, Google, Twitter, Facebook, etc. is that they don't. They just make a platform that really hopes it will be used by people around the world without creating tokens to attract investors early in the journey (maybe they did but it was privately so that in the end we only heard the story). So that when their platform becomes a well-known brand, the money comes naturally through big investors, sponsors, and partners from other well-known figures/brands.

In addition (funnier), platforms with social and community bases that have no purpose or solution to the financial case must force themselves to stay in the mainstream by tokenizing their services which in the end the token creation itself becomes useless.

Why don't the current projects almost all follow in the footsteps of existing famous brands?

This is the structure of Cryptocurrency, the technology is very young and they want to build a project or platform in the Cryptocurrency that will serve the community, those websites that you mentioned have different structured you cannot compare this to projects that are on Cryptocurrency, they are set up long before the existence of Cryptocurrency.

Aside from the technology differences. The reason why most project introduced token on there initial phase was to gather funds give tokens in exchange for investors money. Company like alibaba, google and soon has VC that fund there company on early stage, those VC get shares when the company become established and list on stock market.

In cryptocurrency since we are on early stage. Crypto projects is forbidden to provide shares since they will to Security Token and it needs to become regulated, the problem was there is no firm regulation on Security token that’s most of the project are choosing Utility token just to continue and get fund without having any issue to SEC.