I haven't had really time to research through all this but if this has been explained already please excuse
But what happens to all the altcoins that are used to buy blocknet coins
The Blocknet Foundation keeps the coins to fund development. There will be no dumping of coins. They will be paid to developers in little amounts over the duration of the project. Therefore the ITO won`t decrease the value of participating coins. It will increase actual usage of a coins and should increase its value.