Book Image

Tokenomics

By : Sean Au, Thomas Power(GBP)
Book Image

Tokenomics

By: Sean Au, Thomas Power(GBP)

Overview of this book

Tokenomics is the economy of this new world. This is a no-holds-barred, in-depth exploration of the way in which we can participate in the blockchain economy. The reader will learn the basics of bitcoin, blockchains, and tokenomics; what the very first ICO was; and how over a period of 5 years, various projects managed to raise the enormous sums of money they did. The book then provides insights from ICO experts and looks at what the future holds. By comparing the past, current, and future of this technology, the book will inform anyone, whatever motivates their interest. The crypto shift of blockchains, ICOs, and tokens is much more than just buying bitcoins, creating tokens, or raising millions in a minute in an ICO. It is a new paradigm shift from centralized to decentralized, from closed to open, and from opaqueness to transparency. ICOs and the creation of tokens during the craze of 2017 needed a lot of preparation, an understanding of cryptocurrencies and of emerging legal frameworks, but this has spurred a new movement to tokenize the world. The author gives an unbiased, authoritative picture of the current playing field, exploring the token opportunities and provides a unique insight into the developing world of this tokenized economy. This book will nourish hungry minds wanting to grow their knowledge in this fascinating area.
Table of Contents (18 chapters)
Tokenomics
Contributors
Preface
Index

The presales strategy and bonuses


In the beginning, everyone formed orderly queues and calmly sent funds to bitcoin addresses and smart contracts, but as the excitement grew, especially during the hype of 2017, tokens and cash were flying everywhere. This was primarily due to token holders doubling or tripling their investments in a very short space of time. In some cases, investors made ten times their initial investment in a matter of weeks or even days of the tokens listing on exchanges.

First, it was all about just getting the tokens. Then it became a race to buy the tokens first because bonuses were often linked to buyers in the first week or days or even the first "Power Hour." The next level was a pre-ICO, where a second smart contract would be created to handle the receipt of the funds. Then we saw private pre-ICOs before the pre-ICO. It was utter madness.

Let's start by understanding how bonuses worked.

No bonuses

Nearly all ICOs have some sort of bonus offering stage, but let's first...