KUNA Launches a Crowdsale for Ukraine’s First Bitcoin Exchange
Bitcoin agency KUNA announced a crowdsale for Ukraine’s first bitcoin exchange. Auction set to sale 10 percent of shares of the new platform launches on December, 13.
The forthcoming crowdsale will become a unique experiment for the whole post-Soviet domain. All amounts will be accepted in bitcoins, while the auction itself will be available to anyone on the blockchain.
Establishment of a Ukrainian bitcoin exchange is a response to the centralization issue inherent in existing services. For Ukraine, just like for many other countries, centralization poses an additional risk, as service blockage may occur due to blockage of an entrepreneur’s account. Establishment of a liquid market within such circumstances is very difficult.
Another issue is absence of legal model for an exchange with unlimited turnover. All existing services operate as so-called ‘physical entrepreneurs’, which is the simplest regulatory form of an economic subject requiring no statutory documents and seed funding. However, such enterprises have a turnover limit, or work in the shadow sector. Those factors justify the height of entrance/exit thresholds for bitcoin systems as compared to global markets, which varies between 3 and percent.
Kuna Bitcoin Agency, however, managed to find a legal model allowing for establishment of Ukraine’s first exchange without a centralized bank account and turnover limitations while remaining completely legal. This allows for reduction of total commissions down to 1Â percentÂ and creation of a unified liquidity center for BTC/UAH.
The first investment round will see the sale of 10 percent of the future exchange’s shares. The minimum required revenue of the round is 100 BTC. This amount is required for development of the project’s software development and launching. The shares will be distributed in proportion to the investment. All relevant statistics will be available in the blockchain as well as at http://kuna.io. Additional 10 percent of the shares have already been sold to a professional bitcoin market player engaged in marketing activities at the early stages of the project.
Just like it happens in classical crowdfunding, if the campaign fails to attract 100 BTC, all amounts will be repayable to the investors. Following the project’s launch the shares will be listed on stock market.
10 percent of the revenue in bitcoin and other crypto tokens will be assigned to social projects concerning children, education and e-government blockchain projects. The beneficiaries are to be determined by shareholders via voting at the exchange’s dedicated section.
Protection of consumers and shareholders
Bitcoin License Ukraine has analyzed the experience of foreign bitcoin projects and exchanges along with the views of regulators. Following the research, they compiled draft ‘game rules’ for cryptocurrency exchanges, payment providers, and financial entities of Ukraine. KUNA Exchange will become the first platform meeting those requirements. It will maintain transparency, protection of consumers and shareholders, and the project’s legal status.
Bitcoin License Ukraine was announced by the National Bank of Ukraine summer 2015. More details are available at https://goo.gl/PbVrD8
Public contract stipulations
Details about investors’ rights and obligations, as well as auction conditions are being examined by law experts. They are subject to publication prior to commencement of the crowdsale.
Dates and terms
December 2 to 13: preparation of documents and Q/A sessions
December, 13 at 1.00 p.m.: crowdsale starts at http://kuna.io
December, 24 at 1.00 p.m.: crowdsale ends, summarizing
January / February, 2016: exchange launch
All discussions and questions, should they arise, will be exclusively at KUNA Bitcoin Agency’s official Facebook page.
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