DAICO Adoption: The Abyss ICO Changes the Token Sale Model for the Video Game Industry
Inspired by Vitalik Buterin’s idea, The Abyss project aims to perform a DAICO, or a democratized token sale.
The Abyss, a digital distribution game platform, has chosen totally new rules for its token sale. The model follows guidance from Vitalik Buterin, who proposed that token sales should allow token holders to vote on the usage of funds.
The model taken by The Abyss Project combines the structure of the Distributed Autonomous Organization (DAO) and a traditional ICO, in what is the first application of the DAICO model.
"Only project’s contributors will be granted a voting right. Controlled by the Smart Contract, the Company’s and Reserve tokens will not be eligible to participate with. We will utilize the proof-of-stake algorithm during the polls, but to make it impossible for the exchanges to take part, the weight of each Ethereum-wallet's vote will be limited by a certain amount of tokens", said Konstantin Boyko-Romanovsky, the project's founder.
The presence of a well-defined DAICO model with the appropriate smart contracts protects against fraud, and there is always an option of refunding the remaining money. This early attempt at DAICO will aim to achieve transparency at each stage of the product.
After the token sale ends for The Abyss project, the "tap" feature would come into force, setting a limit of funds, for example a fixed amount on a monthly basis for development purposes. This amount would be set by the developing team and distributed by a Smart Contract.
But if a change in funding is needed, a poll may be initiated and token holders would vote for or against raising the "tap". As an added layer of assurance, the "tap" can only be increased by a fixed amount (50% maximum), and a poll may be initiated once in 14 days. All holders of The Abyss tokens on their Ethereum wallets would be able to vote in the polls. The same voting mechanism is applied to the buffer withdrawal - a one-time extra sum for the project’s purposes.
The sale for The Abyss DAICO starts on March 7. For more details, you can visit the project’s official website. ABYSS tokens are priced at 0.24 USD, with a Soft Cap of 6 million USD. Both Ethereum and Binance (BNB) tokens are accepted.