BitCar limits future market supply creating token exclusivity
Blockchain company BitCar.io has announced it will burn all its unsold tokens after the end of its ICO, set for 20 April 2018, further limiting the future supply of BITCAR tokens.
BITCAR tokens are designed to be used in its upcoming platform to allow fractional ownership of rare exotic vehicles. These vehicles have historically outperformed many other asset classes and have not been affordable, except for the uber rich. BitCar aims to open up this market to all, in a world first.
Half of all BITCAR tokens were allocated to its public and private token sale, raising over SGD 9 million to date — but any that aren’t sold (by the end date of the ICO) will be ‘burned’, a cryptocurrency term meaning the tokens are permanently destroyed.
“The positive effect from burning the remaining tokens means the BitCar economy will become even more exclusive as the supply of tokens is radically reduced,” the company said Wednesday.
BitCar was designed with a dual token economy that allows people to buy and sell their tokens outside of the BitCar platform and also use the cryptocurrency to peg its value into CAR tokens.
BITCAR tokens are also designed to be used to purchase the CAR tokens, pay trading fees, maintenance, storage and insurance.
One CAR token will initially be valued at US$1, meaning that if, for example, a McLaren F1 worth $15 million was on-boarded onto the BitCar platform, there would be 15 million McLarenF1#001 tokens (CAR tokens) created.
By purchasing the related CAR tokens, users would be linking to a piece of the car’s title on the Blockchain network.
Recent innovations to the design of the BitCar platform means BitCar token holders may also be able to acquire full ownership of rare exotic cars over time, an idea backed by its multi thousand Telegram community.
The BitCar token sale is currently in the final round of its ICO, which will close on 20 April.
