The primary aim of the TOKPIE exchange remains the same as described in our whitepaper: Achieve exponential growth in the number of users during the next 4 years by providing a unique platform for peer-to-peer cypto-fiat and swap trading. However, we’ve decided to change the way we are going to achieve our goal.
The following business aspects are updated:
Market Penetration
One of TOKPIE’s primary challenges is how to attract users into a new exchange when there are so many crypto exchanges that already exist today. To help us address this challenge, we’ve decided to offer an entirely unique feature that will be in HIGH demand among the people who are most passionate about crypto, e.g. bounty hunters, early ICOs investors & traders and crypto start-ups from all over the world.
The Problem
Hundreds of crypto start-ups launch every month and try to promote their Initial Coin Offering in many different ways. One way that doesn’t require any upfront investment, and can be quite powerful, is a Bounty campaign.
During a bounty campaign, people (bounty hunters) help to promote a start-up’s project by performing activities such as liking and sharing posts on social media, joining groups, translating, creating content, etc. In exchange for this support from the community, the start-up rewards bounty hunters with ‘stakes’. A Stake is a unit of measure of a bounty hunter’s activity.
A crypto start-up promises to exchange such ‘stakes’ into its token in the future. The result, hunters can sell the tokens they’ve earned when they get listed on an exchange, without having invested a penny.
But the problem is that from the moment a hunter does the work to earn ‘stakes’ and the time when they can sell the stake can take 6 months, sometimes even more.
Most hunters would prefer to receive payment in liquid cryptocurrency (USDT, ETH, BTC, etc) instantly and not have to wait so long. But, start-ups typically don’t have funds to instantly reward bounty hunters, and so this is a mechanism that in the crypto world has worked for both hunters and start-ups.
The TOKPIE Solution Fortunately, TOKPIE has found a great solution for this problem. Very soon, bounty hunters (and any person) registered on the TOKPIE exchange will be able to earn ‘stakes’ of different start-ups and sell them instantly.How does it work?
The scheme will be based on 5 steps:
I. TOKPIE signs an agreement with a crypto start-up (e.g. having a name ABC) to promote its ICO project among TOKPIE’s community for the start-up’s tokens being paid in the future. Let’s take 100,000 tokens for an example.II. TOKPIE issues ‘stake’ derivatives (called ABC_Derivative) on 90,000 (90%) of the start-up’s tokens. The rest 10,000 (10%) tokens will be taken as the fee for TOKPIE providing the service.
III. TOKPIE deposits the issued ABC_Derivatives into its users accounts inside the TOKPIE exchange, in accordance with the users performance. For example, for joining a start-up’s telegram group, a user receives a 0.1 ABC_Derivative; for writing an article on medium, a user receives 500 ABC_Derivative, and so on.
IV. A user (hunter) can keep the received ABC_Derivatives or they can instantly sell (or trade) them through TOKPIE auctions (Figure 1) as any other cryptocurrency (Figure 2). Consequently all other TOKPIE exchange participants (e.g. early investors) can buy such derivatives.
V. All ABC_Derivatives issued will be replaced with start-up’s real tokens on the day when TOKPIE receives the tokens from a start-up when the agreement, concluded in Stage I, is executed.
What is the advantage? The service described above is an amazing win-win opportunity for all of the following groups:Bounty Hunters
Hunters can get a payment instantly after performing bounty tasks. No need to wait 6 months or longer.
Early Investors
Early investors can buy different start-ups’ proxy tokens (stakes) for extremely low prices, which could be lower than the pre-sale stage, and therefore get a more attractive return on their investment.
Crypto Start-ups
* Can be promoted better because more hunters will be attracted by the possibility of getting ‘cash’ instantly;
TOKPIE and its token holders
The result is that TOKPIE will attract onto the platform the most active users and clients: Crypto passionate people (hunters), smart early investors with money, and start-ups in advance of listing their tokens on other exchanges.
The Stages of Product Development
TOKPIE will continue the development of the platform as was originally projected and described in the Whitepaper. However, in order to launch the first unique service — ‘stake’ derivatives trading as quickly as possible, the development team will now focus on the following:- 2FA verification and security.
Such reallocation of TOKPIE’s development recourses will help us to launch a working beta and start earning profits in Q3 of 2018.Token Distribution and Policy
Despite the fact that the first round of investment was not successful and all contributors were refunded, the TOKPIE team has decided to reissue TKP tokens. The reason to issue the tokens is to boost the growth and further TOKPIE’s development. The new TOKPIE (TKP) token is based on the new smart contract with very straightforward and simple conditions:
There would be no initial coin offering or public fund raising. Token will be launched on the ERC-20 protocol standard initially, and subsequently shifted to TOKPIE’s public blockchain in the future. TKP will be accepted on TOKPIE exchange and will be a vital part of TOKPIE’s growth & development. The total available supply of TKP will be 100 millions tokens (100,000,000), with a distribution as follows (Figure 3):75% (75 million) * Growth reserve that will be steadily given out to TOKPIE’s exchange’s users for registration, community building, during marketing campaigns and other activities.
12% (12 million) * Founders
9.62% (9.62 million) * Team and vendors
3% (3 million) * Angel investors
0.38% (0.38 million) * Bounty that was already completed
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New Token Distribution The new TOKPIE (TKP) token launch is not an Initial Coin Offering (ICO). Instead, most of the 75 million of tokens will be steadily given out to the first 1 million of customers who register on the TOKPIE exchange and pass the KYC. Every newly registered user will get some small amount of TKP as a bonus to cover its initial transactional fees. The result, the number of tokens in circulation will be raising organically by reflecting the increase in the number of users.
Token Policy Update
TKP token holders could benefit from holding tokens by paying a reduced trading fees (0.01% of trade volume);
36% of all fees nominated in TKP and collected by TOKPIE will be re-distributed under an affiliate program;
TOKPIE will buy backing TKP based on its market price every quarter with 30 percent of its net profit derived from other altcoins listings during the same period to top-up a growth reserve fund;
TKP holders will benefit from airdrops made by the companies whose tokens (altcoins) or ‘stake’ derivatives will be listed on TOKPIE exchange;
The result of these changes is a completely clear token allocation logic. Also, the benefits of holding the TKP token and using it are now more clear.
Tokenomics
Previously, the TOKPIE business model was partly based on a fixed subscription fee nominated in TKP tokens. The team are redesigning the TOKPIE exchange to be able to apply a very small fee 0.01%-0.05% (nominated in TKP) based on trade volume, should it be required in the future.There are three main reasons why a fee may be required:
When no fees are being charged at the exchange, it is possible for a trader (or bot) to trade back and forth with himself or herself and generate a lot of “fake” volume without penalty;In order to list TOKPIE clients’ tokens (tokens and coins listed and traded on the TOKPIE exchange) and TOKPIE exchange itself on CoinMarketCap.com, we must charge a fee based on trade volume;
TOKPIE could reward affiliate program advocates directly based on these fees, simplifying the calculation and boosting affiliate community growth; and
By applying a fee, TOKPIE could generate more profit for support and development.
The result of including fees in TOKPIE’s tokenomics will be to generate more profit, avoid possible fake transactions, and make the listing on the TOKPIE exchange more attractive for crypto start-ups. Furthermore, the size of the fee will be so small (between 0.01% and 0.05%) that this does not decrease TOKPIE’s competitiveness and attractiveness.
