The Bitbon System opens up new opportunities for Blockchain startups, which is why investors and entrepreneurs have to understand how it works. With the development of crypto currency market and the Blockchain technologies, the vast majority of startup creators think about conducting their own ICO.
However, the typical ICO is an unregulated way of fundraising, where everything is built on trust and reputation. Because of this, there are many cases when the project turns out to be a fraudulent one and the investors lose all their money.
The Bitbon System offers a marketplace with its own crypto value for conducting new level crowdsales called IBO.
What IBO Means
IBO is an improved version of crowdsale, during which startups are verified by a certified body, and the people get maximum protection of their investments. In regular ICO projects, investors rarely become company co-owners, for the most part they only get an internal crypto currency. In return for their investments, users are entitled to a share in business and can expect to receive income if the project is successfully implemented. Terms and conditions of cooperation are regulated by the Projectbon public contract, which is drawn up by the certified body.
Working Mechanism of the Bitbon System.
The Bitbon System is built on the interaction of three categories of participants:
1) Contractat. This is an owner or a representative of a startup, who wants to organize a crowdsale of his/her project. The Contractat together with the Bitup-Agency draws up the Projectbon public contact of a certain project based on the business plan, where it is stated on what terms he/she wants to attract investments.
2) Bitup-Agency. A certified body, specializing in examining startups and helping the project creators to make public contracts. When the Contractat presents his/her business plan and initial offering, the Bitup-Agency makes the necessary adjustments and converts the document into the Projectbon public contract of a certain type.
3) Contributor. This is a user, who is interested in investing in the project. Using the Bitbon crypto value, he/she acquires Projectbons of a certain project as part of IBO and gets the right to a share in the business. The detailed terms and conditions of cooperation between the Contractat and the Contributor are specified in the Projectbon public contract, and the Bitup-Agency with the Bitbon System itself become guarantors in fulfilling the terms and conditions of the public contract.
Bitbon Digital Asset
Bitbon is not just a crypto currency, it is a Digital Asset, which has been developed by Simcord, the company with long-standing experience and reputation. This company has been specializing in unique products for financial sphere for more than 15 years. As of today, nearly a hundred of countries recognize the development of the Bitbon System as legal.