The inaugural project on ConsenSys' anti-speculation platform, Activate, has completed a token sale with roughly 4,000 investors from 90 countries, the companies announced Monday.
Around 13,000 investors with a total capital pool of $57 million had expressed interest in the Ethereum scaling project SKALE. Around $43 million of that pool was from 4,300 investors who made it through know-your-customer checks.
Ultimately, SKALE ended up raising $5 million because of regulatory constraints in Liechtenstein, where the nonprofit focused on promoting the SKALE network, the NODE Foundation, is based.
SKALE is a proof-of-stake network that aims to run thousands of transactions per second at low cost.
There are more than 50 projects on SKALE that are building and testing, said SKALE CEO Jack O'Holleran.
A third of them are decentralized finance projects, another third are gaming projects and the final third are a mixed group.
Its "Proof-of-use" protocol requires tokens to be usable at or immediately after being sold to participants and that tokens are used for their intended purpose.
Initially, SKALE planned to hold a Dutch auction, but the online auction crashed after it was overloaded by front-running software, according to O'Holleran.
SKALE then canceled the auction and had two fixed-price sales that allowed the company to decentralize the network as much as possible.
Starting Oct. 1, SKALE tokens will be locked on the network and users will have to stake their tokens for 60 days before trading them.
SKALE Completes $5M Token Sale on ConsenSys' Anti-Speculation Platform
Published on Sep 14, 2020
by Coindesk | Published on Coinage
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