New Insight on the eLocations ICO and Post-ICO Operations
Recently, we got word about eLocations’ initial coin offering (ICO) that helped propel it to an impressive 50 million euros in capital ahead of its launch. Now, we’ve landed word of a recent interview with its founder and CEO Marc C. Riebe, which provided not only insight into the ICO itself, but also into what will be done with that initial capital and what will hopefully emerge following that ICO’s input.
First, Riebe revealed that the reason behind launching an ICO rather than taking his offering to the stock market like many companies do was that the company wanted to broaden the access to the largest potential user base. IPOs—initial public offerings—are often unavailable to all but “accredited investors”, or those who have a lot of money already.
The ICO offered up 1.25 billion tokens, and the proceeds, Riebe noted, would be used in “…development of the software solution and the eLocations database.” In turn, the database would be used to connect directly to the blockchain and make it that much easier to find properties accordingly.
Riebe also noted that, while many ICOs have been downright notorious for bad actors engaging in outright fraud, the eLocations ICO would likely avoid that. Not only does it have one substantial backer in the form of Tyrolean entrepreneur Klaus Mark, who sees annual turnover of 100 million euros. Plus, eLocations has been already making sales for its operation, suggesting that it’s using the ICO to build an already-operational business rather than building a new one from scratch.
It’s perhaps the best use of an ICO around; opening up opportunity for newcomers to get involved in what amounts to a stock opening without the various regulations surrounding stock could be one of the greatest revolutions in mobile payments. Imagine a world in which people invest in private companies and could use those shares to buy things outright. It almost removes the need for money, in a very real sense. You use the shares of a larger company to diversify and buy shares of smaller companies. You may even get paid in shares of ownership of a company.
That notion represents a fundamental economic shift, but one that may well happen. Only time will tell what it looks like, but it’s certainly a possibility.