Former Telegram director of special projects, Anton Rosenberg, recently announced the launch of a brand new trading platform based on blockchain technology. The name of the new platform is Mikado.
Mikado will offer a lucrative solution for the projects that plan ICOs but that do want to avoid price collapse that happens as open sales begin and the early investors are dropping tokens. According to Rosenberg, in an interview with CoinDesk:
Many companies who are doing ICOs are trying to get investors’ attention by big bonuses and discounts without a understanding how it will affect the price after the ICO.
As opposed to the traditional financial markets where there are market makers and underwriters that help companies to structure IPOs, the ICO markets do not have institutions or mechanisms that can be used to plan gradual liquid token releases. Mikado aims to be able to do this exact job.
What Mikado plans to do is to issue derivatives for locked up tokens, like bonus tokens issued for the early investors or the tokens that are distributed among employees. The locked tokens can be transferred to special escrow accounts. Investors are going to then receive the derivative Mikado tokens (MKT). These can be sold. As soon as the lock-up period finishes, MKT tokens end up being burned. Holders receive an equivalent amount in the original token that the investment was made in.
Locking up coins is a convenient tool, but not very efficient. They can plan several lock-up periods, gradually release their tokens and control the trading volume. Mikado is promising a tool to create a stable commodity-based economy on the crypto market.
The company’s chief executive, Andrey Nayman, said that Mikado will not launch an associated ICO for the token so that MKT does not end up classified as being a security. At the moment, this project is applying for a special DLT (distributed ledger technology) license. This is done in Gibraltar. Following this point, the company will register everything with the US Securities And Trademark Commission.