Bitcoin.com wants to raise $50 million through an exchange token sale
Crypto exchange Bitcoin.com is looking to raise $50 million in a private Initial Exchange Offering (IEO). The BCE token will be built on the Simple Ledger Protocol (SLP) and used for lower trading fees, priority access to IEOs, and referral bonuses. The white paper mentions a buy-back or burn mechanism, however, details won't be released until after the sale has taken place.
Why it matters
- Token sales have seemed to die down since the IEO craze last summer. However, between Bitcoin.com and the recently announced BTSE sale, exchanges are still looking to raise capital through these offerings piggybacking off the model championed by Binance with BNB. In addition to fundraising, exchange tokens allow users to become more engaged in the platform and, in theory, share in its upside.
- By creating this pseudo-equity, Bitcoin.com could be working to gradually decentralize, opening the door to becoming a DAO in the future.
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