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Why Qonetum Finance Foundation's Hybrid Decentralized Funding Platform Launch Is Important To Crypto

Published 03/08/2022, 19:49
Updated 03/08/2022, 20:41
© Reuters.  Why Qonetum Finance Foundation's Hybrid Decentralized Funding Platform Launch Is Important To Crypto
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Qonetum Finance Foundation announced on Wednesday the launch of Post Dex Offerings, a decentralized fundraising model for existing crypto projects, creating a hybrid fundraising, strategic staking and liquidity mining alternative solution.

Crafted from a fully decentralized platform designed to serve existing projects and investors in bull and bear markets, Post Dex Offerings (PDO) provides a new way to conduct follow-up fundraising rounds that increase the token and liquidity value.

Through a feature called Secure Future, investors have a reverse way to execute their investment without slippage, according to the company.

In the current bear market, some projects are struggling to raise funds and are running out of money quickly. Instead of projects and large investors removing funds from liquidity pools or dumping tokens into the already depressed market, a PDO offering increases liquidity, raises new funds for operations and helps to cash out, thereby increasing the token market value and total value locked.

The PDO Secure Future layer allows investors to secure an APY reward from a project they are interested in without taking risks or losing any opportunity cost.

Opportunity costs represent the potential benefits that an individual, investor or business misses out on when choosing one alternative over another.

Secure Future allows apprehensive investors an opportunity to invest in a project indirectly through a smart contract layer.

How it Works

The smart contract layer sends 100% of the investment funds to third-party decentralized staking protocols, such as Venus, Curve, Compound and others, in order to generate yield for investors while removing any potential opportunity loss for a time pending.

Secure Future establishes a due date equal to the staking period in the PDO. On the due date, all funds are pushed to the pool.

If at any point before the due date an investor is unhappy with potential returns or with the token’s performance, the funds can be withdrawn without penalty, aside from forfeiting potential APY profits.

The Secure Future layer reserves the future project rewards while providing investors the right to cancel the Secure Future and redeem 100% of their principal plus the third-party staking yield.

Alternatively, investors can give up staking yield and pick up the project rewards once it proves itself while retaining the original secured price.

Ultimately, the Secure Future layer allows investors to go back in time and jump onto winning projects without the risk of choosing wrong and losing opportunity costs.

Any project is able to launch a PDO at no cost.

The PDO is currently live on Binance Smart Chain (BSC) with the ability to launch a pool on any BSC DEX.

Photo: Tanawat_intawong via Shutterstock

© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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