How this Blockchain does powered CrowdFunding Script work?-MLM Software tamilnadu

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  • Published date: July 12, 2021
    • Ashok Nagar, Chennai, Tamil Nadu, India [ Ad Id - 135509 | Ad Views - 6 ]

How this Blockchain does powered CrowdFunding Script work?

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First lets start with how normal Crowd Funding sites like Kickstarter Works:

In a Nutshell Crowd Funding sites are Marketplaces that connect Innovative Entrepreneurs with Investors of all kinds (here investors are not just the Professional investors. Any common man is an investor ).

It all starts when an Entrepreneur comes up with a Brilliant idea of a project, but does not have the money to kick start it. He goes to Crowd Funding sites like indigogo etc. and posts all the information about his idea. He also mentions how much of funding he would require to get his project completed. The twist here is, instead of giving equity to each person who funds… he promises to give each one a piece of his finished product.

Normal people like You and me browse through each project and fund the ones we like. Why? Because we get one of the finished products ( which would cost higher once its for sale ), and also gives us a good feel that we have helped someone achieve his goal.

Now getting back to how our Cryptocurrency powered Crowd Funding Script works: Everything works in the same manner like how a normal Crowd Funding platform works, but just for how the funding is done. When an investor has decided to fund a project, instead of directly paying money > He first purchases equivalent amount of your ICO Tokens. Then he Transfers those tokens to the project he wants to fund ( all this happens seamlessly in a fraction of a second ). Next, the Entrepreneurs who received the Tokens can either hold the tokens or liquidate them to convert them to Fiat Money. They will obviously do the later. Once they raise a request to convert, either you can buy them back and give money to the Entrepreneurs -or- sell it to other investors who want to purchase tokens to funding other projects.

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