White paper and Unsinkable.io update
Yesterday, I released an update to Unsinkable.io that included:
Quick Start Glossary
Unsinkable ICO Investment Security Analysis
Unsinkable SSC Security Bug Bounty Program
HODL Wallet Section
More UNSK Token Detail
White Paper Update
The updated whitepaper includes:
Unsinkable Exchange detail
UNSK SSC Security Bounty
Issuer can never control >10% of circulating supply 4.02
Introduction of Changelog
No company or initially locked tokens can enter the circulating supply if UNSK market price is under 120% ICO price.
More HODL Wallet detail
Nautical phase names
Here is the detail for the major updates, there may be a few other minor changes to the white paper that are not explicitly listed here:
The Unsinkable Collective - “Crowdsource the Future”
Harnessing the collective genius of all mankind for the betterment of tomorrow.
The Unsinkable Collective – Make Crypto Beginner-friendly
Unsinkable.io (The Unsinkable Project) – Cryptocurrency Education
UNSK – hyper-deflationary, volatile asset for active day traders
Unsinkable Freelancer Marketplace – Help connect entrepreneurs and SSC devs
PXT - “Stable”, beginner-friendly crypto asset
Project X Platform – Encourage micro lending, entrepreneurial financing, and Unsinkable ICOs on Stellar
Unsinkable.io will make automated and immutable token locking and selling easy for investors. Simply indicate at what time or price you want your tokens to unlock or sell and the operations will be securely handled by the HODL Wallet SSC. Ops tokens will appropriately sell and bolster the buyback account as needed to stay Unsinkable. All company tokens are managed by the HODL Wallet.
Instant Escrow Service – “Pony-Up” App and Webservice
Somebody says they're gonna pay you for something? Make 'em pony up. Various release options like time expiration and multisig. Built on Stellar, initial release – Stellar assets only. Reduced fees if you use UNSK or PXT.
Stellar Dev Freelancer Marketplace = Cryptocurrencies*(Upwork) ^ Stellar
It'll be like Upwork, initially specifically for connecting SSC devs with ICO creators and handling escrow. It will expand to any freelancer projects that want to pay in crypto. It will run on Stellar. It will handle escrow. It will be open source. The marketplace will be designed to assist in scrum-based smart contract project development and competitive dev community crowdsourced solutions.
After the first public release of this white paper I quickly realized it is not easy to find developers and knowledgeable individuals to help improve and create your new crypto project. The Stellar community could encourage ICO development and drive innovation with a competitive marketplace to offer white paper peer review and SSC development. I now plan to create a platform and utility function for UNSK that solves this problem. The marketplace will help entrepreneurs/smart-contract-project-creators to translate their needs into SSC deliverables so that potential devs can easily find projects on which they want to work. Initially, using the Unsinkable Dev Marketplace will require usage of UNSK or PXT. Escrow will be handled by The Unsinkable Project's “Pony-Up” Instant Escrow Service. Later on, the marketplace will allow service usage with any crypto that has a Stellar anchor, but will offer reduced fees for using UNSK or PXT.
Unsinkable Ambassador Program
The goal of the ambassador program is to encourage global outreach. People of different countries can have vastly different desires and require tailored programs. Unsinkable Ambassadors will help bring the most relevant facets of Unsinkable ICOs to the forefront of entrepreneurial development in their area.
Initially, the ambassador program will be focused on two distinct demographics: Affluent – Investors, tech endorsements, strategic partnerships
Focus – Buyback support, ICO low price guarantee, investors looking for a more secure crytpo asset they do not have to put on a centralized exchange, new traders, UNSK Pitch - “A safer cryptocurrency investment. The new age of trustworthy ICOs – Unsinkable.io”
Low Income – Inner cities, developing nations, people without bank accounts
Focus – Education, cryptopreneurship, PXT, Project X Platform
Pitch - “Take control of your financial future, no bank account needed. No minimum balance.”
Unsinkable SSC Security Bug Bounty Program
Unsinkable SSCs need to ensure that investors' funds are safe. This requires limiting issuer access to token supply, securely and immutably ensuring buyback, and minimizing potential damage if secret keys are compromised. Once we believe the UNSK SSC has reached this level of security, we will create an identical SSC on Stellar testnet and publicly post the secret keys. Rewards in UNSK and/or XLM will be offered to anyone who exposes an exploitable loophole and anyone who devises a solution.
The Unsinkable Exchange
Unsinkable.io will eventually host a UI for interacting with the Stellar dex. This Unsinkable Exchange will only list coins/tokens that meet The Unsinkable ICO Standard. It will be open source.It will eventually feature gameified, social, and algorithmic trading – compete with and follow other traders, automatically copy successful traders, strategy creation and algo/bot marketplace. 1Broker, eToro, Binance, and Kryll.io inspired. Fun fact – I invested $100 (.1ETH) in the KRL ICO, it partially inspired this project. I am still extremely optimistic about the Kryll platform, but I wish KRL had Unsinkable tokenomics.
Tokens are centralized if a small amount of individuals controls a significant amount of tokens. Percentage of tokens held by the top 10 and top 100 wallets are typically used as a centralization metric. Individual evaluators must choose whether or not to include company and/or team tokens in those metrics. If the token is traded on a centralized exchange, it can be difficult to differentiate large individual wallets from exchange wallets. Decentralized tokens are adequately distributed amongst many holders, so no central party can easily manipulate the price through coordinated buying and selling.
Most tokens are “coupled” to bitcoin (BTC). The USD price of BTC affects the USD price of all other cryptocurrency assets. When bitcoin experiences a dramatic move, most coins and tokens follow suit. Many crypto coins and tokens trade in BTC pairs, not against USD. You might think that this would cause the opposing coin to move in opposition to BTC price action, but that is not typically the case. Far more commonly, when people lose faith in BTC, they lose faith in crypto in general and the entire industry cap exaggerates the downward moves of BTC. There is the additional risk that when BTC starts to look bullish, many crypto traders will shift from their altcoin holdings to ride up with BTC. This often causes other tokens price/BTC to decrease, minimizing their price/USD gains. Unsinkable assets like UNSK that are pegged to an asset that is “coupled” to BTC price, like XLM, will likely follow the market in this manner. Unsinkable assets pegged to USD may only experience the bull runs of BTC and crypto, depending on their PBiP buyback level proximity. They may even start to counter BTC crashes like some gold-backed crypto tokens have been known to do once investors realize their potential as a store of value.
UNSK SSC has begun development.
Unsinkable.io will make automated locking and selling easy for investors. Using the HODL Wallet, UNSK investors can easily indicate at what time or price they want their tokens to unlock or sell and the operations will be securely handled by SSC. Ops tokens will be set to appropriately sell and bolster the buyback account as needed to maintain an Unsinkable buyback account to circulating supply ratio. The HODL Wallet will enable the investors to control token issuer's access to crowdsourced funds.
When a token holder initiates any HODL they are “Holding On for Dear Life.” They are publicly and immutably “holding” those assets until a later time. By HODLing, a token holder locks their tokens in escrow - temporarily forgoing their ability to redeem their investment refund until their tokens unlock. HODLing also effectively removes tokens from the circulating supply, reducing the amount of funds an Unsinkable company must keep on offer to buyback the tokens.
When a token holder initiates a HODL based on price they are forgoing their investment refund until their tokens unlock and deciding that they may never get access to their tokens again. If market price never reaches the sell/unlock price then the HODLed tokens remain in escrow forever. This allows the company to use the buyback funds for other purposes until those tokens unlock. The token can only remain Unsinkable if the company sells tokens that were not part of the circulating supply above ICO price before the HODLed tokens unlock and re-enter the circulating supply. Company token quantity and profit requirement to cover buyback of the originally HODLed tokens and the newly circulating company tokens can easily be calculated with a price-based HODL.
This is only possible if market price is above ICO price.
If market price is 20% above ICO price then the company must sell 5 times as many tokens as buybacks they need to cover. If market price is 200% ICO price then every company token sold can cover buyback of another token re-entering the circulating supply.
Until market price is significantly above ICO price, a HODL based on time is not of much value to the company. If The Unsinkable ICO Standard catches on and we gather data that proves Unsinkable ICOs continue to appreciate after ICO then you could estimate future price for company tokens needed to sell at the unlock date.
In a 100% IBiPDAICO if an investor does not lock their tokens until a future price, they have not made any funds available to the token issuer. They are likely unwilling to forgo their money-back guarantee due to lack of faith in the project. They are likely a speculative investor and/or ICO flipper, and their maximum investment must be limited. All they have done is lock-in their ICO low price, and hopefully they will become a shill with the intent to sell at a higher price soon.
Unregulated Security Token – According to the SEC (for now)
UNSK is not intended for Americans. UNSK does not provide any of the traditional financial investment safeguards or legal recourse of registered securities. However, the UNSK ICO likely fails the Howey test since UNSK price largely depends on the efforts and success of the token issuer. Therefore, the SEC will likely view this ICO as an unregistered security offering. UNSK does not provide any voting rights (initially), equity, or company ownership, so it is not a security token - in my opinion. UNSK tokens are available immediately upon investment, there was no SAFT. UNSK could be considered a “profit-backed investment/utility token.” UNSK intends to appreciate token holder value through token buyback – PBiP. UNSK makes no promise or guarantee of profit. UNSK does not distribute dividends. UNSK is a utility token – it will enable usage of Unsinkable.io premium services like Instant Escrow, Freelancer Marketplace, and exclusive web content and discussions.
I think Satoshi got it right. I think Charlie Lee regrets not being anonymous. I can't find his specific tweets right now but they convinced me anonymity is the only option. I respect and admire both Nakamoto and Lee. No token/coin/protocol can become truly decentralized if there is a single influencer that holds massive sway over it. I have no desire to be a social media “influencer” or get threats from the SEC like John McAfee. I intend to aid in the development of The Unsinkable Project and Project X for as long as is necessary for PXT to become truly decentralized and self-sustaining.
UNSK should help give me a good idea of how much development time is required to create an Unsinkable self-sustaining token ecosystem. My estimate is 1-3 years.
UNSK is not decentralized. It is a beta-test for The Unsinkable ICO Standard and a real-world study in tokenomics. It is controlled by me. The goal is to eventually make UNSK self-sustaining and decentralized, but it may never be decentralized. PXT is designed to be totally decentralized and community-governed. If I reveal my identity for UNSK then PXT can no longer be part of The Unsinkable Collective. I am not a money-launderer, terrorist, or resident of a territory prohibited in the Stellar Build Challenge rules. I believe there is an incredible amount to be gained by putting my project in front of the Stellar team, even if I am unable to claim prize XLM. I will submit to KYC to prove I am not a terrorist or money launderer if my identity remains out of the public eye.
UNSK intends to prove that The Unsinkable ICO Standard and the Unsinkable SSC are so trustless and revolutionary that they can successfully crowdsource investment via ICO even with an anonymous founder. This will help prove the security of the tokenomic design and SSC to help future cryptopreneurs launch trustworthy Unsinkable IBiPDAICOs even without significant experience or formal education. Everyone should be able to contribute to the crypto revolution. I believe some of the most creative solutions come from people without traditional formal education.
I identify as libertarian. I believe in human equality and freedom from oppression and tyrannical government. I believe in the free market. To me, the internet and cryptocurrencies are the most beautiful symbiosis of technologies imaginable. We can return to a true free trade barter system, globally. Self-policed. Immutable. Transparent. Glorious.
I would love to see a worldwide marketing campaign to “Tokenize it!” encouraging everyone to become a cryptopreneur. To launch an Unsinkable IBiPDAICO and start a business where people can redeem the tokenized asset for the real thing – to become a Stellar anchor. We could create the largest decentralized global marketplace ever known.