How Business Can Launch Its Own Cryptocurrency Successfully

On April 20, 2021, Venmo announced that it added crypto support to its platform, joining a long list of companies that recently began recognizing and accepting virtual currencies.

One of the fundamental characteristics of cryptocurrencies is decentralization. Tokens are not controlled by states or large companies, which minimizes the influence of personal interests on the currency. D. In addition, by tokenizing your business, issuing your cryptocurrency the business will have access to the global capital market and customers (in case the business is online).

Blockchain technology allows an opportunity to create an open market, liquidity, and opportunities for ordinary users to grow. In the next 5-10 years, I am sure that the blockchain market will overtake the conventional market because of openness and decentralization. Companies and users don’t need licenses and permissions to conduct transactions. Blockchain has a promising future because anyone can participate – from a schoolboy to an entire country. There are no borders, no regulators. That’s why companies of any size should already think about launching their own token or working around tokenization around some of their assets to support their future growth.

As every business owner would like to increase their income without additional efforts, cryptocurrency could be just the tool you are looking for. You’ve probably heard about companies launching their own cryptocurrencies.

Why? It’s very simple. Launching your token has several benefits that will allow you to achieve your business goals even faster and more efficiently.

So, how and why implement your own cryptocurrency into your business?

What Are the Advantages?

Let’s look at the main advantages of your own cryptocurrency.

Convenience and Speed of Financial Transactions

With your own cryptocurrency, you don’t have to be guided by the speed of dollar transactions, nor do you wait for a payment to be approved. You can simplify financial processes and save your clients time.

Commissions for transactions involving cryptocurrency and their speed do not depend on the distance you need to make the transfer. Meanwhile, a transaction can take days with a payment system like Western Union; your cryptocurrency can handle depending on a gas price, it can take within a few seconds or couple of hours.

Increase Project Primary Funding

When it comes to startups or mature companies that want to launch a new business arm related to crypto, launching businesses that own cryptocurrency can help to increase the flow of investment. The initial task of the token, in my opinion, is to attract investment to the company and build utility around that support tokenomics of the project to make it successful in the long run.

It can now be used to pay employees’ salaries and to pay contractors and other vendors. If the token – liquid but business is just promising, you will be able to increase the potential of your token.

Tokensale allows shareholders to raise investment without diluting their stake in the company. So the shareholder retains the right to run the company as he sees fit. It does not make him a hostage of the board of directors or the company’s general strategy.

Go to the Highest League of the Business Industry

The management of companies like Mitsubishi UFJ Financial Group or NetCents Technology Inc issued platform native tokens and attracted funds for their blockchain project without doing a token sale but going forward with traditional VC fundraise. So I was wondering why companies have billions of dollars in tokens and not touch them? After all, startups can use cryptocurrency to run their business. And here’s the bottom line.

The company’s native crypto starts to make its way to regulators and eventually becomes a tangible financial unit. The CFO can then add it to the company’s balance sheet along with all other assets & liabilities and thereby increase the market capitalization of their business. In addition, it gives new accounting opportunities, as previously, cryptocurrency was only an experiment.

Create a Cryptocurrency Based on an Existing One

PayPal announced that it allows consumers in the US to use its cryptocurrency holdings to pay millions of its online merchants worldwide. Customers who store virtual currencies in PayPal‘s digital wallets will now be able to use their assets at checkout to make purchases. Large payment systems recognize cryptocurrency, which means it’s time for you to implement it in your business.

A popular way to create your own token is to take advantage of Ethereum’s smart contract technology.

For example, one client came to us and tell, that he runs an agricultural business and owns a large plot of land. In his opinion, the land is undervalued in his region, and the real price differs from what the market offers for lands with the same level of profitability and other things like that. His idea was to create a platform for buying and selling land that would allow farmers to divide it into tokens and sell small parcels. We created a model in which ownership turned into NFTs.

If you have an NFT, you have a right to control a smart contract while in a smart contract we add the value of land certificate metadata as well as link to this certificate that is stored on decentralized cloud storage. The certificate states you are the owner of the land. It is a bearer certificate, so there is no problem to move the ownership over it through blockchain if there is a right.

Ethereum has quickly become the second most popular platform in the crypto market, not only among startups but also among major software developers such as Microsoft, IBM, and Acronis.

The process of creating your token on Ethereum is not difficult, using the Solidity programming language and ERC standards. You don’t need to have a strong technical background, as there are plenty of detailed guides on how to create a simple Ethereum-based token online.

Another popular way is the Ripple platform and its XRP Ledger credit network.

Credits are electronic debentures. A related feature of Ripple is that once you issue your tokens, you can’t give them away to everyone.

Developing Your Own Blockchain

Experienced developers can help you create your own cryptocurrency. You can start a new cryptocurrency by creating an entirely new blockchain with a coin. However, you can find many tutorials online about becoming a cryptocurrency creator or hiring a team of experienced developers.

For example, ConsenSys Enterprise is focused on the development of the Ethereum network ecosystem. Forge, a subsidiary of Société Générale, has engaged ConsenSys in research to develop the digital euro. Boosty Labs, the largest blockchain development outsourcing company in Europe working for Consensys on this project, issued for Société Générale 100 million euros in blockchain for international bond transactions. However, if we talk about the average consumer, it is more difficult to work with bonds because many simply do not know what a bond is.

“We applaud the pioneering efforts of the institutions who have led this transaction and see significant potential in the interplay between digital assets and CBDCs on globally distributed networks to streamline the lifecycle of regulated securities.” – Ken Timsit, Managing Director at ConsenSys.

“Connecting ConsenSys is the right choice to explore the possibilities of digital public currencies. It is a key player in developing solutions based on distributed ledger technology, which offers many platforms and developments, tools used by the blockchain community,” – said Forge’s CEO, Jean-Marc Stenger.

ConsenSys team includes specialists with deep knowledge and skills in the practical implementation of solutions based on Ethereum. Codefi Workflow is a “blockchain-anchored business process automation.”

Often, companies want to automate their process, and for this purpose, they turn to the Codefi Workflow division. They can use blockchain to automate the workflow and identity process. In these processes, such phenomena as decentralized identifiers and verifiable credentials, used in the newfangled SSI trend – self-sovereign identity, are relevant.

Various documents  – passports, certificates, etc. – are located in decentralized databases, but within SSI, this data is transferred to the blockchain to give the user ownership of his or her identity.

At Boosty Labs, we see how businesses and organizations may be initially skeptical about blockchain. But, seeing the benefits and the improved efficiency, they become its advocates, and we are happy to help them on this path. For instance, we’ve recently closed positions and built remote teams for top industry players like, Consensys, Storj, NEM, NEAR Protocol, Onomy Protocol, Bloom Protocol. Moreover, we are also working with the Affindi Group that implements SSI projects and helps move the digital identity of their users on a blockchain.

Another interesting use case for cryptocurrency is its introduction into art and popular culture. As an example, you probably know about NFT technology, which gives the right to own digital art objects.

But what if we go further and expand the use of cryptocurrency in the arts?

Right now, a Hodl series is in development that will use cryptocurrency in an interactive format by New Line Cinema, SatorIO, and Boosty Labs. If the viewer attentively watches the series, he/she is offered to scan the QR-code with the help of the SatorIO application and open a quiz. Having answered the questions correctly, the user can get a reward – SAO tokens (native token of SatorIO). It will allow drawing more attention to the series and also to make users interested in using cryptocurrency. Another possibility to introduce tokens in the series is to use the series as a marketplace and sell slots for advertising for the movie sponsors. This will get benefits for all parties – show viewers will get massive rewards for their engagement, series producers will get additional revenue stream leveraging shows with an advertisement placement model that never existed before, advertisers will get yet a new very powerful way to engage new customers right in the movies or show, opening new customer acquisition channels.

An important task for Sator is to figure out how to build the right utility mechanism for SAO tokens and motivate users to leave the tokens inside the system and use them further. We came up with a bunch of ideas, the most interesting ones were the idea of tokenizing characters’ merchandise and making NFT out of them using Genies SDK. They have some DeFi incentive mechanisms like staking. This will keep the tokens in the ecosystem and prevent them from depreciating. Projecting high number of transactions we convince to use Solana as our L2 that will be mainly used by our regular customers, however, we are building a bridge to ethereum to let our users a way to interact with the diverse ecosystem of DeFi & NFT

My colleagues note that each next case of this scale pushes the attraction of a new, even bigger case. Having become a part of the ConsenSys division, we see the Booty Labs growth beyond standard projects like yield farming or staking; we aim at creating the whole infrastructure. Our achievements allow us to do so, since BoostyLabs is already the largest blockchain development outsourcing company in Europe. And we see the demand for blockchain services even bigger in the future.

How Much Is the Token?

Regardless, many countries have begun to accept and legalize cryptocurrencies. It indicates a positive attitude toward cryptocurrency, as the future of cryptocurrency looks promising.

Securities tokenization is a blockchain technology that has been growing strongly in conjunction with the real world lately. The tokenization of real assets is now actively gaining momentum. For example, you own a large piece of land, and you want to rent it out. Renting out such a huge area is extremely difficult.

In that case, you can take advantage of tokenization technology and divide your plot into tokens. By selling tokens, you will be renting out your plot to many people at once. It is one example of how you can launch your cryptocurrency today.

Bitcoin’s tumultuous swings in 2021 convinced one thing: the future of money will be electronic. The cost of creating a cryptocurrency for your business depends on many factors. How exactly do you want to create the currency? Who will use it? Depending on your goals, creating a cryptocurrency can cost anywhere between $2000 and $5000.

If you need a feature-rich, custom-built cryptocurrency, it can go as high as $5000 or more. The cost of blockchain development can vary significantly depending on the number of features you want to implement in your business project. The prices described are only an average market estimate.

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