ICONOMI, a digital asset management platform, has introduced an industry-first repayment program that will increase the stake every participant has in the company.
ICONOMI’s repayment program will include a unique mechanic; the tech company will purchase ICN tokens from exchanges using returns made by its actively managed performance array, and destroy or “burn” them on a weekly basis, giving each participant a larger percentage share of the total ICN token amount.
The ICONOMI team, whose performance array is already showcasing lucrative returns after strong investments in successful ICOs like Golem, Santiment, and Byteball, will start the repayment program on June 30th. All token purchases and prices will be made publicly available in a quarterly report.
The repayment program will follow a strict set of rules, today published on the company blog, but the primary financial function is that up to 1000 ETH will be used from April 1st to June 30th to acquire ICN tokens at a fair market price, and then remove them from circulation by sending them to an inaccessible, untouchable smart contract.
ICONOMI Co-founder Tim Zagar said:
“We are proposing a new way to distribute shared value to participants through a repayment program designed to increase the stake of each ICONOMI contributor. Our performance array is becoming exceedingly effective and it’s clearer now more than ever that cryptocurrency returns are the fastest of any asset class on Earth. For these reasons, we decided to reduce the ICN token count and increase participants’ stake.”
“Reducing the circulation creates value in scarcity, and it’s a great way to reward our investors for their continued support. This will not change the way current ICN token holders can buy or sell on any exchange. The proposal in its simplest form is a new way of rewarding holders of a new asset class, the ICN token. We will put this proposal to the community and we will await their feedback.”
The ICONOMI.performance Digital Asset Array (DAA) fund originated in November last year with the sole premise to see returns from ICOs expected to gain market momentum. Its success has been extraordinary, and as a result, the ICN token has doubled in just four months from $16 million USD to $32 million USD.