Eidoo, the cryptocurrency service company and hybrid exchange wallet app for blockchain assets recently announced that the startup will destroy 500,000 EDO tokens between now and January 8th, 2018 in a bid to increase the value of the EDO token.
The tokens were earned by Eidoo via the successful launch of its ICO Engine and subsequent successful ICOs conducted on the platform for other startups (including ETHLend and the AidCoin pre-sale).
As part of its roadmap explained in Eidoo’s Ethereum Funding Informative Prospect, the specialist in blockchain assets will destroy 50% of tokens that are earned from any service fees, including the recently launched ICO Engine.
Thomas Bertani, Eidoo CEO, explains, “The strategy will mean that the total supply of EDO coins will decrease in number: the more the services are used, the more tokens will be destroyed. This “buy-back and burn” system will help Eidoo to decrease the number of tokens available on the market and thus aim to increase value for users.”
The net revenue from all the services linked to Eidoo will be collected in EDO tokens by a public smart contract which will be divided as follows:
50% will represent the revenue flow for the companies involved in the Eidoo project providing the added value services;
50% will be a voucher for the service. The voucher will be deleted from the blockchain after its use, effectively forwarding these tokens to a burn address that doesn’t have a private key to move funds from.
Eidoo’s ICO Engine is a tool that offers companies the chance to organize token sales on a very simple mobile app available both on Android and iOS in a safe and easy way. The ICO Engine has already been used by Eidoo itself to conduct its own Eidoo token sale.
The ICO Engine has been spun off from Eidoo thanks to a large demand for the possibility to launch a safe and simple ICO.