CoinJanitor is a community-driven project that aims to unlock value trapped in failed coins. With more than 4,500 cryptocurrencies in circulation, and only about 1,500 available on major exchanges, there are thousands of coins that are holding value up in a way that cannot be transferred into the markets. Furthermore, many of these projects have failed to achieve their goals or have failed to achieve the network effect they needed to thrive. CoinJanitor will offer users, creators and community members who have trapped value in those projects, a way to transfer their value out of those blockchains.
We speak about trapped value in failed coins because people have invested time, money, computing power and other resources in these projects. That investment did not achieve the desired goals, but it still created a community that was united in its pursuit of a specific goal. Failure to achieve that goal does not eliminate the value in the project, although it diminishes it. When a project’s value is diminished beyond a certain point, the invisible hand of the market relegates the whole project to oblivion. As demand for those currencies drops, so does their price and the ability of their users to exchange them for more valuable coins at any exchange rate. This process effectively pushes both users and value out of the markets, trapping the value they have created in such a way that it cannot be transferred back into the markets.
How can CoinJanitor unlock and transfer that value back into the markets?
CoinJanitor aims to unlock that trapped value using economic forces and its primary tool: the CoinJanitor token. They will proceed to do that through 5 main steps:
- Mapping cryptocurrency markets to see where those failed coins are. They have come up with their own definition of what a failed coin looks like, taking various parameters into consideration. They define failed coins as follows: PoW coins – mainly – that were launched more than 2 years ago, are not traded on exchanges and have a market cap smaller than $50,000 USD.
- CoinJanitor will reach out to those coins that according to their mapping efforts, can be defined as failed coins. They will communicate with the creators and the communities of these projects to set up a buy-out program and have the creators turn over access to GitHub and other code repositories. The buy out program will have a deadline and will be done using the CoinJanitor token exclusively. This will prevent the emergence of pump and dump schemes, and other types of speculation. Using the CoinJanitor token will prevent the project from becoming a de-facto exchange service for coins that are otherwise not exchangeable.
- After the buy out program is implemented, CoinJanitor will proceed to eliminate – burn – all the coins it bought.
- The next stage involves decommissioning blockchains belonging to the projects that had value trapped in them.
- CoinJanitor’s final stage in this process is to organize and release all the relevant code, GitHub repositories, data and other relevant pieces of information about these projects, to the public. Every piece of code will be turned into open source code, available for the community to build upon and use on other projects. Data will be organized and distilled into decision-making tools that will help community members in the future.
CoinJanitor is a multi-stage project that will start with the transfer of value that is trapped in failed coins as its first stage. The team will subsequently develop and deploy more tools based on the data they will process during their work to restore this trapped value to the markets.
What are the benefits of the CoinJanitor project?
This project will benefit CoinJanitor community members, cryptocurrency markets, users of failed coins and CoinJanitor creators in different ways:
- CoinJanitor community members will benefit from being part of a growing economy that amalgamates communities to achieve the network effect they couldn’t achieve on their own.
- Cryptocurrency markets will benefit from a reduction in market dilution and the possibility of having previously trapped value moving back in.
- Users of failed coins will have a way to transfer the value they had locked in a failed project and will join a project that will integrate them.
- CoinJanitor creators will benefit from creating an unprecedented project in the cryptocurrency space that will create value through amalgamating the communities of failed coins under a single umbrella.
CoinJanitor Token Details
- CoinJanitor token is an ERC20 token on the Ethereum blockchain, ticker symbol is JAN.
- Total CoinJanitor token supply will be 100,000,000 JAN – one hundred million.
- The public sale of CoinJanitor tokens will start on March 15th, 2018 and will end on April 15th, 2018.
Token distribution will be as follows:
- 50% will be sold to the public.
- 30% will be kept to buy failed coins.
- 11.25% is reserved for bounties and other service providers.
- 8.75% will be distributed among team members and frozen until the beginning of 2019.
Unsold tokens that were earmarked for public sale, will be airdropped proportionally to token holders excluding CoinJanitor team members, in 3 rounds: the first airdrop will take place a month after the public sale is over and will comprise 30% of all the unsold tokens. The second airdrop will take place 6 months after the public sale is over and will comprise 30% of all the unsold tokens. The third and final airdrop will comprise 40% of all the unsold tokens and will take place a year after the public sale is over.
- CoinJanitor is looking to raise a maximum of $7.5 million USD during the public sale.
- CoinJanitor will accept contributions in BTC, BCH, BTG, DASH, ETH, LTC and XMR.
- All non-ETH contributions will be converted into ETH at the spot rate and will be sent to the smart contract.
The CoinJanitor presale begins on April 2 2018.
- CoinJanitor Website: https://www.coinjanitor.io/
- Telegram channel: https://t.me/CoinJanitor
- Twitter Account: https://twitter.com/CoinJanitor