How to and Why to launch a token for a project, idea, or startup
Step 1: Decide what you want your token to be
In order to create a token, you need the following:
The Token’s Name
The Token’s Symbol
The Token's Description
The Token's Image
The Number of Tokens in Circulation
Initial Price per Token
Image: Square Avatar
Amount of Tokens in Circulation/Total Supply: 100,000
Market Cap at 1$: 100,000*$1=$100,000
Growth potential: Market Cap at 10$: 100,000*$10=$1,000,000
*Total Supply: is a baseline which make the total number of tokens equal to what you estimate the project will be valued at the current stage. The evaluation of the project will increase based on the release mechanism and bank/treasury balances. Please note: total supply is fixed, it cannot be changed or updated.
*Price: you can set one starting price per token, like $1, or set price tiers as stages ($1, $4, $8, $10) at incrementally higher sale prices. A smart release mechanism can yield much higher perspectives and provide the right incentives to reward token growers.
How to calculate your token market cap?
Market Cap (USD) = Circulating Supply (Tokens) * Price (USD per Token)
For example: 100,000 (DIV) * 2 (USD) = 200,000 (USD)
Step 2: Issue a token
Navigate to Unit.Network
Go to "Your Wallet"
Fill up: Name, Description, Select Image, Token Count, Symbol
Click "Create Token"
Navigate to your token and add an extended description to showcase your project, add social links, and update more if needed.
Step 3: Manage your token growth
Funds from the token sale goes directly to that tokens “operational bank” which is viewable to investors, both current and potential. These funds are accessible to the token creator for operational expenses and growth.
If you generate revenue then it is your direct responsibility to move funds to the bank. This encourages new investment and keeps current investors happy that their stake is on its way to growing.
Any funds not needed directly for operational expenses can and should be added to your treasury.
To set a floor price. This creates the underlying value for the asset. For example: if total supply is 1million tokens and $1million in revenues/raised funds is added from the Bank to the Treasury, the minimum price someone is willing to sell/buy for 1 token is $1. However if that $1million was in the Bank only then technically it can be spent.
Increase confidence. Stakeholders now have confidence in their investment knowing there is a minimum price their stake is worth. This will encourage many to invest further.
Step 4: Manage and engage your token community
Create Polls, Stores, Contests
Encourage your community to learn about your token and ask questions
View top-holders, manage your team and advisors
Why launching your own token powered by the blockchain?
Tokens allow for a more effective and fair way of distributing and moving value around the economy to all stakeholders.
Why should anyone tokenize a process/company/etc?
The main reasons are the ease to get liquidity for the founders/investors. Allows customers/employees to have aligned incentives (i.e. easier fundraising/financing from more parties. Lower risks of failure due to more parties being invested in the success. More transparent/less opaque.)
How can I utilize tokens in the ‘real world’?
You can issue your own tokens for projects/organizations, buy tokens, and spend tokens.