Not sure if you want to buy $KOIN? Read this

Written and published on 01/16/2022

You found Koinos and all of it offerings but there’s a lot of research you want to do before you buy your first bag of $KOIN. Whether you are a speculator or a developer, you’ll want to read this first.

Koinos is a L1 blockchain whose token was launched as an ERC-20 token on the Ethereum Blockchain.

When you buy ERC-20 KOIN today (Jan 2022), you are effectively buying a 1:1 place holder for main net tokens. In other words, all of the ERC-20 KOIN tokens held on Ethereum wallets will be replicated on the Koinos main net.

The Koinos main net is a completely brand new blockchain that is built with a microservice architecture rather than a monolithic architecture used in all current existing blockchains.

Since the main net is not yet released (to be released later in 2022) token buyers want to know about the team, their experience, and the purpose of the project.

Historical Context

Before Koinos, the team worked on the STEEM blockchain that was operated by Steemit Inc. During the early months of 2020, Justin Sun of the Tron blockchain purchase Steemit Inc. and their large treasury of STEEM tokens which would later lead to the infamous 51% DPoS takeover story that can be found here:

Steem vs Tron: The rebellion against a cryptocurrency empire

The ensuing saga lead to the entire development team at Steemit Inc. to resign from their position and shortly begin development on the Koinos Blockchain.

This historical context sets the background for Koinos Groups mission statement and their views on decentralization, fairness and accessibility.

Koinos Blockchain is born

On October 6, 2020, Koinos Group formally announced the development of a general purpose level 1 blockchain called Koinos to focus on:

  • high levels of accessibility
  • free smart contracts
  • modular and fork-less upgrades
  • Proof of Burn consensus

How was the initial 100M $KOIN distributed?

The Koinos Blockchain was distributed using a Proof of Work miner that was deployed on the Ethereum blockchain. The reason for this distribution is highly debated among speculative token holders but there is one simple fact,

The best way to distribute a new layer 1 token is highly dependent on how the consensus mechanism works. “

-Someone smarter than me

Ethereum is the most widely used blockchain in existence with the largest and most decentralized network. The Binance Smart Chain (BSC) was also popular choice for deploying tokens, however it is widely known that BSC is not decentralized and so the decision to launch on ETH was obvious.

On October 13, 2020, the first ERC-20 $KOIN token was minted aside from network fees, all KOIN was given away for free. Yes, the token was available for free to anyone who wished to run the mining software.

Yes you read that right, $KOIN was given away for free. This is about as fair of a launch as one could get. If you wanted to spend the effort in acquiring the $KOIN, all you needed to do was perform the work.

On that same day, an anonymous community member created the Uniswap V2 contract and trading of the newly minted tokens became history.

NOTE: Koinos Group does not provide any liquidity for trading! All liquidity is provided by community LPs!

Since the distribution of the first 100M $KOIN tokens acts a place holder for main net tokens, there is no “lockup” period. Buying the $KOIN tokens is a speculative investment and Koinos Group provides no promises or guarantees whatsoever to deliver anything.

Given their track history working on the STEEM blockchain and their full identify provided for anyone to verify, token holders should judge for themselves if buying $KOIN is right for them. Koinos Group is comprised of a 100% USA based team.

Why Does Koinos Group not provide Liquidity on Uniswap?

Every ERC-20 $KOIN that is in current circulation came from someone who ran the mining software. Koinos Group never intended to distribute the token on a DEX and therefore all of the trading that occurs on Uniswap is a driven purely by community participation.

$KOIN whales, who are they?

Since $KOIN was distributed via a PoW miner, it was accessible to anyone who wished to run the mining program, additionally, anyone can provide liquidity to buy/sell the token on Uniswap.

Therefore exiting $KOIN whales are people who were simply interested in the project’s goals and decided to buy a bunch. We have no idea who they are just like we have no idea who you are.

Historical links to the announcement of the launch of The Koinos Blockchain

https://medium.com/openorchard/announcing-koinos-whitepaper-koin-mining-e2755f5be33f
https://hackernoon.com/the-koinos-blockchain-whitepaper-evolving-framework-with-modular-upgradeability-and-governance-333t3w2p
https://bitcointalk.org/index.php?topic=5287191.0
https://peakd.com/hive-152786/@openorchard/announcing-openorchard-and-koinos

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