NeuCoin Implements ‘Anti-Whale’ Measures in Reaction to Presale Popularity

By April 24, 2015Bitcoin Business
Click here to view original web page at cointelegraph.com
NeuCoin Implements ‘Anti-Whale’ Measures in Reaction to Presale Popularity

Next-generation proof-of-stake altcoin NeuCoin has seen unprecedented interest in its April 28 presale since its announcement last week.

NeuCoin, a fork of Peercoin seeking to provide a watertight proof-of-stake currency, will use funds generated in the presale to work on its micropayment platforms with partners Mondo Media and online music service Jango.com.

Since the announcement, over 1,500 users have expressed interest in purchasing NeuCoin, prompting developers to implement tools to ensure both smaller and larger investors have the chance to purchase their desired amount. Co-founder Dan Kaufman told CoinTelegraph:

“A primary purpose of the presale is to involve as many people as possible prior to launch, thousands of small buyers rather than a handful of whales. Plus we want to make sure that the core community of buyers who are most likely to later recruit new users to NeuCoin are able to participate.”

The presale will be offered in stages, with buying caps in place to ensure no wholesale purchases are carried out by a small number of investors. An initial cap of 5 million NeuCoins will decrease to 1 million after the first 50 million coins have been sold, ensuring no single investor buys up the remaining coins, should it become clear that the presale will sell out.

A bonus referral program is also set to be launched, incentivizing early purchases by offering a 50% bonus on all coins earned through referral programs that will be offered by the NeuCoin Growth Foundation for the first year after the launch. Kaufman added:

“We believe these early adopters, no matter how small their investment capacity, are super valuable to the adoption and growth of NeuCoin—and we want to make it beneficial for people to put in even the minimum of US$23 (0.01 BTC).”

NeuCoin’s team told CoinTelegraph that the team had been taken aback by the scale of the reaction to the presale launch, having previously worked to reassure curious potential investors regarding the benefits of the premine model.

“NeuCoin has previously raised US$2.25 million in seed and angel funding and doesn't need the money to finalize the coin,” Kaufman said, adding that the presale profits will be held in a publicly visible multisig address until after the coin launches, thereafter being distributed to NeuCoin’s non-profit foundations and used to fund partner development programs as well as new-user acquisition. Separately, developers have implemented a “money-back-guarantee” style insurance policy whereby bitcoins used to purchase NeuCoins will be returned to creditors should the launch be postponed later than September 30.

NeuCoin’s release was conspicuous prior to the presale opening. The technology fueled heated debate on the proof-of-work and proof-of-stake models, even drawing in Bitcoin core developers. Together with its planned mainstream partner implementations, NeuCoin is expected to remain a talking point for the cryptocurrency community in the coming months.

“We're very excited about the presale and hope NeuCoin will get the widest holder base possible,” Kaufman concluded.

The NeuCoin presale will begin on Tuesday, April 28 at 10:00 a.m. PST (6:00 p.m. GMT).

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NeuCoin, a fork of Peercoin seeking to provide a watertight proof-of-stake currency, will use funds generated in the presale to work on its micropayment platforms with partners Mondo Media and online music service Jango.com.

Since the announcement, over 1,500 users have expressed interest in purchasing NeuCoin, prompting developers to implement tools to ensure both smaller and larger investors […]

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