Marketplace for tokenized real-world assets
IdeaFeX combines e-commerce-like experience and blockchain solutions for financing and investment. We present an easily-navigable marketplace that supports new classes of real-world assets, notably exotic assets and product futures, much of which have so far been illiquid and/or indivisible. Examples of these assets include business assets, commercial real estate, infrastructure, collectibles, inventory, and valuable goods, etc. Currently, inefficient processes, unnecessary restrictions, and misaligned interests plague financing and investment. Access–cost–flexibility and access–returns–stability are two notable sets of tradeoffs where existing alternatives continually disappoint fundraisers and investors. Combining marketplace format, auction method, and exchange support, IdeaFeX offers transformational combinations of high access, low cost, high flexibility, and high liquidity to new asset classes that can quickly grow into a trillion-dollar market.
IdeaFeX addresses three notable pain points in financing and investment that underpin suboptimal resource allocation in the economy: inefficient processes, unnecessary restrictions, and misaligned interests. We propose a three-pronged solution that combines e-commerce-like experience with latest developments in blockchain.
The first prong is our marketplace interfaced with distributed ledger. The tamper resistance and easy fractioning afforded by blockchain makes our support of new asset classes possible. Notably, exotic assets and product futures have few existing alternatives, and none offers similar levels of flexibility and access to fundraisers and investors. To help users navigate wide arrays of asset classes, we integrate intelligent and adaptive search and filtering commonly found in leading e-commerce platforms such as Amazon. This move further improves discovery and matching between fundraisers and investors. Last but not least, we adopt the latest blockchain protocols to improve transparency, governance, and the fulfillment of the terms of investment.
The second prong is our innovative auction method. By allowing all interested investors to determine together the final price of an asset token, this auction method ensures that all winning bidders are willing to pay at least the final auction price given all public information, and that all losing bidders are prepared to pay at most this price. It thereby secures optimal price discovery. Moreover, restriction on the number of participants to a deal is unnecessary; access, therefore, is considerably broader as a result. By concentrating all interactions within the bidding window, auction also saves time by reducing repetition in financing deal-making.
The third prong is our manipulation-resistant exchange. We recognize safety and compliance as the prerequisites for our success in promoting financing and investment with new asset classes. Consequently, all listed assets must meet our high listing standards, including audit and custody requirements depending on the specific asset classification; all investors must also pass standard KYC (Know Your Customer) checks. Additionally, we will employ state-of-the-art digital asset custody solutions. Thieves, bad bots, manipulators, and other malicious players are forbidden. Finally, we incorporate several levers to maximize liquidity.
We bring our solution to exotic assets, product futures, and traditional securities. Leading examples of exotic assets include collectibles, business assets, commercial real estate, and infrastructure; inventory and valuable goods are examples of product futures. Their difference lies in whether the asset is physically deliverable to the investor. Our conservative projection shows that within a decade this will grow into a trillion-dollar-per-year market. With a clear strategy to capture this burgeoning market as well as a simple, success-fee-based business model, we aim to grow together with this market into a leading player in financing and investment.
A vibrant user community is essential in achieving this. Therefore, we have designed the IdeaFeX Token (IFX) with four foundational values: (i) it benefits our user community, (ii) it drives active use, (iii) it promotes organic growth, and (iv) it supports continued adoption well into the future. Specifically, the IFX has four functions and one additional feature:
- Discount: Using IFX to pay fees allows users to receive discounts. This discount applies to both fundraisers and investors, in both primary and secondary markets.
- Referral award: After a new user registers as an investor with the unique referral code, each time s/he uses IFX to pay fees the original referee receives an award.
- Staking: Fundraisers can stake IFX for their asset listings. When other criteria have been exhausted, staking will improve search ranking.
- Fundraising bonus: Additional discount to fees apply when the fundraiser accepts IFX exclusively in their financing.
- Token burn: We systematically reduce the total supply of IFX by burning at least 10% of the tokens that we collect through fee payments.
To our initial token sale, we allocate 40% of the total supply of IFX. Another 30% is put aside for potential future token sales. For community-building, including local IdeaFeX communities, we allocate 15% of the tokens. The team reserves 15% of the tokens, which cannot be sold within the first three years.
Each token is priced at 0.1 EUR at the start of the ICO. After each 10% of the tokens are sold, the price increases by 0.01 EUR. After 90% of the tokens are sold in the ICO, the final price will be 0.19 EUR/token.
For further information regarding our project, we encourage you to read our Token White Paper available in this listing and on our website. You are also welcome to pose questions directly to the team on all our official social media channels.