The digital currency has completely changed the manner in which parties transfer value to each other. Now, the world is going to witness the second wave of the crypto revolution with a lot of new companies starting to make use of the initial coin offering and tokenization as a way of raising capital to finance innovative and new platforms without the requirement for traditional venture capital.
The Debitum network functions as an ecosystem that provides borderless small business funding and is going to leverage the dynamic and reliable nature of Blockchain to distribute as well as secure paper currencies in the ecosystem of small enterprises.
The Debitum system has been created on the system of fairness, accessibility, and decentralization. It wishes to design a manner in which small, medium, and micro companies get a chance to access finance for growth. The network of Debitum is aimed to address the credit gap of around 2 trillion dollars that exist in the current environment of small and medium enterprises.
The users of the Debitum network will be able to link for free and can also perform the cross-border transaction, which does not have any stifling regulation and high costs associated with conventional lending. Designed in the form of a hybrid platform, Debitum is going to operate on Blockchain of Ethereum and facilitate settlements through the use of smart contracts.
The platform of Debitum has entered into a partnership with Debifo, another platform of financing, which is going to boast the portfolio of its current assets of more than 3 million euros. It has also collaborated with a northern European tech organization, having over 151,000 hours of the project.
The initial coin offering of the Debitum platform took place on November 30, 2017 that generated the funds required to initiate and develop the platform. Around 1 billion tokens of DEB were released at the time of crowdsale and that too were based on the ERC223 standard of Ethereum. The token crowdsale came to an end on December 30, 2017.
In the first step 1, ETH was equivalent to 3,750 DEB, which increased by 450 DEB in the second step. In the last step, 1 ETH was equivalent to 2,888 DEB. Three-fifth of the total number of tokens released in the crowdsale were made available for the people to buy; whereas, the remaining two-fifth tokens were distributed amongst the Debitum team and its supporters. Plus, some of the remaining tokens were also transferred to the reserve.
The reserve of the Debitum network is going to be used in the efficient operations of the Debitum ecosystem. Furthermore, it will be used to lend the tokens to service providers that have joined recently. This is going to reduce the barriers to entry and will allow other skeptical parties to join the environment. Moreover, it is going to cover the risk of non-systematic counterparties. If you want to get more details about this platform and its tokens, then read its whitepaper.