ICOs and token gross sales became well-liked in the crypto community in 2017, raising an estimated $4.9 billion by the end of the year. While several have gone on to achieve success, many more have failed, and it cannot be argued that ICOs have a number of faults, most notably that they are vulnerable and centralized.
ICOs have several noteworthy faults, including discrimination by third parties, theft susceptibility, human mistake, and lack of privacy. More recently, investors have opted for prudence and favor investing in projects with a higher likelihood of increasing their ROIs. Could IDOs (preliminary DEX options) be the best option?
Due to the decentralized nature of IDOs, this new model aims to address the issues with ICOs while expanding the capabilities of the crypto market. By utilizing IDOs for crowdfunding, entrepreneurs can develop a blockchain product that is less susceptible to malevolent third-party influences, hackers, and human error. Moreover, token holders’ cash is automatically protected from their wallets and private keys.
With Calyx Token (CLX) entering presale and already generating interest, what can investors expect from the mysterious new Calyx Token (CLX), based on prior IDOs?
UMA Protocol (UMA)
An example of an IDO is the UMA Protocol (UMA), an Ethereum (ETH)-based platform for manufacturing and trading artificial items. The decentralized autonomous organization MahaDAO has created an IDO so that MAHA (their governance token) can be deployed. This token administers ARTH, the world’s first non-depreciating cryptocurrency, based on its founders.
Another example is SushiSwap (SUSHI), a decentralized cryptocurrency exchange based on Ethereum (ETH). SushiSwap (SUSHI) is attempting to displace Uniswap (UNI) as the most popular Ethereum-based DEX platform. In September 2020, SushiSwap (SUSHI) clients are said to have transferred approximately $1.14 billion in Uniswap (UNI) locked crypto assets to the SushiSwap (SUSHI) platform.
Instead of conducting an ICO, SushiSwap (SUSHI) compensated liquidity providers on Uniswap (UNI) by allowing them to stake their LP tokens on the platform. The customer’s efforts have been rewarded with SUSHI tokens. Throughout the first two weeks of SushiSwap, 1,000 SUSHI tokens were issued to users that staked their Uniswap (UNI) LP tokens on SushiSwap’s (SUSHI) prototype protocol each Ethereum (ETH) block, or around every 12 seconds.
Calyx Token (CLX)
Calyx Token (CLX) intends to change the game for those who rely on exchanges to buy cryptocurrencies but are fed up with the slow and costly process. With the community’s Calyx Swap, this process can be abolished by making it straightforward for customers to trade between tokens in a single transaction at the lowest costs available on all DEX platforms.
Calyx Token (CLX) also aims to maximally include DeFi. Customers will not be required to make an account on Calyx Token (CLX) or register in order to participate in its seamless exchange process. In the interim, the token swap may be conducted on the Ethereum (ETH) blockchain for transparent transactions, with the potential to expand to other blockchains in the future, as outlined in its road map.
Importantly, with CalyxDAO, Calyx Token (CLX) will be entirely community-driven — administered and governed by community members who hold the native token $CLX. As the Calyx Token (CLX) expands, it will be more important than ever to place full control in the hands of the community, allowing them to vote on and implement crucial network decisions.
Facilitated by smart contracts, Calyx Token (CLX) seeks to be trustworthy, secure, and transparent. Unlike other exchange platforms, Calyx Token (CLX) will provide instantaneous trade, with consumers receiving the needed tokens instantly. In addition, Calyx Token (CLX) is paving the road for Internet 3.0 by providing a dynamic range of token options for quick transactions with low settlement risk, which is a key factor in making the product ready for real-world commerce.