A Review of the Restart ICO and whether you should invest
ICO — The Money Maker
The market capitalization of all cryptocurrencies has risen from $7 billion in January 2016 to a staggering $130 billion as of September. Furthermore, Bitcoin has appreciated by nearly 30 times since September 2013 (from $135 to $7,000 as of November) and Ethereum has increased by a staggering 100 times since August 2015 (from $2.83 to over $300), as Ethereum becomes the de-facto building block for ICOs. Numbers clearly suggest that early buyers of cryptocurrency have made unimaginable fortunes.
Token Sale represents the perfect opportunity for sophisticated investors to diversify their holdings from fiat assets and gold. Investors seem to be listening and voting with their money with ICOs surpassing VCs as the first port of call for startups. The trajectory of ICO fundraising is symbolic that the tide has well and truly turned: The total fundraising via ICOs in April was $103M. May $232M. June hit $462M. July $574M and September saw a mammoth over $800 million raise. ICOs are redefining the financial and investing world and every smart investor needs to diversify some of his assets into the ICO universe. Restart Energy, a 20 million dollar energy business in Europe is coming out with a token sale. This is a good bet for new investors who can take comfort from the real world credentials of the company and the management team.
Restart Energy — An energy provider
Restart Energy is an independent energy supplier in Europe aiming to create a transparent energy ecosystem that empowers free and direct energy transfer. In 2016, the company achieved a sales growth of 400% as compared to 2015 and also earned a revenue of €4.7 million. The company will generate revenues of $20 million in 2017. In the last two years, the company has been able to build a customer base of 30000 retail and corporate customers.
Restart Energy wants to become the new benchmark for energy by democratizing power trading between buyers and suppliers. Its Red Platform is the ecosystem facilitating all transactions. In order to have access to this platform, one needs to hold RED MegaWatt Tokens (RED MWAT). One can procure these tokens through the ICO to be held in January 2018.
Structure of ICO
The company has designed the following structure for launching its ICO next year.
• Token Price — The company will create nearly 1.199 billion RED MegaWatt Tokens which will be sold at an initial rate of 59756 RED MegaWatt Tokens per BTC. The rate may be adjusted to an extent where the RED MWAT Token becomes worth $0.1 dollars.
• Discounts — During the pre ICO sale period that starts from 15th January to 5th February, 2018, RED MegaWatt Tokens will be sold after applying the following discount: 20%, 10,000$ minimum contribution.
During ICO (6th February — 6th March 2018), the following terms as far as discounts will apply:
During Day 1 of the ICO sale period, the discount will be 15%. Each day the discount will go down by 1% down to a minimum of 0%.
In the last 15 days of the ICO, there will be no more discount.
• Currencies accepted for purchasing RED MegaWatt Tokens –
The company will accept ETH and BTC for purchasing RED MegaWatt Tokens. ETH payments will be accepted via a smart contract while BTC payments will be accepted via an escrow account.
• Token Distribution — The company will be selling 50% of the coins in the ICO whereas 30% will be kept in a reserve fund and the last 20% will be kept by the team in a lockup structure for team incentivization.
• Use of Funds — Almost 20% of the funds procured from the sale of tokens will be employed for acquiring 10 MW operational solar and small hydro power plants. This will help it consolidate the existing business of supplying energy and gas to its 30000 customers. 20% of the token proceeds will be utilized for the development of the RED platform and lastly, 60% of the funds will be used to expand the RED business model by franchising to more than 45 global markets. This must be one of the only ICOs that are investing funds into a real world asset. This a major positive sign for prospective investors.
The company could have easily tapped VC and PE investors to fund its expansion. With $20 million in revenues, it would have been an easy sale. But the founder, Armand Doru Domuta, believes in the transformative power of blockhain and smart contracts and what it can do for the real world suffering high prices under energy monopolies.
The company uses blockchain technology as the basis for the energy supply platform, in order to apply the technology’s intrinsic nature of transparency, decentralization, and security. By creating a token, the company is rewarding its supporters and users who transact via the platform and it also creates a perpetual network effect where the value of the token appreciates as the number of users on the platform surge.
Red MegaWatt Tokens are the first crypto tokens backed by real energy and business opportunities. These tokens act as virtual batteries with a storage capacity of 1 MWH. The energy producers and suppliers associated with the company will donate an amount between 1% and 5% of energy traded on the RED Platform in a special energy fund, in exchange for access to the RED-Platform. This energy will be proportionately distributed on a monthly basis to the token holders. The more the energy producers and suppliers use RED-P, the more energy will be donated and thus more energy is distributed among the RED MWAT holders. The token holders can also have their own power retail business and sell energy to retail customers. They are given free access to a RED Franchise where they can generate revenue from selling energy.
The unprecedented rise in the number of ICOs has left investors perplexed and confused regarding their choices. On one hand, they are fascinated by the attractive returns an ICO offers and on the other hand they are worried about the possibility of being stuck in a no-good company. But Restart Energy comes with a proven business track record, a professional management team and a stalwart board of advisors. Restart ICO is an easy investment choice for your portfolio.