COLU LOCAL NETWORK
Our mission to create an open, better, more transparent infrastructure for processing payments.
Co founder CEO
Chief Economics and Regulation Officer
PROF. DAN ARIELY
Co founder VP Finance
Director of Business Operations
Head of HR
Co founder VP of Blockchain
Director of Marketing
- Crowdsale (35%)
- Team pool (6%)
- Community pool (30%)
- Future development pool (29%)
No vesting No additional bonus tokens.
6 months vesting (monthly basis) 4 percent additional bonus tokens.
1 year vesting (monthly basis) 12 percent additional bonus tokens.
2 years vesting (monthly basis) 26 percent additional bonus tokens.
3 year vesting (monthly basis) 35 percent additional bonus tokens.
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Estimate the project on a simple scale or switch to the five-point scale
Relevance of the problem and Market size
Founders, Team & Advisors
Budget allocation and roadmap
Token economy, Tokenization & Business model
Distribution & Lock up of tokens, Discounts for early buyers
Summary rate the project
Rate the project by other users3
The project represents a payment network aim of which is to use the capabilities of the cryptocurrency to create an open, more transparent infrastructure for payment processing that can offer a competitive alternative to credit card companies and payment providers. Simply put, the network will help to conduct transactions and process payments better.
Risks and disadvantages
The goal of every second cryptocurrency start-up is to improve the existing payment system. But unlike this project, most of them already work and have a capitalization of about a billion dollars or more. In addition, this project has no idea that would highlight it from the rest.
I think that this project has very few chances to crack into the market of payment systems and credit cards. Very high competition in this segment of the market, the lack of new solutions wouldn't allow this project to grow and become successful in the near future.
The project has a good press team which helps to ensure the publicity and the project and acts as a platform for officially communicating with the prospective investors. The project has relatively low crowd sales which will create high demand for the tokens on the exchange and also less demand for sale which will increase the token value, it also carry's the token held function that makes the venture very profitable. The project offers bonuses to the early investors which will attract many of them. The investors share of tokens is frozen for a period of time which will encourage many investors to get involved in the project because they will have confidence in the project.
Risks and disadvantages
The project accepts only one cryptocurrency which hinders the potential investors with alternate cryptocurrencies to invest this also limits the token value which increases the risk of getting a loss. the project has extremely low statistics in regard to the advertisements this will affect the potential growth of the business. The project has low tokens held by the founder members which might make the investors doubt the project because they can decide to sale off their tokens and abandon the business. The team lucks a well experienced team of advisers which will affect the proper progress of the project.
The initiative is creative and worth an investment it seems to be on the right truck of development. The project has high chances of succeeding and prevailing over the apparent competition in the market. However the team requires a group of experienced advisers to ensurer the progress of the project. It should also consider continuous development of project to ensure retention of employees.
Chance for people to use cryptocurrencies in practice. They will be able to buy different stuff by paying colu tokens.
Risks and disadvantages
The idea is not new. I doubt if merchants will agree to accept colu token. It is easier to use Bitcoin for instance, as it is more popular. And there is no need to conduct ICO for such purpose.
The team has not touched any new things. Moreover, I do not see any comparisons, given by the project why their platform is better than other one,
What is the incentive to use CLN-based local currencies as opposed to conventional Fiat currency?
Users will get community currency as a reward for purchasing from local merchants. When users use the CLN network, the fee that previously went to the credit card processor will instead go to the community currency as reward.
Do you have a working product available to test?
You will be able to test the functionality of the CLN once the token sale has ended, for now you can download our app that is currently not connected to the CLN. It is available on the App Store and Google Play.
What are the total amount of tokens that will be issued?
The CLN Genesis Contract will issue a total of 1,500,000,000 CLN Tokens ("Original Issuance") + Additional Lockup Allocation Pool (ALAP). This amount includes the CLNs that will be distributed in a presale, and in an open crowd sale (together, a "Token Sale Event"). The contribution will be capped upon receipt of USD 50M ("Hard Cap").
If I purchase the CLN Token, can I use it in the app for payment?
Sure, the CLN is what provides the tradeability of the community currency as a utility. You would be able to use it for payments as well and the conversion will be done in real time in the app.
What is the Colu Local Network (CLN)?
The Colu Local Network (CLN) is a new payment network for local communities that will replace clearing companies and payment processors.
Instead of subjecting consumers and businesses to pay superfluous fees, the CLN will use cryptocurrencies to distribute the savings back to the network's stakeholders.
Why do people need your network? Why not fork the technology?
The CLN will be created around its network and token - every service the CLN provides on the network will be accessible using its token. Users will have a choice to use any network for payments even if it’s a CLN fork.
When access and trust in the financial world is democratized, financial networks will have to think about adding value and cutting friction and concerns about forking will be secondary.
The added value of each network is not by its codebase, but rather, by the number of stakeholders and tools built on the network. The CLN not only provides the protocol and liquidity, but creates a network of users, businesses and gateways from day one. For example, if someone develops a micro payment solution then someone can just fork it, however, in our case it's a whole ecosystem of stakeholders which is unforkable.
Why local currencies? Why not just one currency that’s tied to the network?
Each community currency launched on the CLN represents a bond between community members of a specific location. In order to attach each community currency to local consumption we need to address the different purchasing powers in each local community.
For example, this is something that was disregarded by the Eurozone with the recent banking crisis in Greece. In order to create a more equal monetary system that promotes the bottom-up approach of deploying local payment infrastructures, a distributed network will have to consist out of separate community currencies - providing individual communities with access to the network and tools to manage their own wealth.
How are you going to grow and scale the CLN?
Over the last 3 years Colu learned how to build local communities and the technical challenges blockchain developers face in order to do that at scale.
Now we are planning to open source this knowledge so others will be able to grow the network. We’re approached frequently to bring Colu to new communities around the world (Universities, Municipalities, BID’s and more), and the CLN will enable new financial business models and for other stakeholders to build on top and expand the network.
What parts of the CLN are going to be open source?
Colu believes that in order to create long term value for the CLN, it has to achieve developer adoption of its open-source solution.
Open source technology allows us to reduce the cost of banking IT and increase the amount of local custodians without increasing custodial risk. Colu will contribute to the CLN open source effort with its wallet, and the Colu network and tools that are built on top of it. This will allow people to test, localize, experiment and customize the network’s payment solutions.
Where’s the need for the CLN? Why not use ETH or BTC?
We believe blockchain technology is in its infancy - this new asset class presents endless new possibilities that we are only beginning to explore. In the not so distant future, consumers will interact with tokens on a daily basis, with no friction and with better control over their privacy. Ultimately, there won’t be a single blockchain that will hold the entire human wealth - meaning that we can expect liquidity to flow to the network with the least amount of friction. That would brings consumers the most added value - in order to achieve the network effect and solve the chicken-and-egg problem, The CLN is built around its token and not around a single blockchain - as second layer solutions are being developed, this will allow access using the CLN to the technology that will preserve a superior payment experience with the best possible security. In the future this network might run on it’s own dedicated blockchain.
Does that mean you will stop supporting ColoredCoins?
ColoredCoins was originally a Bitcoin protocol.
Last May, Colu announced it is focusing the ColoredCoins development on second layer solutions. We believe that smart contracts are a major building block for the financial infrastructure required to support the network’s vision.
How will community currencies be created? Is there an automated process?
The community will explore publishing an open source playbook for issuing community currencies.
The goal is for the process to be collaborative and transparent with frequent trial and error that will help to rapidly experiment with different formulas, sharing the conclusions with the community.
What is the CLN Token?
The Colu Local Network (symbol: CLN) is a token based on the Ethereum blockchain technology. It is the core asset in the new decentralized local network which is described in the whitepaper document.
Users possessing CLN can access services on the CLN like transactions in different types of currencies and community currency issuance.
What does the CLN Token represent?
CLN tokens are Ethereum-based tokens in the network as described in the whitepaper. There is no promise of future performance. There is no suggestion or promise that the CLN token has or will hold a particular value. CLN tokens give no rights in the company and do not represent participation in the company. CLN tokens are sold as a functional good. CLN contributions are meant only for experts in cryptographic tokens and blockchain-based software systems. There is no guarantee that the CLN token or the community currencies on its platform will be successful and have any long-term value whatsoever.
Do you have a bounty program?
No, we do not currently have a bounty program.
Can citizens of the United States participate in the Token Sale?
Citizens of the U.S. can not participate in the token sale due to regulatory reasons.
Where is your company registered?
The company is registered with the Gibraltar Companies House under the name Colu Technologies DLT LTD.
Did you give pre-sale investor discounts?
Yes, BUT only with lockup periods as per the token sale description.
In order to ensure a fair crowdsale offering, the presale terms state that contributors will be granted the option to receive additional tokens in exchange for four different vesting periods, ranging from 6 months to three years.
What’s the timeline for the crowdsale?
The crowdsale will start on February 14, 2018 and will last 4 days (or until the crowdsale cap is reached).
The sale ETH address will be released 24 hours in advance, and will be visible only to participants who have been whitelisted in advance.
What happens if the Hard Cap is not reached? Are the tokens burned? Or are they distributed?
At the end of the crowdsale, if the hard cap isn't reached, remaining Original tokens will be offered to a whitelist of presale contributors with vesting options.
You can read about this in the token sale summary document.
Who holds the crowd sale funds?
You can read about this in the token sale summary document.
What amount is being raised? What’s the cap of tokens? Will there be a follow-on offering?
The tokens allocated for the Token Sale Event will be distributed as followed:
Presale - tokens distributed to early participants up to a cap of $25M.
Crowdsale - tokens distributed in the crowdsale, up to $25M, based on the terms described in the token sale summary.
You can read more about this in the token sale summary document
How do you keep KYC information secure?
We've implemented various security measures to ensure a safe process for the token sale.
We are taking all of the necessary actions to ensure the registration process and all of the data we receive is isolated on our secured cloud infrastructure.
All communication between the website and the servers is encrypted and access to unauthorized personnel is prohibited to prevent data leakage.
I didn't receive the verification email, what should I do?
After entering your email address to sign up for the token sale, you should receive an email with a verification code to continue the registration process.
If you haven't received the verification email, please check the following:
Make sure you've entered the correct email address
If you're using a Google inbox, check the Promotions tab
Check that the email is not in your Spam folder
If you've checked all the above and still don't see the email, please contact us.
What KYC process are you doing for the crowdsale?
What is KYC?
Know your customer (KYC) is the process of a business identifying and verifying the identity of its clients. The term is also used to refer to the bank and anti-money laundering regulations which governs these activities.
Why is Colu doing a KYC?
As part of the token sale we have retained top legal councils to advice us on best practices according to current regulatory environment. This sometimes is reflected in various procedures that we or our contributors are obliged to follow.
Why do you need my passport?
Reviewing one's passport is a way to verify their identity, as part of our KYC process. We require both the number and photo of the passport to confirm the ownership of the document.
Why do you need my photo?
We require one's photo to verify it matches the photo on the passport presented during the KYC process as a way to verify the passport holder's identity.
We believe that these guidelines, even though less convenient, will eventually benefit the CLN and its community, providing a safe and transparent experience for everyone involved.