Dubai-based crypto exchange BTSE is looking to raise $50M in token offering on the Liquid Network provided by Blockstream.
BTSE token offering
BTSE is looking to sell 50 million tokens at the price of one dollar each. The project is expected to be launched in March next year with a total supply of 200 million tokens. The company would eventually buy back half of the total supply and burn those tokens.
Currently, the focus is on raising funds with the BTSE token offering. The company would focus those funds to increase the platform revenue, liquidity. Meanwhile, the funds would also be utilised to explore mining, lending and over the counter markets. The minimum investment required is at least 150,000 dollars and above.
Liquid Network works parallel to the Bitcoin network. If the project succeeds in achieving its aim sidechains would once again take the limelight of decentralized finance. Bitcoin has numerous sidechains and sidechain projects such as RSK and Liquid.
With sidechains, an asset can be locked on the Bitcoin network and traded on a parallel network and vice versa. This enables the creation of smart contracts and other complex operations while also allowing issuance of tokens on the sidechains without interacting with the main Bitcoin chain.
The idea was still in conception a few years ago but with the emergence of Ethereum changed the situation. Ethereum was specifically designed to support the implementation of such tools. Ethereum soon became the go-to launching pad for many initial coin offerings and other such activities.
BTSE would be the first exchange platform to issue a token on Liquid and the largest one with the aim of fundraising. Currently, the platform is hosting Pixelmatic that seeks to raise 16 million dollars.