All posts by Thomas_Prendergast

Just trying to hire Mellenials is a challenge

Trying to Manage Millennials at Work? Here's How Facebook Does It.

Figuring out how to recruit, retain and motivate millennials – those born after 1980 – can be a fraught exercise. We’re talking about a generation that has been the subject of a million, often-contradictory think pieces – depending on your perspective, millennials are either hard-working, ambitious and clear-headed or lazy, entitled, and delusional. Understandably, building an actionable management strategy on these muddled generalizations can be tough for any company.

As guidance, then, perhaps it’s helpful to examine the tangible ways one very successful company manages its millennial employees: Let’s take a look at Facebook.

Facebook knows a thing or two about millennials — According to a recent study by Payscale, the median age at the tech company is 28, meaning the vast majority of its employees fall squarely within the generation’s age bracket. To effectively manage its overwhelmingly young workforce, Facebook has adopted a set of somewhat unconventional set of management techniques, The Wall Street Journal reports, one that caters to employees’ thirst for freedom and control as well as their aversion to inertia and top-down leadership.

1. Conversational management style

At most companies, managers tell employees what to do. That’s not necessarily how it works at Facebook. According to the Journal, even entry-level employees are encouraged to question manager’s decisions, and offer up their own solutions and feedback. In addition, the manager-employee relationship isn’t always based on giving orders on one side, and executing them on the other. Instead, managers are tasked with making it easier for employees to achieve their own, individual goals. “Sometimes their role is to help you get the resources you need and to move things out of your way,” one former Facebook sales team employee told the outlet.

2. Shifting roles

Millennials are often characterized as flighty – and it’s true that unlike previous generations, they are comfortable switching employers every few years in search of better opportunities. Recognizing this, Facebook encourages employees to routinely change roles within the company based on their strengths and career objectives. It’s not unusual for a worker to be hired for one job, and then quickly transition to another based on his or her initial performance. Paddy Underwood, 28, was hired as a lawyer on Facebook’s privacy team, but two years in, he decided he wanted to pivot from practicing law to building products, he told the Journal. He sat down with his managers, and they made the job transfer happen. Other employees are encouraged to switch roles based on their skill sets.

3. Grading on a curve

Instead of measuring employees’ performance against a static list of criteria, they are graded on a curve – i.e. individual performance is evaluated on how it stacks up against everyone else’s. This keeps even the brightest workers on their toes, and maintains a consistently high standard of work. For employees used to glowing performance reviews, an average rating (meaning they are working at the same level as their co-workers) can be “the worst thing that ever happened in their career,” Don Faul, Facebook’s former president of online operations, told the Journal.

Of course, Facebook’s management techniques won’t work at every company, or in every industry. The little value it places on titles may jar older employees, and the fast-paced, mercurial environment can lead to burn-out (which perhaps helps explain Facebook’s young median age). That said, the way Facebook – an incredibly successful company built by millennials, and largely run by them — caters to its employees’ desires and work-style is a useful template for any company looking to effectively manage millennials.

Article by:

Entrepreneur Staff

Age and Experience Don’t Matter. Mindset Does.

Age and Experience Don't Matter. Mindset Does.

Since the 1960s people have talked about "the generation gap," the difference in ideas, opinions and behaviors that separates older from younger people.

The divide narrows or widens from time to time, but it’s always there, and at the moment it seems to be cutting through the workplace in a particularly complex way: Very soon, four generations will be working together or living under the same roof.

With retirement disappearing as a concept for more and more mature professionals who are having to work longer than they intended to supplement their pension, there are fewer job opportunities for those who are younger. That’s led not just to higher levels of youth unemployment, but also of a sense of unfulfillment among greater numbers of professionals around the world who suffer from increasing levels of stress and lack of purpose in their work.

When the baby boomers (born from 1946 to the 60s) and generation X (those born in the 60s and 70s) do come together in the workplace with the much younger millennials (the connected generation of "digital natives" born in the 80s and 90s), there are often tensions.

It will be interesting to see the new and very real challenges and opportunities arising when all these groups are joined by those among generation Z (those born from the mid 1990s onwards), who have never known a life without super-fast communication and unlimited access to media technologies, smartphones and online shopping.

The baby boomers and some in gen X often perceive their younger counterparts as having an unjustified sense of entitlement, with no real work ethic, and unwilling to "pay their dues" by starting at the bottom and working their way up.

At the same time, younger employees see their seniors as intransigent, inflexible and no longer best equipped to make the right decisions. Generations Y and Z expect to have knowledge at their fingertips and the independence technology gives them to be able to work anywhere and for whom they choose. Highly transient and mobile, they expect immediate responses from others.

However, because they prefer to sit behind and communicate through the screens of their PCs, laptops and smartphones, their under-developed ability to communicate face to face could put them at a disadvantage when it comes to managing staff, making presentations and connecting with those in other generations.

Whatever the relative truth of the matter, this can make for a challenging mix.

For many in this generation war, the young seem to be winning so far, with the millennials squeezing out the baby boomers and even gen X'ers in a battle of salary cuts as companies, cash strapped after the recent downturn, seek to rein in spending.

However, while age and lifestyle preferences are often seen as the major dividing line between us, I believe there’s one that’s even more important — mindset, something that goes beyond age, gender, education, wealth and geography.

It is by focusing on mindsets and values that I believe we can transcend the traditional generational descriptions that so often seem to create division rather than harmony and unity.

I see mindset and attitude as the real differentiator of talent in our world. But while it is crucially important, it’s something that, as yet, very few companies consider when recruiting or selecting staff.

In my book Corporate Escape: the Rise of the New Entrepreneur, I coined the terms SUPER– (negative) Generation and SUPER+ (positive) Generation to separate the two opposing mindsets I see prevalent in organizations and society as a whole, with SUPER being an acronym for the characteristic way in which each sees and approaches the world.

So those in the SUPER–  Generation tend to be superficial, focused primarily on their possessions and external appearance. They have an ongoing need to purchase the latest gadgets and want whatever others have.

They are also unfulfilled, feeling "empty" because of an excessive focus on their appearance and "external" things, which don’t really satisfy their inner needs.

Consequently, with few real "anchors" in their lives, they feel left out and often become negative about the future. Without any sense of purpose or direction, this makes them pessimistic, as well as rather self-centered and egocentric. They believe the world is all about "them," so they’re rarely willing to take responsibility for their behavior and actions or take ownership for their own success.

And since all this makes their lives less than happy, they are restless, always searching for the next "new thing." Their world revolves around others and what is fashionable, superficial and temporary.

Unfortunately, a large percentage of those in any kind of work and experience fall well and truly into this category.

Then there are those who are members of that other club: the SUPER+ Generation.

These are individuals who don’t wait for things to happen, but who make them happen, which tends to make them more successful.

They aren’t frightened to stand out and be different, which means they are independent thinkers, often with an unconventional outlook and approach.

Driven to succeed, they are energetic and passionate about making a difference, which frequently comes through in their innately entrepreneurial approach to life, taking responsibility for their own actions.

Finally, they believe in making things happen through a collaborative approach, which is why they are relational, global thinkers who are able to see beyond "me" and "you" to "us."

As an entrepreneur, business owner or manager, who would you want more of on your side?

Those in then SUPER+ Generation I suspect, because it’s they who will drive companies and societal evolution forward. They are the leaders of tomorrow.

And since this fundamental division between generations goes largely unrecognized, businesses continue to employ based on other criteria — normally the traditional CVs and cost — a short-term approach that can leave mature professionals with plenty of knowledge and industry experience standing on the wrong side of the door. However, given increasingly volatile, uncertain and complex economies and global markets, if you really want to make things happen in the best way, experienced heads are often still needed alongside the energy and new perceptions of those who are younger. You are created to work with others, to collaborate and learn together, not to be in constant opposition.

The great thing is that at any moment you have the power to create the professional world you want to be part of. One in which where you come from, your age and gender, or and what you have done before is less important than your vision of what is possible.

When the future is created one step at the time, isn’t it time to see beyond the generations?

Author: Maite Baron
Multi-Award Winning Author,
International Speaker,
Co-Founder of
TheCorporateEscape.com

 

 

Coming Soon the Affiliate Program (Explained)

The Markethive Affiliate program is inspired by a similar program that Paypal used to expand the membership and develop recognition of their brand and their service. Starting out with just 20 people, their affiliate program started out and maintained a 7% growth daily. Which equates to doubling the membership base every 2 weeks. This is why we are building a similar program.

The Be The Alpha affiliate program for Markethive members illustrated:

Unlike Paypal, we do not have large venture capital, therefore we have decided to be generous in our affiliate commissions to inspire exponential growth. Our affiliate program pays up to 50% to qualified members from all of their front line advertising revenues. Advertising revenues come from banner ads, profile page upgrades, calendar promotions and news feed boosts. Additional revenues can be expected during the life of the company from technology expansions like the current revelation of integrated conference rooms.

We are mixing the affiliate program into an entrepreneur training and development process called the Be The Alpha program and the structural layout works like this.


   
FREE
Selected allows the member to access the system without the annoying popups pitching the program for 30 days. No capture page and no commissions.
  $25 PER MONTH
Selected the members Profile page activates to capture new memberships into the system as their children. Contributes $25 per month into their ad credits account. No commissions paid.
  $50 PER MONTH
Selected the members Profile page activates to capture new memberships into the system as their children. Contributes $100 per month into the their ad credits. 25% commissions paid.
         
         
   
$100 PER MONTH
Selected the members Profile page activates to capture new memberships into the system as their children. Contributes $300 per month into their ad credits account. 40% commissions paid.
  $2000 PER YEAR
Selected the members Profile page activates to capture new memberships into the system as their children. One time deposit of $4000 in Ad credits and contributes $300 per month for the year. 50% commissions paid.
  $5000 ONE TIME PAYMENT
One time deposit of $10,000 in Ad credits and contributes $200 per month for life of the company. 50% commissions paid. 5% company revenue shared with all ALPHA FOUNDER members pool.

The Be The Alpha affiliate program uses the parent | child terminology to define the relationship that develops when a new member registers via the Alpha Profile page.

Like software, we refer to the owner of the profile page when their profile page is upgraded to capture new Markethive memberships, as "parent" and the new members that sign up into the parents profile capture page as "children". This terminology lends itself to our description because the "parents" as mentors to their "children" inherit a certain responsibility to take a level of responsibility to assist their children to grow into competent parents themselves.

The program evolves or ascends from each level to a higher action. The first level, Trailblazer. is designed to give the new member 30 days rest from the constant default to the Alpha Promotion page found in the Home section of the platform. After 30 days that page will again begin to play the promotional video to upgrade your system every time the member logs in or navigates the home section where the News Feed is. We certainly do not want to annoy our members, however, we would like to keep them gently aware of the benefits awaiting them by upgrading.

In the same notion, new members are connected to a Parent, A Parent is an upgraded paid member ,as upgraded members only receive new membership registrations. And as the parent rises in rank and growth, there integration to their children increases and their schooling becoming greater and more responsible entrepreneurs grows. So here is the theory in a nutshell, when it comes to building responsible, effective proven ethical entrepreneurial leadership:


Be The Alpha” Entrepreneur program.

The very being and wanting to become an entrepreneur is a journey that begins in the heart and the soul. What is an entrepreneur and how do we know if we have what is called a calling? Defining exactly what an entrepreneur is, sometimes, it is easier to define what an entrepreneur is not.

What is not an Entrepreneur?

An Entrepreneur does not spam.  An Entrepreneur does not engage into a business opportunity just to make money or just to make a living. Entrepreneurs are not capitalist in that they do not exploit others or resources just to get rich. They do not lie, cheat and steal to get ahead or to just make a profit.

Time for a PSA (Public Service Announcement)
“Do not get me wrong here.  Capitalism as a political system versus socialism, communism, oligarchies, monarchies, dictatorships, etc. is a superior system. Capitalism as an economic system allows an open system made for free enterprise and it is in such a system Entrepreneurs flourish. However, being the very nature of Entrepreneurs, we can flourish in the darkest of times and it is the Entrepreneurs that push towards the light in all things such as they are.”

The characteristics of an Entrepreneur:

Entrepreneurs are leaders, "not managers". Innovators and visionaries with an endless supply of enthusiasm and connected to a resource of inner knowledge and ideas. Many potential entrepreneurs are inhibited and in bondage to the consistent worldly messages to conform, to get the job, become a cog, get a college education, go into debt and comply to the authoritative message.

Competent entrepreneurs walk in front and show others the way. They take on the hard to do, they lift the heavy obstacles, and like the Marines, are always first in and last out. Tom Sawyer is the proverbial entrepreneur, showing the crowd a master piece in the process of painting the fence faster and better than the crowd who gathered to watch.  It is awe that makes the crowd members pick up a brush and join in and inspired by Tom they stay involved through the entire process and keep recruiting others.

Entrepreneurs never take short cuts. They stand firm on ethics and imbibe a level of integrity others are attracted to and recognize. Entrepreneurs are natural born leaders. They don’t stop for nearly as many breaks or gather around and watch others. Entrepreneurs always hoe to the end of the row, even in heat, rain, storm or even when supper is calling.

Entrepreneurs rarely get fired. But they often get fired up. They will quit any job that asks them to do something they don’t believe in. But they will work at any job if the reason is strong enough or they have given their word.

Entrepreneurs are shepherds with a staff who call out with their voice, not sheep herders that ride horses with lots of smart dogs that nip at your heals.

Entrepreneurs know you need to be both a leader and a manager… in that order. They always start with a leader, and then find a manager.

They know a great leader is the ultimate solution to any problem. They pay ten to a thousand times more money for a great leader than a great manager… in a heartbeat.

Entrepreneurs begin to sing out when the song begins, because they know the other voices will soon blend in and hide the fact they are slightly off key.

Entrepreneurs seek out the one lagging beyond, find what makes them tick, then challenge them to keep up and to keep time.

This is what the “Be The Alpha” program is all about.

So you want success, you want to be entrepreneurial; you want to engage your dreams, be a leader and develop the skills to make this a reality. This is why we have developed this system.

You are attracted to the Markethive and decide to sign up. You are attracted to the movement, a vision bigger than you, a mission to change the world. We all know that the spirit of entrepreneurialism is dying in America. 

For the first time in America, new business starts are dropping despite the fact the population among those in ages between 25-55 historically the prime years for starting business is growing. Even more alarming is the rate of business formation has slowed, the pace of business closures, which had held steady over the previous decade, started to ascend in 2005 and spiked in 2008, according to data compiled by the Brookings Institute. Consequently, business deaths now outpace business births for the first time since researchers started collecting the data in the late 1970’s.

Read the article here

Therefore, the advancement, the expansion and the support of a growing base of Entrepreneurs almost takes on a religious zealousness here at Markethive.

Therefore the way we are developing our affiliate program. It has several aspects as to the why we are doing this. Primarily to drive our growth in revenues so we can reinvest back into the system as well as the mission, but even more important to start building a growing army of motivated, empowered competent entrepreneurs.

The Markethive system offers a portfolio of incredible, proprietary marketing systems that elsewhere would cost upwards of thousands of dollars a month. We are making it for free, for everyone, for life.  Our source of revenue is the advertisement, not monthly membership subscriptions or any MLM type of “hope and dreams” mentality.

The new subscriber is immediately introduced to the “Be The Alpha” program where entry is free and by entering, the constant default to the Alpha Promotion video is halted for 30 days. After 30 days it will begin its annoying constant playing again, reminding the active member to make a choice again.

That beginning entry is simply called Trailblazer. This is the new member's first intro to the process of becoming entrepreneurial in character, word and deed. This process will become more sophisticated as we go. The level will be alerted to the “parent”, it will be noted on the members profile, there level and a small icon will be associated next to or on their profile picture where ever that picture appears.

It should be expected that the “parent” would take interest in their children growing and making sure the child begin watching the motivational videos, attend the many weekly motivational orientations and groups, to begin the engagement into the culture of the Entrepreneur @ Markethive, so to speak.

Once this journey begins, the system, the mentoring, the motivational orientations, the “parent” and the company will gently persuade the Trailblazer to upgrade to Voyager.

Voyager is no different than any other advertising program in Markethive, other than it actually delivers greater value. The entry level monthly fee of $25 per month, as all of our Alpha affiliate programs, always provide an equal or greater result in ad credits. As well, the Voyager platform gives the membership a Profile (capture) page, so all traffic sent to the members profile page, should a registration occur, that prospect is locked in as the “child” to the Voyager, that prospect becomes the Voyagers lead and that prospect also receives the Voyagers autoresponders and entered into the group of choice in the Profile page configuration. Voyagers do not receive advertising commissions; rather they are concentrated on building a database of “children”. As the population of children grow, with mentoring from the Markethive culture, support from the parent to the Voyager and realization that this group of children are starting to rise in the ranks from Trailblazer, to Voyagers themselves, the next step is simply to understand and the next logical action in the learning curve of the evolution of the developing entrepreneur is upgrading to Navigator.

Navigator is not really much different than Voyager, other than you progress to gathering even more advertising credits and start receiving commissions from your “children’s” advertising purchase’s.  The monthly cost doubles from $25 per month to $50 per month.  However the monthly ad credits quadruples. In other words, your $50 per month contribution earns you $100 in ad credits. But it also opens up to start receiving 25% commissions on all your children’s money transactions within Markethive. All transactions, because all transactions are only for advertising in Markethive, everything else has no cost to it now or ever. Even conference rooms (we just developed our own working code for those) will be totally free. They will have limits on number of seats until you sponsor ads in them. And the more ads you sponsor into the conference rooms, the larger rooms you get, as your organization of children grow and they become more sophisticated as growing entrepreneurs, the greater the incentive you have to upgrade. And upgraded levels also create greater ad credits that can be used to increase your business exposures, larger ad campaigns, and greater financial security. This in turn helps you redirect your priorities and focus, moving you further into the realm of becoming an Alpha Entrepreneur and the next step, becoming an Alpha Commander. Definition: “A great leader who has nurtured his team should be able to withdraw his presence and return to find his well-oiled machine maintaining the same momentum as before he left. A great commander is judged by his absence. A great business leader creates a system, a culture and a structure capable of growing even without his day to day involvement”.

Commander starts looking forward into the system, knowing his organization of children are now driving along from the foundations laid by the commander’s actions and the support culture that is genetic in Markethive. The monthly fee now doubles again ($100 per month), but triples the amount of advertising credits ($300 per month) and pays 40% commissions on all children's purchases. By now the Commander is starting to incorporate advertising as well as a firm command with the “Campaigns” section (the most sophisticated tool set in Markethive).

A great commander is judged in his absence.
What many entrepreneurs fail to recognize is that leadership is not so much about the leader – but more so about the ones who are being led. The key to great leadership is not to teach others to become reliant on your guidance – but rather guide others towards self-sufficiency.  A great leader who has nurtured his team should be able to withdraw his presence and return to find his well-oiled machine maintaining the same momentum as before he left. A great commander is judged by his absence. A great business leader creates a system, a culture and a structure capable of growing even without his day to day involvement.
Faisel Butt

Removing yourself from the workplace in order to see the big picture is a vital part of ensuring everything is working correctly.  A painter will spend days working away on detailed scenes on his artistic canvas.  But to fully see the effectiveness of his efforts he must take a few steps back and judge the work in its entirety.

Like the painter, this constant waltz between micro and macro is the state of mind the modern entrepreneur must adopt in our fast changing world. The creation of new projects and ideas is an artistic process that cannot be undertaken while you remain submerged in the chaos of the trenches. Hands-on management helps you with the day-to-day running – but who is orchestrating the business’s next stage of evolution?  Founders and business leaders, however, cannot simply be strategists – they need to have that unique ability to swiftly "deep dive" into the trenches when required but then elevate back up to the "aerial view" to strategically navigate the way forward.  A great entrepreneur must have the vision and reflectiveness of an artist but the agility and versatility of a military commander.  That's probably why they are such a rare breed.

The Commander’s level starts to fill in the gaps of becoming an Alpha Entrepreneur and the Commander starts to see the massive benefits taking the next quantum step to Alpha Odyssey. After all, the Entrepreneur can leave for a time and his/her team and return to a well-oiled enterprise.

Odyssey, what a strange term yet, conveys the final stretch to your great adventure.  You are learning to accept the fate of your quests. As Tyler Perry says, " All you can do is plant your seed in the ground, water it … and believe’ – that and the Grace of God is the key to success " As you have moved forward in the “Hive” surrounded by your peers and mentors, you have learned that 100% focus works. To never stop believing in your mission, to have 100% dedicated conviction towards your dreams. You are discovering, nothing is impossible with faith.

You are now Alpha Odyssey, your $2000 contribution for a full year of service immediately pays back instant dividends with $4000 in ad credits and another $300 per month for the full year equaling a massive $7,600 plus you are now in the upper echelon of entrepreneurial leadership and can be expected to be invited to host Markethive conferences and mentoring sessions. You are now at the top of the commissions receiving 50% of all revenue generated by your children. By this time you can expect to be leading a significant organization of children who are looking to you as a leader and mentor in that sphere of internet. Now you have options. Build a networked business, develop a crowd founding organization. Create a powerful social and seo network. You have become an Alpha Entrepreneur.

For the Early Movers, Alpha Founder: Alpha Founder is a limited opportunity to 250 members, to be a limited partner with Markethive and share in the 5% of the revenue pool. Your $5000 contribution gets you $10,000 in ad revenue as well as $200 per month towards ad revenue. You also receive 50% of all your children’s ad purchases and a share of 5% of the company’s revenue pool. This is for the life of the company. Become the elite Alpha Entrepreneur. Alpha Founder.

Welcome to social movement that will build the army of Entrepreneurs that will change the world!

University of British Columbia Study: ‘Compliance Trilemma’ Limits Potential of ICOs

University of British Columbia Study: ‘Compliance Trilemma’ Limits
Potential of ICOs

Initial Coin Offerings (ICO) are facing a regulatory
“compliance trilemma,”

according to a recent study released Nov. 19. The research, funded by regtech platform iComply and “supported by” Canadian non-profit national research organization Mitacs Canada, was carried out by the University of British Columbia (UBC).To prepare the report, UBC’s research team investigated the ICO space over the course of six months, focusing primarily on North America, but also delving into some other countries and jurisdictions. The team conducted 45 qualitative interviews with individuals in the ICO space, including representatives of the finance, law, and science sectors of the field.

Per the study, ICO issuers face a “trilemma,” wherein they can only address two of three objectives at a time, those being “having a compliant offering,” “reaching a distributed pool of investors,” in a manner that is “cost-effective.” The researchers define compliance as following regulations in the home jurisdiction of both the issuer and investor. While a broadly distributed pool of investors is said to be the principal benefit of an ICO as a funding mechanism, the cost of complying with financial regulators becomes “much greater” if the investor pool becomes more distributed.

“If issuers forgo these costs, the risk of being non-compliant rises significantly. The result is a trilemma, whereby issuers currently must forgo one of these goals to realize the other two, or to compromise on all three,” the study explains. The trilemma further reveals four basic approaches available to ICO issues, which are “the Maverick ICO,” “the Private ICO,” “the Hybrid ICO,” and no ICO at all. The first option refers to ignoring compliance for maximizing ICO reach and cost effectiveness, which reportedly runs a huge risk of regulatory enforcement.

The second approach focuses on targeting only accredited and institutional investors by sacrificing distribution, which may not affect cost-effectiveness but raise challenges in secondary market trading control. Regarding the Hybrid ICO, the report reads that it “compromise[s] on all three dimensions by issuing in select markets, resulting in bounded cost effectiveness, compliance and investor scope,” resulting in a combination of risks.

The researchers found that companies wishing to undergo an ICO sought relief from the trilemma through relevant regulatory authorities. Participants in the study reportedly called for amendments to regulation, including clarifications of existing regulation and development of “fundamentally new” regulatory definitions and frameworks. The study concludes that this “trilemma” has “substantially limited [the] potential” of ICOs,

noting:

“Many actors with legitimate ventures that could benefit from ICOs are likely holding back, due to combination of confusion over how exactly they might comply with financial regulations within and across jurisdictions, and the prohibitive costs of doing so manually.”

As Cointelegraph recently reported, ICO performance in the third quarter of 2018 was in part characterized by “overall disappointment," in comparison with previous quarters. Last week, Cointelegraph reported that in a self-described “first,” the U.S. Securities and Exchange Commission (SEC) had imposed civil penalties against two ICOs over their failure to register their token sales with the agency.

Article Produced By
Ana Alexandre

Total change in her career took Anastasia into the world of analytics and business information as a researcher and translator in 2010. Some time later she got into FinTech, a dynamically developing segment at the intersection of the financial services and technology. Ana joined Cointelegraph in September 2017.

https://cointelegraph.com/news/study-compliance-trilemma-limits-potential-of-icos

TP

Crisis: After $30 Billion Invested, Most Crypto ICOs Have Nothing to Show

Crisis: After $30 Billion Invested, Most Crypto ICOs Have Nothing to Show

Over the past two years,

initial coin offering (ICO) projects in the crypto market have raised more than $30 billion. Yet, most ICO projects have little to show, especially pertaining to user growth, blockchain adoption, and overall user activity on decentralized systems.

It Will Only Get Worse

A handful of tokens have demonstrated success in establishing clear vision, growth paths, and valid use cases of blockchain technology that benefits users. Binance Coin (BNB), for instance, which already operates as the base cryptocurrency of the Binance exchange, will be extensively utilized to process peer-to-peer trades upon the launch of the Binance decentralized exchange (DEX). Tens of thousands of merchants have also recently started to use BNB to accept crypto payments.

0x (ZRX), the native cryptocurrency of the 0x decentralized exchange protocol, is necessary to facilitate liquidity amongst many decentralized exchanges that operate on top of the 0x protocol. While there are several tokens in the market that represent viable applications of the blockchain, the vast majority of projects have ambiguous roadmaps and long-term strategies.

As Uber’s Sam Gellman said:

“After $30 billion invested in the past two years in ICOs there still isn’t a single crypto app with a real user base for anything other than speculating on crypto. The BTC price movement is tough, but the lack of real user base for anything they’re investing in is tougher.”

With regulatory hurdles set forth by the U.S. Securities and Exchange Commission (SEC), the ICO ecosystem will become even more difficult for both innovators and projects. This week, the U.S. SEC cracked down on two ICO projects called AirFox and Paragon, characterizing their token sales as unregistered security offerings and requesting the two tokens to refund all of their investors. “They have also agreed to compensate investors who purchased tokens in the illegal offerings if an investor elects to make a claim. The registration undertakings are designed to ensure that investors receive the type of information they would have received had these issuers complied with the registration provisions of the Securities Act of 1933 (“Securities Act”) prior to the offer and sale of tokens in their respective ICOs.”

The U.S. SEC emphasized that it is in support of the blockchain and the usage of newly emerging technologies. But, the commission said that market participants must acknowledge and adhere to local regulations. “We wish to emphasize, however, that market participants must still adhere to our well-established and well-functioning federal securities law framework when dealing with technological innovations, regardless of whether the securities are issued in certificated form or using new technologies, such as blockchain.

Importance of Bear Market

The bear market of 2018 will filter good projects from the bad, and those that survive will be projects that have a clear vision, roadmap, active user base, and a competitive model. As the capital in the market drops, investors who previously invested in every new project in the market will become more cautious and it will be challenging for token sales without competitive strategies to appeal to the public. Over time, as investors learn to conduct due dilligence and the market evolves into a more competitive sector, underperforming projects will naturally see a decline in investment opportunities, user activity, and demand.

Article Produced By
Blockchain News

https://www.ccn.com/crisis-after-30-billion-invested-most-crypto-icos-have-nothing-to-show/

TP

All About Airdrops

All About Airdrops

What is an airdrop?

An airdrop is simpy a marketing tool that many companies are using to drum up press for new blockchain projects. The concept is simple: You help a company with some of their initial marketing efforts by following them on social media, and they reward you with free tokens once the project launches. In many ways, airdrops represent free money. Using Quarry, you can apply for most airdrops in just a few minutes, and the rewards can range from a few dollars in value all the way up to hundreds in rare cases.

What do I need?

The first thing you need is an ERC20-compatible ETH wallet. If you’re using Quarry, don’t sweat it, because this has already been made for you. Airdrops will ask for your public address (not your private key!) in order to send you the tokens.

Beyond that, the majority of airdrops require:

  • an email address
  • a Telegram account
  • a Twitter account
  • a Facebook account

Rarely, a small number of airdrops may optionally require:

  • a Reddit account
  • a Medium account
  • a Discord account
  • a LinkedIn account
  • an Instagram account
  • a Steemit account
  • a Bitcointalk forum account
  • an Altcoinstalks forum account
  • a VK account
  • an AngelList account

If possible, you might want to consider using alternate social media accounts, instead of your personal pages. This will avoid cluttering your feed with too much token-related news, but it’s up to you. In Quarry, we even highlight on the airdrop page what accounts you will need ahead of time, so that there are no suprises on the page. Note that you never have to give any information that you aren’t comfortable sharing.

Are Airdrops Scams?

No. It’s a very fair trade. For one, having a lot of people following and reposting a project’s content on social media helps a company with brand awareness, much like advertising. Ideally, by the time the project launches, there are already thousands of people aware of the concept and excited to see it in action. Additionally, distributing airdrop tokens to participants actually helps the economics of the token on public exchanges, since the tokens are not concentrated in just a few locations.

In the past, a small number of scammers have pretended to run airdrops in order to steal information from unsuspecting partipants. One of the advantages of using Quarry is that we screen all airdrops before they enter the app to ensure that they are legitimate. However, just in case, please be vigilant. No airdrop should ever ask for:

  • your wallet’s private key (note: your public address is fine to share)
  • any kind of password
  • any amount of money

As long as you don’t hand out this information, you have nothing to fear.

When do airdrops pay out?

In general, an airdrop will pay out several weeks after completion. In some cases, it could take a few months. If you completed an airdrop and don’t see the coins yet, don’t panic! Most likely, the airdrop will distribute when the token crowdsale is complete.

What do I do when the tokens are paid out?

That’s up to you. Because projects doing airdrops are in very early stages of development, it is possible that the tokens will increase in value over time (remember when Bitcoins cost $5 each?), so it might be worth it to hold onto them for a while. However, if you would prefer to sell them once they hit the market, there are many token exchanges available online and on the Quarry “Discover” menu.

Article Produced By
Token Block Friends

We’re Token Block Friends, your buddies in the world of cryptocurrency and blockchain applications.

https://tokenblockfriends.com/all-about-airdrops/

TP

France Attempts to Attract New Cryptocurrency ICO Token Issuers with New Legal Framework

France Attempts to Attract New Cryptocurrency ICO Token Issuers with New Legal Framework

France Tries to Attract Crypto-Issuers

France is looking to improve its stance toward cryptocurrencies by allowing their use, but with regulations in place to provide oversight. If France does establish regulations to oversee cryptocurrencies, it will be the first country in the world to do so, insofar as it relates to initial coin offerings. Those who are pro-regulation argue that coin issuers that agree to the regulation will be viewed as more trustworthy by investors, thus leading to more credibility in the long-term. Regulatory authorities will also issue a certification to issuers. It is important to note that issuers will also need to relent to having their profits taxed.

According to Fabrice Heuvrard, an auditor with a government task force responsible for developing accounting-related rules for ICOs, “The community is ready to pay taxes as long s they are not confiscatory.” France is looking to release new rules regulating the industry by next year. By regulating the industry and coaxing cryptocurrency platforms out of the shadows, so to say, the country may be able to create a market for companies interested in raising capital for ICOs and all the while receiving revenue and enhancing security for those who invest.

France is not the only country moving in such a direction. For example, though England does not regulate ICOs, it does have some financial oversight to determine whether the issuance of an ICO is under the purview of regulatory authority. As for the United States, the Securities and Exchange Commission has been considering establishing that ICOs and cryptocurrency are subject to the commission’s purview. However, the country has yet to establish strict rules. On the far end of the spectrum, China has completely banned cryptocurrencies due to concerns about fraud.

The position that France is taking may be a positive approach because it allows investors to verify the parties involved in the issuance of a new coin and they can also determine what happens if a project is unsuccessful. This ultimately leads to more confidence in the process. As of late, the country has had ICOs that have raised 90 million euros. According to businessman and CEO of a Canada-based company, “The different regulators have been hyper, hyper proactive.” A French official also pointed out that there are still issues related to the tax status and whether it has been settled. Right now, the country needs to consider how much revenue is being raised and what is the best tax rate.

Allard stated,

“Our plan is to declare the money raised as revenue and pay taxes on the profits we will make on those revenues. Since we are not close to making any profits, it doesn’t really affect us.”

Article Produced By
Bitcoin Exchange Guide News Team

https://bitcoinexchangeguide.com/france-attempts-to-attract-new-cryptocurrency-ico-token-issuers-with-new-legal-framework/

TP

What Is An ICO Token And How Does It work?

What Is An ICO Token
And How Does It work?

What’s the definition of crypto token?

It's an entity with a value specified by the eminent. If it's a fashion startup, one token can be equal to one dress or a yearly license of a software in case of a hi-tech startup. You even can issue tokens of yourself and a token holder will be able to buy an hour of your work with the token. You can “tokenize” everything.

What’s the difference between cryptocurrency coins and tokens?

This is a difficult part. The easiest answer: tokens are not a currency. You don’t need to create a Blockchain to issue tokens, which is a must-have for a cryptocurrency, but you use an existing one (usually Ethereum, which was originally created as a platform for smart contracts and evolved to be a currency). A coin is a money equivalent, something that defines value and serves as a value transfer. A token is a symbol of a contract, the value does not depend on mining, gold price or any dynamic market criteria. A friend of mine once gave me a note saying that he will always make me a coffee on demand. He still does it, after 10 years, it was a heck good token!

What is a token contract and how does it work?

Ok, a token is not a coin, got it. But still, something should regulate it’s transaction, value etc? How does that work? You do need a platform for it. Let’s take Etherium as an example, since its one of the most popular platforms for smart tokens.

Here is the full contract cycle:

  1. Tokens creation: a company writes the basic rules (tokens amount, token value, special conditions). Once created the platform will serve as a very smart notary for all the future transactions, making sure all the conditions are carried out.
  2. Tokens acquisition: when somebody wants to buy a token, the process is really similar to buying a coke in a vending machine. You approach a machine, drop the coin and push the button “coke” (choose the token you want to buy). The machine checks if there are “cokes” in stock and if you are eligible to buy it. If everything is fine- you get your drink (or token in our case). The machine says “have a nice day” and updates the stock info (one coke less now).
  3. Token transaction: In case you have a coke, you can just pass it to your friend. For money or for free. In tokens reality, you have your token wallet which is supported by the same platform that issued the token. You can transfer your token using the wallet. And again, a virtual notary, powered by a smart contract, will make sure you do it according to the rules. Moreover, all the wallets activity is constantly recorded and being updated.

Is all this free? Nope. Somebody needs to pay for the notary, vending machine technician and coke delivery. In the token world – the operation processing called “gas.” So, each time you ask to buy or sell tokens, there will be some “gas” spent and you will pay its fee.

Note: the fee is not static. It depends on a number of transactions awaiting. You can define the max cap you are willing to pay for your gas. If the token cost is, say, $10 and the gas fee is $20 is not a great deal, isn’t it? So, you can say that you pay no more than $2 for your gas, click “submit” and find something else to do meanwhile. The system will serve the highest gas bids first and eventually yours when your time will come. There is a chance, you will wait for a long time (if others are willing to pay more than you). But you always can rise the gas cap.

Types of tokens

Let’s see the most common types of tokens.

Token – token (Utility tokens), the most popular type

Remember amusements parks from the childhood? Roller coasters, carousels, hot dogs and cotton candy? At the entrance, you’ve got tokens to buy food and enter the attractions. So, let’s pretend that a company is an amusement park and with the tokens, you can buy different services just as you do with carousels and hot dogs. Now, to make the analogy perfect, let’s say that you can buy lots of tokens before the park is officially opened, or when it’s just opened. If the park becomes popular, its tokens will be much more expensive. Like $10 for a hot dog. But a smart child who bought the tokens before the opening will still enjoy his meal for $1. This is basically the idea behind issuing and buying tokens. But if in the amusement park you buy the tokens at the entrance, where do you get a cryptocurrency token? The answer is ICO – Initial Coin Offering.

Token – stock (Equity tokens)

In this case, ICO is completely equal to IPO. Usually, token-stocks are issued when a startup does not require a crypto-technology. In this case, token holders will get dividend or fixed commission. They also will be able to take part is the company decisions. All this honor for supporting the project in the beginning of its life.

Token – credit

This is a loan; a holder gives to a startup. It’s another way to rise money. For example, you invest X to get X + 10 percent.

Token – combo

If you are not completely confused, you will be now: sometimes a token can belong to more than one type. For example, tokens Sia and Digix are both tokens and stocks. And Steemit has all the three types of tokens (Steem, Steem Dollars (SBD) and Steem Power (a denomination of VESTS).

How do you trade tokens?

This part is pretty similar to coins. You have to register on an exchange for buying and selling tokens. The transaction conditions can be really complicated: the contract can include multiple rules like “you can sell it only before a specified date” or “after some date but only for a certain vendor.” So, when investing in tokens, you should read the “small letters” really thoroughly.

Article Produced By
Cointelegraph

https://cointelegraph.com/ico-101/what-is-an-ico-token-and-how-does-it-work

 

TP

A token airdrop may not spare you from securities regulation.

Blockchain token based projects need network effects.

There needs to be a mechanism for fairly and widely distributing tokens to in order for the project to function well upon launch. A popular method thus far has been to sell those tokens in advance to prospective users of the network that are interested in crowdfunding its development. Another, lesser known, strategy is an “airdrop.”

In an airdrop, a project’s creators can take a snapshot of a public blockchain, such as Bitcoin’s or Ethereum’s, and send tokens to all wallet addresses containing some number of bitcoin or ether at the time the snapshot was taken. This requires no action on the recipient's part other than to take whatever steps are needed to take control of the tokens once they have been gifted. It can be a way to jumpstart a community by instantly putting tokens in the hands of a lot of people with a proven level of cryptocurrency savvy. This seems like something totally new and unique to token projects, right? Not really. It turns out people have tried airdropping before, but with stocks. And the SEC did not look favorably

upon the tactic.

In each of the four cases, the investors were required to sign up with the issuers' web sites and disclose valuable personal information in order to obtain shares. Free stock recipients were also offered extra shares, in some cases, for soliciting additional investors or, in other cases, for linking their own websites to those of an issuer or purchasing services offered through an issuer. Through these techniques, issuers received value by spawning a fledgling public market for their shares, increasing their business, creating publicity, increasing traffic to their websites, and, in two cases, generating possible interest in projected public offerings.

So, since the SEC has found that some tokens can be securities, if you are considering using an airdrop token distribution be warned that even giving away tokens is not necessarily free from scrutiny under securities law.e briefed Congress on tracking illicit cryptocurrency use and moderated a convening on ICO regulatory uncertainty.

This was a big week for cryptocurrency in DC.

On Tuesday, members of Congress and over 50 representatives from the crypto industry convened at the Library of Congress for a roundtable entitled “Legislating Certainty for Cryptocurrencies.” The event was organized by Rep. Warren Davidson and also attended by Reps. Tom Emmer, Ted Budd, and Darren Soto. Coin Center executive director Jerry Brito moderated the event, and entrepreneurs voiced their concerns about the lack of clarity around when exactly a cryptocurrency token is or is not a security.

Following the roundtable, 14 members of Congress, led by Rep. Budd, sent a letter to SEC Chairman Jay Clayton echoing the concerns of cryptocurrency innovators and asking for more clarity around the regulatory treatment of these networks. In another event in Congress on Wednesday, in conjunction with the the Congressional Blockchain Caucus, Coin Center put on a briefing about the tools law enforcement has to track illicit use of cryptocurrencies. Blockchain forensics company Elliptic presented how their product works with real-world examples of illicit funds being traced by law enforcement. Reps. Emmer and Schweikert also gave remarks highlighting the importance of getting the regulatory approach to these technologies right and preserving a fertile climate for innovators in America.

Article Produced By

Peter Van Valkenburgh

https://coincenter.org/link/a-token-airdrop-may-not-spare-you-from-securities-regulation

 

TP

When you have 100 customers per Distributor