PROMOTING THE FORTUNES OF THE STARTUP INDUSTRY THROUGH THE TOKOIN BLOCKCHAIN

in #blockchain2 years ago

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The disruptive nature of blockchain made it one of the robust technologies that graced the 21st century. At the time of launch, the network was restricted to the digital sphere where it was the primary platform for trading on cryptocurrencies/digital assets.

In recent years, we have seen the integration of blockchain in different sectors of the global economy. Although the significant dominance had been in the financial sphere, it had successfully made in-roads to other industries, including supply chain and ecommerce. It has now moved the use case to another sector. The sector in view had few blockchain interactions in the past. Hence, the Tokoin blockchain is here to boost the fortunes of the Micro, Small, and Medium Enterprises (MSMEs) industry.

THE CURRENT CHALLENGES IN THE SECTOR

It's important to point out the problems in the current setting of small-scale businesses. The knowledge of that would help us have a perfect understanding of the challenges. With that in mind, it would be easier to correlate the offers made by the Tokoin challenge.

The lack of reputation is the primary challenge that hampers the growth of MSMEs. It is so because transparent and fair dealings are part of the significant highlights of ever business. Therefore, the inability of startups to provide a feasible means of identifying and confirming their operations triggered the varieties of problems in the sector.

Against that backdrop, investors, including banks, are pessimistic about funding small-scale enterprises. On that note, it is clear that funding is another issue that militates against the growth of small businesses. That, in extension, translates to the lack of sufficient finance to boost the operations of MSME.

THE PROSPECTS OF THE TOKOIN BLOCKCHAIN

In light of these prevailing circumstances, the Tokoin blockchain was developed to solve most of the issues in the traditional Micro, Small, and Medium Enterprises (MSME). We would look at the properties/features of this project to understand how it can address the challenges in the startup industry.

DIGITAL BUSINESS ID: A MEDIUM FOR BOOSTING MSME REPUTATION

As pointed out earlier, reputation is one of the significant factors that kick against the growth of the small-scale business industry. That is tenable as such companies ought to have a viable means of confirming/authenticating their transactions.

That is the concept behind the “Digital Business Identity” platform. It is the sole medium of collating and verifying the profiles of companies/startups listed on the Tokoin blockchain. It would interest you to know that the process is stress-free, as the platform collects data anytime the core participants (small-scale businesses) transact via the medium.

The status of Digital Business Identity as a verification system is buoyed by the detailing of relevant information, such as cash flow, sales, earnings, and routine business purchases.

Also, investors can take advantage of the transparency of the network to gain more insights into the operations of the business. The move is facilitated through the Tokoin dApp. The decentralized application allows investors to discover additional details about the companies they intend to fund. Features such as the rating, the recent activity (number of transactions), the address and the affiliate-networks of the company would be revealed here.

Therefore, the issue of transparency that earlier held down the small-scale business industry has been fixed in a decentralized manner, courtesy of the Digital Business Identity.

HOW CAN I RECEIVE LOANS FROM TOKOIN?

The premise of this project on blockchain breeds transparency and scalability. In the same regard, the process of obtaining loans would work on the same framework.

The loaning procedure is based on a Peer-to-Peer (P2P) format. That implies that companies that need funding would interact directly with the investors. Furthermore, the token dApp empowers the investors/financial intermediaries/service providers to check the reputation/standing of the company. On confirmation of the companies’ capacity to make judicious use of the funds, then the investors would send the funds. Of course, the smart contract technology would be there to underwrite the agreement between both parties.

THE WIDER TOKOIN ECOSYSTEM

It’s worth mentioning that the Tokoin blockchain has a dedicated ecosystem/platform that houses the major stakeholders that would play different roles in the platform.

Here is a breakdown of the participants in the Tokoin ecosystem:

MSMEs

Micro, Small, and Medium Enterprises (MSMEs) are the primary participants in the ecosystem. They’re the ones to get funded in the end, provided their profiles tally with the standards of obtaining loans on the platform.

For these enterprises to get access to the broader Tokoin ecosystem, they must first create a business account on the Tokoin blockchain. The account also serves as their Digital Business Identity where their transactions would be recorded.

Financial Intermediaries

Tokoin already made some partnership with real-world investors, including banks. They combine to form financial intermediaries. Their role is to partner with Tokoin to select the enterprises that conform to their stipulations for getting loans.

Service Providers

Service providers are another variation to the financial intermediaries. They support the Tokoin blockchain with financial instruments like loans, shipping, and warehousing. These would help to make the loaning and supply process easier for everyone.

Suppliers

The suppliers are not only brands and companies that supply Micro, Small, and Medium Enterprises (MSMEs) with products. They also take up the role of merchants, where they set up a retail marketplace. They use that avenue to market their products to the MSME.

In the future, when the Tokoin ecosystem gains massive adoption, it would incorporate other participants to take part in the ecosystem. Among the shortlisted entrants are Data Miners that would help in validating information (data) generated by the enterprises on the platform.

TOKEN SALES INFORMATION

Ticker: TOKO
Token Standard: ERC-20
Token Supply: 2 billion TOKOs
Soft Cap: $8 million
Hard Cap: $25 million

CONCLUSION

The once fragmented and neglected Micro, Small, and Medium Enterprises (MSMEs) industry are now getting a breath of fresh air. The Tokoin blockchain, through its reputation mechanism and funding approach, is already charting the course for a repositioned startup industry.

I don’t have any doubt about this project. The blockchain technology that houses it is a solid rock that can withstand any antagonistic moves. The project cum platform itself, Tokoin has many features that make it viable for the target audience - Micro, Small, and Medium Enterprises (MSMEs).

I wish the Tokoin blockchain in its quest to reposition startups to break past the emerging markets status to becoming a force to reckon with in the global business world.

USEFUL LINKS
Website: https://www.tokoin.io/
Twitter: https://twitter.com/TokoinOfficial
Facebook: https://www.facebook.com/TokoinOfficial

AUTHOR'S DETAILS
Bitcointalk Username: Eadefemi
Bitcointalk Profile Link: https://bitcointalk.org/index.php?action=profile;u=1252172

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