TaaS, a tokenized closed-end fund (CEF) dedicated to blockchain assets, recently announced its upcoming Initial Coin Offering (ICO), commencing March 27, 2017, and running until April 27, 2017. Utilizing the Ethereum blockchain and its pioneering Cryptographic Audit technology, TaaS will provide a new way to take part in capital raising, fund management, and cryptocurrency investing, all with full auditing transparency to investors.
Token-as-a-Service (TaaS) is a last generation closed-end fund that allows its investors to capitalize on the rise of blockchain markets. A closed-end fund is a collective investment model in which shares are issued during an Initial Public Offering and no more are created afterward to meet additional demand. Instead, shares are only traded in the market. TaaS is a tokenized CEF because users have a token (a digital asset) instead of a share. It represents a Proof-of-Membership, guaranteed and secured by the immutability of an Ethereum smart contract.
Unlike traditional closed-end funds, TaaS will issue tokens built on a profit-sharing smart contract where token owners collect 50 percent of quarterly profits. To grow the fund’s capital pool without attracting additional investment, 25 percent of profits will be reinvested back into the fund.
The premise is, as Net Asset Value of a token increases over time, TaaS tokens will have their value explicitly tied to the performance of its parent project, employing the Token-as-a- Service (TaaS) business model.
A Cryptographic Audit makes used of autonomous auditing techniques that tracks, records, and timestamps trading activity. This technology was built by TaaS to ensure all profits are properly recorded, the flow of money is transparent, and the company is in possession of all declared funds. By design, it will simplify the due diligence of investors while providing tools for maximum transparency.
The TaaS investment period will occur exclusively during their month-long ICO. Through the use of early investor incentives, TaaS will offer a 25 percent bonus for the first 1,000 BTC raised with the bonus system decreasing progressively all way up to 9,000 BTC. TaaS will also reserve 2 percent of the collected funds for bounty programs.
In addition to the fund, TaaS is creating Kepler, a Bloomberg-like cryptocurrency portfolio management and analytics platform. Kepler will explore the entire investment process, providing market research, due diligence and order management as well as risk exposure and performance forecasting.
TaaS was co-founded by Blockchain pioneers Konstantin Pysarenko, Ruslan Gavrilyuk, Dmytro Chupryna, and Maksym Muratov and has professional team members from the USA, Ukraine, Poland, South Africa, and China.
Co-Founder Pysarenko describes himself as a serial entrepreneur who fell in love with cryptocurrencies four years ago. He says that prior to TaaS, he and the other three co-founders managed a private portfolio in the blockchain space. It was here where they realized that there was a massive gap between investor needs and the solutions available.
TaaS, he asserts, was built to serve as an instrument for eliminating technical barriers, lack of market understanding and lack of transparency – all with the goals of allowing investors to capitalize on the rapid rise of blockchain markets.
In terms of his thoughts on the recent ETF ruling by the SEC that was big news in the investment world, Pysarenko added:
“It was rather predictable that the SEC wouldn’t approve the ETF because of a lack of understanding on the part of market participants, fees and regulations on existing cryptocurrency exchanges and infrastructure in general.”
Pysarenko says that from a broader perspective, bitcoin is operating in a realm that goes against control and regulation, so merging these two worlds might take some time, and should be done with great caution. He points out that bitcoin’s price bounced back from the drop caused by the SEC’s decision within days, indicating that Bitcoin is still in a bull market and that its reputation hasn’t been hurt.
In terms of his highest vision and hope for Taas, Pysarenko had this to say: “The vision behind TaaS is to create the first-ever, truly transparent investment model, allowing investors to see exactly what is going on with the money flow in a fund, all while performing best practice techniques to yield high returns. We believe that this approach will be groundbreaking.”