IS YOUR STARTUP BACKED UP BY BACKED FINANCE?

Intro
Backed Finance ensures the risk of startup speculations are minimized. These risks are enumerated later and expounded on later.
But let us back up a bit…

What Is a Startup?

This is simply a company undertaken by an entrepreneur, in the neophytic stages of operations while seeking to develop, and validate a scalable and sustainable business model. The highlighted neophytic stages these businesses face can lead to a certain level of uncertainty and thus failure is just a matter of few bad moves away, but a minority of them do go on to be successful and influential. These uncertainties and hiccups are even more accentuated in the cryptocurrency space where volatility is assured and is the order of the day.

More about startups…

Startups are founded by one or more entrepreneurs who want to develop a product or service for which they believe there is demand. These companies generally start with high costs and limited revenue, which is why they look for capital from a variety of sources such as venture capitalists. Startups are companies or ventures that are focused on a single product or service that the founders want to bring to market. These companies typically don't have a fully developed business model and, more crucially, lack adequate capital to move onto the next phase of business. Most of these companies are initially funded by their founders.

Startup Funding

Venture Capital
Many startups turn to others for more funding, including family, friends, and venture capitalists. A venture capitalist (VC) is a private equity investor that provides capital to companies with high growth potential in exchange for an equity stake. This could be funding startup ventures or supporting small companies that wish to expand but do not have access to equities markets.

Seed Capital
Startups can use seed capital to invest in research and to develop their business plans. The term seed capital refers to the type of financing used in the formation of a startup. Funding is provided by private investors—usually in exchange for an equity stake in the company or for a share in the profits of a product. Much of the seed capital a company raises may come from sources close to its founders including family, friends, and other acquaintances. Obtaining seed capital is the first of four funding stages required for a startup to become an established business.Market research helps determine the demand for a product or service, while a comprehensive business plan outlines the company's mission statement, vision, and goals, as well as management and marketing strategies.

WHAT IS BACKED FINANCE?

How Does Backed Work For Companies?
CompanyCoins are a new type of asset class that is tied to the reputation of a company. They allow you to speculate on the performance of a startup without needing an invite to their investment round. As a startup succeeds, gets more press and becomes more popular, others may purchase more CompanyCoins, which would increase the price and therefore value of your holdings. As CompanyCoins are also linked to the price of $BKD, the more popular Backed becomes and the more the price rises, the more the value of your holding in both $BKD and CompanyCoins will increase. The CompanyCoin price forumla is: coins in circulation x coins in circulation x BKD price x 0.003. The price therefore increases expontetially the more people that buy it.

When you create a profile, there are initially zero coins in existence and thus the price is zero. If you want to buy coins from the profile, it will happily mint them and sell them to you according to the pricing curve, making it more and more expensive as more coins are purchased. The BKD you use to buy the coins gets “locked” in the profile in exchange for the coins. On the flipside, if you want to sell coins, the profile will happily buy them from you according to the curve using the BKD locked from previous buys. And so buying creates coins while pushing the price up and locking BKD into the profile, while selling destroys coins while pushing the price down and unlocking BKD from the profile. This is often referred to as an “automated market-maker,” and it’s the same concept that powers protocols like Uniswap and Bancor.

Private companies can create a free profile on Backed. Restricted industries include: gambling, adult sites, military equipment, nuclear equipment, precious metals, highly cash intensive business, cannabis or FOREX.

To get verified, you'll need to go through KYC and KYB. Once you are verified, you'll go live on Backed and any verified Backed user will be able to buy and sell your CompanyCoins.

Company Rewards
Every time you buy a company’s coin, there is a 10% gratuity fee. That 10% is sent directly to the company's wallet and they get to keep it. That helps them grow, which in turn helps to drive up the price of your investment.

Claimed and Unclaimed Profiles
We have pre-populated the profiles of some well known companies. These profiles are called 'unclaimed' profiles. The company can claim their profile, and any BKD in their gratuity pot, at anytime by completing KYC and KYB. If you want to claim a pre-populated profile, please email our team

Claimed profiles are profiles that are either set up by us and then verified by the company, or that set up directly by the company and have passed the verification process.

There are no benefits or downsides to purchasing the CompanyCoins of a claimed vs unclaimed company

RESOURCES

https://backed.finance/
https://twitter.com/BackedTeam
https://www.linkedin.com/company/backedteam/

About the Author
Joseph Johns is a successful Emergency Medicine Physician and an ardent cryptocurrency and Blockchain connoisseur
Bitcointalk Username: Jaered
Bitcointalk Profile: https://bitcointalk.org/index.php?action=profile;u=2809533
0x783D4B3939703D573A0d4BF28b1B01DFD8cA853e
#BACKED #COMPANYCOIN #PIPECOIN #DEFI #BSC #BSCGEM