Coinpoker: A New Poker Site Model (and a true usecase for the tokenization of a business model)

The Coinpoker ICO is the beginning of a new era for poker. They raised millions of dollars of equity in exchange for their token called CHPs. A lot of people scoff at ICO's and say there is no value in tokenizing a business model. Coinpoker could change that. I argued on the wealthofchips.com that on a free market competing poker site tokens would reflect the underlying value or honesty of the issuing company. All other things equal this token would reflect the otherwise hidden effective rake. This means that different types of cheating would be effectively discoverable through the price trend of the token (in comparison to other tokenized sites).

This type of poker site model also allows for a novel mechanism-the ability to inflation target the value of the CHPs. If the value decreases they can use the equity from the crowdsale to buy up CHPs and raise the price (or conversely they could sell CHPs to lower the price). I have no doubt the inflation target will be set at “slightly better than the current models” and since it would otherwise be wiser to invest in bitcoin if the token lost value versus bitcoin, I make the conjecture Coinpoker will inflation target a value trend of at least that of bitcoin.