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ICO is dead, long live TTO.

Mar 22, 2019

At Attic Lab we think that retail investor participation in funding start-ups is of paramount importance for the blockchain sector to realise its full disruptive potential. We are pleased to announce we’re partnering with SignalX to bring their Trusted Token Offering (TTO) service to market to restore investor confidence in blockchain venture funding.

If you’re an aspiring project seeking to raise funds, this is your opportunity to build a decentralised trusted start-up venture funding model together with us. All you need to do is complete a brief survey.

“If we want the sector to move forward, we must rebuild capital formation from the ground up. We believe the SignalX TTO model empowers projects globally to raise capital with trust at the core, allowing investors to better assess their risk and make more informed decisions on the projects they choose to support.” Jonathan Hooker — CEO — SignalX

Recent research from Ernst & Young found as many as 83% of ICOs are scams that have destroyed billions of dollars of investor capital. Not surprisingly, investors have retreated and as a result, legitimate innovative projects now struggle to access funds they need to commercialise their concepts.

To restore confidence and trust we must answer two questions:

  • Investors — Which projects can I trust?

  • Projects — How do I prove legitimacy and trustworthiness to investors?

The SignalX TTO rebalances the risk between start-up founders and their investors, by placing investor protection at the core of the funding model. Project trustworthiness and legitimacy is established by making the founders accountable for their claims and performance.

In the SignalX TTO model projects failure to perform as contracted, may result in the unspent funds held in the custody contracts being returned to investors. Projects establish funding contracts up-front detailling the basis of their eligibility of funds to be released to them throughout the lifecycle. Investors no longer need to trust the project founders to do the right thing instead they can place their trust in the SignalX contracts and independent assurers to protect their interests.

We are excited to be working with SignalX, aspiring start-up projects and regulators to create the new standard for trustworthy capital formation in the blockchain sector. A standard that better serves all market participants and we believe can restore confidence and reinvigorate sector innovation.

The SignalX TTO model is the first decentralised capital formation model built with transparency and accountability at the core that was missing from ICO v1.0.

Again, if you’re a project rising capital, we would love you to take 5 minutes to complete this survey.