Gold has long been used as currency. Gold is not only the value of currency, but also the value of scarcity as a real asset.
Many currencies have kept their currency value stable through the gold standard, and value stability is an important factor in economy and currency.
Since gold has been widely recognized in all countries, its value has been fully recognized in international trade transactions.
Prior to World War I, Many countries’ currencies had a gold standard system with gold as an underlying asset.and the British pound, using the gold standard, was also used as a key currency for global trade.
After the Second World War, European nations suffered from economic difficulties, and the Bretton Woods agreement (Bretton Woods system) allowed them to maintain their currency value as an underlying asset in the US dollar, which maintained the gold standard.
In this way, collateral of real assets was an important factor in recognizing value stability.
However, since August 15, 1971, Dollar’s gold standard has been abolished by excessive supply of the dollar, it is reaching the present.
When the Bitcoin was created complained the US Federal Reserve issuing too many dollars and making currency values unstable for overcome the economic crisis after the subprime mortgage crisis.
Cryptocurrency was a digital record and its value was uncertain early on.
However, some cryptocurrencies such as Bitcoin and Etherium are now widely recognized for their technical value and potential for Internet business.
However, too many cryptocurrencies have been issued through ICO, and the value of all these currencies is unstable.
ICOs that do not have enough technical value or business model to appreciate in a new currency can eventually damage many investors and harm the cryptocurrency market and economy.
The current ICO model is setting too high a fundraising goal and making investors take too much risk.
And the value of the newly issued cryptocurrency is uncertain.
The Harbor Team proposes UAICO (Underlying Asset ICO) as the new ICO model.
UAICO stores all of invested funds in smart contracts to form the value of the underlying assets of the newly issued cryptocurrency.
This allows investors to withdraw the newly issued cryptocurrency at any time to refund a portion of their initial investment, thereby maintaining the minimum value of the new cryptocurrency.
As a new ICO model, UAICO has several technical and economic values.and it is one of the growing ICO models that focuses on investor protection and value stability.
In the long term, I think it will contribute to a healthy cryptocurrency market.
For more information, please refer to the link below.
Project Site: http://www.toharbor.com
online meetup: http://meetup.toharbor.com