Kora is a cryptocurrency company that is looking at doing something slightly different from the norm. Yes, they are going to focus on financial systems, but their main aim is going to be providing a service for a community based approach which does, initially at least, sound as if they are heading down an unusual path. However, closer inspection of their service is essential if you are going to be looking at potentially investing in their ICO.
What is Kora?
The reason for their service is, as the company itself explains, to allow for the movement of money and a number of products that are aimed at those individuals without the usual kind of access to the Internet. The company offers these services not only online but also via smartphones, SMS as well as in person, which does make it easier for people to take advantage of the blockchain.
In all honesty, they are attempting to help create a series of small local based networks that will allow communities to circulate money, to lend money and store it within their community, and to also then make payments as and when required. Therefore, it should perhaps be viewed as a small local bank that is designed to get the local economy working and using the latest technology available.
The Technical Aspect of Kora.
From a technical point of view there is nothing radical that is being put to use with this project. Their platform is built on Ethereum, so there is no need to worry about the security aspect as well as anti-fraud measures that make it extremely secure for everyone that then uses the platform.
They state that for people to use the system all they require is a basic telephone, so they themselves have the infrastructure in place to deal with those calls and then translating it onto the blockchain and digital currency.
They are seeking to use DpoS as their algorithm and their blockchain will be able to connect to others while still preserving the security and anonymity of their users. The system is completely decentralized although it is also worth noting that they are not the only product such as this out there on the market, so their approach is not unique. However, the technical side of things is straightforward with user identity stored on the blockchain as well as all of the financial details that will then allow transactions to take place.
They also note that they are using the eFiat approach whereby it is linked to national currencies that people trust and that the cryptocurrency is backed 100% by a cash reserve. This would go a long way to calming fears of those that they are targeting and the cash reserve is then automatically translated into tokens on the blockchain.
The Advantages of Kora.
There are several advantages associated with using Kora to be aware of. Of course, the fact that there is no need to understand the technology or even have access to it can open up their market, but then there is a problem of how to explain it to those very same people.
They state that the transaction fees are going to be low, which is important when you are dealing with communities where there is not too much wealth going around. The speed at which transactions can be made thanks to the blockchain is also not an advantage that is unique to this project but the smoothness of this approach compared to normal banking procedures cannot be forgotten.
The Financial Aspect and the ICO.
With the financial side of things, the company states that China, Korea and the United States are excluded from the ICO. Once again, this is not that unusual with the regulations in those countries.
For the ICO, they are only going to accept ETH as the currency. They have also set a hard cap for the project with this being set at $24 million. However, that is not where the problem lies.
Instead, they have set a minimum investment level for the ICO, and even though that is not unusual in itself, they have put a minimum limit of $5000 which is certainly higher than a number of other alternatives that are out there. For some, this is going to be pushing things too far, however if you have the funds available and believe in the project then it shouldn’t be too much of an issue.
They are looking at releasing 339,753,302 tokens and 45% are available during the ICO. They have also pegged the exchange rate at 1 KNT equating to $0.10, so you would certainly get a number of tokens for your $5000.
The official token sale is due to start on the 2nd of April.
Overall Conclusion About Kora and the ICO.
Kora is not the only company offering this kind of project, and that is something that should be taken into consideration when thinking about whether or not you plan on investing in their ICO. However they do seem to offer some advantages over most of their competitors.
The minimum investment figure is high, but this shouldn’t be a problem for most serious investors.
The key to this project is how they manage to bring communities onto their system as it may not be as easy as they perhaps think. Their ability to reach out to communities is going to determine the value of their token and as that is the unknown aspect, then it becomes difficult to really justify the investment in the project. However, if you do value the community approach and believe that this could be the way forward, then it may still be of interest to you in which case just knowing the technology is there may be enough to convince you of its value.