The Marshall Islands is planning to launch a new digital token. The token will be called as Sovereign with the ticker SOV. The sovereign nation of the Marshall Islands is a country that is located in the Pacific Ocean and lies between Japan and Hawaii.
The ICO has already faced plenty of backlash so far. The ICO is being run by an Israeli startup that has collected 50 percent of the total amount to be raised as ‘fee’. People are worried that this ICO may lead to the downfall of the country.
Furthermore, the ICO is being marketed as a tax-free investment. Since the SOV is a currency that is officially recognized by the Marshallese government, users and investors can earn significant returns on their investment while having to pay zero taxes.
The Marshall Islands has planned to launch this ICO as a means to raise funds for the country. These funds will then be converted into a cryptocurrency which would be made available by the general population to use. The funds which will be raised during this ICO will be used to effectively double the money using these tokens.
The main Unique Selling Point (USP) of this platform is tax benefits. Having to pay zero taxes on an investment always ends up making significantly more money, attracting even more investors to the project.
The Israel-based company who has launched this ICO project is called Neema. No details have been provided on how many tokens are being assigned or the amount that Neema is getting for its efforts. The promotional material explains that Neema is carrying out this ICO pro bono.
The Marshall Islands government will be using SOV as a legal tender while simultaneously retaining US Dollars as it’s existing currency. The country is planning to raise $30 million using this ICO project. Since half of this amount will be taken by Neema, it seems that there won’t be a lot of benefit to the people of Marshall islands to support this cryptocurrency.
The Marshall Islands ICO is scheduled to launch before the end of 2018.