Tai Zen: What’s up guys. This is Tai Zen. We just want to shoot this quick video for you from Atlanta, Georgia about the Chronobank ICO. With me, I got this skinny.
I’ve been getting a lot of questions about this Chronobank.io. Most of you should know by now that if LeonFu.com and I are talking about ICO, you can pretty much assume that we are invested into it. If we don’t talk about it, then it ‘s more than likely we’re not invested into the ICO or the cryptocurrency.
However, in this particular case, I will let you know ahead of time that I’ll be talking about the Chronobank.io, but I will not be investing in it. No one on my team is investing in it. If there’s somebody on my team that’s investing into it, I’ll let you know. If not, I want to let you guys know that also.
One of the things that we do when we look at an ICO or a cryptocurrency to invest in is to be able to understand what we are getting into.
In case you’re new to the world of cryptocurrency investing, ICO stands for Initial Coin Offering. It’s not the same, but it’s very similar to a stock idea where they’re trying to raise money to fund a software project.
Legally and technically, the ICO tokens that are being sold are not really secured because they’re the tokens that are used to fuel the network and to make it work.
First of all, let me explain what the Chronobank ICO is from my understanding. This is one of the few times where I’m going to talk about ICO, which is not very clear to me and LeonFu.com in terms of what the purpose of the ICO is for.
The ICO is started by an Australian labor training company. They want to decentralize the labor force. In other words, they want to basically build a decentralized uber except for labor like for freelance photographers, videographers, filmmakers and any kind of labor work that has been commoditized, which means the labor is the same no matter where you get it from.
If you hire someone to edit videos for you, whether he’s or she’s from China, America, Canada, Australia, Africa, pretty much the software that’s being used in specific labor is fairly consistent. That’s the key to being commodity labor.
What they want to do is they want to build a market place. Let’s just say you’re a film editor. You want to go there and you can set up where you can put your labor up for hire. Then, someone else that needs a video editor can go there and pay for your labor using the Chronobank tokens to do the video editing. When they’re complete, the system will pay them the labor tokens that are needed to cover their labor.
There are a lot of things that the blockchain and decentralizing technology are beneficial. However, in this particular case, LeonFu.com and I really don’t see it.
There’s really a lot of confusion with the labor and how it’s being decentralized. If I am a video editor, I can do that online. However, if I’m an electrician, a contractor or a house cleaner, and you hired me to do the electrical work or clean your house, I don’t see how you can pay me with the tokens, especially when I’m in another country. If it’s in one country only where I can only sell my labor in one area, maybe that makes more sense.
However, when I was doing research on this Chronobank, it just really did not make sense why you would need to decentralize the labor. The reason is you can go to Craigslist and hire someone to clean your house or edit video for you. You can go to a website such as Upwork, which is an outsourcing website and you can go there and pay for in USD, EUR, YEN or whatever currency that they accept. Therefore, I really don’t see the point of decentralizing in that.
Once they raise the money, the first stage of their development is they’re going to create a labor hour token (LHT). That’s the token that’s going to be used to pay everyone on the network for their labor. It’s kind of like the Ethers that run the Ethereum network or the bitcoins that run the Bitcoin network. That’s the first stage,
After they get the tokens distributed to all the people who participated in ICO, the next stage of the Chronobank ICO is to create a labor market place where people from all over the world can go there and sell their labor.
The reason why LeonFu.com and I will not be investing in this during the ICO stage is we are not clear why this is necessary. When LeonFu.com and I look at a software project or a cryptocurrency project, if there’s confusion with us and neither one of us can figure out exactly why this particular problem needs to be decentralized and why it needs to be on a blockchain, what we normally do is avoid it altogether.
Was it confusing to you, skinny? When you were looking at it?
Skinny: Yeah. There were different types of tokens. There’s like a bigger token. There is the currency for the labor hours specifically for payment of labor.
Tai Zen: There was just way too much confusion, plus there are other projects right now that are going on and easier to understand. When we invest into a cryptocurrency project, we want to know what the project is about to eliminate the risk, then we want to make sure that the people involved are legitimate and not going to run off with the money.
We have a lot of people calling different ICO or cryptocurrency projects a scam, but not every project is a scam. A scam is when somebody takes your money and run off without doing anything with it. However, you can expect that 90% of the projects out there are going to fail because that’s the natural percentage of success for businesses.
According to the Small Business Administration in America, they say that over 90% of the businesses fail within the first year and the remaining businesses fail after 5 years. Therefore, the chances of a software project or business succeeding in whether traditional stock markets or in the cryptocurrency world are not very high. You keep that in minds when you are investing in a cryptocurrency project. It is no difference in running a business or anything else.
That’s the reason why we’re not investing in it. Do you have anything to add to that?
Leon: I mean somebody will have a counterpoint to it.
Tai Zen: If somebody has a good explanation of why the labor needs to be decentralized on a blockchain, please leave some comment below or put a link to a video so I can understand it and maybe I’ll change my mind. At this point in the ICO stage, I’ll not be invested in the Chronobank ICO and on one on my team that I know is investing in the Chronobank ICO. Therefore, we wait until it’s released, then we’ll go from there.
I hope this video helps you understand a little bit about the Chronobank ICO and help you make the decision whether to invest in it or not. I know we didn’t say very much but when we looked at it, it was not very clear to us.
If you asked me about using the public ledger and the Bitcoin blockchain to settle and clear stock transactions or financial transactions, I am 100% for it. The reason is it’s very clear and obvious to me why the market would prefer to have a 10-minute settlement versus 3 days like in the traditional stock market. As far as the Chronobank ICO, I don’t see the point for it at this moment.
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