Tech Bureau to Place 33% of CMS and 25% of Zaif Tokens in Escrow Lock-up
Multi-signature, cryptographic contracts are enabled for escrow during lock-up periods.
TOKYO – October 21st, 2017 – Tech Bureau, a fintech and cryptocurrency solutions group company, today announced its plan for escrow lock-up (lock-in) on 33% of total CMS tokens issued by its own COMSA service, a complete Initial Coin Offering (ICO), fundraising, and cross-chaining platform built on the NEM blockchain protocol. CMS lock-up will occur after token sale ends 2017.11.06.14:00 JST. After that, it will also lock up 25% of the total Zaif token issuance.
Tech Bureau also plans to implement escrow lock-up on upcoming ICO projects that use COMSA as their platform service.
What is lock-up for “blockchain tokens”?
Within the context of an emergent blockchain technology and industry, and no existing escrow organizations or services in the industry that meet the standard of Japanese business practices, ICO lock-up securely holds in reserve, for a specified period, issuers’ undistributed tokens to prevent them from being sold or transferred.
Lock-up is designed to preclude wrongful use of tokens by issuers and protect user assets.
How does lock-up work?
Tech Bureau invites COMSA ICO Committee members to utilize the lock-up service in conjunction with ICOs. Participants take the role of cosignatory, and the cryptographic contract reserves the locked-up tokens for a specified period.
How does multi-signature and the cryptographic contract work?
The NEM protocol allows for the creation of “M-of-N” multi-signature accounts, meaning M can be any number equal to or less than N, e.g., 3-of-5 and 5-of-10.
The contract enables several people to administer to the activity of an account, control the cryptocurrency and other tokens from the account, or create additional contracts.
The multi-signature function secures the contract by encrypting e-signatures, thereby precluding impersonation. Once an account is converted to a multi-signature account, transactions can no longer be initiated from that account except by one of the co-signatories.
Zaif Token Lock-up Implementation Plan
Currently Zaif tokens are issued on the Counterparty protocol, but since there are no safe and stable tools to create multi-signature accounts on that protocol, Tech Bureau will migrate Zaif tokens to the NEM protocol which has a secure multi-signature capability.
To migrate the tokens to the NEM protocol, a conversion program needs to be developed and tested. Testing and quality assurance will be done to ensure that the migration environment meets public audit standards, after which the below plan and schedule will be executed:
- Planned lock-up token amount: 2.25 billion Zaif, 25% of total issuance
- Lock-up period: until the end of December 2018
- Transfer a certain number of Zaif token to the nominated account for public audit by the end of November, 2017
- Confirm co-signatories for the escrow account by mid-January 2018
- Launch the conversion tool for transferring Zaif tokens on the Counterparty protocol to the NEM protocol by the end of January 2018
- Transfer the designated Zaif tokens for lock-up to the NEM protocol by mid-February 2018
- Transfer all locked-up Zaif tokens to the multi-signature escrow account by the end of February 2018
CMS Token Lock-up Plan
After Tech Bureau ends its own COMSA token sale on November 6th, 2017 (JST), the CMS tokens will be issued on both NEM and Ethereum blockchain protocols within the same month, as the tool provides for multi-signature on both protocols.
So, CMS token lock-up, carried out before the plan for Zaif tokens, will be executed shortly after the issuance closes on both blockchains simultaneously.
- Planned lock-up token amount is 33% of total issuance
- Lock-up period: until the end of December 2018
- After the COMSA token sale closes, the number of locked-up tokens will be fixed by mid-November, 2017.
- Selection of the co-signatories for escrow will be done by the end of November, 2017
- Transfer of all CMS tokens designated for lock-up to the multi-signature escrow account will be done by the end of December 2017
The total issuance of CMS tokens will be fixed based on total sales when Tech Bureau closes its sale, and only CMS and Zaif tokens owned by Tech Bureau are planned for this instance of escrow lock-up.
Plans to execute escrow lock-ups for upcoming COMSA based ICO projects are in the pipeline.
About Tech Bureau Group
Tech Bureau, a fintech and cryptocurrency group company in Japan, the U.S., and Europe, develops software and services for blockchain technology. Tech Bureau has developed mijin, a private blockchain software, and Zaif, a Bitcoin and cryptocurrency exchange platform.
Tech Bureau recently launched a one-stop solution, “COMSA”, that provides companies with consultation, expertise, and solutions to support their very own ICOs and implementations of blockchain technology into their businesses.
Tech Bureau press contact: Fujita / email@example.com / +81-6-6533-2230
About NEM.io Foundation Ltd.
NEM.io Foundation Ltd. is a non-profit organization based in Singapore set up to promote NEM’s blockchain technology globally. It is currently one of the most well-funded and successful blockchain technology projects in the cryptocurrency industry.
For more information: www.nem.io
NEM.io press contact: NEM@transform.pr / +1-415-595-2030
All product and company names herein may be trademarks of their registered owners.