Cajutel – CAJ ICO Guinea Africa Fast Broadband Internet Tokens?
Cajutel promises to provide 100% solar-powered high speed internet for West Africa. Find out how the platform and its ICO plan to do that today in our Cajutel review.
What Is Cajutel?
High speed internet is an absolute necessity for a modern economy. With that in mind, Cajutel wants to provide high speed internet across West Africa. The goal is to build a solar powered network that provides high speed internet to West Africans at an affordable price.
Cajutel is made by a company named Cajutel Sarl, a Guinea-Bissau-based company under Swiss ownership. The company believes it’s the first distributed autonomous organization (DAO) in Africa, and is using an ICO to raise funds for its project.
You can learn more about the company online at Cajutel.gw, although the ICO has its own website at Cajutel.io.
How Does Cajutel Work?
The goal of Cajutel is to provide mobile internet subscribers in Guinea-Bissau and Guinea “with a never before seen feature-rich platform of mobile broadband services, while providing excellent coverage, crystal clear voice quality phone calls and high-speed internet access anytime, anywhere.”
The company plans to offer affordable flat rates and fast service to maintain a competitive edge over the competition.
Today, customers in the two target countries pay $60 per month for internet plans with speeds of 256kbps. The country didn’t have GSM mobile internet service until 2005. The governments of these countries, according to the Cajutel whitepaper, are “begging for new service providers to give them internet.”
That’s where Cajutel sees an opportunity.
Cajutel aims to differentiate itself from the competition with all of the following features:
5 Key Selling Points:
Cajutel aims to provide the best speed (a minimum speed of 2mbps, up to several hundred mbps), the best customer service, the best coverage, the best quality, and the best price.
Flat Rate Subscription:
Cajutel customers will enjoy flat rate subscriptions that cover a number of mobile services. Cajutel customers have free calling within the network, free SMS within the network, and unlimited data, for example.
Cajutel will offer a free phone or CPE when customers sign a 24 month contract. This will bind customers to the company long-term (although Cajutel’s whitepaper acknowledges that most customers in the market are prepaid customers).
Cajutel will charge a standard subscription fee of about $50 USD per month, which will be lowered in steps down to $9 per month.
Cajutel will use 4G mobile networking technology to gain a speed advantage over the competition. The company will install cell base stations across the country to achieve these goals.
About Cajutel Sarl
Cajutel Sarl is in charge of the Cajutel project. The company is based in Guinea-Bissau, although it’s under Swiss ownership. The majority shareholder of Cajutel Sarl also owns DataCell EHF, which built and operated a crypto-mining datacenter and assisted WikiLeaks with credit card payments in 2010. That individual (the shareholder is specifically mentioned as a “he”) also started a telecom company in Iceland and an international fiber cable company.
Cajutel Sarl is led by Andreas Fink (CEO) and David Vine (CTO).
How Does Cajutel Sarl Plan To Make Money?
Cajutel Sarl is a unique venture. Obviously, Guinea-Bissau is a tiny country. It has a population of fewer than 2 million people. Cajutel’s whitepaper also claims that the company is aiming for a “pessimistic” market share of 5% of Guinea-Bissau’s population within 4 years. All of this doesn’t scream “maximum profits” to shareholders.
Nevertheless, Cajutel claims they have a profitable business plan in place. Here’s how the whitepaper explains the market potential for the project:
“Adding Guinea with 10 times the population and very similar situation increases the potential by a factor of 10. The key element in this is to keep the operating costs down to the minimum while grabbing as many new customers as possible during the time people start to use the internet for the first time.”
Ultimately, Cajutel wants to maintain a competitive edge – in terms of both pricing and speed – in two countries – Guinea-Bissau and neighboring Guinea – that are rapidly gaining access to the internet.
Today, the two countries are dominated by two mobile operators, including MTN and Orange. Customers pay $60 per month for a 256kbps internet connection, while businesses pay $1400 per month for an internet connection with speeds up to 1mbps.
Cajutel will get the majority of its income through monthly subscription fees. As mentioned above, those fees include a standard plan of $50 USD per month, although they can drop to $9 per month depending on the services offered.
The Cajutel ICO
Cajutel is seeking to raise money to build cell towers, install fiber, offer free devices, pay office costs, and implement core switching and billing infrastructure.
The company has two business plans, depending on how much money they raise during the ICO. The larger variant requires $30 million in funding, while the smaller variant requires $12 million. The company insists that “anything in between is possible” and that the more cash they raise, “the faster we build.”
In any case, the company is seeking to raise money through Ethereum-based tokens. These tokens are share certificates, and every token represents a share in the company and equal voting rights.
A total of 720,000 shares will be sold during the ICO, and 60,000 shares will be allocated for bounties and advertising costs. 1 million tokens will be kept by the existing shareholders, which leads to a total supply of 1.78 million tokens in circulation. The number of tokens will not grow “unless the shareholders agree to issue additional shares which is envisaged to be needed in the near future.”
There will be five phases of the Cajutel ICO. During the initial phase, each token will be sold at 0.05 ETH. By the fifth phase, tokens will be sold at 0.20 ETH.
The ICO started on August 18 and is scheduled to last until September 18.
In terms of timeline, Cajutel will construct the first 6 radio towers linking Bissau (the capital of Guinea-Bissau) to Banjul (the capital of The Gambia, to the north) in October 2017, with the first customers and sales expected by December 2017.
Cajutel, or Cajutel Sarl, is a telecommunications company seeking to raise money through an ICO in order to install a faster, cheaper mobile network in the west African countries of Guinea-Bissau and Guinea. The company’s ICO is taking place throughout August and September.
You can learn more about Cajutel by visiting the company online today at Cajutel.gw. Or, check out the official ICO page at Cajutel.io.