Darico – DRC ICO Safe Gold-Hedged Cryptocurrency Investments?
Darico is a digital token based on the value of gold, bitcoin, and Ethereum. Find out how it works today in our review.
What is Darico?
Darico, found online at Darico.io, describes itself as “your easy-access gateway to safer cryptocurrency investment.” The company aims to make it easy for ordinary investors to access the enormous potential of cryptocurrencies. You buy a token, then gain exposure to three different assets (gold, bitcoin, and Ethereum) simultaneously.
The pre-ICO for Darico tokens is taking place throughout December. You can purchase tokens during this sale to solidify your position as a genesis node, in which case you get to emit Darico tokens over an 18 year period.
How Does Darico Work?
All Darico Coins are purportedly backed with 35% solid gold held in custodial vaults. The remaining percentage of the coin is backed by 55% bitcoin and 10% either. The end result is that you enjoy the high growth potential of cryptocurrencies like Bitcoin and Ethereum while also getting the stability of gold.
Like other gold-backed digital tokens, Darico advertises gold as a safe haven. It’s been treasured for centuries, and it continues to have value to this day. By basing the value of its token on gold and cryptocurrencies, Darico gives investors the best of both worlds. 90% of funds raised during the Darico ICO will go towards buying the bitcoin, Ethereum, and gold that back each Darico coin.
Furthermore, Darico will have genesis accounts that emit new coins on a daily basis for 18 years until they reach a total supply of 240 million (scheduled to occur over 18 years, or by 2036). All Darico genesis account holders will share emissions based on their current holdings. The ownership of genesis accounts is transferable.
You manage your Darico tokens through the Darico wallet. The company also claims to be working on an app. The entire platform is built on the Ethereum blockchain. All funds purchased by the company will be kept in reputable, cold storage, third-party vaults located in Switzerland.
The platform uses Ethereum’s proof of work algorithm for mining. It also uses Ethereum smart contracts to implement the emission protocol. Tokens are emitted through Darico’s “delegated proof of ownership” or dPOO. That smart contract allows Darico genesis accounts (labeled “DRX”) to emit new coins at a specific rate. The genesis account is actually a smart contract executing on the Ethereum virtual machine (EVM).
By the end of 2018, Darico hopes to launch a number of additional products, including a messenger app (Q1 2018), a trading module for that app (Q2 2018), indexes and cryptocurrency pools for the app (Q3 2018), investment funds (Q3 2018), and smart mortgage contracts (Q4 2018).
Who’s Behind Darico?
Darico was founded in 2016 in Zug, Switzerland by a man named Mojtaba Asadian (listed as founder and CEO of the company). Asadian is described as a serial entrepreneur, author, and accomplished investor.
He graduated from the University of Wollongong in Dubai. Prior to founding Darico, Asadian was the founder and managing director of Blackhawk Capital Ltd, a London-based capital fund, and the founder and CEO of Alpha & Beta Group, a Dubai-based global consulting firm.
The Darico ICO
During the ICO, approximately one third of the total supply of Darico tokens will be issued to early investors. That’s a total of 32.5% of the 240 million total supply (78 million Darico coins). 25% of the 240 million will be made available to the public, and 7.5% (18 million) are reserved for ongoing costs, the team, advisors, and founders.
90% of funds raised during the token sale will go directly into buying the assets for the fund (the Ethereum, bitcoin, and gold). The remaining 162 million tokens (67.5%) will be mined by genesis accounts over the next 18 years. The pre-ICO for Darico tokens continues until the end of December 2017. The exchange rate is set at 1 ETH = 110 DRC during the pre-ICO.
A specific date for the ICO has not yet been set. However, it will take place sometime during Q1 2018.
Darico is a unique cryptocurrency investment. The company claims to be putting 90% of funds raised during the ICO to three assets, including gold, bitcoin, and Ethereum. 35% of the funds will be used to purchase gold, while the remainder will go towards bitcoin (55%) and Ethereum (10%). This is designed to expose investors to the high-growth potential of cryptocurrencies while also helping stabilize their investment with the time-honored stability of gold.
What’s the advantage of purchasing Darico tokens from the company instead of just purchasing these assets yourself? I’m not totally sure. The Darico whitepaper mentions several features that may be implemented in the future – including smart contract-based mortgages.
They also heavily promote the idea of “genesis accounts”, which are effectively smart contracts built on Ethereum, and those smart contracts are able to emit Darico tokens at a specific rate. Where does the money to buy new gold, bitcoin, and Ethereum come from? How much gold is linked to each Darico token? I’m not sure. However, the company claims it will issue a weekly proof of reserve to investors.
Ultimately, there are some questions that remain unanswered about the Darico project. However, you can learn more about Darico and decide for yourself by visiting Darico.io online today. The pre-ICO is underway throughout December 2017, with a main ICO taking place early in 2018.