Stop The Fakes is an anti-piracy and plagiarism platform that is designed to reward individuals who report violations by awarding them with the platform’s proprietary cryptocurrency (STF Coins), currently in pre-ICO phase. Stop The Fakes also offers an affiliate referral program to reward individuals who bring in new investors to the program.
What is StopTheFakes?
Stop The Fakes was founded by Russian lawyer and information security expert Mikhail Krzhanovsky. A former employee of Russian federal government, Krzhanovsky has been, according to his LinkedIn profile, both an information security specialist for the Russian Federal Tax Service and the information security director for the Russian Federal Service for Fiscal and Budgetary Supervision.
The rest of the company, from executives to developers, also seems to be based either in Russia or former Soviet countries like Czech Republic and Latvia.
The Stop The Fakes platform – which is currently waiting on development funds generated by the incipient STF Coin ICO – will supposedly provide avenues for rights holders of plagiarized or pirated goods and services to post bounties to the system for anyone providing proof of when and where piracy or other sorts of intellectual property rights infringement is being occurred.
The rationale behind the system is that paying a small amount of money to locate the infringers quickly will be a smaller cost than losing massive amounts of revenue due to pirated products, or that’s at least the tale that Stop The Fakes tells.
There are two opportunities – getting a chance to invest in STF Coins, and also the company’s affiliate program as well.
Pre-ICO runs from November 21, 2017 to December 20, 2017. The ICO period follows from December 21, 2017 through February 20, 2018.
Coin prices are 1 Ethereum per 520 STF Coins, with minimum purchases of 0.1 ETH (or 0.01 BTC). However, purchasing STF Coins earlier during the pre-ICO phase provides bonuses starting at 40% during its first days. This bonus then declines quickly to the final days of the ICO, where it dwindles to 5% and then finally zero by the end of February 2018.
Meanwhile, individuals who refer new investors receive a 3% commission on all funds invested by direct recruits. An additional 1% commission is provided by second-level recruit sales.
Final Thoughts About Stop The Fakes ICO
Stop The Fakes sounds awfully noble, and it’s a rather innovative idea as an attempt to provide rights holders resources to identify piracy. It’s also a bright idea to offer monetization for those to seek out and identify rights infringement as well. However, we’re not sure if such a system will actually work.
While rights holders will certainly want to find out who’s pirating their goods and services, discovering the identity of these individuals is just one step – the second is stopping the infringement in its tracks. Doing so requires more legal and financial resources, which may make rights holders reticent to spend much on rewards for infringement bounty hunters, thus limiting Stop The Fakes as an income stream.
Secondly, while it makes sense for Stop The Fakes to use a blockchain to provide international adoption, we do have concerns about an ICO that has an accompanying affiliate program. Price manipulation and pump-and-dump schemes are all too common with new altcoins, and that makes us recommend high levels of caution with this ICO.