The world of initial coin offerings has seen many weird, wonderful, and in some cases even fraudulent launches. While initial coin offerings, or ICOs, may be surrounded by a large amount of hysteria at the moment, a number of seemingly strange ICOs have achieved unparalleled success.
Potcoin, a cryptocurrency aimed at recreational marijuana users, has recently reached a market cap of $22 million USD, while Legends Room, a Las Vegas-based enterprise, offered token holders the option to buy into a crypto that can be spent in a VIP strip club. US President Donald Trump even got involved in the ICO ecosystem during his highly successful presidential campaign, launching the TrumpCoin ICO.
While regulatory bodies around the world scramble to create comprehensive legislative frameworks to control the wild west ICO industry, an anonymous artist has announced a somewhat cynical meta-ICO that functions as a commentary on the world of ICOs in general.
The Tulip ICO is an upcoming ICO that plans to sell just one cryptocurrency token as part of a digital artwork. Is the Tulip ICO a scathing criticism of the cryptocurrency market in general, or a simple cash grab? In this article, we’ll take a closer look at the ICO to find out.
What Is The Tulip Auction?
The Tulip ICO, or The Tulip Token Individual Coin Offering: An Early Harvest, is an upcoming ICO that is perhaps one of the weirdest blockchain events in recent months. The Tulip ICO aims to sell just one single token based on the Ethereum Network.
According to the artist behind the Tulip Token, the ICO functions as an experiment that “blurs the lines between art, technology, and human psychology”. The name of the Tulip ICO is a sly reference to the Tulip mania phenomena, to which the crypto market has been compared by opponents of digital currency recently.
The Tulip Mania was a financial event that occurred in the Dutch Golden Age in the early 17th century, in which contract prices for tulip bulbs- then an expensive commodity- reached astronomical highs and then, due to speculative mania, collapsed dramatically.
How The Tulip ICO Works
The Tulip ICO consists of a sale that presents investors with the opportunity to purchase the only Tulip Token in existence. The Tulip ICO will occur over a set time frame that begins when the artist stars the forced lifespan of a bulb of the Tulipa kaufmanniana ‘Early Harvest' variety. The sale will conclude when the bulb enters a phase of simulated winter and dies.
The artist behind the Tulip ICO has provided only a cursory attempt at a whitepaper, claiming in it that the project aims to “decorate the blockchain itself with wisdom that can live on alongside it”. The Token will be based on the ERC-20 standard and made available over the Ethereum blockchain, with 20% of the profits going to the Hand in Hand Hurricane Relief Fund.
The Tulip Auction Verdict
The Tulip ICO is a unique beast in the blockchain ecosystem. Pretentious? Yes. Pointless? Even more so. The entire project, however, is an interesting commentary on the transient nature of the current ICO marketplace. Whether or not the Tulip Token auction is worth participating in, however, is up to you.