If you are an avid reader of our blog, you know that you can follow Republic’s journey with AIKON and see what an enterprise’s transition to blockchain looks like.
In the first article of the series, we brought you a little closer to Republic as a company, what they do, and how they are working with AIKON.
Today, we will examine what prompted Republic to make a move towards blockchain and why they chose AIKON to help them adopt this brave new technology.
It’s 2017 — and ICOs Are Booming
Even though now over four years old, the initial coin offering (ICO) concept was all the rage in 2017 for cryptocurrency developers. It involved selling any number of cryptographic tokens to investors at the launch of a project.
Since these tokens could represent almost anything — from a novel cryptocurrency to exclusive access to an app or a service — ICO funding rounds resulted in massive liquidity growth measured in millions of USD and thus generated substantial public interest.
ICO crowdfunding was very disruptive — especially for startups looking to raise capital in and from all parts of the world — and lacked any sort of ICO legal framework for properly hosting such token sales.
Republic saw the opportunity to support compliant token sales on its platform by developing its own security token. According to the then-published press release, this represented a significant step towards investing in startups, becoming a norm for all types of investors.
Providing access via a secure platform transformed startup investing from a highly localized ecosystem to a globally distributed and interconnected community.
The Birth of the Republic Note
In 2019, the company announced the Republic Note — a proprietary profit-sharing digital security token.
The idea behind this digital asset is that all startups and private equities featured on the Republic platform get a share of the profit once they are sold later on or go public.
Furthermore, this mechanism makes Republic a platform invested in every startup project’s successful exit. A share of the profit is paid out to investors in proportion to the number of tokens owned.
AIKON Brings Republic to Algorand
The Republic Note launched on Algorand in collaboration with AIKON by implementing our blockchain-based user onboarding and identity management solutions. One of those solutions — ORE ID — was utilized to create multisig wallet accounts through which the dividends for the Republic Note token are distributed.
That way, most of Republic’s user base — non-technical retail investors — have access to the blockchain (a Web3 platform) via their existing social media and email (Web2 accounts).
As a universal authentication and authorization platform for blockchain that enables users who are not tech-savvy to access blockchain DApps in one click, ORE ID doesn’t sacrifice user experience while providing all the benefits of accessing the new technology.
And seamless blockchain user onboarding is only the beginning.
AIKON, a San Francisco-based VC-backed firm, was founded in 2017 to enable the digital asset economy and empower users from all over the globe by securing their personal information via blockchain.
AIKON has developed the Open Rights Exchange (ORE) protocols to manage access to digital rights and access, and has been enabling mainstream blockchain adoption with its ORE ID secure identity service and ORE Vault — shared wallet for teams. With its solutions, AIKON aims to foster a new era of secure identities that protects users and their data, powered by the blockchain. Follow us on Twitter or connect with us on Telegram!