BatCoin is holding an IPO. While that is nothing new in the cryptocurrency world, there are a few things to it that might catch your eye.
True, BatCoin has been around for a while now, so why hold an IPO? Isn’t that usually something a coin developer does before the launch?
Yes, if they are looking to be either very innovative, or just trying to scam people. Currently, that’s a 50/50 chance with coins that aren’t released yet.
BatCoin, however, is doing an IPO after its launch, in order to collect funds so BatCoin can (finally) get listed on Cryptsy. In order to do so, however, a few Bitcoin is required in order to “bribe” Cryptsy votes.
100 Million BatShares will be sold, equalling 100 million BatCoin. These BatShares will be sold at a price of 7 satoshi each, so you can get about 10 million for less than a Bitcoin.
In total, 7 Bitcoin will (hopefully) be raised, which would be enough for Cryptsy to list BatCoin. However, that’s not all!
Each BatShare will be bought back at CurrentPrice + CurrentPrice-7. Let’s say BatCoin got to 10 satoshi, you would be able to sell them back at 10 + (10-7) = 13 satoshi each.
Keeping in mind that you bought the BatShares at 7 satoshi each, that’s a very nice profit you will be making.
In the unfortunate event of the BatCoin price NOT rising after 15 days, the BatShares can be sold back at the price you bought them for, so you won’t lose any money.
Definitely an interesting take on the “cryptocurrency IPO” we have seen so far. We would like to wish the BatCoin team and their community all the best with this endeavour!
For more information regarding the BatShares, visit this thread on BitcoinTalk.