FAQ for Core Teams (Startups, Entrepreneurs, New business planner in big company)
If you think about using Starbase to do token based crowdfunding/ crowdsourcing, please read this blog post first.
And the detail flow of core team is here.
Q: So Starbase is similar to Kickstarter ? What’s the difference ?
A: Starbase provides crowdfunding & crowdsourcing functionality with web wallet functionality on the platform. The wallet can be deposited with Bitcoin, ETH.
So our platform involves not only fundraisers and investors but also workers and employees. We see the current world as more like “Alliance” type world, such as employee not only working for one company, and minimum-global-fast investment possible world.
Q: What will be the process to start Value-creation(Fundraising) on Starbase ?
A:First, core teams need to input their profile on their site and to be reviewed from Starbase team.
We will review your actual identity and background through our Skype.
Q: After profile reviewed, what should we do ?
A: Next you need to clarify, what kind of tokens you would like to issue. This is what we call token creation phase. And you need to prepare your service technical documentation, business plan, and short video for your business presentation. If you don’t have video, Starbase canto do crowdfunding with our partner design company.
Q: What kind of tokens we can issue ?
A: Basically there are 3 types of properties can be attached to new tokens, and you can compose from them. And Starbase provides “adaptable” token templates. The templates have these properties,
and you can combinate some of these properties and submit your token issuance request for us.
Starbase team technically support you to fill in “Token templates” to issue tokens and you can make the fundraise and gather team members by issued tokens.. After you decide these properties, you can submit the token properties to us.
Q: After our token sale request is reviewed, what should we do ?
A: After your token is reviewed, you can issue and send the tokens issued to your early purchasers, early contributors. And after that you can start the ICO.
Q: When can we start the public sale after the tokens are reviewed ?
A: After you have enough early purchasers, and early contributors, you can submit to start public token sale (what we call “crowdsale”) to us and we will review it.
We recommend you to do marketing before you starts crowdsale on public. It’s same as Kickstarer, IndieGoGo like crowdfunding site recommends.You can share your campaign site through your social medias.
Q: How many days will it take to start after the public sale review ?
A: It will take 3 days ~ 2 weeks to start your sale, and we will support your campaign marketing through our platform.
Q: What will be Starbase fees ?
A: Depending on service Starbase platform provide for fundraisers, but generally it will be between 5 ~ 10 %. Starbase platform technically provides 1. Starbase global token creation support, 2.tax & legal support, and additionally you can have marketing campaign through marketing professional companies Starbase could introduce.
Q: What can we do during our campaign ?
A: You can send project-updates to token purchasers and interested users(followers) via email and update tabs on Starbase website.
Q: What if our campaign failed (if not reached to minimum funding requirements)
A: All funding is returned to purchasers, but you can challenge campaign again. Never fails, never give up.
Q: What should we do after fundraise campaign success ?
A: You will make the announcement of the funding success also your website & SNS and announce the project schedule by the fund.
Q: Can we do further fundraise through Starbase or stock-fundraise after Starbase fundraising campaign ?
A: Yes you can fundraise through Starbase or traditional stock-fundraise, because the tokens on blockchain is totally separated from your company stock. To do your VC or angel funding, you need to make clear statement for the platform and separate the profit and revenue flow between your company and the token you issued.
Q: What if our company M&A’d or IPO’d after fundraise through Starbase ?
A: Digital tokens you issued and stocks of your company are totally separated. So M&A or IPO has no effect to token holders of the company.
Q: Is there any project which did both token sale and stock fundraise ?
A: Yes, for example Factom raised $4.2M from Draper by their company stock around 6th Oct, 2016 http://www.reuters.com/article/us-factom-blockchain-draper-idUSKCN1251RG
and also raised by token sale of Factoid which is the software license of Factom software in April 2015. Because the tokens on blockchain and traditional company stocks are separated as London Stock exchange said. http://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/FFWD/12538849.html
Q: How much we can raise through token campaign ?
A: You can set your maximum cap for you token campaign and we recommend you to do so. And at minimum you should set some target, and we will review minimum fundraise target you set, and if we think it’s not enough for the project apparently, Starbase team reject the proposal.
Q: Can we make multiple goals for crowdfunding ?
A: Yes, you can set multiple goals and show it to your potential token purchasers as a reference. By doing so, you can prepare for uncertainty around the public funding amount.
Q: What should we do in development time ?
A: You should update your project development & marketing update at least weekly.
Q: What if our project failed after using the funded tokens?
A: You need to submit failure report to Starbase team, and we will review. If the failure status is reasonable, we can change your project status as failed. You don’t need to refund value raised on our site, but if software, you need to make all sources developed as open source, and if product, you need to sell it all
Q: If the project failed, token purchaser can sell the tokens purchased ?
A: Yes if the project failed, as same as success, every token purchaser can sell tokens purchased on crypto currency markets in the world.
Q: How do we prepare blockchain token related legal issues ?
A: Blockchain token crowdfunding is fairly new and frontier environment, but we can make your legal preparation with our partner law firm with the template documents we provide. After Starbase platform launch, when you submit the campaign, and if it’s approved, then you will receive legal temlate documents and you can fill in then start on public.