GLOBAL DIGITAL ASSETS
FAQ
Below we’ve provided a number of frequently asked questions about what we do and the general blockchain and token launch ecosystem. If you have any other questions, please get in touch using the contact form below.
GENERAL
Global Digital Assets is a full-suite advisory firm with a focus on merchant banking and consultancy services. GDA’s mission is to impact the blockchain industry from the grassroots level and drive societal change by providing entrepreneurs with financial and advisory services that are clear and easily discernible.
We work with clients from family offices and investors, to Fortune 100 enterprises and governments, to blockchain startups or established firms looking to launch a token and miners and exchanges looking for liquidity and market making.
GDA can efficiently support projects throughout their planning and funding life cycles, all with in-house capabilities. GDA’s objective is to assist founders in continuing the development of their projects. This includes advisory services related to technical and strategic consulting, as well as merchant banking services to help finance projects and give them the resources they need to continue along their roadmaps.
We think of a token launch as being similar to the idea of a website launch in the early tech days. Any business network could serve their community better online and eventually every business, and even individuals would have a website. We believe we are at a similar paradigm shift with tokens.
TOKENIZATION
Token-economics are the underlying economic principles that govern how a decentralized application derives value for its token. Token-economics are essential for any successful project as these principals help create token-scarcity, resistance to inflation, product utility & demand, as well as liquidity and token-availability through digital asset exchanges and other blockchain on-ramps.
An ICO is a fundraising vehicle that allows blockchain projects to raise capital through the open market. Rather than raising capital through private equity firms, or through other private channels, an ICO allows project founders to raise capital from its own user base. ICO’s are facilitated by the project minting a new utility token, that is then purchased by the project’s community. When the project eventually goes live, ICO participants can then use their newly accumulated tokens on the platform, or sell them to make a return on their investment.
An STO is a tokenized and digital form of a companies security. Rather then selling these assets through conventional venues like a stock exchange, STO’s allow project founders to sell digitized securities of their project directly to the investor, via blockchain technology. Although the investment process between STO’s and ICOs are similar, the key difference is that ICO’s give the investors utility tokens that they can then use on the platform. While ICO projects might pay their users dividends, the asset they are receiving is not a security, but merely a token that can be used on the platform. Comparatively, STO’s are created as investable securities and should be treated as such.
Yes, that is the fundamental goal of an STO/ICO. When project founders sell utility or security tokens before the project is live, they are selling them at a discounted price, relative to when the project will go live. The goal for STO/ICO investors is that, when the project is live and gains traction in the market, people will be purchasing the utility token from exchanges and other on-ramps to use in the application, thus increasing the price of the token.
CAPITAL
Absolutely. GDA has access to an exclusive list of private investors who are actively looking to deploy their capital.
An investment roadshow allow for representatives of a company to travel to different cities and meet investors in the region, giving them the opportunity to present and pitch their business in-front of a unique group of investors. Roadshows create a very concentrated environment where founders have intimate face-to-face interactions with accredited investors.
That depends on your offering! GDA is actively looking to structure offering that are looking to raise a minimum of 5M and maximum of 50M. A typical IEO raises 1M-5M during their offering and we have advised on a total of more than 200M of token sales.
This largely depends on your offering and whihch jurisdictions you are looking to target. GDA hosts a monthly roadshow route the East Coast of North America with three days in New York, Toronto and two days in Montreal as well as a West Coast roadshow with three days in San Francisco, three days in Los Angeles and two days in Vancouver. In addition, we have experience hosting and participating in roadshows across East Asia (HK, Seoul, Shanghai, Shenzhen & Tokyo), South East Asia (Bangkok, Saigon, Kuala Lumpur, Singapore & Hanoi), the Middle East (Dubai, Bahrain, Abu Dhabi, Riyadh) and Western Europe (London, Paris, Stockholm, Oslo, Zurich, Zug, Munich).
LIQUIDITY
Absolutely. Our exclusive network of market makers and exchanges have the customer base & volume to off-load whatever crypto-assets are in your portfolio and whatever size of volume.
When considering listing your token on an exchange, the most important criteria is partnering with a platform that has trading volume to stabilize the prize of your token, as well as ensuring that the platform has trading volume within your user bases geographical region. As well, it is critical to ensure any prospective exchanges have the necessary KYC/AML regulations in the territories that your users operate in, as well as the necessary funding and regulatory licenses so your users can onboard to said exchange and begin trading your project’s token.
GDA routes liquidity through one of the industry’s first Electronic Communication Networks (ECN). Allowing us to access unparalleled digital asset liquidity. Take advantage of our proprietary trading infrastructure and connect to the best on and off exchange liquidity hubs with industry best pricing on 10-1000 BTC per click.
We can settle trades instantly, with you maintaining control over your crypto assets throughout the entire transaction process.