SilkChain (SILK) - First Blockchain Project Dedicated to Improving International Trade Ecosystem
SILKCHAIN GLOBAL TRADE CHAIN
SilkChain is the first blockchain project dedicated to improving international trade ecosystem. Silk represented the common currency in ancient international trade. SilkChain is a Decentralized Autonomous Organization, or DAO, in where Silk represents the digital token.
ITDC-INTERNATIONAL TRADE DIGITALIZATION COMMISSION
Founded in Singapore in 2017, ITDC has jurisdiction over the International Digitalization Trade Foundation and is committed to establishing a decentralized global digital free trade zone. ITDC applies blockchain technology to develop a new generation of platform with smart contract. And here, named this network the SilkChain.
The Vision&Mission of SilkChain
Given the great potential of blockchain technology to redefine the existing rules of the interna-tional trade and years of cooperation practice in the international trade, several major international business leaders headed by Osell Group have jointly established ITDC (Interna-tional Trade Digitalization Commission) with the commitment to shaping the Silk Road of blockchain technology, changing the disadvantaged position of global SMEs in international trade and offering better services.
ITDC will use blockchain technology to promote DAO1 (Decentralized Autonomous Organiza-tion---a new generation of smart contract platform) among global industry organizations, and
prioritize experiment in international trade. Upholding the decentralization, openness and win-win principle, this platform devotes to promoting global trading entities, and jointly building a global merchant credit system. On this basis, it will reshape the entire international trade ecology by offering such financial applications as information storage, payment and liquidation, supply chain transparency, traceability and supply chain finance. ITDC named the digital network platform as SilkChain after the ancient Silk Road in China.
At the same time, based on our understanding that blockchain means distributed technology plus Token, we also have issued Silk Token on SilkChain. The economic model of Silk Token helps promote the interests of all existing international trade participants and share the dividends brought by the cost reduction of blockchain technology. Token’s incentives will not only establish a global cross-border e-commerce business environment where "good money" drives out "bad money", but also stimulate all resources previously excluded to participate in global cross-border SME trade services.
As the first project in the world that dedicates blockchain technology to improving international trade ecology, SilkChain represents the most powerful one initiated by the largest members among all crowdfunded blockchain projects until now. The co-sponsored members are all from well-known enterprise groups, trading entities or e-commerce, logistics, warehousing and finan-cial companies in the world. The “SilkChain” community made up of many members will prioritize the establishment of “global merchant credit system” and “supply chain financial system”. It is estimated that in the next three to five years, it will bring about trillions of US dollars in annual increments in global trade, promote the transformation from traditional international trade stocks to digital trade, and create additional business opportunities worth trillions of U.S. dollars each year. All community members will work together to build an equal and mutually beneficial international trade ecology and share the huge dividends of ecological development.
The Advantages of SilkChain
SilkChain will use the following recognition to guide its business plan and Silk Token’s economic model.
Investors earn profits from the project value, which comes from the landing of the applica-tion scenario. Therefore, we will focus our attention on the landing of the application scenario.
Technology should serve the prioritized application scenarios landing, not the other way around;
The application scenario needs to be based on the project initiator’s existing resources and business elements rather than imagination.
Formulate strategies based on existing resources and essential factors, and fractionize the grand vision into executable steps for future implementation and iteration; Proven and stable technologies are preferred. For
BlockChain technology, the proven part will be used and landed, which will be gradually and steadily promoted after careful tests;
Design the application scenario of Silk Token under the guidance of Token economics. The coinage effect will be generated and fermented when the SilkChain communities volunteer to hold Silk Token for long periods and more users want to be Token holders due to exclu-sive privileges provided. The constant volume of Tokens can support long-term active use of the Token in the application scenario;
Inspire the community power to build an open ecology.
Corresponding to above design principles, the existing advantages of the SilkChain operator will ensure the realization of established objectives.
Advantage 1: SilkChain operation team has completed the initial integration of the supply chain as well as the connection between the centralized procurement center of Chinese manufacturers and global large-scale commercial nodes, especially the Belt-and-Road countries. The number of connected large commercial nodes is gradually increasing thanks to the services provided by SilkChain;
Advantage 2: SilkChain has enough cross-border e-commerce creation experience and rela-tively mature technology system. Before the emergence of blockchain technology, SilkChain operators have completed the design and R&D of the IT system products of cross-border e-commerce B2B and B2C, and have accumulated experience in dealing with large commercial node operators, property management staff, merchants and local consumers. Meanwhile SilkChain is ready to provide one-stop B2B/B2C, IT application, blockchain and Token solutions for new customers;
Advantage 3: SilkChain has completed the service & finance integration of third-parties of cross-border e-commerce. It has established cooperation in different regions like Chia Tai Group of Thailand in financial service; at the same time, SilkChain has founded its own Migrant Bird Finance Service Provider which has already completed multiple cross-border trade financing.
Advantage 4: As the first traditional cross-border e-commerce group to expand the offline busi-ness abroad and complete the localization around the world, SilkChain has established a firm social network and close connections with politics and business circles of the Belt-and-Road countries. This is hard to achieve by competitors in a short term. Currently, SilkChain operation team has already in the world especially in the Belt-and-Road third world countries set up a number of joint venture companies, and has long-term business contacts established with local business nodes and chambers of commerce. SilkChain operation team has become an interna-tional team (see 2 Team Profile);
Advantage 5: Unlike traditional e-commerce platforms that seek profits by directly or indirectly extracting commission from the transaction value chain, SilkChain endeavors to innovate busi-ness models with Token and blockchain technology. The emergence of Token leads to the interest convergence between SilkChain operators, communities, and all Token holders. In Toke economics, brokerage commissions are not the most important, users’ willingness to hold the Tokens for long periods is of utmost importance, which can only be achieved through providing user-friendly services. In this regard, SilkChain operation team shares the same interests with SilkChain communities, and this will maximize all forces for development.
Silk is initially issued on Ethereum as ERC20 token, and the maximum amount of tokens is
X= 10 billion.
The smallest unit of Silk is 10-18 Silk.
When SilkChain Mainnet officically launchs, the user who hold ERC20 Silk of Ethereum can exchange for equivalent SDAR10 Silk in SilkChain Mainnet , and at the same time, ERC20 Silk will be destroyed.
* Fundraising (25%)
According to the fundraising plan, 25%X will be allocated to community investor, ecosystem partners, with 0 to 12 months locking period.
* Founder and Develper Team (20%)
The founding and development team of SilkChain will continue to make contributions to human resources and material resources from the aspects of project organization structure, technology research and development, ecological operation and so on during the development of SilkChain. In the token allocation mechanism, 20%X is reserved as team incentive.
This part of Silk will be locked across 36 months, and will be unlocked 1.67%X every 3 months.
* Foundation Discretionary (10%)
10%X will be reserved by the foundation, to be used for:
* Daily operations of the foundation
* Technology partnership
* Investment and incubation
* Business and community consortium incentives (20%)
In order to rapidly expand worldwide business and community members of SilkChain consortium, this part of tokens will be distributed to newly joined members, including business parties and groups, trading centers, chained markets and stores, SMBs, credit guarantee providers, pay-ment providers, finance service providers, insurance providers, as well as community developers.
The incentives will be allocated into separated token pools for every member who joined SilkChain. Every pool has certain Silk tokens pre-allocated, which will be locked initially and be expired at certain time. Member will receive unlocked Silk tokens from his own pool while he
helps to advance the ecosystem by introducing more members, developing more Dapps and serving more users, until the pool is drained out or remaining tokens in pool expire.
The expired tokens will be reallocated to token pools of new members.
* Ecosystem incentive fund (25%)
In the next 20 years with period of every 3 months, service providers, users and miners who have joined the ecosystem for more than 3 months will be rewarded according to the following principles:
* Reward service providers, users and miners that contribute to the ecosystem during each period can be quantified as contributed value by certain measurement: when the service is used a certain number of times or the service fee reaches a certain amount, and the users spend a certain amount of Silk, etc.
* Based on the quantity of Silk held by the service provider, users and miners, the reward is divided into 5 grades, corresponding to coefficient 1-5. The more Silk is held and the higher the reward coefficient will be. The service providers, users, miners will be divided into three different groups, respectively.
* The total Silk rewarded in each period will decrease over time, until the 20 year period has expired.
* The total number of Silk awards in each period will be distributed among the service pro-viders, users, and miners by their contributed value * coefficient.
* Service providers, users, miners will be divided into three different groups initially by the foundation, can be periodically adjusted by community vote.
The goal of the incentive mechanisms:
* Attract more service / developers to join the ecosystem, develop competitive dApps, and service as many users as possible.
* Enhance the quality of service provided, strengthen the competition among service pro-viders, encourage continuous improvements to their products and services, and continuously provide better service to users.
* Motivate user to use the various services on the Silkchain.
* Increase the willingness of active service providers, active users and miners to hold Silk long term.
Usage of raised fund
- Infrastructure development 25%
- Application development 25%
- Safety investment 10%
- Community operation 10%
- Market promotion25%
- Legal and compliance 5%
Silk Token Mining
Miner in silk community can” mine” silk token through silk APP, the token mined can be viewed as an stimulation.
The volume of Silk Tokens can be mined in everyday is constant, the miner will mined based on their “power”，that is
Silk Token mined =
silk volume everyday * personal power/ power in the whole mainnet
For each individual, the more power the more silk token mined.
There are lots of ways for miners improve their power such as providing real and true credential information, being actively involved in on chain and off chain community activity or providing feedback to the inquire from Silk Chain.
With the improvement of the ecological atmosphere, more scenario of power enhancement will be available.