Blockchain company, BitCar.io has announced that unsold tokens from its April Token Sale are now set for burn, reducing circulating supply.
The planned Token Burn represents approximately 60 per cent of the initial public sale amount of 250M tokens, significantly reducing the number of coins in circulation.
Similar to some other cryptocurrencies, BitCar uses a dual token system design, meaning BitCar tokens would be used on the Platform (when it becomes operational) to acquire CAR tokens representing individual exotic cars available on the BitCar platform.
The platform is designed to allow CAR token holders to peer-to-peer trade their tokens with others at any time, which BitCar hopes will grow into a large live marketplace over time.
The ‘trade your way to a whole exotic’ model development is also expected to be introduced due to strong user feedback – where numerous users said they would love the ability to eventually wholly own an exotic car.
“When a new platform car is on-boarded, its CAR tokens will each be pegged to one dollar, fractionalising the car into the CAR Blockchain currency. Each vehicle will have its own unique ‘CAR’ tokens assigned to it, for peer to peer trading” said BitCar.
CAR token holders can view third-party indexes, spot prices and future value estimates, along with data such as a ‘leaderboard’ of token holders and so make their own future trading decisions based on their view of this data.
But fundamentally, in a world first, BitCar still seeks to allow those that want to own CAR tokens to gain exposure to exotics in a tokenized format.
CAR token holders who own all or a majority of the tokens of a vehicle could seek to take possession of the vehicle over time or seek to put their CAR tokens back onto the platform.
BitCar closed its fourth and final ICO round in April this year raising SGD9.24M.
The token burn will take place before the end of July.