An initial NFT offering (INO) is a new cryptocurrency crowdfunding innovation — based on the concept of an initial coin offering — that involves offering a set of limited edition nonfungible tokens for sale via the Only1 INO launchpad. As the NFT market matures, initial NFT offering rises as a solution to incentivize and reward investors and the communities.
Test launch: Only1 (LIKE) INO
Date: Oct. 7, 2021
More details will be released soon.
- 10,000 unique mints of Only1 NFTs on Oct. 7.
- All Solana (SOL) raised will be used to buy back LIKE tokens to reward early users of Only1.
- Increased Only1 staking reward for holders.
What is an initial NFT offering (INO)?
From the genius of ICO, there comes the rise of other crypto fundraising mechanisms: security token offering, initial exchange offering and initial DEX offering.
An NFT is a unit of data stored on a blockchain, which certifies a digital asset to be unique and therefore not replaceable with something else.
An increasing number of platforms are offering NFT releases to their communities. These releases consist of a number of randomly generated images with attributes of variable rarity and usually capitalize $500,000 up to $2 million or more to the team.
An INO is a new type of offering pioneered by Only1 where capital from the NFT sale goes back to the Only1 platform’s users. Similar to an IDO, an INO provides projects and creators with the ability to engage supporters and communities by issuing NFTs.
INOs empower participating investors to benefit from the inherent supply scarcity of the NFTs, as well as other perks such as increased Only1 staking rewards for holders. Only1 will also use all of the funds raised to buy back LIKE tokens from the market.
How does an initial NFT offering work?
At the beginning stage, creators and upcoming projects would provide technical documents, plans and roadmaps to the community.
Creators would launch on a first-come-first-serve basis or lottery model to fairly distribute their NFTs, thereby boosting community engagement. Furthermore, within the INO, different criteria and gamification options are available.
On the launchpad, Only1 will grant allocation to these NFTs depending on the number of native crypto tokens such as LIKE held by the user. It encourages users to stake native crypto tokens in order to receive allocations from upcoming NFT projects. Within the INOs, users in the highest tiers benefit from extremely rare and sought-after NFTs for each project.
The funding would then be distributed to the project owner to carry out the roadmap.
What makes an INO unique?
As the NFT market grows and matures, the financing nature of NFT issuance is becoming clear. The rise of INOs aims to revolutionize the booming NFT ecosystem with several unique advantages, as addressed below.
Easy-to-launch NFT projects
Through INOs, anyone can issue limited edition NFTs through our decentralized platform. INOs enable everyone with both big and small ideas to be recognized by a wider range of audiences. Many creators who are still in the process of creating their masterpiece would need new funding to finance their projects. With INOs, any artist can raise the needed funds before creating.
Early community building
Only1 allows the community to vote for promising projects to be listed on the platform and reward the winners. The exposure encourages potential investors to look into the NFT projects. The mechanism enables creators to build an early community of active traders and experienced investors around the NFT project.
Lower transaction costs
Running on Solana, INOs minimize the transaction fees creators and investors face.
Higher investment returns
An INO empowers participating investors to benefit from the inherent supply scarcity of the NFTs. Only1 has native social platform capabilities to increase visibility to certain creators, hence increasing the value of their NFTs.
For NFT projects and creators, an INO rises as a brand new type of offering that leverages the strongest elements of NFT technology by empowering them to kick-start their success stories.
Despite its meteoric growth, the NFT market is still in its infancy. INOs serve as an innovative solution to resolve the current challenges that all participants face. The new crypto funding innovation empowers global art lovers and collectors to enter the booming NFT space.