Smart Contract Ecosystem From INS Will Use Tokens As Rewards
INS Ecosystem is integrating Bancor Protocol‘s smart tokens, a protocol which enables tokens to be more easily sold. The new system will be used as part of a customer rewards program by the online grocer and will allow customers to easily change their INS tokens to others that can be easily sold via exchanges.
Using Bancor’s technology, INS will create a Smart Token called Token Relay. This will allow anyone to convert INS tokens to every token in the Bancor Network, including BNT, Bancor’s own native token.
INS founder Peter Fedchenkov stated that liquidity is a major issue within the cryptosphere and a constant concern for token-holders. He said the integration with Bancor will ensure that INS token holders have continuous and autonomous liquidity and relative stability, regardless of trade volume or exchange listings.
The INS ICO will begin on November 27, with a target of 100,000 ETH. The INS token sale will provide investor with 300 INS tokens for every ether invested.
Founded by veterans of the online grocery industry, INS is a scaleable, blockchain-based platform that enables consumers to buy groceries directly from manufacturers at lower prices. The new platform will enable manufacturers to create bespoke marketing programs to reward their customers directly by offering the INS token as a reward. The company said it is similar to miles-based reward programs of many airlines, but more advanced.
The Bancor Protocol is a smart-contract-based token conversion protocol which allows anyone to design new tokens using smart contracts. Bancor’s Smart Tokens work similarly to exchanges, in that purchasing them increases their price and selling them decreases it, so that the same arbitrage mechanics and incentives apply.
According to Bancor, Smart Tokens uses a token “connector” method to enable pre-calculation of the price change that will result from any purchase or sale at the then-current price. This is done before the transaction is executed. Smart Tokens also offer continuous liquidity. Since purchasing and selling is done through the smart contract, the tokens can always be converted to/from their connectors, irrespective of their trading volume.
