Extending the AUC token sale

The Auctus team decided to take an action in response to the recent market crash

Ludmila Lopes
Published in
4 min readMar 30, 2018

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The AUC token sale was planned to happen between March 27 and March 31. We have used the average price of ETH in March to fix our soft cap and hard cap in ETH. Some people questioned why having the token sale opened for only 4 days when all other projects plan their ICOs to last weeks or even months. However, we were really close to reaching our soft cap even before the start of the public sale and we were really happy with our traction and whitelist oversubscription, so 4 days seemed to be enough.

Source: coinmarketcap.com

After fixing the ETH price and defining our soft and hard caps, something we haven’t foreseen happened: a huge correction in the entire cryptocurrency market. Almost every coin and token price is dropping, so this is not a good time for exchange listing.

Extension of the token sale

We have collected feedback from our community on Telegram, from advisors and had internal discussions to decide whether we should react to the market change or not. Our main concern was to act in the best interest of the entire community, so we needed to consider all pros and cons and think of ways to not put in a disadvantage everyone that already participated (including participants from pre-sale).

After a lot of discussions during the week, we have decided to extend the token sale in the following manner:

  • Halt the token sale for ten days (between April 1 and April 10)
  • Reopen it on April 10 and have ten more days of public sale

To reward people that contributed to the pre-sale and public sale, we will give an additional 15% bonus to every contribution made until March 31. Since it is not possible to change the price of AUC on the smart contract (the ratio is fixed at 1 ETH = 2000 AUC) and the presale tokens were already distributed, the additional compensation will be distributed within one week after the new closing date, together with the bounty campaign tokens.

Where is this bonus coming from?

Since all our smart contracts are deployed and our token allocation is fixed, it is important to understand where are we taking this tokens from to compensate early supporters. Tokens allocated for team, advisors, partners and future reserve are vested and thus not transferable. Unsold tokens in the public sale will be automatically burned (it’s coded on the smart contract and there is no way to revert it), so they couldn’t be used as well.

The solution our team found was to use part of the tokens allocated to the bounty campaign that was not used.

We had originally planned a bounty campaign to distribute 2% of the total token supply and announced it on August 1st, 2017 on Bitcointalk forum and on our blog. The intention was to keep the campaign running until the token sale to help us with translations, good content in other languages (videos, blog posts) and promotion in general.

Even though we had a lot of good submissions from early supporters of the project, we were not completely happy with all the results from the bounty campaign. We received some low-quality posts that were just copying other publications and we had some spam activity on the social media campaigns. For those reasons, we had prematurely closed the bounty campaign on September 19th, 2017.

Everyone that participated in the campaign will receive the tokens that were promised. However, a large part of the 2% allocated to the bounty campaign was not used. Those unused tokens would be unlocked tokens on the hands of the team. We would need to burn them manually after the token sale. Instead of doing that, we have made some calculation and decided to use them for the additional 15% bonus offered to every pre-sale and public sale (original period) participants.

The extension for the Token Sale is in accordance with the Token Sale Terms on the website. The options to extend and to halt the token sale were implemented on the smart contract (only the contract owner can access) for the case of unforeseen events.

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