LEEKICO, the one of Australia’s largest ICO funding platforms, has launched the Refund Mechanism, according to the announcement published on September 20.
“Due to recent bearish market, most of the token prices listed on exchanges experienced continued declines regardless of project quality. Therefore, considering interests of users as priority, LEEKICO would like to amend corresponding conditions for projects which intend to be listed on our platform, alleviating the cryptocurrency chaos to some extent”, – writes the LEEKICO team.
Super Voting Nodes referenced by LEEKICO, after investigating and evaluating the quality of the project, will recommend high quality projects to the platform on a regular basis.
Then the LEEKICO listing team verifies the authenticity of the recommended project materials based on the public information disclosed by project.
Accordingly, LEEKICO would raise the threshold for the projects which would like to be listed on the platform, and the following three rules will also be being applied:
- Tokens need to be listed on a CoinMarketCap ranked top 100 centralised cryptocurrency exchange by trading volume.
- The average trading volume in past 7 days is at least 1 million USD per day.
- The token price after being listed on authorised exchanges within 7 days (the original trading pair in crowdsale will be the reference) must be above the ICO price accumulating up to 36 hours.
According to the announcement, the projects that meet all the above three conditions would be considered as a successful token sale. In order to maximum the interests of investors, if the token price falls below 50% or more of the ICO price, then the token sale will be regarded as failure. At this point, LEEKICO will trigger a refund event for the users.
- Users who would like to refund need to deposit the tokens back within seven days after announcement regarding repurchase of tokens being made. The platform will charge users 10% of the tokens refunded as processing fees.
- The refund mechanism stated above is only applicable for new projects that are scheduled to be launched after this announcement.
- Refund Mechanism is only activated before the ‘successful token sale’.