The journey for blockchain protocols doesn’t end after their Token Generation Event (TGE); in many ways, it’s just the beginning. While pre-TGE projects often bask in the glow of investor hype and support, post-TGE protocols frequently face significant hurdles when attempting to raise additional funds by selling discounted tokens from their treasury.
Fragmented fundraising environments and liquidity issues plague these projects, diverting their focus from development to fundraising. Enter Vellos—a groundbreaking platform designed to address these challenges head-on.
The Fragmented Fundraising Environment
For pre-TGE projects, the fundraising landscape is bustling with venture capitalists, brokers, and launchpads eager to invest in the next big thing. However, this enthusiasm often wanes once the TGE is complete. Post-TGE protocols find themselves in a fragmented environment where:
- Limited Access to Investors: VCs and funds that specialize in pre-TGE investments may not extend their services to post-TGE projects, leaving a gap in support.
- Focus on New Hype: Many investors chase after the newest projects generating buzz, sidelining established protocols that still require capital to grow.
- Time-Consuming Funding Hunts: Protocol founders are forced to spend valuable time seeking funding instead of advancing their platforms.
The lack of a centralized marketplace for post-TGE investments means there’s no streamlined way for these projects to connect with suitable investors, impeding their progress and innovation.
The Liquidity Conundrum
Liquidity poses another significant challenge:
- Difficult Offloading: Existing players in the discount token market deal primarily with pre-existing SAFTs or token warrants laden with conditions, making them hard to offload.
- Large Ticket Sizes: Big-ticket discount token deals are tough to sell, limiting the pool of potential buyers.
- Concentration of Tokens: When large amounts of a protocol’s tokens are held by a single entity, it creates selling pressure as tokens vest, potentially destabilizing the token’s value.
These issues contribute to a less dynamic market, where both buyers and sellers face obstacles that hinder the ecosystem’s overall health.
Introducing Vellos: A New Opportunity for Post-TGE Protocols
Vellos emerges as a solution to these persistent problems. It is a discount token marketplace specifically tailored for post-TGE projects, aiming to democratize access to discounted tokens and streamline the fundraising process.
What is Vellos?
Vellos is a platform where projects can offer their treasury tokens at a discount directly to their loyal community and a broad spectrum of other users. By breaking down large raises into smaller, manageable ticket sizes, Vellos enables individual users to participate in funding rounds traditionally reserved for big players.
How Vellos Addresses the Challenges
- Unified Marketplace: Vellos creates a centralized environment where post-TGE projects and interested investors can connect effortlessly.
- Enhanced Liquidity: By dealing with new investment vehicles rather than pre-existing ones, Vellos simplifies the process of buying and selling discounted tokens.
- Dynamic NFTs: Vellos employs proprietary dynamic NFTs that act as keys to the underlying tokens. As tokens vest, NFT owners can claim them at will, adding a layer of flexibility and se…
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