OpenChat Raises $5.5 Million in Community Crowdfunding and Hands Over Control to Token Holders

It is reported that OpenChat, an on-chain messaging application, raised $5.5 million in community crowdfunding and transferred control to the community. The Op…

OpenChat Raises $5.5 Million in Community Crowdfunding and Hands Over Control to Token Holders

It is reported that OpenChat, an on-chain messaging application, raised $5.5 million in community crowdfunding and transferred control to the community. The OpenChat team said that the project will now be controlled by its chat token holder community, and will soon transfer control of the messaging application to a decentralized, token-based governance system through the service nervous system (SNS). The recent token sales totaled 2375 participants, and formed a decentralized autonomous organization (DAO) by purchasing OpenChat’s native governance tokens. After the sale, the OpenChat team said that the on-chain messaging platform would no longer be a centralized technology company. OpenChat users can become consumers, shareholders and decision makers, and actively determine the future of the platform. For example, if the community accepts a proposal, including a code update, it will be implemented automatically by SNS, rather than by a single entity. (the block)

OpenChat raised $5.5 million in community crowdfunding and transferred control to the community

Analysis based on this information:


OpenChat, an on-chain messaging application, has raised $5.5 million in community crowdfunding, giving control of the project to its chat token holder community. The messaging application will soon be transferred to a decentralized, token-based governance system through the service nervous system (SNS). The recent token sales attracted 2375 participants, forming a decentralized autonomous organization (DAO) through purchasing OpenChat’s native governance tokens.

According to the OpenChat team, the platform will no longer be a centralized technology company. Users can become consumers, shareholders, and decision-makers, actively determining the future of the platform. The community can accept proposals, including code updates, which will then be automatically implemented by SNS, rather than a single entity.

This move towards decentralized decision-making represents a significant shift in the traditional business model for technology companies. Typically, centralized technology companies control the decisions and direction of their platforms, with updates and changes being implemented at the discretion of a small group of people.

However, OpenChat’s move towards token-based governance and community control signals a new era of decentralized decision-making, where community voices carry equal weight alongside the company itself. This shift is also in line with the broader trend towards blockchain technology, where decentralized authority and decision-making are at the core of the technology’s design.

The move to token-based governance is a critical aspect of OpenChat’s decentralization, as it allows for the democratic distribution of decision-making based on token ownership. Those who hold tokens become part of the governance structure of the platform, with the power to vote on proposals and updates.

In conclusion, OpenChat’s decision to raise funds through community crowdfunding and give control of the project to its token holders is a significant step towards decentralization and democratic decision-making in technology companies. The move towards a token-based governance system through the SNS will allow for greater community involvement and active participation in the direction and evolution of the platform.

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