The idea behind the erecoin system is to implement a transparent and secure transaction in Additive Manufacturing. The digitization of product development processes and the real value of digital data are of central importance. The flow of data between individual contract partners in Additive Manufacturing is simplified by platforms that use erecoin and secured with Smart Contracts.
A real growing industry is creating more value for the users of the erecoin application with the technological merger of blockchain. The attractiveness for users of the erecoin platform is further enhanced by the integration of information arrays (big data), input and output virtualization and artificial intelligence. These technologies make it possible to document transactions and to solve licensing issues of 3D files during data exchange.
The erecoin system considerably simplifies reliable work with product data and makes additive manufacturing more transparent. Eerecoin as a token also provides the ability to complete fast and reliable transactions. Data abuse by unsecured intermediaries is technologically impossible and transaction costs and risks are minimized. Like this transaction for private and professional 3D printing will be transparent. The erecoin users receive a wealth of information about their project to complete a safe and reliable transaction.
Service providers such as 3D print providers or 3D digitizers benefit directly from working on a platform. They offer their services on a globally operating platform with blockchain-based transactions. This expands the customer base and scales distribution channels. The placement mediation is carried out on the basis of smart contracts, so buying and selling of e.g. 3D models, digital services or the Additive Manufacturing of components can be secured.
FUNCTION AS A UTILITY
Customers of the erecoin platform have the opportunity to acquire erecoin tokens (short: ERE) during the ICO (initial coin offering) phase. After the ICO phase, new entrants will be able to acquire ERE from other users. If there is a scarcity of ERE, a prepared reserve will be distributed. Within the erecoin system, ERE is used for the services offered. The token exchange can be carried out conventionally via crypto exchanges.
The value of erecoin increases in proportion to the use of the utility tokens. This means that every new user of the erecoin system increases the value of the overall system in proportion to the square of the number of users. The value of the platform increases. At the same time, according to blockchain logic, it is not possible that too few utility tokens for transactions are available.
Likelihood of confusion: This ICO does not focus on speculative aspects as other token do. Erecoin only uses the system and procedures of the cryptocurrency world to provide utility tokens for transactions. As with other finite resources, securing/buying a large number of utility tokens can add value. However, operators protect the openness of the system for transactions.
Security on a complex world
The erecoin project combines blockchain with the additive technology. This enables reliable, transparent and fast transactions without intermediaries. This guarantees security and cost efficiency for all participants because Smart Contracts define all conditions of an agreement individually and uncomplicated. The erecoin system thus has a disruptive effect on conventional markets and accelerates the introduction of Additive Manufacturing on a global scale.
Initialization of Erecoin systematatics
The first step is the registration of the cryptotoken erecoin. It is based on Ethereum. Ethereum, as a cryptocurrency, is a distributed system in the field of financial technology that enables the creation, management, and implementation of decentralized programs or smart contracts in its own blockchain. It, therefore, represents an alternative to the classic client-server architecture.
Ethereum uses the internal crypto-currency Ether (shortened: ETH), which is processed by participating computers, as a means of payment for transaction processing. Ether is the crypto-currency with the second-largest market cap after Bitcoin, as of October 2018. Eerecoin will use ERE as its method for transaction processing.
The next step will be to design a platform that will take all existing transaction specificities of Additive Manufacturing and related communications issues into account. To increase the operational efficiency of this platform, applications for smartphones and tablets are planned. They should take the needs of all project participants into account, provide real-time information and prepare for the expected widespread usage of additive applications.
The erecoin platforms transaction scheme primarily involves data exchange in the product development area and digital design trade such as 3D models or 3D services. With the help of smart contracts, the order is initiated in the overall system and data or services are compiled. Government requirements, in particular taxes or restrictions, will be deducted and regulated in the transaction. This process allows global networking of Additive Manufacturing taking intergovernmental agreements and national requirements into account.
Users can choose their preferred payment method. The transaction for the payment process will be opened and the amount is first debited from the buyer and credited to the seller after a successful transaction.
Process of a transaction
The transaction involves the provision of agreed services, e.g. Products or services are transferred from the seller to the buyer. If it is a print job, the products are manufactured and delivered via a logistics company. The delivery can take place via the customer’s prioritized logistics companies or automatically predefined logistics companies. After receiving the product or service, the buyer must confirm if the goods meet the agreed requirements.
In the application, e.g. Data are sent in a defined format or 3D products meet defined quality criteria. If there are any discrepancies or problems with the data or products, the customer can enter into dialogue with the seller via the erecoin platform. The seller examines the problem and agrees with the buyer within the transaction. If no agreement is reached between the buyer and the seller within a certain period of time, the transaction will continue with the deactivation of the digital delivery and a refund of the debited amount.
If both parties agree, the token will be credited to the seller’s crypto purse. After a transaction, both parties can review in an internal evaluation and qualification system.
On the other hand, erecoin uses a fee structure that integrates a provision in the transaction. The fees are used as a source of revenue for the maintenance and further development of the platform. The fee structure provides several options: If the buyer pays with a cryptocurrency, 1.5% must be paid to the platform developers and 0.5% to finance ERE. If the buyer uses ERE, 0.5% will be levied to finance the erecoin platform.
Private and Pre Ico phase
At the beginning of the erecoin project, the attractiveness of the platform is important. Therefore, spreading the token ERE should help to increase brand awareness. Despite the trading function of ERE, the secure transaction with smart contracts in the blockchain or within the erecoin platform remains primary.
The erecoin project intends to have a timeframe of 18 months. During this period, three phases of the ICO are set as milestones. The functionality of ERE as a utility token should be developed and implemented iteratively. Finally, participants receive the service provided incrementally on the erecoin platform.