According to a recent Tweet from ICONOMI, beginning on November 1st, 2018, all current ICN token holders will have the opportunity to convert their digital coins into a new type of equity token, known as the eICN.
Essentially, the equity tokens will be presented as shares of ICONOMI AG, and for those who do not wish to convert their tokens into the eICN tokens, they will be able to exchange their coins for Ethereum instead.
Currently, most cryptocurrency exchanges are not legally allowed to support the use of equity tokens such as the eICN. Therefore, according to ICONOMI, they expect to be de-listed from many of the exchanges that currently support their ICN cryptocurrency.
The New eICN Coin
ICONOMI’s bold move comes as a solution to solve the current ownership and governance issues that have been plaguing the crypto markets for years. Additionally, the new tokens are designed to help bring more legal clarity for the company’s current stakeholders.
As mentioned, token holders will be able to convert their existing tokens in November of this year. However, the initial phase of the company’s plan is set to end on December 31st, 2018, and the actual tokenization process will begin in Q1 of 2019.
What’s Next For ICONOMI?
In an FAQ recently posted on Medium, they mention that the way exchanges handle the transition will be entirely up to their discretion.
Moreover, the company believes that the ICN token will be de-listed from many prominent exchange platforms. There has yet to be any news as to which platforms will be listing their new token, the eICN.
ICN will be converted into the eICN equity token, which most exchanges are not currently legally prepared to offer. We expect that some exchanges will choose to delist ICN.
— ICONOMI (@iconominet) October 12, 2018
With these bold steps, ICONOMI has once again been preparing themselves for the next big trends in the crypto space: the tokenization of existing assets.
According to most industry experts, tokens are going to transform the world of modern finance. And further, security tokens, such as the new eICN, are going to play a significant role in the coming transitions.
Crypto Is Coming!
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