Cryptocurrency exchange Coinbase has launched an end-to-end token sales platform to create a transparent way for projects to distribute tokens and decentralize. The first token sale is slated for Nov. 17 through Nov. 22.
The platform is designed to promote broader token distribution through an algorithm that prioritizes smaller requests, aiming to limit concentration among a handful of large purchasers. For the first time since 2018, retail traders in the United States will be able to widely participate in public token sales.
Coinbase requires projects to provide key disclosures and restricts issuers from selling tokens in secondary markets or over-the-counter for six months after the public sale. There is no fee for users to participate, but Coinbase charges the issuer a fee as a percentage of the USDC received. The exact fee percentage was not disclosed.
