Acorn Collective

What Was the Acorn Collective?

The Acorn Collective was an endeavor to build a blockchain crowdfunding platform with a native cryptocurrency, OAK. The cryptocurrency project was established by Moritz Kurtz and Peter-Andreas Kurtz in 2017. The project was active until March 2019, when it stopped operations: shorty in the wake of getting funding in the principal round of its initial coin offering, the project failed to get the financial support it expected to proceed with development when the Initial Coin Offering market collapsed, and needed to close down.

Figuring out the Acorn Collective

To get to the scale important to carry out their plan, the Acorn Collective brought $400,000 up in Series A funding in July of 2017. This money funded the startup until it sent off a pre-sale of coins called OAK tokens in 2018 that got $4,000,000. The maximum number of tokens accessible — 7,000,000 tokens — was sold at a half discount. The pre-sale endured from Jan. 29 through Feb. 19, 2018.

Kurtz delivered a video on Feb. 23, 2018, to report Acorn Collective had sold out its pre-sale of tokens. In the video, he recognized a few technical issues yet appeared certain the Collective was safely en route to an ICO.

The Collective planned to have its public ICO in 2019, the proceeds from which would fund the project to abstain from charging fees on the crowdfunding platform. The OAK token was intended to be involved inside the Acorn Marketplace to work with payments for goods and services. Likewise, funds from the ICO were to be utilized to make a point-of-sale payments app-or software application — to electronically work with payments.

At that point, the ICO marketplace was crowded with projects searching for funding. Many were genuine, and some were scams, however the sheer number of ICOs and market collapse probably prompted the downfall of numerous with well meaning goals.

Acorn ICO

The Collective planned the ICO to sell 35 million OAK tokens, with the principal ICO sale price of $1.40 per 1 OAK. Management had planned a total public sale of 72 million OAK for the ICO with a maximum supply of 90 million OAK.

The distribution of tokens was to be allocated following this system: 80% for the public ICO sale, 16.66% to the company itself, and 3.33% to "abundance and community rewards." OAK tokens were proof-of-stake just, and the Collective guaranteed no new OAK would be created sometime in the future.

By mid-2018, the Acorn team delivered the designated token growth and stability components and other technology important for the business. In a video delivered on Nov. 16, 2018, Ed Lobbett, the Chief Operating Officer at Acorn Collective, announced that the team had found that making a crowdfunding platform was more complex than just making a token and system of exchange.

The Collapse of ICOs and Acorn Collective

Albeit the Collective had invested in some profoundly cleaned marketing videos, the complexity of setting up a business that didn't work with the mechanics of cryptocurrency and blockchain on top of a collapse of the ICO market meant certain doom for Acorn Collective.

In a Medium piece distributed on Mar. 18, 2019, the prime supporters (who didn't sign their names to the article) told the public, "The principal sale turned out poorly. We exhausted a great deal of time and resources into making our [main sale] a triumph; sadly, the [ICO] market declined." These occasions prompted the collapse of the company.

The founders likewise found they were financially tied to a money-losing venture:

Very quickly, 66% of our team must be laid off with the rest taking huge pay cuts; zeroed in exclusively on conveying the platform as guaranteed. We, as prime supporters, infused our very own greater amount capital to guarantee we delivered the platform.

Goals of the Acorn Collective

The Acorn Collective was planned as a decentralized platform where people could collect funds or money from investors. Acorn was to interface investors with entrepreneurs who need to send off another product or service. Often, new companies or startups shift focus over to the private sector to raise funds since they're typically too new or have practically zero financial history.

Therefore, startups typically can't get approved for credit or funding from traditional sources, like banks. In exchange for donations, Acorn permitted the people who invested to receive discounted products and services from the companies.

Acorn collective distributed its pitchbook in 2017 illustrating how the blockchain-based crowdfunding platform would work. The pitchbook additionally illustrated the objectives of the project, which incorporated the accompanying:

• Make a free crowdfunding platform that permitted almost any legal project to be listed from practically any country on the planet
• Democratize access to capital for funding, especially for creating and emerging economies
• Make a crowdfunding hub and a secondary marketplace where goods and services that had been funded in the past could be sold
• Make the Acorn token (OAK) through a initial coin offering (ICO) to work with the transactions inside the ecosystem, which was intended to associate the investors, founders, and purchasers

Features

• The Acorn Collective collapsed with the more extensive Initial Coin Offering market collapse in 2018 and 2019 and never recuperated.
• The Acorn Collective was a blockchain startup situated in Bristol, England, active from 2017 to 2019.
• Its goal was to reduce the costs to companies and people seeking crowdfunding through a cryptocurrency-fueled platform.

FAQ

Is the Acorn Collective Also Acorns?

The Acorn Collective was an endeavor to raise funds to make a blockchain-driven crowdfunding application; Acorns Advisers, LLC, is a financial advisory service with a mobile app.

For what reason Did Acorn Shutdown?

The Association of Community Organizations for Reform Now (ACORN) is an international advocacy group for lower-pay families. It isn't associated with the Acorn Collective, which shut down due to a lack of funding.

Who Is the Acorn Collective?

The Acorn Collective (for blockchain, cryptocurrency, and crowdfunding) was a group endeavoring to raise funds through an ICO to create a blockchain crowdfunding project.