The Standard Initial Bonding Curve Offering

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TheStandard.io IBCO is your way of buying the first sEURO stablecoins for under a euro. 

Why are we doing this?
The Standard's Initial Bonding Curve Offering ( IBCO ) helps the protocol build deep liquidity so the DAO wants to reward the first users that make this happen.  

All contributed funds in the IBCO will be used to back the initial cohort of sEURO. This deep liquidity will be called the Protocol Controlled Value (PCV). 

The PCV will be deployed to fund secondary markets with sEURO and back the sEURO minted during the IBCO. This innovative offering constitutes a smooth mechanism to lead sEURO to its 1:1 peg of fiat EURO.

It shall be mutually beneficial to the protocol's liquidity, as well as to IBCO participants buying the stablecoin sEURO under a discount. ‍

Problems that the IBCO is solving.
Stablecoins are growing in popularity, because of increasing adoption in and outside the Defi space. 
However, many decentralised stablecoin projects have struggled to gain sufficient liquidity early on, which made them vulnerable to price volatility and market manipulation. 

When evaluating the data as to why other decentralised stablecoins failed, the research suggested that most suffered from a lack of liquidity. Not only does low liquidity inhibit trading and confidence but it also significantly impacts the stability of the peg.  

The problem is simple: Stablecoin prices will shift if there is not enough liquidity,  regardless of the pegging mechanism.Any new stablecoin project entering the market faces usually three hurdles: 
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1. The new stablecoins are usually not accepted as a form of payment, as they lack the first market validation.
2.  There are no options on how users can generate a yield on new stablecoins. 
3. New stablecoins suffer from long acceptance curves of approx. 1-2 years until deep liquidity has been built up.