On June 14, “fully decentralized” blockchain/AI startup Raven Protocol announced that it would be running a token sale on Binance DEX. The Raven Protocol aims to “pull the power of AI/ML out of the hands of mega-corporations like Amazon/Facebook/Google and put it into the hands of the community.”
Out of the total 10 billion Ravens in circulation, 300 million will be set aside for the sales and will be offered at 0.00005 ($0.0015) the price of a BNB, the native token of Binance. The sale will begin on June 17 and will end the next day or when the hard cap ($500,000) is reached. Although it is running on a decentralized protocol, investors still need to go through the common know-your-customer processes—upload a selfie, send a proof of address, etc.
Raven enunciated that the sale is “NOT something initiated by Binance, Binance Chain, or Binance DEX,” and was solely initiated by Raven and supported by the 11 validators of the DEX. “All 11 out of 11 Binance Chain validators voted YES for Raven Protocol to be listed,” Raven said in a blog post.
Therefore, this is effectively another form of initial coin offering—but without any accountability to a central party. Aside from that, it is not clear what are the distinctions. “What is an IDO?” asks Raven in its blog post. “We don’t know. Because Binance DEX is so new, this is something that’s never been done before.”
This development comes amidst Binance’s blocking of all US customers from trading on its platform.