Karmacoin was established as a principle-based cryptocurrency that differs in its approach and aim by rewarding and promoting goodwill and positive behavior. And the coin is proving to be a success, recently raising $US 2,500 in 24 hours for the Children in Crisis organization that will go towards food and education for 400 orphans in Kenya.
Now, Karmacoin has announced that it will incorporate and issue shares to the community. It has registered itself as the first ever cryptocurrency to launch shares - Karmashares LLC.
Karmashares is aiming to create long-term value for holders of Karma by developing revenue-generating products and services. Qualifying holders of Karmacoins will receive a share of Karmashares profits. All of the of profits will be distributed to members on a quarterly basis according to each member's percentage owned of Karmashares LLC.
Members will also have the chance to “do good” by giving a part of their earning to their cause of choice in the Karma Fund. This is completely voluntary as each member or user could donate any amount they choose, or opt out entirely.
Since the people participating in Karmashares will not all be Karmacoin owners, there will be a significant portion of unclaimed profits. And because Karma cannot force users to take their money, they will distribute 100% of quarterly profits to the members of the community. This means that a small portion of users will receive the profits that other users do not claim.
As a legal operating entity, Karmacoin has an advantage over other currencies to establish a collaborative network and partnerships with other businesses and organizations that seek better ways of operating.
“This is the first step in really cementing our partnership. There are a lot of investors out there who will love not just the business model, but also the motivation and ideological goals behind it,” said an anonymous investor who chose not to be named because of an existing NDA signed with a partner organization.
With a lot of negative news surrounding cryptocurrencies like Bitcoin as of late, Karmacoin is adding a dash of positivity to the fledgling industry, and looking distance itself from bad press such as the Mt. Gox scandal by focusing on social responsibility and transparency.
“We’re different, to be sure,” said Tony Sorel, Managing Director of Karmacoin. “We want our community to know we’re in it for the long haul and we’re going to set the bar for standards and ethics within our industry.”
You can read more about Karmashares here.