Iconomi (ticker symbol: ICN) is a cryptocurrency. It was first announced on August 16, 2016. As of December 28th 2017, the circulating supply was 99,788,314 ICN.^[1]

Overview

ICONOMI is to provide a platform where you can easily invest in passive or active crypto funds. In order to build up this platform, ICONOMI conducted an ICO itself in October 2016, earning about USD 10 million. In return, 85 million ICNs (ERC-20 tokens) were distributed.^[3]

The funds are exclusively specialized in tokens/currencies from the cryptoworld. ICONOMI calls the cryptocurrencies “digital assets”. This term covers all common tokens from Bitcoin to Ethereum, Lisk to Golem. These digital assets are pooled in funds.^[2]

This is either provided by ICONOMI itself or by external DAA manager s (Digital Asset Arrray Manager). The DAA manager can use the platform to describe the composition of his or her fund and explain his or her investment philosophy and objectives. If you are convinced of the fund as a potential investor, you can then invest in it via the platform.

The BLX and CCP from ICONOMI

ICONOMI itself offers two separate funds for the entry. The BLX (Columbus Capital Blockchain Index) and the CCP (Columbus Capital Pinta).^[1]

BLX

The BLX is a passively managed index fund. This fund is designed to cover the entire crypto economy. Therefore, the tokens must meet certain criteria. One such criterion is, for example, that the market capitalization of all tokens taken up corresponds to more than 70% of the total market capitalization in the crypto market. Also, all tokens must be based on blockchain technology.^[3]

CCP

The CCP is an actively managed fund. A team of experts leads the CCP and has a higher return target than the BLX. Investments are also being made in start-ups and lucrative ICOs. Columbus Capital manages this fund. Investing in the CCP is only indirect. The capital used consists of the unused ICO assets. If you buy or hold ICONOMI’s ICN tokens, you are automatically invested in the CCP fund.^[2]

How does it work

After registering and signing up on the ICONOMI platform, you can transfer a total of 5 different currencies. Bitcoin, Ether, CFI, ICN and BLX tokens are accepted. The ICONOMI team is working on the idea that USD and Euro can also be deposited.^[3]

What happens if you invest in the BLX fund?

Let’s assume that ethers worth 1000€ will be deposited and invested in the BLX index. You buy the corresponding amount of BLX tokens, the token acts like a share certificate in the fund. The price of the BLX Index is made up of the current prices of the cryptocurrencies.^[1]

For example, the BLX index is currently composed of 15% bitcoin and 15% ether, 13% dash and monero, 10% lisk and many more around 5% (Golem, Steem, Waves, etc.). If € 1000 is invested in the fund, these will be invested in the individual cryptocurrencies according to their shares. So for 150€ Bitcoin and Ether are bought and stored in cold wallets.^[3]

Another special feature is that BLX token is an ERC-20 token on the Ethereum blockchain. This means that you can store it on your own paper-wallet/hardware-wallet (Trezor, LedgerS).^[3]

What is the ICN all about?

The ICN token has several functions. On one hand, the ICN token is needed to be able to interact on the ICONOMI platform and get certain accesses. More detailed information on the individual functions is to be provided by the end of the year.^[1]

The ICN token also stands for the entire company ICONOMI. It is one share, so to speak. Although this is not covered by the regulatory framework, the ICONOMI team has spoken out clearly in supporting this decision and is pressing ahead. This allows ICONOMI to distribute the company’s profit indirectly to shareholders (ICN holders). ICONOMI buys ICN from the market with part of its income and sends it to a Smart Contract, which can no longer send it.^[1]

The tokens are burned. As a result, fewer and fewer ICNs are in circulation, leading to an increase in ICN prices. Each holder of ICN thus participates indirectly and receives a dividend through an increase in value.

Business model (ICN buy-back / fees)

ICONOMI’s business model, like the one of all platforms, is based on fees. All funds must pay a fee to ICONOMI. With the BLX, each investor has to pay an annual fee of 3%, which is calculated pro proportionally every 6 hours. In addition, everyone has to pay a sales fee of 0.5%. The closed-end CCP fund pays a 20% performance fee to ICONOMI.^[1]

In the case of foreign DAAs, these 30% of the self-determined fee must be assigned and there is a 0.1% purchase and sale fee (however, these have not yet been finally determined). All proceeds will be distributed to ICN holders through the above-mentioned buy-back of ICN.^[2]

Team

ICONOMI is a Slovenian company founded by the same team that developed Cashila. Since the ICO, the team has grown to a total of 27 members. Tim M. Zagar, Jani Valjave, Ervin Usic Kovac and Gregor Lah are the founders.^[3]