Blockchain & Crypto

‘Chingari’ to become first Indian social network to issue crypto tokens

India’s short-video platform ‘Chingari’ is all set to launch its crypto token ‘$GARI’. The company recently announced a $19 million token round on 8th October 2021. In a token round, investors invest in a firm by purchasing the project’s tokens, which in this case are $GARI.

Details about $GARI

Chingari will build its $GARI coin on an upcoming blockchain network called Solana, often seen as Ethereum’s competitor. The company’s first token sale is scheduled for 2nd November 2021.

Republic Crypto and Galaxy Digital, two blockchain investors, led the fresh investment round. It includes 30 venture funds, including Kraken, a crypto exchange based in the United States, and Solana Capital, a crypto firm that develops decentralized products on the Solana blockchain. Last year, Chingari raised $1.4 million, followed by another $13 million in April of this year.

CEO and Co-founder of Chingari, Sumit Ghosh said:

“The future of a platform lies in its creators. On one side, we have an immense talent pool that needs to be explored and rewarded with an ethical amount of monetization. On the other hand, while crypto experiences a rapid expansion in India, $GARI is poised to make it mainstream.”

Is this plan really out of the ordinary?

Chingari already has a coin system on its app. It allows users to earn money for completing tasks such as uploading original audio. Users can redeem the coins for cash. However, it’s unclear if $GARI will replace these coins. The token will also be tradeable on various crypto exchanges.

Although apps like Bigo Live and TikTok, both Chinese platforms, also have similar coin systems, neither of them deploy an actual cryptocurrency.

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Pukhraj Biala

I am an undergraduate student at Symbiosis Law school, NOIDA, pursuing B.A.LL.B. I am a problem solver who believes in reaching to a conclusion by weighing all the options and identifying the best possible one. I find Technology Laws quite fascinating and I continue to follow and learn the subject.

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