Announcing new Colored Coins Dividends Feature on Coinprism

send-dividendsLast July, we have announced the release of the Bitcoin dividends functionality on Coinprism. The concept is simple, you select an amount of Bitcoin, and that amount is automatically split amongst the owners of a particular asset (of which you may or may not be the issuer).

Today, we are happy to announce support for asset dividends as well. That means you can send dividends paid using any asset. This also enables several interesting options beyond the ability to pay interests or dividends.

  • Voting: You can issue a “vote coin”, and distribute it to all owners of a particular asset. The owners of a “vote coin” are then instructed to either send it to a special Bitcoin address called the “Yes” address, or another one called the “No” address. At the end of the vote, the number of “vote coins” at the “Yes” and “No” addresses are counted, and are used to determine the result of the vote. Everything is transparent, and everyone can see the number of yes and no votes, so there is no risk of cheating.
    The “vote” tokens are single-use, which means you get a new asset type of each vote, so you can’t save your vote coin for next vote, as it will be a different asset. The organizers of the vote can also uncolor and recycle the votes sent to the “Yes” and “No” addresses to recover the bitcoins that got “colored”.
  • Smart property distribution: You could imagine a token representing a subscription for a stadium. Every week, each owner of a subscription receives a new asset representing a ticket for next game. It is then possible to resell the individual ticket without reselling the subscription.
  • Asset replacement: If you want to transfer the ability to issue a particular asset to a new key, you would create a new asset using the new key, and distribute a dividend such that every one old asset unit receives exactly one new asset unit. You can then mark the old asset as invalid, so that everyone knows they must now use the new asset.

Dividends can be determined using any block height. That means you can pay dividends to people owning a particular asset as of last Sunday at midnight. If an asset has been sold since then, the old owner will still receive the dividends. This is possible because the blockchain contains the history of all transactions.

Finally, since Open Assets works directly on top of Bitcoin and doesn’t use any intermediate currency, there is no additional fee for sending asset dividends. For comparison, on Counterparty, you will have to pay a fee of 0.0002 XCP per recipient.

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  • cyberVoice

    Cool! That is what was in need the most!

  • CoinMiner

    If we can have a new features as Dividend history, this will be real cool to launch the coloured coins as share.