Breakout Coin, an in-game staking mechanism, cryptocurrency payment and loyalty platform on the Breakout Chain blockchain, will launch a public coin sale at 10 a.m. PDT on Monday, June 13, 2016. The Bittrex cryptocurrency exchange will host the coin sale.
A total of 6,627,494 Breakout Coins (BRK) will be offered. Combined with a prior sale and tokens for incentivizing players and gaming sites, the crowd sale will bring the total number of BRK to 19.5 million.
The coin sale will run through July 7, 2016, and will be open for trade at the close of sale.
Breakout Chain began with a published whitepaper on multi-currencies last year and has been tested and launched.
It recently launched a free-play poker site, located at https://breakoutpoker.net, where players can win BRK, Gian Perroni, director, told CCN. “Through free game play, we currently offer several daily tournaments where individuals can win BRK,” he said.
Other than online gaming, Breakout Chain has targeted console/video gamers with a soon-to-launch digital download store, Breakout Games, and a new eSports player-versus-player (PVP) platform, BreakoutPVP, that will provide real money competitive options, Perroni added.
The eSports platform will launch in July, the digital download game store in August, and a fully-licensed, real money gaming platform available in legal markets in the fall.
Breakout Chain was created by lead developer James Stroud, PhD., a co-founder of CryptoCertify, a cryptocurrency auditing and certification company; Paul Kim, with 25 years of experience in gaming, IT and computer science; Randy Kim, a professional poker player with 20 years’ experience in casino management; and Perroni, an iGaming executive with more than 18 years of online gaming experience.
“Breakout Chain, the blockchain tech that drives Breakout Coin, can enforce fiducial agreements between parties,” said Stroud. “These blockchain agreements are called smart contracts. The Breakout smart contract system is based on a novel approach called transaction control points that make the contracts amenable to pegged sidechains as described and implemented by Blockstream.”
“The ability to run smart contracts in pegged side chains means that Breakout Chain will be unique in its ability to host distributed projects of almost any size,” Stroud continued. “These smart contracts will be among the first features to be implemented on top of Breakout Chain’s existing multicurrency technology.”
Paul Kim added, “The online gambling industry generates over $42 billion in worldwide revenue annually, with another $96 billion in the video gaming space. The Breakout Coin will be used to denominate many of our gaming properties, and will be accepted at all of them, including our soon-to-launch eSports platform and our full digital game download store.”
The coin sale will offer a 25% bonus for purchasers in the first hour of the sale. There is also a 15% bonus of BRK coins for buyers for the full first week, followed by a 10% bonus the second week, and a 5% bonus for the remainder of the crowd sale.
BRK is among three cryptocurrencies that power the Breakout Chain blockchain. Another currency, Breakout Stake (BRX), will stake interest to BRK holders based on the size of the crowd sale.
Miners processing of BRK transactions also earn another token called SisterCoin (SIS).
The three currencies are all distinct coins with the following properties:
BRX allows users to use proof-of-stake to mint another coin, BRK.
SIS can be mined using proof-of-work to further secure the network’s integrity. SIS reward blocks not only give SIS but all BRK and BRX fees paid for transactions. This is the crux of Breakout Chain’s novel “delegated fees” system.
Interconversion among the currencies is not possible; this is by design since it would destroy their abilities to have independent value and uses.
BRX can be transferred just like any cryptocurrency, but its main function is as the staking component of BRK, Stroud said. “Any use derived from its ability to be transferred is merely incidental.,” he noted. “But we anticipate many exchanges having markets in Breakout Stake because it does have value. Breakout Stake will be in high demand due to its unique ability to mint all future BRK. There will never be more BRX, and they can only be acquired during the Bittrex coin sale or in the open market after.”
SIS is a proof-of-work currency. It can be used to purchase goods and services.
“By supporting Breakout Chain, we support infrastructure and other services for Sister Coin,” Stroud said. “Unlike Breakout Coin, we do not have a plan to directly promote adoption of Sister Coin.”
Breakout Coin was created and is maintained by Breakout Services, a Limitada, Costa Rican LLC that operates independently of the regulated poker and casino gaming sites operated by Breakout Gaming, which accepts the tokens for gaming.
Stroud will publish a whitepaper on “Permissive Smart Contracts” and sidechains that will outline a roadmap for continued Breakout Chain development.