Gems is a forthcoming social platform that wants to become the “Bitcoin of social networks.” Gems plans to achieve this revolution by distributing advertising revenue to users rather than centralized corporations. Moreover, Gems offers users the ability to encrypt their messages to ensure they remain private. Gems launched its cryptocurrency crowdsale on December 1.
During the presale, investors can purchase XGEMs, the native currency of Gems. Half of the 100,000,000 XGEMs will be distributed during the presale (32,000,000 of the remaining coins will be used for an airdrop, and other giveaways and the other 8,000,000 will go to developers). Gems’ developers will burn any presale coins left over at the end of the sale. According to Peled, developers will use the presale money to fund development, market Gems, and create a legal contingency fund.
Similar to Nxtty, users can send and receive XGEMs from within the Gems app. What sets Gems apart is that advertisers must pay for advertisements using the XGEMs currency. Users who receive sponsored messages from advertisers will earn the XGEMs used to purchase the ad. However, it is not clear what value XGEMs will have aside from the necessity to use them to pay for in-app ads.
Nevertheless, Gems CEO Daniel Peled has high hopes for the presale:
We expect Gems to take off at the point of being adopted by the first significant autonomous community containing at least 10K daily active members. We work hard to position this bootstrap community to be the cryptocurrency community by conducting a crowdfund. Since cryptocurrency activists are more attuned to the Gems compensation model, they form the perfect candidates to induce viral growth to the outskirts of this community at first and then to the general population. Educating about bitcoin and blockchain technology is something many of us take part in, the bottleneck are the tools we currently use in order to bring mainstream users to the ecosystem.
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Images from Gems and Shutterstock.