Businesses can raise funds in a variety of ways. Businesses can borrow from banks and other institutions or individuals, or they can sell stocks and shares to attract investors. Czech companies have found the most modern way to raise funds: through virtual currencies. There are already more than 1,000 such currencies in the world, but there is no need to look for a Czech currency. The first currency representing the Czech Republic, Platon Coin, appeared on the LAToken exchange late last year. [Platon Coin is the brainchild of Platon Finance, a digital wallet containing 500,000 euros that also offers currency insurance. Its security is managed by Symantec and it accepts six cryptocurrencies, including Bitcoin, the largest. The currency can be used to purchase real estate, yachts, cars, and other consumer and utility goods. There are also plans to release a payment card that will allow payments worldwide.
Czech companies, of course, have noticed the huge boom in cryptocurrencies and have decided to seek funding for their businesses there. This led to the issuance of their own virtual currency. Last year, four companies took this option and issued a total of more than 500 million kronor.
One successful project was that of Gabriel Dusil, which raised about 50 million crowns by issuing cryptocurrency. Also, Prague-based Worldcore raised 86 million crowns. And other projects will follow. It is already certain that this form of project financing will become absolutely common over time.
A fundamental characteristic of cryptocurrencies is that there is no authority to follow. They are not controlled by central banks, states, or governments. However, their growing popularity is of great interest to various authorities, and the topic of regulating virtual currencies is becoming increasingly popular. For example, the European Central Bank is trying to do so. According to available information, the Czech National Bank is not yet planning to regulate it. However, it is only a matter of time before it is inspired by Europe.