Fundraiser FAQ

Background information

Here is an overview document presenting the project and the fundraiser

When is the Tezos fundraiser?

The fundraiser for the Tezos Foundation will begin on July 1st, 2017 at 6am UTC. It will last about two weeks (depending upon how long it takes for the Bitcoin network to mine 2000 blocks), and will result in a recommended allocation of tezzies (XTZ) to participants.

How do I access the fundraiser?

You can access the fundraiser at https://crowdfund.tezos.com which will go live when the fundraiser opens. It will offer step-by-step instructions.

To give you an idea, here's a walkthrough of the contribution process:

If you intend to use altcoins through Shapeshift, here are special instructions

Is the fundraiser capped?

Following the example set by the Ethereum Foundation, there is no limit on the amount of contributions that will be accepted. Capped fundraisers are typically dominated by a few large users with fast fingers. Tezos seeks to be accessible to everyone wishing to join in creating a robust and vibrant Tezos network.

What is the minimum contribution?

The minimum contribution is 0.1 BTC or its equivalent in other means.

What other means of contribution will be accepted besides BTC (XBT)?

The Tezos Foundation will also accept ETH, and offers a convenient way to contribute other alts via ShapeShift. If you choose to contribute in ETH, the equivalent BTC amount will be estimated based upon the timestamp of the Ethereum block in which the transaction is included, and the median of the the last trade price on Poloniex, Kraken, and GDAX. This is offered for the convenience of ETH holders and on a best-effort basis. If you want certainty contribute with BTC, otherwise you accept the risk that the exchange rate you'll get may not be exactly what you see on the screen at the moment of your contribution. Contributions in fiat currencies are also possible through Bitcoin Suisse AG, though be advised to check their rates and their legal agreement, and start the account opening process as soon as you can in order to give them sufficient time to process your application and for you to wire the money to their bank account before the fundraiser starts.

Can I send from an exchange?

Yes, but if contributing with ETH you need to be able to send data alongside the transaction, so make sure your exchange or wallet can do so.

Are there bonus periods?

The fundraiser will last for a period of 2000 Bitcoin blocks. Throughout this period, a contribution of one bitcoin will lead to a recommended allocation of five-thousand tezzies (5,000 XTZ) plus a time-dependent bonus. The bonus starts at 20%, meaning that a contribution of 1 BTC will yield a recommended allocation of 6,000 XTZ (a 1000 XTZ bonus). From 20% at the outset the bonuses will decrease progressively to 0% over four additional periods (15%, 10%, 5%, and 0%) lasting 400 Bitcoin blocks each. The average time between Bitcoin blocks is approximately 10 minutes, thus the fundraiser is expected to last about two weeks, and each bonus period of 400 blocks roughly two days and eighteen hours.

How exactly do I contribute to the fundraiser?

  1. Visit https://crowdfund.tezos.com after the fundraiser begins on July 1st, 2017 at 6am UTC. Make sure you type this exact address. Do not follow a link in an email or online; manually type this address into your browser. You will then go through the following steps:
  2. First your browser will be checked for compatibility. Once verified, you may either continue the process online or download a static html document which you can use on an air-gapped (not connected to the Internet) computer. If you are considering making a large contribution, we strongly advise you to use the offline option and to use a brand new computer for the occasion which should be securely wiped after use.
  3. You will be presented with a prompt asking for an email address and a new password. This ins't a registration. The email and password act as a secondary safety factor to protect the wallet that will be generated on the next screen. Pick a strong but memorable password. Losing your password means you will not be able to access the XTZ which may be allocated to you. There is no way to recover your password if you forget it. Click ‘next’.
  4. Your browser will generate a set of words (a “mnemonic”) representing your private key, as well as the hash of your public key. You must keep these words secure. The hash of your public key a string of numbers and letters starting with "tz1". You can use it to verify your contribution after you have completed the process.
  5. Save your wallet, either by manually copying the mnemonic, printing it, or moving the file to a USB drive. Verify that the seed words and public hash on the webpage match your downloaded wallet. Click ‘next’.
  6. Refer to the wallet number at the top of the document you just saved. Type your wallet number into the appropriate prompt and re-enter your password. Click ‘next’. If you used the offline option, you will instead have to follow a link online to continue the contribution process. You can use your regular computer for that step, as it does not leak the private key. If using the online option you will directly go to the contribution screen.
  7. You may now enter your desired contribution (if using BTC it is labeled XBT). You can send a test first, and/or send from multiple wallets/exchanges over several transactions. Remember if sending with ETH you must send it with the data as indicated in your paper wallet. Initiate the transfer by clicking your chosen contribution method (if it is fiat currency you will be directed to BitcoinSuisse AG’s website and you may skip the rest of step #8). Whether contributing in Bitcoin or Ethereum, double-check that the address is correctly entered by comparing it with your paper wallet, and complete the transfer. If using ShapeShift, click the ShapeShift button and enter the type of alt you’d like to convert into XBT. The destination address automatically populates, though you should check it by clicking on Bitcoin on the conversion page. Enter a return address (an address where your alts can be send back) in case the transaction does not go through, and enter your email address for a receipt of the transaction. Submit after double-checking everything and you are ready.
  8. Once the transaction is confirmed (which will take 6 bitcoin blocks, regardless of your contribution method), you will be able to confirm receipt of your contribution by following the “receipts” link and entering the public hash listed in your wallet.
  9. You’re done!

When will Tezos first be listed on an exchange?

A few exchanges have expressed interest but there is no exact timeline for XTZ to become listed. XTZ will most likely begin listing when the Tezos network becomes active and changes in ownership can be recorded on the blockchain. The development team estimates that the time to completion is around 4 months, however, bear in mind this could take longer due to unforeseen events common in software development. The Tezos Foundation will not be able to allocate tokens until the network launches. If you are anxious about exchange listing dates, we suggest you do not contribute to the fundraiser and wait until such a listing happens.