Earthmeta Earthmeta

Agricultural Meets Blockchain as MilkCoin Aims to up Russian Food Production

| Updated
by Andy Watson · 3 min read
Agricultural Meets Blockchain as MilkCoin Aims to up Russian Food Production
Photo: Jennifer C. / Flickr

Russian-based Khokholskaya Agricultural Company plans to launch an ICO named MilkCoin to fund a dairy farm.

The Agricultural ecosystem is not one that is often associated with cutting edge technology and forward thinking, however, Khokholskaya Agricultural Company is looking to change all that as they launch an ICO, MilkCoin, to fund a dairy farm.

Usually, it is small startups and tech companies that are delving into the ICO market in the hopes of making it big with some large funding through the pre-sale of their coins. However, these companies usually have very little assurance or backing, or even direction.

MilkCoin is bringing together established, and highly necessary, farming and agriculture and looking to make it happen through the latest form of crowd funding and investment.

More Than Just Collateral

Khokholskaya Agricultural Company realised that they were hitting an impasse when it came to creating new business ventures as they wanted to create a much needed dairy farm in the Voronezh region of Russia, however, they were let down by the banks.

It is a usual story, one where the banks have all the power and dictate the terms, and for the farming company, this meant they could not take out loans using only the land as collateral.

Khokholskaya currently own 3,500 hectares of land, but cannot do much with it without the funding. This is what prompted them to take a stab at ICOs.

However, Khokholskaya believe that they are different from other ICOs as they have experience in an important ecosystem.

The Value of Farming

In Russia, farming and food production is becoming scarce, and as such, it is in high demand, so much so that the Russian government has giving its backing to companies looking to help in expanding the food production of Russia.

Khokholskaya is looking at building their dairy farm in four stages. They want to add machinery, reconstruct the feed elevators, as well as build the animal feed mills, and then bring in the dairy cows.

Because they have been in business since 2009, the company believe that they know what they are doing when it comes to agriculture and farming, and on top of that, they have secured their initiators for their ICO out of Liechtenstein, which they hold will add legitimacy to investors’ input, as well as make it reliable and secure.

Investing in the Dirt

The idea of actively investing in a brick and mortar, mud and dirt, cow and dairy farm, can be seen as a lot more secure than many of the ICOs that are cropping up under the guise of ethereal tech companies.

By putting money towards a farm, that is in high demand, MilkCoin believe that there is no doubt that there will be good returns. And to be able to do it through an ICO and on the Blockchain, the benefits for the investors increase, according to MilkCoin.

The early indications from MilkCoin are that the annual dividends can reach 70 percent as well as quarterly three percent pay outs. MilkCoin are also predicting the token buyback might reach up to $1.20

Blockchain News, News, Token Sales
Related Articles