Chick’nCone began selling NFTs as part of a novel concept that allows token holders to participate in royalties and fees as the chain grows. The 24-unit fast-casual concept has a menu of fried chicken tenders served in waffle cones with various sauces. The chain, founded in 2014 in Ft. Lauderdale, Fla., has ambitious growth aspirations across the United States.
Chick’nCone co-founder and CEO Jonathan Almanzar stated that the NFT sale combines the cryptocurrency world and traditional restaurant franchising in a way that benefits everyone. They couldn’t help but notice the current level of excitement and buzz surrounding the NFT space. Thus, the Chick’nCone brand is prepared to launch a highly successful NFT initiative in franchise with a forward-thinking mindset.
According to Jonathan Almanzar, he was an early Bitcoin investor, which aided in his funding of Chick’nCone’s start. The NFT programme operates as follows: The chain is selling tokens dubbed Chick’nCoins via the cryptocurrency exchange Ethereum — which, despite their name, are not coins like Dogecoin or Ethereum. He stated that it was merely a play on the brand name.
Each coin, or token, in this example, indicates ownership of a specific geographic area in the United States that the chain aspires to develop, generally a county. Token holders will earn 50% of the initial franchise fee for newly opened locations in that area. Additionally, they will earn a 2% royalty on sales at all stores within the zone, paid monthly for six years.
The revenue will be distributed equally among the region’s token holders. And tokens will be limited, albeit more Chick’nCoins will be released in densely populated locations. A region may contain a minimum of three places, but the majority may contain up to five. Up to 25 Chick’nCone sites may be opened in areas with a high concentration of coin holders. The company created a total of 933 Chick’nCoins. The company can raise close to $14 million if all of the coins are sold.
Jonathan Almanzar refers to this as a capital plan without using equity. The increased financing will assist the business in executing its growth strategy. Almanzar stated that he wishes to expand his support team and develop new formats for unit expansion, including his concept of converting shipping containers into stand-alone drive-thru restaurants and other labor-saving measures for franchisees.
Almanzar sees Chick’nCone franchise prospects in the cryptocurrency realm. As McDonald’s, Panera Bread, and Chipotle Mexican Grill have proved, virtual eateries within games may soon include delivery options. Almanzar aspires to the day where we accept cryptocurrency as payment. They have given much effort to how to integrate NFTs with eateries. He is currently exploring modest steps to establish a token similar to the eternal stamp that provides a perpetual discount!
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