# Public Pool

### **Milestone based Financing \[IMO]**

In the present web3.0 fundraising environment, a blockchain project is entitled to collect all of the funds that have been generated for the development of the project prior to the debut of the project or the Token Generation Event (TGE).

IMO will ensure a transparent and safe mechanism for investors to fund projects with an oversight and the founders to enhance their capabilities to raise funds in a trusted environment. Instead of allowing companies to access the total amount of cash obtained, the funds are safeguarded in an escrow account guaranteed by a smart contract.

This gives investors increased capital efficiency, and power to entrepreneurs for community fundraising. Bringing a win-win situation for both parties.

### Escrow Contracts

The funds in the escrow account are subsequently released after the completion of each milestone at a predetermined amount.

In an ideal world, these funds are required for the project's marketing, liquidity, listing fees, development expenditures, and general administration costs, which might stretch over a period of years. The availability of considerable cash flow or an influx of cash might result in ineffective treasury management.

### Opportunity

In addition, investors are deprived of the opportunity to earn returns on vetted projects that they would love to vest their capital in the blockchain ecosystem. It's possible that a solution like "Milestone financing" that's tied to the specifications of the blockchain project's evolution is the best option.

### Risk Mitigation

This increases the fund utilization from the project's POV and decreases investor risks. Milestone Financing using Smart Contract-based Escrow Pools would be an excellent option for establishing confidence for both of the parties involved.


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