Dubai parents will be able to use digital tokens and other ‘cryptocurrencies' to pay for their children's after-school activities, under a new scheme.
School activity marketplace Afterschool is to launch an innovative ‘initial coin offering' (ICO) aiming to raise $1m by issuing its own currency known as ‘Afterschool Tokens' (ASTs).
Afterschool will use a blockchain-based payments system where parents can use the tokens, and other crytocurrencies such as Bitcoin, to book and pay for activities provided both by Afterschool and third party affiliates.
The scheme is the first step in the company's plans to expand in the GCC and Southeast Asia by using blockchain technology.
Aside from using it as a mode of payment, Afterschool's system (called ‘Afterschool') aims to reward parents and third party providers who grow their network using ASTs.
The Dubai-based company said it already has more than 500 activity providers and 25,000 parents registered, and claims to have generated millions of dollars' worth of activity bookings.
Joanna Santillan, CEO and founder of Afterschool, said: "The launch of the Afterschool token pushes us in realising our vision of creating a global booking platform for parents offering hassle-free access to after school activities, schools and nurseries.
"In the future, we aim for the Afterschool token to become the go-to digital currency for the education industry as a whole."
Afterschool said it intends to use the proceeds of the ICO as follows: 60% for sales and marketing to drive expansion; 30% for product development and maintenance, and 10% for customer service.
The ICO will commence on September 26.