What is a blockchain?
At its core, a blockchain is a list of transactions. Once written, it is secure, unchangeable, and transparent.
- Ownership of the MG Token provides unprecedented access to high returns on maturing barreled whiskey by employing top industry practices and an innovative technological framework.
The aging of barreled whiskey allows you to buy into a growing market that has demonstrated strong returns over many years.
Greatly reduces the downside risk as the underlying asset appreciates significantly over the course of the product cycle.
Our platform uses innovation to simplify, secure and scale your purchase.
The whiskey market is expected to experience continued growth. Premium whiskeys connect substantially with millennials worldwide, due to their distinctive flavor and versatility in cocktails.'
One MG Whiskey Token is backed by one barrel of certified prime whiskey.
Each barrel is fully insured. The Payee Loss coverage includes the asset value.
A Security Trustee is to be appointed to hold a lien on the assets on behalf of the MG Token holders to ensure all payouts.
A leading inspection and verification company will confirm the initial barrel filling and complete routine inspection visits.
Provides access to high returns from maturing barreled whiskey, with no volatility and consistent annual payouts.
The MG Token provides unprecedented access to the high returns of appreciating physical assets. Prime certified whiskey, often referred to as ‘Liquid Gold’, is the underlying asset of the MG Token. Unlike gold, whiskey appreciates in value while consistently maturing in the barrel. The company started as a passion project among fellow enthusiasts. It is now a fully fledged business focused on safe, responsible Blockchain tracking & tracing, with complete transparency in certifying the underlying value of its tokens. The popularity of Whiskey is a global phenomenon that shows no signs of slowing down. Collecting whiskey is fun, exciting and - if done with us - very profitable.
“Too much of anything is bad, but too much good whiskey is barely enough.”- Mark Twain
At its core, a blockchain is a list of transactions. Once written, it is secure, unchangeable, and transparent.
Thanks to its cryptographic nature, a blockchain network allows secure and private transactions to occur between two people who may not even know or trust one another. And because it’s powered by a distributed network of computers from all around the world, its security and accuracy are constantly being independently verified.
Most people are familiar with blockchain’s use in finance and banking, but the technology has potential in all sorts of realms, including healthcare, manufacturing, ecology, personal data security, supply chain monitoring, as well as the MG Token’s use as a method of tracking and tracing asset ownership.
The block part of the blockchain is a group of transactions, or ledger entries, and each block is connected to the previous one cryptographically, such that if someone were to go in and try to manipulate a block, the chain would break and this would become immediately apparent to all participants. Because every computer around the world that contributes to the network is constantly checking the security of the blockchain, it becomes virtually impossible for malicious entities to falsify or erase entries in the chain.
Monogram uses the blockchain to help track and trace appreciating assets, which are always fully insured against loss. Each MG Token represents the value of a single barrel of maturing certified whiskey, from a group of barrels that were filled at the same time. The token’s metadata, which can be viewed publicly, certifies the details of the whiskey, the price, the yearly payout, as well as the insurance policy and certification letter that underlie the asset. If the token changes hands, this too is recorded on the blockchain for all to see.
However, the token’s yearly payouts are handled independently, by Monogram, to ensure that all payments are legally and securely deposited with their rightful owner. Monogram’s use of the blockchain is purely for tracking and tracing assets in a secure and public manner.
All MG Tokens currently reside on the Ethereum blockchain as what are known as ERC-1155 tokens. This is a new standard with added functionality for security and reliability.
The MG Token is not a cryptocurrency. It has been designed exclusively for tracking and tracing the ownership of appreciating physical assets. Because the initial price and yearly payouts are fixed, there’s no speculative value that could give rise to a bubble. And because the payouts and the underlying assets are insured, it’s value is easy to determine at any point in its lifecycle.
No, an NFT, or non-fungible token, is a single, unique cryptocurrency token that most often represents a piece of digital media of speculative worth. Our MG Tokens represent a specific physical, underlying asset.
After researching how best to tokenize appreciating assets, Monogram chose the ERC-1155 standard for a number of important reasons. Most people are familiar with the ERC-20 standard for cryptocurrencies, the popular choice for “fungible tokens” on the Ethereum network. Because every token is identical to every other of the same type, customers never have to worry about the nature or history of an individual token. It is easy to trade a single token or batches of thousands at once.
Then there is the “non-fungible” token standard called ERC-721. Unlike the ERC-20, each ERC-721 token can have unique features, its associated metadata, which is why these tokens are useful as collectibles or art objects. Each ERC-721 is distinct from every other and is minted and purchased separately.
The ERC-1155 is a new standard that provides benefits of both with none of the drawbacks. With this more modern standard, we can mint fungible or non-fungible tokens as needed using the same contract. The ERC-1155 also includes optimizations that allow for more efficient and safer transactions, which can be bundled together, reducing costs. This is why we’ve chosen this standard for our first issuance, the MG Whiskey Token.
After creating a Monogram account, you'll need to request, fill out, and submit a Purchase Agreement, then complete your profile with the banking and personal information that we'll need to service your account. Within one working day, a Monogram representative will contact you and work out the details required for you to wire funds to our trust account. Within five working days of the transfer of funds, we will mint your tokens and deliver them to your Monogram supplied wallet on our console. In the meantime, we will work with our distillers to insure that your barrels are filled in a timely manner. The date that your money clears escrow is called the Issuance Date. This will determine when you receive your annual payouts.
After submitting a Purchase Agreement, you will continue to work with your Monogram Network (MGN) representative to finalize details and arrange payment to the MGN Trust account. Once the deposit has cleared, your dashboard will register that funds have been received and that your tokens are ready to be minted.
Once we’ve received a customer’s payment and arranged to fill the appropriate number of barrels with a distiller, our team defines the issuance date and sends a minting transaction to our smart contract, which mints the tokens for our account. At this point the tokens exist and can be monitored independently on the Ethereum blockchain using sites such as Etherscan. Once the tokens have been minted, we transfer them to the customer’s wallet, which we host on the Monogram console.
Once your tokens have been deposited into your Monogram wallet, you will be able to track them using our console Dashboard, on the Holdings page, and on your Profile page where you'll find information about your wallet.
Both the minting of MG Tokens and every token transfer can be independently monitored and viewed on the Ethereum blockchain in addition to your Monogram-hosted wallet. Whenever your tokens are transferred, we include a link in the activities area of your dashboard that will open Etherscan, an independent monitoring site where you can view your transaction on the blockchain. You can also view your token’s associated metadata and deed image on our console, along with financial information relating to your payouts and the results of your asset’s regular in-person audit.
Currently we track:
Blockchain technology is used for every Monogram transaction and creates a continually-updated, uncompromised, secure and transparent record of legal ownership. Every sale and every purchase is recorded. Once a transaction is written into the Ethereum blockchain and verified, it is immutable and can be accessed and read at any time by anyone. We design and test our system to ensure maximum transaction resiliency and reliability.
The full price of the underlying asset is insured by a top worldwide insurer such as Lloyds of London or Liberty Mutual. Any lost, damaged or stolen whiskey barrels will be replaced at their value as of that time in the maturation process.
Once a Buyer has completed the Account Setup, Purchase Agreement form and transferred funds to the Monogram Network trust account, Monogram Network completes a Purchase Order (PO) to the Distiller for the quantity of whiskey barrels for that run. Monogram is then responsible for distributing the payment to the Distiller out of the trust account which will show confirmed dollars transferred. We will receive a confirmed, written audit report from the Distiller that the barrels were purchased, filled and stored in the Distiller’s warehouse.
We will then mint and transfer your MG Tokens into your Monogram-hosted wallet and you will be able to transfer them to a third party wallet after 90 days if you choose. At the maturity date of five years from your Issuance date, you are guaranteed a buy-back of your barrels by a bottler.
Monogram has contracted with SGS, the world’s leading inspection, verification, testing and certification company to certify that the barrels have been filled. Through regular in-person audits, they will certify that the barrels remain in the storage facility and are in good condition.
-The Distiller warehouse is bonded and is a secure facility. The warehouse facility commonly stores major US brands (i.e., Jack Daniels). Barrels are insured by top insurers (i.e., Loyds of London). We are a named insurer on the insurance policy and the coverage increases with the age and value of the barrels. Distiller has to replace the barrel with one of the same value.
- Each warehouse security system is based on the US Federal Government standards for taxable goods storage and are routinely inspected. The inventory is audited monthly and physically audited annually. Security tolerances are exceptionally rigid.
- Each warehouse has physical onsite monitoring for motion (and fire) detection - 24/7, 365 days/year.
- All barrels are uniquely identified by owner. The Monogram Network name and logo are stenciled on every barrel. (The buyer's name can also be stenciled onto the barrel.) The barrels can be easily tracked and are documented through the MG blockchain platform.
- The facilities are fully enclosed via fence, razor wire and controlled locking systems.
A smart contract is a program. It's a collection of code (functions) and data (state) that resides at a specific address on the blockchain. It has a balance and can send transactions over the network. However they're not controlled by a user. Instead they’re deployed to the network and run exactly as programmed. User accounts can then interact with the smart contract by submitting transactions that execute a function defined on the smart contract. Smart contracts can define rules, like a regular contract, and automatically enforce them via the code. Monogram’s smart contract is what defines and mints MG Whiskey Tokens.
Our blockchain technology is written in Solidity, using a library of smart contracts from OpenZeppelin, the world leader in standardized, secure code for decentralized applications. Our code is tested in-house using the Hardhat development environment & the Chai assertion library.
We performed a thorough security audit of our backend infrastructure and services. Our auditing process includes:
In addition to our world class security, all Monogram-hosted wallet keys are encrypted in our secure database. We are also using OpenZeppelin Defender to alert us to any unauthorized token transactions. Although it’s extremely unlikely to occur, we can use the blockchain and our own database to track the history of all tokens up to any unforeseen event and use this as the basis for addressing any problems.
To protect against unscrupulous users hacking into your account, we offer Two Factor Authentication with Google Authenticator. This is a free service that provides a secondary login key through your smartphone, insuring that only those with your password and access to your phone can access your account.
The MG Token is a very secure purchase. A Security Trustee, Bluewater Capital, has been appointed to securitize our clients’ purchase. As the Security Trustee, Bluewater Capital holds a lien on the assets on behalf of the MG Token holders to ensure all payouts are made.
Once the initial 90 day waiting period after issuance has passed, the owner can transfer their tokens to a third party wallet that they own. In order to receive payouts, customers must use our portal to register their external wallet. A secure, third party wallet such as the Trust Wallet will display the tokens' symbol and the amount that you own. Be aware that not all wallet programs currently display ERC-1155 tokens, so be sure to use one that does. Once you transfer your token to an external wallet, MG will no longer be responsible for the token's security. Customers are advised to exercise practices suggested by their 3rd party wallet to ensure their tokens will not be lost, stolen, or hacked.
Every year for five years, on the anniversary of your tokens' Issuance date, you will receive 10% of your purchase price as a payout. This will be deposited directly into the bank account that is associated with your Monogram account. In the future we will also be able to pay in stablecoins tied to the US Dollar, and eventually with cryptocurrency.
If you'd like to keep some portion of your whiskey, you should let your Monogram representative know as soon as possible. This will likely be possible during years 2 through 4. We will work out with you the details of delivery and any charges related to bottling and packaging.
After minting your tokens, Monogram will move them into the wallet that we manage for your account. If you’d like, after 90 days you can transfer your tokens to a third party wallet, once you register it in our console. However, once the tokens are in your possession, any fees to transfer them to another account will be your responsibility.
90 days after receiving your tokens you may sell or transfer them as you desire, after first transferring them to a third party wallet. However, the eventual owner will need to create a Monogram account and register their Ethereum wallet if they are to be paid.
Once you transfer your tokens to your own personal wallet, they are your responsibility, so be sure to protect your private key or seed phrase so they remain safely in your possession.
It is important to check the associated metadata with any token you purchase from a third party. You will want to know when the token was issued, which will determine the annual payout date, and when it matures, to make sure you understand its full value. After purchasing a token you must create a Monogram account and register your wallet, so that we can make any future payouts. If you have any questions, you can contact a Monogram representative from inside the console using our chat function.
Currently, in order to maintain economies of scale, we need to place orders with our distillers for at least 500 barrels. This also reduces the costs incurred while minting and paying off tokens. Over time, we may be able to ease this restriction.
Within 5 days of purchase, you will receive your MG tokens, deposited into your Monogram hosted wallet. You will be able to view and track your tokens on your Monogram dashboard. Metadata associated with every token will include the issuance ID, information about the whiskey, as well as payout dates. The barrels can then be tracked on the Monogram dashboard over the course of your term.
We currently have three agreements with distillers to purchase the barrels at the end of your term. In addition, we have a network of brokers that can assist us with the sales of barrels at any time during the maturation timeline.
Monogram Network assumes the full responsibility of the sale process through previously signed agreements and/or access to their broker network. The Buyer need not be concerned with the sale process.
The Buyer gets the barrels replaced at their value as of that time in the maturation process.