On Wednesday, the Telos blockchain announced the launch of a new tool designed to raise funds for low-liquidity projects: an NFT product known as a “T-Bond”.

In an interview with Cointelegraph, Douglas Horn – the author of the Telos whitepaper and the CEO of GoodBlock, a development company that helps develop Telos – said that Coin-based fundraising is a tricky problem for both existing and new projects.

“Many crypto projects face similar challenges to ours. Telos has never raised money in a token sale, but many who have done ICOs see their finances running out before their projects are market ready, ”he said. “These projects find themselves with token reserves that they cannot sell without immediately raising their prices when liquid tokens hit the market.”

A possible solution is the new product from Telos: the T-Bond. T-Bonds are bundles of replaceable tokens that are locked into non-replaceable tokens (NFTs) until a certain condition is met, such as the expiration of a specific time or the launch of a mainnet.

As a result of the sale of T-Bonds, projects can hypothetically raise funds without refueling their symbolic prices. Additionally, with the advent of yield-bearing tokens, T-Bonds have the potential to become a tool for investors to hedge returns as well: