DynAgro, a company deeply rooted in agriculture
How could an established, traditional farm business consider digital token investments?
It all began when one family member, the older son Daniel, started to work for a blockchain-based startup. The elder generation, which is operating the Kukburg group of family companies and is active in project development for two decades, had a very careful stance towards these “digital tokens” at first.
But life goes on, opinions evolve, and by mid-2020, two generations started to work on the creation of a tokenization platform. Born was an institution designed to facilitate a new way of financing projects and companies while also giving room to more conservative investors, allowing them to get comfort with respect to digital token investments. In other words, to unite the best of two worlds.
DIVÉI PRIME coinage a.s. was established by a group of trusted specialists consisting of both young and more experienced adults, all of them experts in their areas of specialization. The project won one of the BIG FOUR auditing firms’ support, giving additional notoriety and reliability to all undertakings. Then there was the need for a pilot project to materialize the reality of this new investment path.
DynAgro, a very conservative type of investment, was chosen for various reasons. The project allows for handing over the grain production part of the ecological operation of Kukburg to the younger son of the family, Benjamin. He had already directed the company for several years and challenged the tokenization process by implementing all of its features.
The DynAgro Benefit Token DAQ represents participation in future cash flow of a classical and conservative grain production activity: at the beginning on some 100 ha of the best agricultural land which may be found in the close vicinity of Prague in direction of the well-known golf course Albatross. To secure sustainability, half of the agricultural land shall be purchased, whereas the other half shall be leased - all pre-negotiated.
Also, since the proceeds from the token sales will be used to buy the land, the investment will be collateralized by these plots of land – an entirely secure investment in times like these. At the same time, we are looking at “old world” types of returns of some 5% per year in addition to the value gain expectation of the token itself.
For years now, demand towards “Bio”, “Ecological” or “Sustainable” products has been growing,
generating an ever increasing pressure on the farming industry. Though the farming industry
has been evolving to adapt to the needs of modern society, ecological farming has become
more and more difficult to sustain. Especially, and despite the challenge it represents to
implement, environmental sustainability is of key importance to ensure consistency in providing
highly qualitative food supply. By protecting soil and water without the use of chemicals or
genetic engineering, ecological farming promotes biodiversity and healthy cultivation .
“Ecological” is thus a term that is used to describe goods that have been produced with care for
nature, i.e. its organisms, biodiversity, complexity, and long-term health. This is what DynAgro
stands for - providing top-notch quality while demonstrating utmost care for the environment.
This being said, the difficulty to sustain such traditional farming methods comes from the
financial gaps connected to the ecological approach. It is, therefore, wise for such businesses to
diversify their portfolios and seek stability through various physical assets such as land,
property, or commodities to guarantee further growth. DynAgro is no different, in that it
expands its ecosystem, and thus financial capacity, by periodically acquiring more fertile and
arable land. DynAgro is, however, different in the sense that it will use digital tools, and thus, an
attractive method to secure the next batch of land - by sharing annular profit resulting from
the increase in crop production and the appreciation of land with its investors.