Topic: [ANN] Lykke - Trade Bitcoin, Ethereum, FX and Digital Assets - page 113. (Read 144664 times)

@LykkeX, yesterday I bought some Lykke with a card, all pretty fast, without checking my identity or residence.

I have a question, at what point should I check my identity and residence?

I will forward the questions to people in the team who might be able to answer them better. Of course Internet forum posts should not be construed as legal or investment advise. This is why public documents are prepared together with expert lawyers according to Swiss law. I don't think we have an obligation to answer to impolite requests. I appreciate the critical questions - we are working on compiling the information in better ways.

I don't understand. Are you just a volunteer that is trying to do his/her best or are you part of the Lykke team that is trying to attract investors?

I simple yes or no if coins have voting power would suffice. Not a very difficult question is it?

Do you only answer questions that are not to be found in the public documents? Knowing this criteria would be very welcome for investors, so they do not ask these questions in this forum.

The goal of Lykke is to push regulation forward so that issued coins can act like real shares. That will require interacting with regulators. Lykke has the knowledge, expertise and contacts to make these things happen. In terms of participation there is the plan to let people participate with the voting platform.


Your questions are answered in the public document, as far as I'm aware. I tried my best, but if that is not good enough I would recommend using the contact info on the website. We are a startup and there are many things to do. Please note, posts on this forum don't constitute legal advise.


They remain in the treasury.

So what is the answer to question 1.2? Do the coins have voting power? Ignoring the question seems a little unprofessional. Either you don't know the answer or you know but don't want to tell.

As i understand 100 coins represent 1 share. But a coin owner is actually not a shareholder. The coins do not have a function like Ether does for the Ethereum. So the Lykke ecosystem can function without them. There is no set maximum to the coins so they can be inflated at will. Presumably according to the wishes of the real shareholders.

Only thing sure is that you have a promise of dividend sharing.

it seams like this is more a donation campaign then a crowdfunding campaign.

   

I wanted to ask what happens if not all the coins are sold during the ICO?

I think they will all be sold out by the end since there were no early bonuses and I'm sure many will just wait until the final week to get in but I would like to know what happens if 5-10m LKK coins remain unsold.

The talks about regulation as an MFT are in process, and 1 license for the Asian markets already has been obtained. Unfortunately not all the activity is visible for the public at the moment, but we're working on that. Yes, there is one dedicated expert with risk-management background.

1.1) I am sorry but i have to disagree, dilution is negative for minority shareholders always. But by your answer i assume there will be Coin increase in the future. Is there a specific policy for it ?

1.2) Sorry didnt understand if those are shares with voting power or not.

3.2) I looked at all the documentation but didn't see any cash-flow projections that explain the 0.05 price, can you be more specific ?

3.3) I am sorry i don't want to be rude, but i try to be as much Due Dilligent as possible since i invest generally something between 5BTC to 20 BTC, but the result of an earlier company can not be used to justify the valuation of a new project.

Just adding some more questions :
One of the most important areas of exchanges are the risk management part, because of all counterpart risk, operational risk, leverage etc etc, can you talk about the expertise in this field from the team ?

Also, can you talk about the legal expertise and dealing with regulators expertise of the team ? One thing is to deal with FX Exchange regulatory environment, another completely different environment is dealing with an exchange that can virtually trade any type of asset.

Thanks again for attention and fast answer in the first question.

Interview with Co-founder Sergey
https://worldcore.eu/blog/mr-ivliev-lykke-want-win-grabbing-opportunities-blockchain-offers/

1.1) Dilution is not negative, because cash goes into the bank for re-investment.
1.2) Yes, dividends should be payed via blockchain. Not planned in the near term.
2.1) UK is friendly jurisdiction.
2.2) Not sure, but some amount (>25%) of current capital raise will go to these costs.
2.3) Team is speaking with regulators in several jurisdictions. Nothing to publish yet.

3.1) The price is an ask price. Buyers can decide to buy at 0.05 CHF or leave it. Later the price will be floating, i.e. there will be an algorithm as a result of demand and supply (not direct matching for regulatory reasons).
3.2) See placement memo and annual report and various documents already released.
3.3.) Early growth companies usually trade at much different multiplies. First any significant revenue needs to be earned. Richard's previous company had net profits of 37M$ in 2007 (I believe he left active position 1-2 years after that).

Hello everyone, discover this ICO a little bit later than i would like.
Already read all this post pages and the whitepaper, i am starting to invest on crypto-currencies related fintechs, made my first investment in ICONOMI, around 8 BTC and i am looking for the next one. I have a financial markets background (15 years experience in Risk Management) so i have some questions related to the viability of the business rather than the technological part which i don't have the expertise to analyse.

Off course the concept is extremely appealing, an universal exchange that you can replicate any type of asset is something huge. So what i am trying to access if the concept can become a reality, in terms of company management, expertise, regulation, risk, etc etc etc. And if this is a good opportunity at a fair price.

So following are my questions :

1-) Initially you had 1,250,000,000 Lykke coins which was increased later to 1,285,690,000 as explained already and 100 LKK represents 1 share, so you have at this moment 12,856,900 shares of the company Lykke Corp
       1.1) In which situations can the number of Lykke Coins increase again ? In case this happens again, current shareholders get diluted, is there any mechanism to prevent shareholder dilution ? Why did you increased the number of shares in the first case and not only just sold coins of the major holder ?
       1.2) 100LKK represents 1 share of the company, is this a voting share or just a share that have the right to receive dividends if this gets distributed eventually ?
     
2- Exchange License
     
      2.1- why U.K. ?
      2.2 - How much does this license cost ?
      2.3 - What are the regulatory requirements to acquire this license ?

3- ICO Cost

    3.1- Right now i see in Lykke Wallet i can purchase LKK @ 0.05119 per USD, who is setting this price ? is this free market or the majors holders ?
    3.2 - Do you have any financial projection that you can share that explains the rationale behind this valuation ?
    3.3 - This is not a question but just my view of the current valuation, from older posts the current valuation  is around 65.5mm USD with a projected revenue of 3.6mm USD, this puts a market Cap / Projected Revenue on 18.19, there are some exchanges traded on the market that we can use as peers comparison, CME trade at around 9 / 10 (30.5bi USD MKT cap per 3.3Bi Revenue), BMFBOVESPA trades around 10/11, and those are not projected revenue, those are realized revenue. Although i understand that there is a potential growth for the business, i see this price a little bit inflated.

i will stop here, i will read the whitepaper again to see if i have any new ones.

Thanks in advance for your attention.

9,783,420 COINS BOUGHT - 20 days to the end of ICO 

I know that they have a whitepaper now, but it was published early August, some days before the ICO ended, which was started at July 11.

And they really didn't like my questions. One of both even tried to spread lies about me. So, maybe I see the project a little personal now. ;-) I'll keep on watching it to see if my first impression will turn out to be wrong. 

HEAT has one of the best whitepapers I've read lately:
http://heatledger.com/HEATWhitepaper.pdf

I have to do more reading on lykke and test the client to see what it's all about

Ah, yes, Thanks! I always mix those both projects up. But I wouldn't even say "only" regarding Heat, because they've started their ICO even without a whitepaper, their launch is delayed and I've seen nothing interesting they already could show. I wouldn't buy it at $200k. Same is true for Waves. I've seen the interview of the guy who handles it (with the guys of Bitcoin-Uncensored) and that really left a bad impression.

The only ICO I bought into was Antshares, which is also about decentralized Asset-Trading and it's valued at about $15 M and also in it's very first steps but with good connections in China (launch will most likely be end of October or early November).

Lykke in comparison is ahead regarding it's fundamentals and most likely also regarding connections into the business world.

Heat only raised ~1900 BTC equivalent (~$1.2 M)

You meant to say Waves?  Which raised ~30k BTC (~$18.3 M)

One thing I think about is, how Lykke should be seen and evaluated in general - for now and longterm. There might be the possibility that this project is so different in many aspects that thinking in common Crypto-rules and "ICO-rules" and expectations might lead to wrong conclusions.

If we imagine Lykke would be an usual project and be traded on Poloniex since march - it may very well be that the price would have increased x5 or even more and be at a $65 M - marketcap now. And like I've already said: It's normal that earlier Investors got a better price but also took a higher risk while a project is in it's first steps. Factom and a lot of other projects increased in price over the last months because of steady improved fundamentals and progress in general and of course: Increasing attention because of that. Some months ago Factom was not even recognized much.  

And Lykke obviously already has the fundamentals. I mean, the App is very well thought out and the exchange is obviously already working. It's not just a promise anymore while nobody knows if it will ever be delivered.



What I'm unsure about are not the fundamentals which are great in my eyes. The market-situation might be hard to predict and not follow the Crypto rules. But: There is something that I find really fascinating: LKK-shares will be traded exactly on that exchange they represent ownership for. Psychologically that could turn out as psychological barrier to sell. Of course I can't be sure about that, but early Investors already have demonstrated confidence in the project. So it's unlikely that they all will turn into greedy dumpers before the real show has begun at all. Additionally they would have to dump shares of Lykke --> on Lykke. That's something I really like. ;-)


With other words: It may be possible that this project already plays and will continue to play by other rules than we know in Crypto. Obviously they don't only target us but they start here - in Crypto. If this will turn out to be successful it's possible that it's not late to buy in but still early and even that it might be not so expensive how it seems. If we compare it to Heat for example, which had a $20 M ICO if I recall it correctly (I never believed in it and still don't believe it's a good project). But: Where would the price be if there already would be a working and well thought-out decentralized exchange? Maybe even above $100 M. Lykke already has that and will be valued at about $65 M after this ICO.

A key question will be if they'll get attention and users. But that's also an interesting aspect because attention generally increases over time if there is quality and ongoing progress. I've seen that in Factom. Without much marketing at all (at least not really for the Factoid-market and Crypto-folks) attention increased out of itself and that's a continuing dynamic. Lykke is different to Factom regarding purpose and target. But similar might be, that they follow a longterm strategy instead of trying to hype rushed out releases.

At least worth to keep an eye on.

Any media outlets which might want to report on Lykke?

Openassets supports dividend payments. Lykke is Swiss corporation, 100 LKK = 1 share. Company registry entry here:http://zh.powernet.ch/webservices/inet/HRG/HRG.asmx/getHRGHTML?chnr=0203039707&amt=020&toBeModified=0&validOnly=0&lang=4&sort=0

So 1-2 basispoints.
Is it correct that 1%= 100 basispoints?

That would be 1 billion USD x 0,00001 = USD 10.000,- a day.
USD 10.000,- x 365 trading days = USD 3.650.000 a year.

So if i would buy all coins 1.285.913.993 x 0,05 CHF = CHF 64.295.700 = USD 65.645.909 and all profits would be given out as dividends that would be a rate on return of investment of:

USD 3.600.000 / USD 65.645.909 * 100 = 5,68%

And the 1 billion trading volume is the best case isn't it? Meaning Lykke is a huge succes.

I don't know if 5,68% return on investment is a good return on this kind of risky investments. What do others think? There seems to be little upside even if it becomes a huge succes.

Will the dividend payout be in BTC or CHF?