Will the company buy its tokens off the market?
We're offering to buy back up to 10% of a holders tokens each fiscal quarter at a price that cannot be lower than the initial ICO price + added platform/casino profits. So it's not exactly a dividend but as our profits grow, we'll be able to offer much higher token buyback prices than the exchanges.Hi,
I've touched on this above and I quote;
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Not at all. This is more of a "safety net" that we provide and a commitment to our investors. It's going to come out from our end. Let me explain.
The idea is that the token price stays at OR above the original ICO price (which is locked in as the buy-back price) and then we'll add a % from our total profits for the fiscal quarter. So it's kind of like a dividend but not really.
If the token price sky-rockets on exchanges it will obviously make a lot more sense to sell it there but in the case that the price drops lower (which we don't believe it will that's why we're confident in offering this) we'll buy back 10% of your tokens each quarter. So, in any case, you can sell your tokens at the same or higher price than you originally bought them for if you just hold on to them for the long term. The early investor bonuses (40%, 20% etc...) are basically instant profits when you think about it as you'll come out ahead regardless.
The idea is that the token price stays at OR above the original ICO price (which is locked in as the buy-back price) and then we'll add a % from our total profits for the fiscal quarter. So it's kind of like a dividend but not really.
If the token price sky-rockets on exchanges it will obviously make a lot more sense to sell it there but in the case that the price drops lower (which we don't believe it will that's why we're confident in offering this) we'll buy back 10% of your tokens each quarter. So, in any case, you can sell your tokens at the same or higher price than you originally bought them for if you just hold on to them for the long term. The early investor bonuses (40%, 20% etc...) are basically instant profits when you think about it as you'll come out ahead regardless.
Again, we're only matching and locking in the ICO pricing + % of overall quarterly profits. It's not going to be much higher when you consider that fact that most holders will want to hold and NOT sell their tokens, as per our system. The buy-backs are NOT going to occur indefinitely as the price of our overall profits, token price and market cap grows. As mentioned this is more of a safety-net for early investors more than anything else.
If the project is not doing so well, you'll be able to make back most of your original investment which in turn motivates us, as developers, to perform at the highest level and achieve high market valuation and growth. If the project is going well it will make more sense to sell your tokens at a regular exchange, which is what we're ultimately aiming for.
Don't you miss the day traders when striving for HODLers only?
Not at all. I used to day trade in the future's markets and let me tell you, day traders and "HODlers" are essentially the same in the sense that they both want to see the price to increase. Regardless, the more long-term investors or "HODlers" you have the fewer people you have that are willing to sell. Which creates what? Short supply. What happens when you have shorter supply? You get higher demand. Day traders will be able to take advantage of that and trade accordingly.
You said that viabet will have a low volatility and basically only increasing rates, which will definitely make your coin less interesting for day traders.
With all due respect to day traders, we're not trying to create a "flippable" coin. We're building a platform. At the end of the day we hope to create long-term value but as with Bitcoin and other cryptocurrencies it will attract all parties, holders, traders etc. I don't think there's such a thing as a "stable" cryptocurrency. We expect high volatility during the early days but that should decrease as our market cap grows. I guess you're right in the sense that end result will be a cryptocurrency that is more conducive to "HODLing" as opposed to day trading.
People will hold the tokens only if they will be sure that they will grow. Big valatility is good only fo dayly traders, but for holders it is nesessary stability.
