The total funds raised will determine the price per BetKing Bankroll token.We will take the total value of all funds at the current exchange rate at the end of the crowdsale to determine the total raised funds.E.g. If we raised $1,000,000 then the price per token would be $0.014 (1,000,000 / 70,000,000).
The buy back price offered by BetKing will be based on the current total bankroll profit.So for example if the price of the token at the end of the crowdsale was $0.014 and the bankroll profit was $1,000,000 then the buy back price would be $0.024 (1,000,000/100,000,000 + 0.014).
This is where I lost track of the details: You use the full $0.014 per token to buy back, but part of that $0.014 was also used to cover costs. If this part is taken out of the value of remaining tokens, you'll end up short at some point.
Also, the 30% reserved tokens have the same $0.014 value, but no money has been put in. If you give one of the reserved tokens away as a testing bonus, and the tester decides to use sell it back to BetKing after the first quarter, where does it's $0.014 come from?
I don't end up short. The buy back price is tied to the current bankroll profit. I'm committing to buying back at least 10% of tokens every 3 months.
The site will be making profit in that time and it will be the profit that is used to buy back the tokens.
What happens if the site makes a loss rather than a profit? It looks to me like BetKing itself gets 30% of any profits made, but also suffers 30% of any losses since the buy-back price changes by (profit/100e6) rather than by (profit/70e6). Is that the case? Do you use the same formula even if the profit is negative?
If so it seems like you're running the risk of not being able to afford to buy back the 10% per quarter at some point.
Hi
You are correct that the buy back price changes by profit/100e6.
In the event of a severe loss due to player wins that means the buy back price will be lower.
I can use either previous profit or someo f the initial funds raised in the ICO to buy back in this case.
Not all the funds will be used for the bankroll. So the bankroll can be topped up with any funds not yet spent on dev/marketing etc.
In the unlikely worse case scenario where we needed extra funds to add to the bankroll I can sell a share of my 30%+any already bought back to get more Bitcoin to add to the bankroll.
These are worse case scenarios and with proper risk management of the funds and max payout limits this shouldn't be a problem.
