Topic: [IPVO] [Multiple Exchanges] Neo & Bee - LMB Holdings - page 175. (Read 658701 times)

No you are not an exchange. An exchange sells Bitcoins for Euros and then tells the customer how many Bitcoins they own. Your concept of 'pegging' the value of Bitcoin is NOT something an exchange does. You are then offering to fix the value of their deposit in it's original euro amount and somehow then report to them that their Bitcoins have magically grown or shrunk in numbers.

I'll ask it again, it's very simple -  I invest 100 euros with you, what does my online or paper statement show that I own 100 euros or 1 Bitcoin?? This is a basic fundamental of your business.

Didn't see this question. As explained elsewhere we are to put it simply, we are an exchange, that offers a wallet service and a payment gateway.

The wallets for those that wish to peg their wallet to a euro value are going to see a fluctuating amount of BTC in their wallet.

Repeated....

I never asked for a monthly audit  
Can you please update your contract, stating that monthly (unaudited) reports (and what reports) will be published and by what date.
I think PL, CF and balance sheet are not too much to ask and are vital for understanding, what is going on.
Cheers!

Agree that requiring audited accounts on a monthly basis is unreasonable.

We can run our own reports daily or hourly, never said otherwise. We will happily provide regular monthly updates from our own figures but all official accounts will be provided quarterly.  We are not exactly using a small or medium accountancy firm either. These guys have a very big influence on the regulators.

So to be clear our updates will be made at more regular intervals and our audited accounts less frequently.  I would be welcoming of any recommendations of an accountancy firm, that has the same impact and respect with the regulators, that you may be aware of here in Cyprus or even better if they operate on a global scale.

And so the trolls have arived here too. It's like a plague.

I'm glad, that Amsterdam will most likely offer a serious surrounding for discussion without underaged
trolls with .05 BTC as "fortune"

Whats next, a new nuclear power plant in Fukushima, backed by bitcoin?

Please answer the following simple question:

I deposit 100 euros into an account with you. At the point of this the BTC/EUR rate is 100:1 for example. Does my deposit statement show I own 100euros or 1 BTC??

If I own 100euros, you are deposit-taking institution holding Euros and MUST operate under the same rules as all other financial institutions in the EU.

If my account shows 1 BTC, then you may well only be an exchange-house and may avoid some regulations by operating only in Bitcoin, but you cannot profit from rises in BTC/EUR values, so your financial model is completely inaccurate.

Which of these two is it?

EDIT: (fixed my wording)
LOL... Monthly statements do not need auditing. Sorry to be so blunt, but this is a flat out lie form either you or your accounting firm that they can not produce monthly statements. I use accounting firms all the time and this is BS!

If you are willing to operate your "bank" while blind for 3 months, you got some ugly fuck-ups coming.

If your accountant is telling you, she/he can not give you monthly, she is actually telling you: "I will be updating your ledger (entering transactions - manually or importing) once in 3 months, because we have better things to do .. like drink coffee"
As you probably understand, this is utter BS!  
Please, avoid accounting firms, who expect you to fly blind for 3 months.

Thanks, as previously mentioned in the thread, due to our model a "run" during a decrease in the exchange rate would reduce our liabilities.

With regards to the legislation, we are now commencing the official lobbying process as previously detailed. Bitcoin is a protocol, that can be utilised in many ways, I do not need to explian that especially on here of all places. We are first and foremost providing access to using Bitcoin as a way to utilise the cryptographic elements to ensure the customer has control of their funds and they are not using it as a purely speculative asset.

Essentially we could have created our own alt, sold it locally in exchange for Euros, however Bitcoin can offer so much more globally than taking said option and it wouldn't be decentralised and still subjected to the current regulations you described above.

The volatility is something only volume will change and we are addressing this on a large scale not only ourselves but opening up other platforms to Bitcoin.

Thanks for the input, we are well aware of how the Bitcoin space operates, however all of our accounts are prepared by one of the big 4 accountancy companies (name will be released on Monday) this comes at a real world cost of both time and finance. Because we are operating a real structured business and not a mining farm with very few real business requirements we cannot just speed these processes up. We can run our own reports and provide trading updates however audited accounts cannot be prepared and released monthly. If it was viable, I would do it.

This whole proposition is so naive and risky it is untrue. It's nothing more than a free bet on Bitcoin going up taken with customer monies. As well as a huge risk of failing for this reason alone, it's almost certain that it'll be seen by the authorities as a deposit-taking institution and regulated as such, which is hugely expensive and difficult.

You simply cannot hold 98% of deposts in Euros and not be regulated. I'll state it again - deposit taking in the EU is illegal unless you are regulated. Guess what the whole issue of the requirements for regulation and illegality are utterly ignored because it's Bitcoins. Except it's not Bitcoins it's held in Euros, because as they admit 98% of people want to hold euros (or somehow try to claim it's held in Bitcoin but pegged to the euro?).

Even ignoring the regulation element, anyone who has a brain who deposits their money in this knowing about Bitcoin (and why would they if they didn't) would immediately try to withdraw their money if the BTC/Eur rate fell, since they'd know the bank could not cover all depositors - hence the classic 'run on a bank' scenario.

This is a great theoretical idea, but pegging any of it back to Euros causes it all to fail. Of course this is being done since the reality is that the depositors do not want to hold Bitcoins.

Do we have any estimation when that may happen (the first dividends payment)? Eg the first quarter of 2014?
So it would be foolish for me not to wait the first payment?

wisard +1, all really good points.

I like to add few.
If you have followed, what is happening in BTC world, quarterly financial reports will not work here. Please change the contract to "once a month".
Especially, because you guys start out with a loss for a while.  PL/CF and balance sheet will do the trick.
It is also extremely important, you publish your balance sheet right after the IPVO is completed or at the end of September, which ever arrives first.
Can you do that?

They might sell as much but reality as of now is $730.000 not $2mil. Lots of things may or may not happen. As of now people bought $730.000 worth of shares in this IPO.

~ 1.1m private & XBOND
~ 1.83m in Bitfunder
~ 2.1m in BTC
~ 0.3m in Havelock

These are the ASK volumes at the current IPO issue price of 0.003.

So the company can sell them and raise the $2m, am I missing something?

Yeah, these are the accurate numbers. That's about $730,000 at current Bitstamp price.

I am talking about the market depth:

https://bitfunder.com/asset/NEOBEE
https://btct.co/security/TAT.NEOBEE
https://www.havelockinvestments.com/order.php?symbol=NEOBEE

Why are people constantly putting up incorrect numbers?

As of this post,
475,472 shares have been sold on BTC
1,277,788 shares have been sold on Bitfunder
225,925 shares have been sold on Havelock

for a total of 1,979,185 shares sold