Topic: Robocoin Bitcoin ATM Ownership Shares - US Purchase and Placement - page 2. (Read 4882 times)

Aren't these around 20 - 25 k each only ? 7500+ for only 10% seems high

I understand your sentiment, however this is a race to market. The success of the venture is predicated on being the first bitcoin atm in the Chicago market.  There is some risk that the state could disallow the atms, however that risk is known to all bidders of the auction.

Any regulatory and licensing costs will be fronted by me and will be paid back by the LLC over time,  while still allowing payments to the members of the LLC.

The biggest issue I have determined to date is the question surrounding the required bond for a money transmitter. IL may require up to a $1m bond,  although that is unlikely. If they wish to play hardball they may use that requirement to attempt to keep us out of business. FYI a bond usually requires a 1-3% of thebond amount yearly premium.

Unknown at this time.  I have spoken with the Illinois department of finance who has referred my licensing and regulatory questions to their legal department secondary to the novelty of bitcoin as a currency.

At the very least, in order to establish the atms the LLC will have to be a MSB under FinCEN and maintain a money transmitter license with the state of IL.

I am a lawyer and will also be engaging outside counsel in order to ensure all regulatory issues are complied with.

I think you should settle this gray area before collecting any funds from investors. Make sure your ducks are in a row before asking funding.

What will be the regulatory challenges in Chicago? Have you spoken to a lawyer yet?

10btc

This purchase will be for 2 ATMs. So, both

Interested especially in Illinois was recently up in Chicago. Do you plan on having this atm in a subburb or downtown?

Your pretty lucky. I never got a response through that websites contact.

what state?

Description:
I am purchasing a Robocoin Bitcoin ATM for delivery this March with the goal of being the first US Bitcoin ATM operator. In order to maximize savings and defray regulatory costs, I would like to purchase 2 ATMs. As such, I am offering four 10% stakes in the ATMs. The winning bidders will be made members of a duly filed LLC with all appurtenant tax benefits and consequences.

The LLC filing fees and origination costs will be considered as part of the purchase price of these shares. Once the ATMS are in operation, any fees and operational/regulatory costs will be taken from gross profits.

There will be a 10% management fee for my services as the managing member of the LLC and for coordinating the operational aspects of the ATMs. The LLC will be regulated by FinCEN regulations and KYC rules. If you want an anonymous ownership percentage I am afraid that is not possible. The LLC documents will be drafted by an attorney and require your signature and personal contact information. I will be the managing member of the LLC, however all members will have the opportunity to provide input on the business transactions. Decisions regarding the location and placement of the ATMs shall be completely in my power, however I promise to consider any suggestions made by the other LLC members.

I have spoken with Jordan Kelly of Robocoin and he has given me until Nov. 26th to provide funding for these machines. I expect to receive the sales agreement and purchase terms in the next couple of days. I will review these terms and present them to the auction winners. Should the terms meet my expectation they will be accepted. If the terms are not accepted by me, then all funds provided by the auction winner shall be returned. The auction winners will have the option to decline participation in this venture should they reject the purchase terms. Should that occur they will be refunded their entire purchase price and the next eligible bidder will be contacted to determine if they would like to participate.

Escrow: Should the auction winners prefer, we can have the transaction manged via escrow. The auction winners will send the winning bid to an escrow (I prefer kluge) with the escrow being released once a contractual document is executed between myself and the auction winners. Said document will provide assurance and a personal guarantee from me regarding the ownership percentage of the ATM purchase and the establishment of an LLC. Further, said document will be executed PRIOR to the purchase of the ATMs. Once that document is signed there will be NO REFUNDS. You may feel free to transfer your ownership share, however that will be subject to the approval of the other shareholders (and such will not be unreasonably withheld). After the document execution I will wire funds to Robocoin to complete the transaction.

This opportunity is being undertaken in order to provide bitcoin atm services in the US. I am currently in discussions with my State authorities in order to make sure that this venture can be undertaken legally. Should the State or Federal government proceed to limit our ability to provide bitcoin ATM services, we will decide as a group, with each individual having 1 vote (notwithstanding the differences in ownership percentage or if one individual or entity purchase more than one 10% stake they will be entitled to 1 vote per 10% stake while I will maintain 1 vote), whether to establish the ATMs in a separate jurisdiction or sell the ATMs on the secondary market.

The ATMs will hopefully be located in the Chicago-land area. There is a confidential business plan in place which will be discussed with the auction winners once an agreement is signed and escrow is released.

Starting bid: 10 BTC

Buy it now: 25 BTC

End date and time:  Tuesday, Nov. 26th, 1200 Central Standard Time US

Payment methods accepted: BTC

Should you have any questions I will be more than happy to address them in thread.