I have to say that 10% of profits to investors really is the thing that puts me off. Even worse if that is not reached and it stays at 5%, it feels borderline retarder to invest into something with such terms.
I know very well how lucrative the esports/sports betting is and where it can go. Theres great potential there and you have some very solid ideas but the investment profit share is just a no.
So lets say the 100k is raised and lets say the initial profit for the site will be 5k$ per month.
User A invests 10000$ He would then have 10% of the profit you give to investors.
This means:
10% of 5k = 500$
10% of 500 = 50$
He would make 50$ that month, by investing 10000$. So for a breakeven he would need 10000/50 = 200 months aka 16.6 years.
Now for the sake of it, lets double it. You make 10k$ a month profit, then the investor would need 8.3 years for a breakeven.
I am keeping these numbers low because it will take a lot of time to get to the level where the volume will really start paying off. (i know it is possible but it takes a lot of time)
In the world of gambling that is an eternity and in the world of e-sports also.
P.S I also didn't find in what country is the company registered. Is it on the site somewhere i must have missed it. Because if it is not registered then there's a whole other level of risk as you might just get shut down for illegal gambling.
P.S.2 Correct me if im wrong, math aint my strong side.
I know very well how lucrative the esports/sports betting is and where it can go. Theres great potential there and you have some very solid ideas but the investment profit share is just a no.
So lets say the 100k is raised and lets say the initial profit for the site will be 5k$ per month.
User A invests 10000$ He would then have 10% of the profit you give to investors.
This means:
10% of 5k = 500$
10% of 500 = 50$
He would make 50$ that month, by investing 10000$. So for a breakeven he would need 10000/50 = 200 months aka 16.6 years.
Now for the sake of it, lets double it. You make 10k$ a month profit, then the investor would need 8.3 years for a breakeven.
I am keeping these numbers low because it will take a lot of time to get to the level where the volume will really start paying off. (i know it is possible but it takes a lot of time)
In the world of gambling that is an eternity and in the world of e-sports also.
P.S I also didn't find in what country is the company registered. Is it on the site somewhere i must have missed it. Because if it is not registered then there's a whole other level of risk as you might just get shut down for illegal gambling.
P.S.2 Correct me if im wrong, math aint my strong side.
Im not good at mathe but your numbers are correct I think. With your mathe someone who invest 10 thousand if only getting back 50 a month will only make 6% per year. That is not bad money if it was guaranteed. But your mathe forget to keep in mind that value is still in the coin. so someone can hold for a while and then sell. so its not like he loses his 10 thousand.
If the business does big because ESport is on the verge of blowing up it can do more then 5 thousand a month. if it staied with the same math the dev post that would mean just 50 thousand in bets for 5k a month. I think it can get more with good marketing and a good team.
and in the announcement for about the company it says "GameBet is an organization established to help the growth of eSports online gaming as well as promote the Bitcoin and Cryptocurrency industry. Officially registered in Costa Rica as a S.A. (Sociedad Anónima). The organization was registered through Marielos Meléndez J.D. LL.D. of Melendez and Bonzilla Law Firm.
"
You are correct on the coin part, they also do/might hold some value. But that is dependent on how much the site makes.
By those calculations i made. You own 10% of the supply to investors. And you make 50$ a month.
This means you have 2.000.000 coins that make you 50$ a month (thats around 0.1203 BTC atm)
50/2000000 = 0.000025$
0.1203/2000000 = 0.00000006
That would be the earnings per month per coin it seems. There will be people ofc who will buy them (and calculate the initial cost of 10000$ into it also, but for that to happen it first needs to show it maintains a steady profit).
Oh i see the company was announced in the pre-announcement. Would be nice to have the registration code of the company there also so everyone could see that it really is registered.
Yes all investment are risky. I think possible to have big players in future who gamble big moneys on gamebet. If that happen coin will be worth much more. gambling sites can see 1 million in bets on a month, some even see 10 or 100 million on a month. I no hope for gamebet to do 10 million a month but if they do and they take in 10% that is 1 million a month for the investors. that is a lot of money. if they do 1 million in a month and make 10% we still get to share 100 thousand. I think they can gro for 1million a month. not problem.
we are community, if we help it grow it grow, if we don't maybe it will stil grow maybe it will die.
I will see tomorrow bt I watch since other thread and I think I will invest a little. are you invest?
We can ask devs for see the company papers too. because it is gambling they may not show their name but maybe the company documents they can show to us.
