Bitcoin Forum

LTCI - Litecoin Investments

The goal of this investment fund is to invest in litcoin mining bonds/stocks and
litecoin investment funds. This fund spreads the risks involved in just
investing in one mining company or investment fund.

The plan is to issue 10,000 shares at 1.0LTC each and invest the proceeds in AJM.MINING - (https://www.litecoinglobal.com/security?s=AJM.MINING), LTC-CHARTS - (https://www.litecoinglobal.com/security/LTC-CHARTS), LTC-GOLD - (https://www.litecoinglobal.com/security/LTC-GOLD), LTC-SILVER - (https://www.litecoinglobal.com/security/LTC-SILVER), LTC-ATF - (https://www.litecoinglobal.com/security/LTC-ATF), PYRPXYLTC - (https://cryptostocks.com/securities/23) - and LTC-GLOBAL
- (https://www.litecoinglobal.com/security?s=LTC-GLOBAL) to start off with.  More
mining stocks/bonds and investment funds will be looked at in future as they
join the market.  After the 10,000 shares have been sold we will look at issuing
more shares to grow the fund.  If more shares were issued after the 10,000 IPO at 1.0LTC each then the ask price for the shares would be at least 10% greater on each issue.  To enable early investors to relaise a quick sale profit on there investment if they so choose.

47.5% of the dividends received will be reinvested into buying more shares(and at times may used to buy back shares in LTCI),
47.5% will be be issued as a dividend and 5% will be paid to the funds operator.  
The fund operator will also receive 1% of all shares issued.  The Fund operator will also receive 5% of the yearly NAV growth in the shares we buy in companies that don't pay a dividend.  Such as LTC-ATF and LTC-SILVER.

If the fund needs to close down all assets will be sold and used to buy back all
shares in LTCI.

Accounts Spreadsheet - https://docs.google.com/spreadsheet/ccc?key=0Ap02rO_j4NLvdGNla1FmZGJUUVdhSGRnajVvenBCVUE

https://www.litecoinglobal.com/security/LTCI

Asset approved.

I know in this case it's somewhat preaching to the choir, but please be prudent with your investments and take good care of your shareholders.  :)

Cheers.

Thanks,

The shares are now for sale on the market.

I hope investing in litecoin mining is less of a money sink than bitcoin mining  :)

Accounts Spreadsheet - https://docs.google.com/spreadsheet/ccc?key=0Ap02rO_j4NLvdGNla1FmZGJUUVdhSGRnajVvenBCVUE - I've just started it so am open to ideas to improve it.

This might be good when if all the GPU's flood the market. Ill watch this one, seems like it might a perfect timed move.

I think you have to expect the mining bonds to lose value.  My take is that buying a fixed H/s mining bond (at the right price) is like buying a fraction of a GPU.  The GPU will depreciate, slowly see less and less return as difficulty increases, until finally 18-24 months later the fans seize and it stops working.  Mining bonds pretty much follow the same trend, as they're designed to.  Otherwise the operator would lose his shirt 6 months in.

The trick and the risk is in figuring out if the payout (dividends) is going to be greater than the up-front cost of the bond.  I still am unsure of this, just as I am unsure if I should buy another GPU today or not for my own mining.*  The changing difficulty is impossible to predict.

There simply isn't enough to invest in for another round of funds based on illiquid securities, especially if all you invest in is Litecoin-Global.

Have we not learned anything from folks getting their asses kicked when everything on GLBSE takes a shit, and takes all the funds and funds of funds along for the ride? The route litecoinglobal has taken isn't all that much different from GLBSE as far as approving securities, so I fail to see how the outcome should be expected to be different.

When there are more players, and market makers on the exchange, then funds might be appropriate, but it is very unlikely that a fund manager can do any better than a private investor in this market.

Investing in fixed hash rate mining bonds is a sure fire way to lose money. There should never be another one of those. Those should pay a fixed or floating rate of interest based on something other than difficulty. The return should reflect the risk, and the true cost of borrowing capital, not the potential reward for having spent capital. Those bonds offload the operator's risk onto the unwise investor, leaving him holding the whole bag (and leaving the operator in a position close out the debt at a significant discount, securing a tidy profit)

Well as LTCI spreads the risks by buying a selection of shares and is selling shares from 1.0LTC each it offers an easy and cost efficient way to safely micro-invest.  Were not looking for $k's of investment this is more a beta-project on a beta-exchange and offering a safer way to invest from amounts as small as 1.0LTC.

No argument on most points.  LTC-Global does not yet have a very diverse set of assets to invest in.  Our current verification system is non-existent.  I leave it up to the investors to do their homework and I would HIGHLY ENCOURAGE them to NOT INVEST in an asset issuer that does not provide enough detail to establish a level of trust.

I will however argue that I am not Nefario.  I've been doing business successfully in a very customer-oriented industry (website hosting) for over 15 years.  You can expect that as long as I am operating LTC-GLOBAL, things will be as open and fair as possible.

Cheers.

Hey burnside,

I just want you to know that I trust you.

Definitely appreciate that.  Thank you. 

I should think you've learned something from the GLBSE fiascos :)

It seems, though, that investors haven't learned as much.

I don't want to hijack Matthew's thread.  If you have good ideas for verifying asset issuers or for keeping investors on their toes, I'd love to discuss in the LTC-GLOBAL thread.  I still haven't figured out what the final LTC-GLOBAL policy is going to be.

The IPO share price is 1.00LTC per share yes you can invest from as little as 1.0LTC.

I uploaded the API output formatted in JSON of assets holders in LTCI and the API output formatted in JSON of the assets we hold to a private online backup and will try to back it up at least weekly.  In case LTC-Global ever went dark.

You might want to revise the thread topic to spell "Litecoin" correctly.

Appearances and all...

:)

We bought 151 shares back in LCTI that we on offer below there NAV/U value and put them back on the market for 1.00LTC each.  The November dividend will be paid after we have received our next dividend from LTC-CHARTS.

I consider buying some of LTCI shares but would like to get some info first :)

- Do you plan paying dividends on monthly basis? Or is it dependent on your assets divs?
- What is your growth plan? Are you going to buy more dividend paying assets, "passive" ones or both?

Yes it does depend on when our assets pay out.  Which happens to be monthly for one of our assets.  So the dividends are paid monthly usually near the beginning of the month.

The plan is to focus on buying assets that pay dividends but only those with a strong organic growth plan.  We do need to diversify tho, so we do plan on buying more assets that don't pay dividends to balance our portfolio.

Hi Matthew. Shareholder with a question here. Safe to assume the assets listed on your spreadsheet current?

https://docs.google.com/spreadsheet/ccc?key=0Ap02rO_j4NLvdGNla1FmZGJUUVdhSGRnajVvenBCVUE#gid=0

Why no stake in Esecurity? Since they pay the highest dividend/LTC invested, have been regular as clockwork on paying, and redeem USD to pay dividends, it seems like a no-brainer to offset your mining shares.

Great job with the fund.

If they allow payment for there services from there customers in LTC and or BTC then we may look at them.  We are concentrating on stocks that generate LTC and BTC.  We have a large exposure to metals as there isn't enough safe LTC generating stocks to buy into.  As more LTC generating stocks come on the market we will sell our metal holdings to buy into them.  Current NAV/U is 0.8305400439LTC at bid offers for the shares we own and we have paid a total of 0.01128486LTC per share in dividends since we started operating about six weeks ago.  Dividends may move to being paid quarterly in the future.  Also after the remaing ~5000 IPO shares on offer at 1.00LTC are sold we may do another issue.  If we do another issue the price offer will be greater than the original 1.00LTC offer.

The NAV/U has now reached 0.9159031871 and there is 5104 shares at 1.00LTC left from the IPO of 10,000.  After the initial IPO is over we may look at another issue of up to 5000 shares at a dearer price than the inital 1.00LTC issue offer.  If the conditions are right.

Our current NAV/U based on the average seven day trading price of our holdings, plus wallet, divided by shares on the market is 1.1112632986LTC

Current NAV/U - 1.1312994861LTC - which is a 13% gain in three months since we first IPO'd in October at 1.00LTC per share.

The current NAV/U is 1.3192946713LTC.

Febuarys dividend is the biggest dividend to be paid yet :D

Is this fund still active?

Yes I'm still maintaining the fund and will continue to do so.  The discussion on the direction of the fund is held on the main litecoin forum - http://forum.litecoin.net/index.php/topic,676.0.html - I'm planning on doing a share swap scheme with my personal RSM shares once RSM starts to receive it current (1TH/s) of pre-ordered ASIC's.  To add some much needed new capital in the fund.  The dividends from the RSM shares will be used towards buying back all below NAV/U shares.  In the long term once that's completed is to use the dividends the fund receiving to invest in more litecoin based stocks.

Thank you for the link and the update  ;D