3)Their dividend was obviously padded, or there is something I'm not seeing here...
So a 16.264 BTC dividend from their last month of beta testing rounds. That sounds great, right? Well hold on, before we go rushing off to thinking that 'once Scharmbeck launches, the dividends will be WAY more than that, lets do some math: That is roughly $13,000 worth of FEES. The problem here is that, lets say Scharmbeck uses a similar fee structure to coinbase (1%). So that means they did about 1.3 Million dollars in volume (or roughly 4 Million Worldcoins) passed through that “beta system” in a month. BUT WAIT, it gets worse, that would be the case if Shareholders got 100% of the feeshares, but as it stands, we only get 10%, oh shit, so that means they did 13 Million dollars in buy/sell actions and 40 million WDC in volume (That is roughly equivalent to the amount of coins in circulation if that is indeed the case. That large dividend, needless to say, really scared me. This reminds me of the early days of reddit where there were fake posters, fake accounts, and paid content writers. This is known in the tech startup world as the “fake it 'till you make it strategy'.
Like I posted on Reddit, if you read through their announcements on Cryptostocks, you'll see that the dividends also are shares of the fees from their mining pool. They also were running their own 20mh rig and paying 100% out to fee share holders in BTC. That means the dividends are made up from a combination of: Sharmbeck transaction fees; Mineworks mining pool fees; Scharmbeck's own mining.
Whether those numbers add up or not, I don't know, but I thought it'd be worth mentioning.
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Shysterza, You might want to recheck your facts below: here is a quote directly from their offering at:
https://cryptostocks.com/securities/60 Notice this part: "... 100% of net fee revenue (i.e., gross revenue less operating costs) generated by all Scharmbeck business activities will be paid on a monthly basis to shareholders (1 SBFS = 0.0001% of fee income). Please stay tuned to Scharmbeck’s twitter feed at
https://twitter.com/scharmbeck for up-to-date information... "
Now that isn't what the quote by Shysterza above says, but WHAT I STATED prior. ie, the "NET" profits, of yes, of FeeShares, and all their other "business activities...". Which isn't equity (stock), but merely the "right" to a percentage of certain stated NET earnings that they state they will release monthly.
The point being that it's not the "gross" profits, or the value of the gross fees collected, plus whatever gross income they collect, but what the "net" profits are. And after executive salaries, and all other business expenses, which are extremely opaque at this time, of course, with no sustained earnings, no profit/loss statements, no balance sheet, or any sustained length of business activity since it's in fact a start up. Not to mention no defined business plan laying out salaries and typical fixed business expenses as well as other estimated business expenses that any well done business plan would estimate and project. And well it's all on faith, shall we say.
Of course they did not misrepresent anything that I am aware of. And I don't claim that either. Just pointing out the details, and the straightening out the facts, for anyone that runs across this deal. I wouldn't want others mislead. It's not nice to be misleading about anything, especially other peoples investments. Then again it's up to everyone to do their own due diligence. As I did.
Fact is though there listed at
https://cryptostocks.com/securities/60 as "FeeShares", meaning I suppose and speculate that the majority if not the vast majority of any earnings will in fact be from the fees collected. Per:
Ticker SBFS
Name Scharmbeck Fee Shares
Listed on November 04, 2013 21:02
Owner
doug@scharmbeck.com I didn't mislead. But someone else just did above here, by not mentioning about the "net' part, of the profits side, of the equation here, where I quoted them, above here. SEE THE FULL TEXT above, and BELOW for the Press Release and the Offering details. As always verify everything yourself. Don't trust anyone anywhere when it comes to money. And never take anyone's word for anything concerning money. GET IT IN WRITING:
Disclaimer: I have nothing to do with SCHARMBECK WORLDCOIN FINANCIAL SERVICES. But I do in fact own Worldcoins. And it does matter how this plays out. It concerns me too, since it could effect Worldcoin.
So I edited the above text of mine, to be quite clear on every last point I made, right after 1st posting this last reply. I now wash my hands of this entire messy affair. I wont bother with this topic again in this tread. There is no need to do so.
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https://cryptostocks.com/securities/60"Press Release: 05 November 2013 [updated: 28 January 2014]
SCHARMBECK WORLDCOIN FINANCIAL SERVICES
Scharmbeck is offering the final round of 100,000 non-dilutable fee shares (ticker symbol SBFS) at a price of 0.05 BTC per share. Scharmbeck fee shares are offered and administered on the cryptostocks.com exchange. 100% of net fee revenue (i.e., gross revenue less operating costs) generated by all Scharmbeck business activities will be paid on a monthly basis to shareholders (1 SBFS = 0.0001% of fee income). Please stay tuned to Scharmbeck’s twitter feed at
https://twitter.com/scharmbeck for up-to-date information.
Revenue produced from the offering will offset costs for regulatory licensing, full time development of new services, and will capitalize Scharmbeck for growth. Fee share owners will be able to vote on new services and features that will help shape the future of Scharmbeck and Worldcoin!
Beta testing of Scharmbeck’s cloud-based service to buy-and-sell Worldcoin with a U.S. bank account began on 20 December 2013. Open beta is expected to launch in February 2014. Three-tier security has been implemented for armor-plated fund protection. Scharmbeck is registered with FinCEN.
500 BITCOIN BOUNTY
Scharmbeck is offering a 500 BTC bounty (approximately $485,000 USD equivalent; ref.
www.mtgox.com) to celebrate meeting initial beta test, marketing and social media goals!
Rules for collecting the bounty:
1. A randomly selected Scharmbeck Feeshare (SBFS) holder will be invited to perform the simple bounty task within seven (7) days of Scharmbeck selling out second round SBFS shares on the Cryptostocks exchange (
https://cryptostocks.com/securities/60).
2. Eligible SBFS holders must own at least one (1.0) full Scharmbeck feeshare (SBFS) at the time of the random drawing.
3. Eligible SBFS holders must have enabled the ‘Disclose my email’ checkbox under the [Account] [Settings] [General Settings] of their cryptostocks account (
https://cryptostocks.com/settings/edit) prior to the drawing, and the email address corresponding to their cryptostocks account must be a functioning email address capable of receiving notification of selection.
4. Each Scharmbeck feeshare (SBFS) owned comprises a 1-in-200,000 chance to be selected to win the bounty. The more SBFS you own at the time of the drawing, the greater your chances to be selected.
5. The drawing will be videotaped and witnessed in live attendance by two members of Scharmbeck, one member of the Worldcoin Foundation, and one active member of the freenode.net #worldcoin IRC channel community.
6. Members and employees of Scharmbeck, and their immediate families, are not eligible to be selected.
ABOUT
Scharmbeck is the leading online service provider for Worldcoin cryptocurrency services. Of all available cryptocurrencies, Worldcoin was selected for its bitcoin-like security features, its robust reception and support by the mining community, its rapid transaction confirmation times (critically important for acceptance and use in commerce), its mining and reward dynamics, and its early adoption growth potential.
Worldcoin is a decentralized, peer-to-peer digital currency whose creation and transfer is based on open source encryption protocols. Worldcoin is similar to, but significantly improves on Bitcoin. The Worldcoin network will produce thirteen times as many currency units as the Bitcoin network. When the Worldcoin network has fully matured, Worldcoin’s improved transaction features are expected to allow Worldcoin to achieve a parity market valuation of at least 0.077 BTC per Worldcoin.
SCHARMBECK, LLC
Approved for immediate release."
https://cryptostocks.com/securities/60
