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October 07, 2025, 02:21:50 AM
Last edit: October 07, 2025, 05:01:47 AM by markm |
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Huh, the announcement was already somehow vanished by the time I hit post button on this post that was to have been a reply.
But its points apply to a lot of such announcements so here goes:
How useful is it to know that the team raised $43.5 million without knowing what percent of that they have allocated to placing a price-floor at which they will be using it to buy back all their tokens?
If we knew how many millions are going to be placed as price floor we could divide that by the one billion total supply to know at what minimum price the tokens are going to be bought back at thus have a floor from which to speculate how far above that price floor they might reasonably rise.
Obviously it would also be useful to know what percentage of the proceeds of their sell offers will go directly back onto the buy-side as buy-offers and maybe even whether the plan is to keep moving the floor buy offer upward with those proceeds or simply add higher buy offers to their column of buy offers as those proceeds come in, though obviously if the floor is a full floor, offering already to buy every outstanding token, as they place higher buy offers it would make sense to move part of the floor-offer's funding upward into the new offer since otherwise they'd be offering to buy back more than the number they do not already own.
-MarkM-
EDIT: Contemplating this I think an important distinction becomes apparent, which is whether what one is "investing" in is the token or the project. If the project, you should be buying common (or preferred?) stock in the project/company, if the token you should be concerned as indicated above, that is, in what buy and sell offers the money invested is to be turned into and what the methodology is whereby proceeds of sell offers turn into buy offers and proceeds of buy offers turn into sell offers. What the company/project might do as a profit-centre to generate more funds with which to buy back its tokens aka IOUs doesn't really matter as long as it does in fact generate such inputs and they are in fact used as described/scheduled to build buy offers buying back the company/project's IOUs aka tokens...
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