How much money You plan to invest in Belacam?
As we've stated before, we have provided the team behind Belacam with a blank check to carry out their work. The expenses so far have been minimal—hosting, logo design, and travel. We anticipate most of the funding will come into play when the team has finishes the Belacam project and needs to perform marketing to get the word out there. This is the area in which we anticipate expenditures of $5,000-$50,000.
We have witnessed cryptocurrency social media projects like Steemit and Synereo explode to multi-million dollar valuations. At one point, the market cap of Steem was worth $412 million. These past performances demonstrate the opportunity to build Belacam up to the level of an acquisition or an IPO.
Equity in Belacam has mostly been divided up among The Ambia Fund and the Belacam programmers, with about 6-8% set aside for an option pool. In the rare but possible event of either an acquisition or an IPO, all Belacam shareholders will receive a hefty payout.
To better explain, let's assume that there is a 5% chance that Belacam is acquired for $15 million, and a 95% chance that nothing happens.
.05*15,000,000 + .95*0 = $750,000In this example scenario, Belacam's worth to its stakeholders is $750,000. Therefore, investments into Belacam should not exceed $750,000, but any investments below that amount would be a smart decision. Since we don't anticipate expenses of Belacam development and early-stage marketing to pass $750,000, we simply provide a blank check to the working team. Moreover, The Ambia Fund must approve of every large expenditure, so the money is constantly accounted for. The programmers also have large financial incentives to work with honesty and diligence. A programer with a 10% stake in Belacam stands to make a $1.5 million payout (pre-tax) in the event that Belacam gets acquired.
Please realize that the example above was an overly simplified example used for explanation purposes only. The numbers are made up, and our real calculation takes into account many more potential payouts at varying levels, both above and below $15 million.
What this means for Belacoin and Belacoin InvestorsBelacam is a private startup that is separate from Belacoin. Belacam uses the Belacoin blockchain, and users of Belacam will have to buy or obtain Belacoin in order to fully use the site. In the past, the cryptocurrency community has seen a link between a coin's market cap and the valuation of the largest private company on the coin's blockchain. When Steemit surged in popularity, Steem's market cap increased from about $2 million to $412 million. When the Safe Network began public testing, MaidSafeCoin's market cap increased to $54 million. When Synereo's social media site began to receive much public attention in mid August, the market cap of their cryptocurrency increased to nearly $26 million, more than 4 times its current market price.
As Belacam chases success, history has shown that it is likely that Belacoin's market cap will increase as well. As the market cap increases with strong growth, the price is pulled up as well.
Belacoin's market cap is currently $300,000. As Belacam gains more exposure and popularity, the market cap of Belacoin should likely increase at a steady rate. Moreover, as we begin to publicly reveal the details of Belacam this Sunday, the markets will have more information on the project, allowing for more accurate future predictions.
