Bitcoin support fund

[Andrew Vorobyov]

Bitcoin support fund (Ticker at glbse.com - BSF - http://charts.glbse.com/markets/BSF)

Profits from fund will go to Bitcoin core development team. Profit sharing 50%|40%|10% - investor|bitcoin|fund manager. I will invest all money from this issue into the fund directly.

One share of this contract entitles the holder to $1 investment into the Bitcoin support fund dated by 23 Oct 2011. Fund revenue share is 50% for investor and will not be changed during investment round ending on 1st Jul 2012. All shares will be bought back by fund on 1st Jul 2012. Buy back price (in BTC) will be ($1 * ( 1 + (X/2)/100))/Y. Where X equals gain(loss) (before fees) of fund from 23 Oct 2011 to 1st Jul 2012 in percent and Y BTC/USD rate on major exchange at minute before 1st Jul 2012 GMT.

You can join this fund directly through our broker if you prefer by going http://instaforex.com/pamm_monitoring.php?trader=5049409

Fund is completely transparent - you can see everything. % of ownership by manager, trades in real time...

I will be glad to answer questions.

CAUTION: I did lose money before so invest on your own risk... Invest only money you can afford to lose.

[Andrew Vorobyov]

What will you do differently this time? What lessons did you learn?

Discipline... during last 10 years it was my only problem.... Being responsible for fund with such purpose will add discipline...

Trying to figure out the math paragraph. Are you saying the 50% you listed in the previous paragraph will be ignored? Will the fund continue after 1st Jul 2012, with the option of selling back then, or are you buying back all shares then?

Fund will continue and I will issue new asset type...  Buyback on 1st Jul 2012 is compulsory - how do you convert your shares to BTC otherwise...

About math...

You bought 300 shares ( 0.3333 price per share ) with 100BTC = 300 USD. Current exchange rate - 3 BTC/USD.

for example fund will make 80% from now till 1st Jul 2012 and price of bitcoin will be $5 at that moment.

($1 * ( 1 + (80%/2)/100)) / 5 = 0.28 per share * 300 = 84 BTC (420 USD)

Outcomes

Profit	BTC/USD	Share	Profit	Profit
80%	5	0.28	84 BTC	420 USD
80%	2	0.7	210 BTC	420 USD
-20%	5	0.18	54 BTC	270 USD
-20%	2	0.45	135 BTC	270 USD

[Andrew Vorobyov]

How to calculate "fair" value of the share:

1. Go to http://instaforex.com/pamm_monitoring.php?trader=5049409
2. Find number that says "Grows profit": +52.71% at the moment
3. Get BTC/USD rate - 2.74 at the moment.
4. Calculate result from formula = ($1 * ( 1 + ((Growth profit-50%)/2)/100)) / BTC rate
5. ($1 * ( 1 + ((52.71%-50%)/2)/100)) / 2.74 = 0.3699 BTC

Note: 50% in formula - performance already achieved at the time shares where issued, so it subtracted.

Note: Share value will fluctuate as BTC/USD and Profit values fluctuate... So it will be always changing..

[ziv]

I'd rather donate direct to the developers. Are they even accepting donations?
I'v looked on bitcoin.org but I can't see an address or any mention of how to donate.

[Andrew Vorobyov]

you can send paypal to Gavin directly now like I did... in couple of weeks they will set up foundation