While your goal is amicable, there are a few concerns with your project:
- You sway there will be a demand for Fipi by automatic purchasing of 1% of Fipi tokens, but you do not specify exactly how that demand will be driven. Demand is the savior of all coins/tokens but is the one thing that cannot be guaranteed and therefore the downfall of many coins. Holders may just dump their tokens as the benefits of holding Fipi is not that clear.
- Imposing 16% tax on large sales is not feasible. Who decides what "too large" is. People wont invest if there is a risk of someone deciding that they will lose 16% of their investment due to an arbitrary trade limit amount.
- If there will be investment advice provided you may get difficulties down the line unless you are qualified/registered financial advisor
- The mechanisms you apply to decide to buy or not may work in a more regulated trading environment but crypto trading is too volatile. People do make money using mechanisms such as DCA, but the first time people lose large amounts of their money due to bad buying decisions by the app, Fipi's reputation will be damaged. There are nuances that a human can apply but difficult to program into an app like gut-feels of what is going to happen to coin as it is a weekend or hype in a chat group
- People will be hesitant to give the app the rights to execute their transactions automatically
You sway there will be a demand for Fipi by automatic purchasing of 1% of Fipi tokens, but you do not specify exactly how that demand will be driven.
Demand will be driven in 4 ways:
(1) Each purchase (subscription) done via FiPi APP for f.g. $200 USD = auto purchase of $FiPi form the market (1% from 200 USD). So the more users FiPi APP will have the bigger purchase volume FiPi APP will generate
(2) FiPi APP users will have possibility to reduce the fees in the FiPi APP. In order to achieve this they will need to have some of the portfolio holded in the $FiPi
(3) FiPi APP users will have possibility to "unlock" access to some exclusive and new FiPi Crypto Indexes. In order to have the access, same as in point 2, the will need to hodl some of their portfolio in $FiPi
(4) 20% of profits generated by FiPi APP will be used to buy back the $FiPi from the market
Demand is the savior of all coins/tokens but is the one thing that cannot be guaranteed and therefore the downfall of many coins. Holders may just dump their tokens as the benefits of holding Fipi is not that clear.
Holding $FiPi will have good pros in the FiPi APP. In addition to, we will provide $FiPi holders with some good stacking model.
Imposing 16% tax on large sales is not feasible. Who decides what "too large" is. People wont invest if there is a risk of someone deciding that they will lose 16% of their investment due to an arbitrary trade limit amount.
This feature is designed to reduce pump and dump by big players.
If there will be investment advice provided you may get difficulties down the line unless you are qualified/registered financial advisor
At first glance, FiPi APP may appear similar to a traditional ETF fund. But it is not an ETF. Unlike ETFs, you buy the underlying assets directly when investing in the cryptocurrency index. Our FiPi Crypto Indexes are not considered as funds / assets. They are not traded on any exchange.
FiPi APP should be seen as a tool for the regular acquisition of cryptocurrencies on a subscription basis. In addition, FiPi APP will keep them automatically in the same ratio as at the moment in the selected FiPi Index. FiPi APP is a tool not fund.
The mechanisms you apply to decide to buy or not may work in a more regulated trading environment but crypto trading is too volatile. People do make money using mechanisms such as DCA, but the first time people lose large amounts of their money due to bad buying decisions by the app, Fipi's reputation will be damaged. There are nuances that a human can apply but difficult to program into an app like gut-feels of what is going to happen to coin as it is a weekend or hype in a chat group
People will be hesitant to give the app the rights to execute their transactions automatically.
Our FiPi Crypto Index has been tested since 06/2018 by our strategical partner BITA GmbH. You are right that crypto market is volatile that is why we provide user with
(1) passive way of investment (following the market - no active decisions regarding buy/sell will be taken)
(2) diversification (thanks to FiPi Crypto Index)
(3) purchasing indexed cryptos in the DCA method
(4) balansing the portfolio to be as close to index as possible.
One thing that unfortunately you have missed: The longer you invest with DCA method + FiPi Crypto Index the risk of the losing your funds is getting lower. In short period market is crazy but in long term view it is constantly growing for last 10 years.
If you have any more questions please feel free to ask them.
