Animoca, etc. invested $2.5M one year ago. It's not clear which funding round is this one? Did they buy equity of the business or tokens or hybrid of the two?
allocation
** Tokens received for free: **
- under the control of the team: 10% + 8% (treasury) + 10% (marketing)
- advisors: 5% I think that's too much considering the team that is full time only get two times as much, are people working 1h a week really creating that much value??
- to reward players: 30% + 5% (airdrop) + 10% (farming/staking): 1.35B (45%) that's good as long as it is allocated slowly and dynamically adjusted with the market adoption
- liquidity pool: 2%, 60M tokens @ $0.009 (already pre-defined which is not ideal, it should be priced based on market adoption): To fund this liquidity pool they will need $540K, that's a pretty small pool that is likely to be highly volatile.
** Potential Selling volume at TGE itself: **
- from public sale: 25% of 60M = 15M token that have no capital gain unless the price go up significantly above $0.009, so not too concern of the selling volume from them.
- private sale: 5% of 210M = 10.5M token that were bought at $0.006 ($94.5K of potential selling volume for people to get 33% ROI, not super interesting, I'd say low chance of high selling volume from that as well.
- pass-exclusive sale: 25% of 23,819,600 tokens = 6M tokens that were bought at $0.005 ($53,594 of potential selling volume but for a 44% ROI, still low enough so I'm not afraid of that selling pressure.
- seed sale & strategic sale: no vesting at TGE, so I feel very safe the price will go up at TGE, that's very rare I'm happy with a scenario like this. I think the only tokens that may get sold at TGE are the 2% of marketing tokens, but I suspect the demand will outpace this selling pressure.
vesting
Given that it's a game and that games often have a short lifecycle, I'd say the vesting schedule is fine with me. Looks like the team will be out the door 24 months after TGE, so if the game is good, I'd probably buy and sell in the first year before the team complete their first 1 year cliff. I wish they had optimized their economies to last for more than 1 game, like for the entire life of the game studio, that's too bad. Anyway, good enough I'll keep them in my mind to potentially invest if the game is good which is a very rare thing for me to say. Show Less
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