Re: [ANN] ICONOMI - Fund Management Platform

I did both of that but I didn't get a clear answer from the paper or reddit (https://www.reddit.com/r/ICONOMI/comments/5gyhkk/dividends_question/)

I'm not trying to spread FUD but that answer kind of needs to be clear for traders/investors.

the answers are clear in the FAQ and WhitePaper

So what does the FAQ and whitepaper say is the answer to my scenario I outlined to Jani below? I never found a clear answer there.

"Finally, at some time in 1Q 2017 you will make your first dividend payment to the original ICO participants who funded the ICNP original $4.6M. Say for example you invested $500K of ICNP money in the ICO of a new coin. In the week after launch, that coin doubles in price so your $500K investment is now worth $1M, giving an ICNP profit of $500K total. 20% of that $500K or $100K is the amount of profit to be distributed among the original ICO participants.

WHERE DO YOU GET THIS $100K TO DISTRIBUTE AS ETH DIVIDENDS?

Specifically, do you sell 10% of your holdings in the new coin at the end of the first week and hold on to the other 90%? Or do you get the money for dividend distribution from some other source? And if this, WHAT other source?"

Mal,

this answer is simple, I apologize if it was not addressed before.

But first, let me again say that the fees for ICNX or ICNP have not yet been confirmed, so this is just hypothetical ...

If ICNP would have 20/2 fee structure, then 20% of all REALISED PROFITS would go from ICNP to ICONOMI as fees.
But "realised profits" means that ICNP has to CLOSE its position in that "new coin" first. Only if ICNP liquidates whole $1M investment, then $100k (20% of 500k profit) go as fees to ICONOMI. And this can later be distributed as dividends to ICN token holders.

And since vast majority of ICNP's investments will be done in digital currency, so will be later liquidations... For example ICNP recently invested 5000 ETH in Golem, and I expect when this position will close, ICNP will do sell it for ETH...

Clear?

best,
Jaka

Since dividends won't be paid regularly and not before q1-q2 2017, I guess the real deal are the funds, not ICN in itself. I've the feeling a lot will dump ICN in order to enter into the funds.

Also why Golem? BOINC does the same and are already well established. Beside Golem are not going to deliver before 2018 (if they ever deliver...) so liquidation/return will not take place in a near future...

Why GOLEM? Doing due diligence we felt that it is a very solid project, with very high chance of success. Also, the team behind ticked all the right boxes, and have not only said the right things, but also their actions were on the level. And them filling the ICO in an hour proves that whole community felt the same. Anyway - you can read more about GOLEM case, as a colleague just analysed their ICO from psychology standpoint: https://medium.com/iconominet/the-psychology-behind-ico-funding-81787ecd9b42 ...

But at the same time we understood, that this will be a long term project (even their roadmap clearly say so) with not so rapid ROI. That was the reason of a fairly limited investment into their ICO (5000 ETH), which is ~ 1 % of ICNP funds.