Then it seems that you have quite a racket going.
Betking will be taking the cumulative investors' profit to buyback tokens, reducing the bankroll, then Betking alone will be accumulating profits on those tokens to infinity with no benefit to remaining token holders.
Eventually, Betking will have purchased the majority of tokens back with investors' money (Bankroll profits) - in essence diluting remaining token holders since Betking retains the re-purchased tokens and earns all future profits on those tokens. Sounds like it's good to be Dean / Betking.
If I'm misunderstanding, please let me know.
I'm buying tokens back with my own profit, the 30 million tokens I keep from the ICO.
There's not going to be any significant reduction in bankroll, max 10% every 3 months.
Yes I will then be making a profit on the tokens I hold, the ones not being sold plus the ones I buy back, that's pretty normal and how most businesses work.
Remaining token holders have the benefit that their tokens have much more value the longer they hold them. They can choose to never sell them back to me for many years or if the site was to be sold.
There's no dilution going on at all.
Thank you for this answer.
Please hear me out on this, and hopefully this explains what I mean and hopefully a better situation for all.
Hypothetical:
Money Raised: $10,000,000
70% Bankroll: $ 7,000,000
30% BetKing: $ 3,000,000
Price per token: $10,000,000/70,000,000 = $0.14
~snip
This has been bugging me since I raised a similar question. Dean answered
here.
Remaining Investor tokens outstanding: 71,000,000 - 7,100,000 = 63,900,000
Value of token after buyback as proposed: $6,470,500 / 100,000,000 = 0.064705
(this is where the dilution comes into play, although not a typical dilution as in the stock market) - Q2 would need to overcome the deficit just to break even.
Go back one step: right after the ICO, the price in your example was $0.14 per Token. Now use the same math you use above: $7 million bankroll divided by 100 million Tokens puts the value at $0.07, while you paid $0.14.
The difference is of course the fact that there's more than the bankroll to give value to BetKing, just like "normal" company shares are worth more than just the cash owned by the company.