I'm scrating my head about three things, I do not understand. Maybe one can enlighten me, please.
https://blog.tenx.tech/tenx-q-a-livestream-and-transcript-10th-oct-2017-146c826cf66c17) If we get rid of cards, will PAY holders still get the reward?
We cannot guarantee the 0.5% on any payment system, because on some payment systems we may not have 0.5% With any new payment systems that we are adding, we may be subject to different conditions. If we only get 0.25% from someone, we cannot forward you 0.5%. That said, we are not intending to remove the 0.5% from the debit card, because the commissions are there.
1) Do they consider to get rid of cards, if so what is their business then, if not why mention it in first place ?
2) They can't even offer the promised 0.5%, because they themselves may just get 0.25% and also have to cover operations, wages, offices, etc from it ?
3) My last question is the most important one. The only value driver for the PAY token is the 0.5% reward mentioned in the whitepaper as far as I understand. To justify today's token price of $2.46 right now derived from 0.5% of all transactions means:
104,661,310 tokens * $2,46 = $257,466,822.6 need to be collected
To make this happen we need 200 * <$ value of 0.5%> = $51,493,364,520
(close to a third of today's BTC marketcap: $167,024,234,822)
Under consideration that company tokens will get rewards as well, sooner or later (otherwise they would not have any use case or value) it becomes worse as you can imagine: 205,218,256 PAY tokens * $2,46 * 200 = $100,967,381,952
Let's calculate with 12k per person spent via the card in average, quite high, but may happen:
$12,000 * 0,005 = $60 collected (0.5% reward)
So, to collect $51,493,364,520 TenX needs: $51,493,364,520 / $60 per person and yr = 858,222,742 the amount of customer years required (one customer 10 years is equal to 10 customers one year).
Let's take a 10yrs forcast time (valid for some long term investors), it means TenX needs to have 85,822,274 customers spending $12k in average per year, and all company tokens must be destroyed. Otherwise the number roughly doubles to ~170,000,000 customers. If we do the math with 0.25% rewards it is >300 million customers required.
Just to break even on today's token price, while BTC keeps rising. And break even means not to make any profit at all.
=> Why does anyone buy it at these prices ?
Tell me, please, WHAT do I miss here??
* Is my math based on wrong facts and weird assumptions?
* Is there any obviously error I can't spot ?
* Or sth else I'm too blind to see ?
I'm VERY confused, since it seems I miss a few major points and thus look like a fool not getting the actual point.
To be clear: I want a fact-based discussion about it, a major bit missing in my picture, please help me to get it resolved. If you call my valid question just FUD, I'll call you just a marketmanipulator in return, because you are obviously
NOT interessted in facts but play with ppl's emotions, only.
Thanks to whoever is willing to point me to the missing bits, much appreciated.
This was one of the major reasons that Monaco dropped their asset contract and this was with a 10th of the circulating supply that TenX has and what was a 1% (of crypto spends) contribution. They argued the figures just didn't add up. However, the community freaked out about it and the price tanked...
I personally think that their new business model of 6 month token lock-up for platinum feature cards (with much higher cashback etc) is now going to be a much greater token price driver. Why? Well, firstly the sell pressure is going to be drastically reduced as people buy to lock-up and not sell. Secondly the demand is going to increase IF the product is superior to anything else available (which on paper it will be). Finally, as the sell pressure drops, the buy pressure increases and the user base grows, Monaco will need to hold higher reserves of MCO to pay out the cashback (which they intend to buy from the Market).
But hey, the community want a replacement asset contract, so they're looking into that too - I just don't know how they'll make the numbers work with this either (even with only a 9million Circulating supply)...