Quote from: GreXX on January 30, 2014, 12:35:57 AM

I just wanted to add a few additional questions. How long after release do you expect the exchange to be completed? Will it be a BTC/LTC/USD exchange? Is it already in production?

Also, will there be a quick reference stat on the website or exchange that lists the current number of L1 and L2 coins in circulation? It would obviously help valuation if this were readily available. I'm finding it really hard to come to a possible valuation or guess on market cap based on numbers i'm running.

If the initial numbers on this thread are close to the final numbers and we give a very generous estimate of the initial funding, we are looking at 40 BTC and 100 LTC. Like I said, generous compared to the current amount pledged. This would equate to

40 btc X 150,000 L1 Coins = 6 Million L1 coins.

100 ltc X 4275 L1 Coins = 427,500 L1 coins.

This would result in 6,427,500 L1 coins in the initial funding round. This obviously does not include any future Kickstarter campaign or additional funding.

IF there is a last minute mad rush and the initial funding is even double this amount, that is still only 12,855,000 L1 coins. By recent launch standards such as DOGE, MOON, and TIPS, this is an extremely low amount of coins in circulation.

On top of that, let's assume 40% of the initial offering are burned by long term investors in the currency for L2 coins.

This would create 5142000 / 1000 or 5142 L2 coins. That would then leave 7,713,000 L1 coins in circulation. The number may end up being a lot higher as far as the burn goes considering there will be no exchange at launch (as far as we know).

Just looking at these numbers and how many coins will be generated each week and burned, I have no idea how to determine a possible valuation or market cap on this coin. I imagine this will be very hard to gauge without up to the minute accurate numbers on L1 and L2 coins in circulation. Even then, it seems like it would be hard to comprehend a valuation. Say someone buys 5000 or 100,000 L1 coins on the exchange and burns them all. How does this impact the overall market cap and valuation of the coin? Do we see constant swings in price? Or does it just trend upward for several months until we get to an averaged consistent fluctuation and burn / earn ratio?

The exchange will be worked on post release, only a basic foundation is laid out at the moment.
There is no cap on the coins, and I agree they will likely be hard to come by in the first couple of years, which is why I continuously let people know that founders will receive a distinct advantage.
Market valuation will be based entirely on level 1 coins since these are the only marketable resource. If someone commits a burn, the market cap drops.
This is a good thing as it will keep the market cap from ballooning. The lower the market cap, the higher the chance for profit.
As for the rest, there really is no telling what the market will do. The likely event is that there will be an uptrend in either large spikes or in a zig zag motion.
People will be able to forego the burning process and buy and sell solely level 1 coins, just like any other currency, if they so choose.
The point of this coin was to create a niche for every type of personality, while at the same time making it profitable for all of them.

This gives me the idea of implement a top 50 holders list onto the website showing only addresses, with the ability to sort it by LV1 owned, LV2 owned, Total LV1/hour