for example, let us assume in a few months a chance to buy 10% of a top10 coin arises. Then this extra 10% could be used for such a swap. Not that all of this will be used for one deal, just an example.
At that point, there would be an extra 10% dilution, but keep in mind there is now 10% worth of this top10 currency
-10% + 10% = 0%
so it doesnt change the value of each of the other UNITY assets
at least at the instant this happens
The goal of course is to create some positive effect from the working capital, so if that works then by doing the deal (only possible with the working capital) it would increase the value of all the UNITY assets.
So as long as the working capital is getting 1:1 value, then it is a neutral effect. If every working capital UNITY is used to get more than it cost, then all existing UNITY holders will benefit.
James
Ok. That makes sense, but then I thought the point of collecting the NXT and BTC for the IPO was to use for adding new coins to the core. Isn't that considered working capital? Buying coinx with BTC will get us a 1:1 value as well, without flooding the market with 10% more UNITY.
What type of guidelines or process will be used to make purchasing decisions like this?
that was just an example
the main use for working capital would be to pay for contractors, bounties and other things like that, just a catchall category for expenses.
for anything big, I would post it here. If there is a big controversy over it, then I will certainly listen to feedback
there are times where I need to make some quick decisions, so I think it is good that I have some discretion for doing things like that without needing any sort of elaborate process.
As the largest UNITY holder (I think I would be) it is in my interest to spend it wisely and I currently dont intend to tap into it for a while, certainly not at current low prices!
James
I have the same concern as UNO_owner. I thought the BTC (and equivalent) raised in the ICO will be used for all the things you mentioned AND to buy 10% of coins joining the core. So it's actually part of the 10% of UNITY that will be used to buy the 10% of those coins?