Quote from: CryptoGretzky on September 24, 2014, 12:17:35 AM

Quote from: infus1on on September 24, 2014, 12:15:14 AM

Quote from: Longenecker on September 23, 2014, 10:33:24 PM

If XCurrency's altcoin price and XC Inc. are two separate things:

Any thoughts on how XC (altcoin) will retain, or increase in value while XC Inc grows? Any thoughts on how it's price will correlate to XC Inc. share prices?

For starters, this might not be a good idea, just yet.
Also this is not and an ICO, its an IPO. There is a difference, coins are not being offered, shares are.

So, this needs to be reflected in PR releases. Shows lack on understanding, not good for serious investors who know the difference.

Anyhow, that's a different story.

By making this move though there are some serious implications.

Essentially you need to think of XC like a bank (somewhat) that's listed. Or maybe even like Google or Samsung.

The share price may not be completely independent, as stated. Its important to understand that the nature of XC Inc product behaves like a share price according to demand and supply. And thus could lead to confusion amongst investors as to which is actually more valuable the currency or the share (because XC generates revenue itself, and its on this system that value is created). Also, the share price is directly affected by the currency's performance, in the current state. Unless other revenue streams like advertising can be created, separately.

An IPO's purpose is to raise capital, so that currency could be further developed. Remember XC is a payment system, much like bitcoin, its on this technology are other applications built. Thus rendering the tool more valuable than the provider.

With IPO's, the objective of investors is to be provided a return in the form of dividends, for making capital investments. Taking such a path would mean that XC Inc would need to generate revenue, using Xcurrency to provide cash to investors. Only if XC's "profits" increase will the share price increase. Along with good news. But, then one could also say that the share price of XC is directly related to the capabilities of Xcurrency. Because the currency leads the company financial performance. If the currency thrives, then the company thrives, and so the share price will thrive. Nonetheless, XC will need to provide a return to shareholders, to have a significant share price.

Right now the currency is more valuable than the share itself. Shares get their value from dividends; so you need to ask how much dividends can XC give you. Only then is it worth investing in the share. Period.

Right now the currency is giving you a dividend for holding.

ICO here stands for Initial Community Offering I think. not coins....

Also, stock value isn't based on just dividends. People buy stocks for the growth of a company. Growth could means many things, but most of the time, it's based on future potential revenue/profits/reach. One exit strategy is to sell to a bigger company, where the holders of shares can get paid off handsomely.

eg. Whatsapp, Twitter, Skype, etc.

That's a good cover story..'Community'. We now know what to say. Just had t point it out since I study finance.

Growths ultimate objective is to provide more cash flows, so the end is profit. And as companies grow, cash-flows grow, and so profits grow and ultimately returns to shareholders grow, hence stock price grow.

True the price grows on possibilities, but this is far into the future. We don't even know the future of bitcoin yet. So, its a bit tricky.

And besides takeover and sell off's happen when the share price does not reflect its value, usually undervalued so that private equity can buy it, make it better and then sell it off. So not necessarily a benefit to shareholders. Again, far into the future.

Right now the big question is web 3.0 and advertising content will the actual currency be used as the medium to deliver this? how does that tech work? and how will the revenue from this services be generated? can that be inherently linked into the currency itself that increases its demand? OR will it what XC Inc will use to fund projects, and pay out dividends?