As we are reaching the end of our ICO, we have spent time reflecting on how to offer you the best token distribution in regards to several important criteria. After considering every possible scenario, we found an appropriate solution regarding the unsold tokens. In this article, you will find an in-depth analysis of the new token allocation.
Currently 8.5 million tokens out of from 60 million total has been sold and we might expect a few more till the end of the ICO (March 5th). It leaves us with about 51.5 million unsold tokens.
So what did we decide to do with these unsold tokens?
We have concluded that we will burn 60% of all the unsold tokens and redistribute 40% of them proportionally to all our investors. For example: if you bought 500 DANs, you will receive new tokens proportionally to your initial investment.
What are the advantages of this distribution model?
1.As you might already know, the burning process allows a diminution of the total supply on the market and potentially contribute to an appreciation of the token price
2.This new distribution model allows our community to continue dominating the market with 56% of the Tokens holders.
- This new distribution model guarantee the liquidity on the market and the scalability of the project as our token will be the only way to subscribe and use Daneel’s service.
So what is the new total supply and what is the new token allocation?
Let’s do the math: therefore 60% of 51.5 million unsold tokens gives us 30,9 million and 40% gives us 20,6 million for a new total supply of 69,1 million tokens. Here is the new allocation:
As shown on the graphe, 56% (blue shares) of the token allocation remain to the community
Investors:
29 400 000 of which 20 000 000 are distributed on a pro rata basis among all investors.
Company funds:
7 500 000 are preserved in reserve by the company. These tokens could be sold in the future, by lots, in the case of the company needing supplementary funds to cover expenditure linked to service development. The tokens will be held in a Multisignature wallet.
Team members:
20 000 000 are distributed to stakeholders (global team, counsellors, community) that have contributed actively to the success of the operation. These tokens will be stored in a Multisignature wallet. If a member of the team wants to sell its tokens, the transactions will require the signatures of multiple team members before the funds can be transferred. This process will allow the team to control the impacts on the token price.
Early investors:
5 000 000 are distributed to external investors of the enterprise. The tokens reserved for external investors will be distributed between the different structures and investors that have supported and financed the development of the Daneel project.
Bounty programs:
5 000 000 are distributed within the framework of the rewards program. The tokens allocated to the rewards programs will be distributed to community members that have participated in the distribution, communication, advertisement or translation of the project on the networks.
Product social rewards:
2 500 000 are distributed within the framework of the Product Social Rewards.
Even though the token price will be lowered by the redistribution, investors will sustain their value by receiving more tokens on their initial investment. In this instance, investors keep a majority stake of 56%, while Daneel keeps 44%. The new total supply and the token erosion* system will potentially lead to an appreciation in the value of the token in the next few years.
As the product is expected to be released by Q4 this year, the team will keep 32.5% of its 20 million tokens in a Multisignature wallet until the product is fully released. This will partially maintain price volatility.
*Every time a user will pay for a subscription, a principle of “erosion” will be applied to the token and 6% of the number of DAN issued will be burned.
BIG ANNOUNCEMENT COMING SOON…
we will announce the first exchange next month. We can already say that this will be a very good start for our community as it is listed as one of the biggest exchange.
If you have any questions, please contact us by email: [email protected] or in our dedicated Telegram Customer Support: https://t.me/daneelcustomersupport