I had the following idea:
Octos that are burned are divided by 8
and total coins: 8,888,888 Octotoken (or however we call it)
i think this is fair regarding what the octoholders went through and still we got a huge amount for the crowd sale.
And jeah, it still more looks like Octo.
so every 8 Octocoins = 1 OCTOPARTY?
or you mean vice versa? 1 Octocoin = 8 OCTOPARTY?
I think the lower we keep Octocoin holders holdings in OCTOPARTY the better chance we have at success at a crowd sale. Now we want to make sure we have our fair share and that people will be able to make money when the price of OCTOPARTY goes up. We also want to make sure that we have a good balance as a % of all OCTOPARTY.
Here's the question though: What is a balance, if any, that someone spending Bitcoin in a crowd sale will find acceptable? We need to make sure they understand and believe that we are not here to take their Bitcoin, drive up the OCTOPARTY price, dump and disappear with Bitcoin. I know that many of us will probably purchase OCTOPARTY in the crowd sale to support the project. But if you weren't an Octocoin holder, if you were just a regular person with some Bitcoin and you found a project that you thought could be profitable but you saw that a % of the coins were already held by a group, would you trust it's not a pump n dump scheme?
Now on the flip side, if you are the regular BTC holder looking to invest, you have to understand that this isn't a pre-mine or just a group that holds for no reason. This isn't a dev giving all of his friends some coins to dump. This is part of the narative, part of the story. We all put in mining for months. We all spent Bitcoin for months. The market may have delisted Octocoin when the devs disappeared and it's hard to put a dollar or BTC value on Octocoin at the moment but at one point it was damn near 2 cents a coin. We may not be burning Bitcoin to create XCP but we are still burning the time mining and BTC we spent to buy and hold Octocoin. We may not be transferring an expensive holding like Bitcoin was to create XCP, but what time and money spent on Octocoin still had decent value at one point and a value that you can't put a price on when you consider our support for what we thought would be a good project in the 8 Octocoin apps.
So there lies the balance we have to create. When I was explaining the burn and the plan to a friend and holder of Octocoin he wasn't convinced that we would have support in a crowd sale if Octocoin holders burn and have a huge stake in OCTOPARTY because people would look at it like they look at a premine. I definitely see his point. I think the key is to treat it like some of the successful alt coin devs have treated their pre mines. Keep them small, for a good reason or cause and be very, very transparent.
A burn definitely keeps it transparent. A good plan for how they crowd sale BTC will fund the project has to be transparent. Having multi-sig wallet including at least 1 trusted person from the Bitcoin community should help gain some trust that we aren't going to take their Bitcoin and run or just spend/waste Bitcoin. Having payouts with that trusted party signing off on them only when miestones of the project are reached will also gain trust.
So the question still remains. What % should Octocoin holders hold if we do 8,888,888 OCTOPARTY coins? What % of OCTOPARTY coins should be sold in the first crowd sale? Do we do a smaller % and hold some of the OCTOPARTY coins for future distribution in a crowd sale to fund other projects? Do we distribute all of the OCTOPARTY coins in 1 crowd sale and find other ways to raise money for future projects?
If you think about the total being 8,888,888 I think that for the first project you would have to distribute enough coins that the BTC holders have a larger % of total coins currently available. That way Octocoin burners coins aren't as much of a risk as a pump n dump. If we only sell a small % of the 88,888,888 coins and hold back some for future projects, then between the burners and buyers it will = a fairly small number of total OCTOPARTY available. I would think that the price per OCTOPARTY would be pretty decent.
Of course, that then would affect the burn. I don't know if we could do a 1:1. Or if we did do a 1:1 burn and we have 20 million OCTOPARTY created from the burn we would have to sell like 30-40 million OCTOPARTY in a crowd sale so they have a slight advantage over the burners.
If that is the case it would leave roughly another 20-40 million for future sales to raise for other projects.
It's such a strange and interesting thing to think about setting up. There are many different ways we could do this.
I'm interested in hearing everyone's thoughts on this. Sometimes the best way to reach a conclusion is to hear many different ideas and reasons for doing things other than the way you would initially do them. Remember, everything I wrote above is just MY thoughts on this and not necessarily the way it SHOULD or WILL be done. Don't worry, we will come to some sort of consensus and vote on how we burn and distribute. We are all in this project together as the original holders. Just remember, it may feel weird to give up some Octocoins for less OCTOPARTY than a 1:1 trade but if you want to create value and gain trust on a buy in, that MAY be what we NEED to do.
I hold about 200,000 Octocoins at the moment. There are people with way less and people with way more. Some involved in the burn hold over a million. There are a few of them. They could take a 8:1 cut and still be large holders. Those with less than 100,000 Octocoins may not be the ones who want to cut into their holdings at an 8:1 burn ratio. I don't blame you. At 200,000, an 8:1 burn would only create 25,000 OCTOPARTY for me. But when you compare a dead abandoned coin with no listing on any good exchanges and no current market price to a new CP asset that is holding a crowd sale for BTC to fund their first project, I think the latter will prove to be more valuable.
Now that was at an 8:1 burn. It doesn't have to be that high. It could be 3 Octocoins = 1 OCTOPARTY.
Just remember, depending on the number of coins burned and the ratio, combined with the number we sell in the crowd sale, how many OCTOPARTY will be available to fund future projects? If this first project is successful and we want to do more projects, i'm sure we can sell less OCTOPARTY for more BTC based on the success and trust gained from our launch of the coin, first crowd sale and completion of the first project. The value of OCTOPARTY should be fairly decent based on the first project with only a certain % of coins in circulation. As we come up with more projects down the road, maybe there are other ways to raise money to fund them and we don't need to hold any OCTOPARTY from the first sale. We just put all OCTOPARTY into 100% circulation.
Ok, let's hear what everyone thinks!
