Why you should NOT buy EOS on the first ICO!
Hi!
First of all i LOVE steemit BTS and are very excited about Eos.
But!
The crowdfund (ICO) could end in a disaster for you.
Why?
Lets make some examples:
Lets imagine i want to buy EOS for 10 ETH!
a* (b\c)
this is the Formular how it will be distributed to us.
a = Total ETH contributed by an authorized purchaser during the period. = 10 ETH in our example
b = Total number of EOS Tokens available for distribution in the period. = In this first Periode its 200.000.000 Eos (200Mio)
c = Total ETH contributed by all authorized purchasers during the period = We will do 4 example calculations, with 100, 300, 500 and yes even with 1000 Mio$ worth of ETH.
So again:
a: total ETH 1Person is buying: 10eth in our case
b: Eos Token available in a Periode: 200mio
c: Total ETH contributet by all during the Periode ( 5 days Long will it be available))
ok now lets calculate what we will pay for 1 Eos in this 3 cases
we will calculate with: 1ETH = 336$
Here Comes the Formular
a *(b\c)
In the first example lets assume 100Mio$(297.000ETH) will be bought by People during the 5 days.
10ETH * (200.000.000 EOS\297.600 ETH) = 6720 EOS you will get for your 10 ETH. 10ETH = 3360$\6720EOS = 0,50$ you paid per EOS
And now look what happens if more People buy an more $ goes into this.
(You can put this Numbers in the Formular above and recalculate if you want)
300Mio= 892.857 ETH = 2240 EOS = 1,50$ per token
500Mio= 1.488.095 ETH = 1340 EOS = 2,50$ per token
1000Mio = 2.976.190 ETH = 672EOS = 5$ per token
Why this Numbers? 100 Mio to 1 Bil?
Bancor collectet 156 Mio in 3 Hours!
What do you think could happen in 5 days?
The question is now what is the fair Price so i can estimate if the Price is too high or not.
This is near impossible to say but...
You can watch another icos with a simmilar supply
i now this is not 100% correct but atleast you can see a Price range
at a Supply at 1 Bil ( even it is distributet over a Long time ) i would say a Price Range from
0,24$ to 0,50$ is ok everything else Looks overpriced for me. but as i sayd this cant be calculatet this is in your Hands what do you think is overpriced or not.
But this are the numbers.
Hope i could clearifiy this a Little.
And if i did a mistake in calculation plz tell me i will correct it.
Thanks and have a nice day
and dont understand me wrong. I love this People i love steemit and BTS and i really want EOS but i dont feel confident with tis ICO.
Have a nice day again...
Sounds like you are complaining that this isn't a get-rich-quick scam ICO that prints free money where you can be confident you'll earn 10x+. Good.
EOS Crowdfund structure is similar to mining without the power waste associated to enslaving ASICs to solve pointless math problems.
No i like the long term model. What i dont like is there is no max price cap. I know in this model max price wouldnt work in this case. Im not sure how to solve it. But to buy without a max price is very dangerous. Its like you give all your money and dont know how much you will get. I like the idea of fair price for all but becuase of the hype situation this model is not very confident for me.
What max price cap? This model completely fixes the hype situation. No, you don't know how much you're going to get, just like if you were mining. There's an element of randomness and this is a great thing. It is a solid effort to disincentivize speculation and market manipulation while concurrently creating a more fair model that has a stronger appeal to actual developers, instead of schemers.
When im mining im not sending 5k$ - 15k$ or more to a company without knowing what to get. I understand your point but you cant compare that with mining. Some People will send alot of money in this. Believe me i really want to support eos and all but cant understand this initial sell. Maybe im really missing something out. And thank you for youre opinion. I believe in talking and not closing eyes for things i dont like
If the majority of participants do, like you, decide to stay away from the 5 day window. You are better off actually allocating in the said window. If "timing" is of concern, you should just dollar cost average in. So say you want to allocate 100 eth to eos. Then allocate 22.22 (200,000,000/900,000,000)*100 in first window and then .22 eth every day for then next 350 days.
i stay away and give you a better portion. It doesnt must end bad for you but the possibilty is high here.