After a successfully token sale in collaboration with TrustSwap, BitcoinVend carried out a Token Distribution event on March 1st.
All TrustSwap launches require the token issuer to lock tokens for some time, usually for a minimum of 30 days. The purpose of this is to limit the supply of tokens available in the market.
As of today (April 27th), a small number of tokens are still vesting and the TrustSwap Farming Pool (where 1,000,000 tokens are available to those who stake SWAP is ongoing until the 8th of May).
With vesting, farming pools etc. the circulating supply increases slightly daily, but as a general guide, one should consider the circulating supply to be 26,000,000 BCVT tokens. The remaining 74,000,000 tokens are currently locked, see here.
Naturally, community members are keen to know exactly what will happen with the remaining tokens, therefore, below we outline in more detail how these tokens will be used and what safeguards are in place.
Unlocking of Tokens
BCVT token performance is very important for the project. A strong token attracts more interest in the project and has benefits for all involved. Thus, provisions made here are strategic and should be considered in a positive light.
Community & Marketing: 10 Million Tokens unlocking on 29th April
These tokens will be primarily used for marketing efforts which may include: Airdrops to communities surrounding other exchanges we wish to list on, liquidity for exchange listings, bounty programs that attract more investors and users of the app, as well as other activities which are designed to bring more exposure to BitcoinVend.
These funds will be held in custody with our third-party custodial company, controlled by the foundation and only to drawn down upon in accord with the originally stated vesting schedule.
Take note that if a substantial amount of tokens are distributed to any single or group of third parties, they will be vesting using TrustSwap contracts.
Advisors, Team & Foundation: 64 Million Tokens unlocking on 29th May
Advisors: 4 Million Tokens
These tokens will be deposited into a specific wallet that is held in trust by the foundation, only to be drawn down upon in accord with the originally stated vesting schedule of 24 Months.
Team: 20 Million Tokens
The tokens will be administered by the Bitcoinvend foundation and distributed to team members in line with the vesting schedule. Team members are contractually required to sell coins only at approved moments via our market-making solution to avoid price disruption.
Foundation: 40 Million Tokens
As soon as the foundation tokens become unlocked they will be deposited with a custody provider.
These tokens have the following purposes:
· Giveaway Rewards
· Staking Rewards
· Charity — BitcoinVend will support charitable initiatives where the BitcoinVend app can be a useful tool for those who are economically deprived, for example with unbanked communities.
· Ambassador Funding — Ambassador NFT holders will be able to apply to the foundation for funding activities that help to spread awareness about BitcoinVend such as running events, charitable activities etc.
· Project Funding — BitcoinVend will liquidate tokens to provide funding for the project. These liquidations will always be performed via the market makers across multiple exchanges and pairs over several days, weeks or months so that negative impact on the token market can be avoided. We do not anticipate liquidating any token for some time.
· Market Making — When listing on exchanges, market makers require a substantial number of tokens, these are always loaned to the market makers and will eventually be returned to the foundation (or a portion thereof).
In summary, of the 74 Million tokens that are currently locked, very few of them will go into circulation except where they are offered as staking rewards or as part of giveaways etc.
The ETH and BCVT pooled in UniSwap will remain in place, potentially being reduced slightly when we list BCVT on other decentralized exchanges, in which case the community will be informed before any action is taken.
We hope this provides clarity surrounding what will happen with tokens as they become unlocked. The BitcoinVend team are in this to make a hugely successful project which can have a tremendously positive impact on the world, and the BCVT market is an important part of that so any actions taken with large amounts of tokens will be done in a carefully considered strategic manner.