March 30, 2018
Review of DEB tokens circulating and total supply after crowdsale (updated)
Crowdsale has closed, automatic distribution of additional DEB tokens has been done, only a few manual distributions are left. Hence it is the right time to update the circulating and total supply of DEB tokens to provide more clarity to the community.
The total amount of DEB tokens is 400 million. It’s not technically possible to create any more DEB tokens, so this is a finite and maximal amount of Debitum tokens to ever exist.
Now, where are these 400 million distributed:
- Around 1.43% or 5.71 million DEB have been distributed for our ICO process. Debitum Network community members for referrals made within affiliate program, bounty participation. Services like translations, ICO listings, marketing activities and similar expenses during and before the crowdsale.
- Around 40.7% or 160.26 million DEB have been sold to the public during Debitum Network Crowdsale, both Round A and Round B. These tokens have been distributed and currently can enter exchanges. There is a tiny exception for 0.59 million of these DEB tokens (0.15%). These are technologically vested for 3-4 months from the date of February 25.
- 10% or 40 million DEB will be directly distributed to Debitum Network advisors and contributors. These tokens will be distributed during the next couple of weeks and will be technologically vested for 6 months, until August 25th, 2018.
- 15% or 60 million DEB will be directly distributed to the Debitum Network team – founders, technology developers, ecosystem developers and multiple other team members. These tokens will be distributed during the next couple of weeks and will be technologically vested for 12 months, until February 25, 2019.
- 18.36% or 73.44 million DEB are reserved to be sold to the public at a later stage in Debitum Network development to raise funds needed for next step of global expansion. This will be only done after Debitum Network has successfully launched in all 15 countries indicated for Stage 1 (Central & Eastern Europe).
- 15% or 60 million DEB are put in Reserve. We describe this in detail in our White Paper. Here is an extract.
Reserve will be used to ensure the following:
- non-systemic counterparty risk coverage (anti-fraud guarantee for counterparties’ transactions) to support the initial stages of the Debitum Network growth. This trust capital is needed in the ecosystem until the trust arbitrage smart contract possess enough data on various counterparties, indicating their actual trust ratings based on their historical performance;
- efficient operations of Debitum Network while the ecosystem penetrates the global market by using these tokens for market making based on strict and public rules;
- faster growth of Debitum Network by lending or giving away tokens to newly joining service providers to be able to pledge these tokens as a guarantee for the quality of their services provided. This would lower barriers to entry as well as allowing more skeptical parties to try the ecosystem. As service providers earn new Debitum tokens from other counterparties, automatic smart contracts will collect a percentage of the earned Debitum tokens, so the initially lent Debitum tokens are repaid;
- aligning motivation of seasoned senior regional and country management with Debitum token holders.additional funding for further development of Debitum Network.
For example, a potential use of DEB tokens from Reserve would be to technologically implement Debitum Network and PayPie collaboration, as for system integration, development and testing each party will provide a certain amount of their tokens to another party.
Reserve will not be vested to a specific date. As it is unclear when Debitum Network will need its tokens to foster growth as described above. To ensure better market stability we will vest certain parts for a certain amount of time, hence at a particular point in time, all or most of Reserve tokens might be vested. In addition, this will ensure that Debitum Network plans the use of Reserve upfront, providing more clarity and trust to the community.
So there you have it. A total of 400 million tokens. 165.97 million tokens that can enter exchanges and be traded right now. 100.59 million tokens are vested currently and will become available for trading after their vested periods expire. Roughly 133.44 million tokens are reserved for business future needs and business development.
It’s worth mentioning that the amounts for trading mentioned above are only the maximum amounts possible. In reality, only a part of that will participate in trading as token holders decide to hold them and not enter them into exchanges for trading.
Update (2018 04 27)
We have updated the numbers. Previously we presented that advisors received 60 million DEB tokens and 40 million to the team. We mistakenly switched the numbers. We apologize for the confusion. Advisors received 40 million and the team 60 million. The Vested periods where correct.
In effect, this means that 20 million fewer tokens will become available for trading on August 25, 2018.
The numbers in the images and text above have been updated to reflect reality.