Let's see. They can sell out all 250 million shares at say a fair value of $250,000 initial market cap, $250,000 cash, and 0% for themselves. Or they can set prices at $0.1 per share, sell only 0.1% of the shares so they get the $25,000 cash, $2.5 million market cap and 99.9% for themselves. Then as the price drops to a tenth to $0.01 those investors who didn't buy in the ICO come rushing in to buy the dip, and they still get their $250,000 cash and retain 90% for themselves.
Hopefully you understand now why the market cap of Dash is entirely meaningless.
*Note I am not asserting what I think the initial valuation of Iota should be. I have no idea. $1 million? Will depend on many things that are learned between now and launch, etc.. And I have no interest in expressing any opinion on the valuation.
Then again, as you said, maybe not all investors are equally astute...
That would include those who can't do arithmetic.
Granted, my statements fall into the very subjective matter of what one considers to be a
high or low price per share, and in effect, the initial valuation of Iota. Arguing the arithmetic posted is utterly pointless, as we have fundamentally distinct views on the potential realizations of demand and price. Funny enough, going by your own example, I draw quite different investment indicators and conclusions. I will not debate this further as I wish for my particular valuation to remain my own.
Personally, I see unproven technology for emerging markets as being an extremely high risk investment, and I will value it accordingly. Talents and accomplishments might become extremely valuable (if functional success is delivered), but comparatively speaking, the product itself, is of little value, especially when it can be replicated/cloned/forked to exhaustion.
I don't agree. This is a valid concept. Micro transactions will become increasingly relevant in the coming years.
And I don't see copycats as a major threat, or necessarily diminishing a projects value in such a meaningful way as you do.
Reread my post. I did not say this was an invalid concept, nor anything even remotely close.
In fact, I generally agree with your statement over the relevance of micro transactions in the coming years. However, I place no certainties on one technology or product succeeding over another, and I take no future achievements for granted (wide scale adoption being a key one), in this, or any other complex system still in development. So, you know, ...
high risk.
