Buy-Back Program Details
Hello all. As some of you may be aware, SCL is being listed on HitBTC this week! The exact date and time is yet to be confirmed, although we have been told it will be sometime on Wednesday or Thursday.
Below are answers to the many questions that have been asked lately regarding the program.
What is the buy-back program?
The buy-back program is our way of acquiring SCL. Instead of allocating X amount of SCL to the team during the ICO period, we decided to run a buy-back program on the exchange. This way, SCL will be purchased with BTC instead of being allocated free of charge to team members. A total of 5% of SCL will be purchased back once SCL is listed on HitBTC.
How much is spent on the buy-back?
In a previous post here, we stated that we may have to reduce our position of 5% if the price of SCL rises dramatically. We planned on $800,000, although that was when the price of ETH was very different from now. We have allocated 2500 ETH to this program — and of course, it needs to be exchanged for BTC since the listing is SCL/BTC. That means that the buy-back program will run until we purchase 5% of the circulating supply (being approximately 835,700 SCL) or until we spend all 2500 ETH (in BTC equivalent).
What is the buy-back trading pair?
The trading pair will be SCL/BTC as that will be the only trading pair for SCL at HitBTC. We may eventually get both ETH and USDT trading pairs added in the near future.
What is the estimated price that SCL will reach during this period?
We’re unable to make any kind of price indications as it is illegal to do so in the country that we operate in.
How long will the buy-back program go for?
We’re unable to make estimations for the length of the program. It could finish on the first day, it could take multiple days, or it could take multiple weeks. It all depends on how much SCL is being sold within this timeframe.
What if 5% of SCL is not sold during this period?
As per the question above, the buy-back program will run until we either spend 2500 ETH (being approximately 120 BTC) or purchase 5% of circulating SCL. Therefore, the program may potentially run for days if not enough SCL is being sold, or it could run for just a few hours if holders decide to rush to the exchange and sell.
Will the buy-back happen instantly once listed at HitBTC?
The buy-back will be launched quite quickly once listed — although could happen as far as 24 hours from listing. HitBTC is located in a completed different timezone from us, so listing could happen as we are asleep. Announcements will be made via Twitter and Telegram once it has begun.
How will it work exactly? What will you do?
Quite simple actually — we will be setting multiple buy walls at different prices going upwards periodically. Once the buy-wall at a price is completed, we’ll move it up. For example (and only for example, the following prices/numbers are not real), we will set a buy wall of 10 BTC at the price of $0.40. Once the buy wall is complete, we’ll create a new wall of 10 BTC at the price of $0.45. The price will constantly be moving up for each wall that we create until the program is complete.
What will you do with your SCL holdings after the buy-back?
We will have a new announcement after the buy-back program about what we will be doing with our SCL holdings. Long story short for now, we will be locking them away until further developments of the platform.
