Hello Everyone
We appreciate your patience while we complete our token audit and prepare for an exchange and market maker announcement.
We are reconciling the exact token distribution now and have been working with many of our pre-sale investors to secure lock-ups on their tokens as a sign of long-term belief in the platform we are building. We have done our best to consider input from our token buyers/supporters and are announcing the following today:
1) We have secured 3 and 6 month vesting periods for more than 11 million tokens that were purchased at pre-sale levels.This means that 50% of these tokens will be made available after 3 months, and the following 50% after an additional 3 months. We believe this represents a huge vote of confidence in the long term viability of our platform and provides assurance that a large portion of the tokens will be held beyond distribution.
2) We have had numerous discussions with our token buyers over the past few weeks, and have come to the conclusion that there is an option to burning unsold tokens that would serve to benefit all parties — issuing those unpurchased tokens to existing token holders (excluding bounty balances) on a pro-rata basis, based on the number of tokens they own. This would effectively lower a purchaser’s buy-in price, while keeping a larger supply of tokens in circulation that will benefit liquidity and large-scale purchasing of song IP on the platform going forward.
This “burnback” program will utilize the 20,378,065 unsold VZT tokens allocated to the Token Generating Event, and be distributed to VZT token holders at a rate of 15% of their VZT wallet every quarter until the burnback tokens are fully depleted. All burnback tokens will come from the “burnback wallet” which is a wallet address we will transparently share with the community whose remaining balance can be validated on any Ethereum block explorer.
3) To address concerns that our bounty program was disproportionate to comparable programs, we will pay out bounties in 5 equal payments. The first will happen at the initial token distribution, followed by one each quarter, for 4 quarters, for a total of 5 payments. We feel this allows for our bounty participants to receive their full bounties, while preserving VZT token value beyond the initial distribution period — which goes a long way to addressing community concerns through our product development cycle.
We are confident that these steps will assuage concerns surrounding the pre-sale and bounty programs as well as offering a positive alternative to burning unsold tokens — something that we’re seeing other successful token sales doing now.
We have also completed a market maker contract with Alphabit for both market making and OTC trades. We are grateful for your continued support and look forward to an announcement regarding exchanges in the next few days.
Thank you,
Josh Smith
Chief Technical Officer
Vezt, Inc
