Detailed Tokenomics & Share Structure
Tokenomics
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Fluid Finance has issued equity tokens on the Arbitrum Network, an Ethereum L2 solution, under the name $FLUID.
Fluid Finance (FluidFi or the Company) is a bank alternative based in Switzerland with shareholders’ capital held in ETH.
This article sets out details in regard to the equity shares in FluidFi.
Article 6 of the Company’s statutes authorizes the issuance of shares in tokenized form, which conforms to Swiss law.
The $FLUID contract can be seen here: https://arbiscan.io/token/0x876ec6be52486eeec06bc06434f3e629d695c6ba
The $FLUID tokens represent equity in a Swiss firm. The Company intends to register the shares with the Securities and Exchange Commission in the United States and potentially other jurisdictions, including Singapore and Japan. At the moment, purchase of the tokens is not open to US Persons or residents of any jurisdiction in which purchase of equity in a Swiss company is prohibited by law.
Total Shares & Timeline:
The Company was formed on 8 October 2021 with shares and shareholder capital as set out below.
Issued shares: 100,000,000
Shareholders’ capital: 335 ETH
The Company also authorized the increase of up to 150,000,000 shares (a potential future increase of 50,000,000 shares).
On 11 November 2021, the Company increased the shares by 23,485,618 as part of an investment by a well-known technology entrepreneur who was appointed Chairman of the Board. After the capital increase (and as at today) the shares and shareholder capital are as set out below.
Issued shares: 123,485,618
Shareholders’ capital: 405 ETH
A significant number of shares (tokens) have been reserved for employees. These tokens will be issued in the future, as part of an employee share ownership plan that is being put in place, subject to tax and legal advice. After the issue of tokens to employees (expected by the end of the year), the shares and shareholder capital will be as set out below.
Issued shares: 146,985,618
Shareholders’ capital: 475 ETH (approximately)
Note: this is a base capital amount. The Company also holds significant funds in ETH (and other currencies).
Current token holders (on a fully diluted basis after 5 years):
The total number of shares that can be issued by the Company is 150,000,000. It is not possible to issue more shares (tokens) above this amount, unless approved by a shareholder vote. The Company is well financed with working products and it is not the intention of the Company to issue more than this maximum number of tokens.
The proper way to evaluate any company is on the basis of shares issued. In crypto markets, some attention is paid to circulating supply. It is the view of the Company that the best way to evaluate its prospects is by considering the fully diluted token supply.
Lock ups:
The vast majority of tokens (72.3%) are locked up for at least 5 years.
These tokens come from the Founder (100% of tokens locked up for 5 years) and the Chairman (80% of tokens locked up for 5 years).
These lock ups are agreed in legal documents under Swiss law and are designed to give investors comfort in FluidFi and a reassurance to the community that the tokens will not be “dumped” into pools that the Company has created. The restrictions on selling the tokens in crypto markets will be put in place as soon as the Company has completed a few operations (airdrops, creating the pool on SushiSwap, etc) and the contract code will be made public.
The restrictions only cover the sale of tokens in crypto markets and do not apply to voting rights, dividends, etc. In addition, there are no restrictions on sales of the shares outside of crypto markets, as long as any future purchaser agrees to the same lock up terms. No sales are envisaged.
SushiSwap liquidity pool:
The Founder and the Chairman have contributed their own tokens to create an ETH — $FLUID pool on the SushiSwap exchange on Arbitrum. This is to facilitate trading in the tokens for the benefit of the community. It is important to note that the Company is not raising money from the pool created on SushiSwap. The Company will not remove the liquidity provided to the SushiSwap pool for its own operational purposes.
It is planned, however, that the Company will create a DUSD — $FLUID (the Company’s 1:1 cash-backed transparent “stablecoin”) pool on SushiSwap and an ETH — DUSD pool. It is also planned to allow users to purchase $FLUID, ETH and DUSD via its apps. This may result in a future migration of liquidity in the ETH — $FLUID pool to these two other pools, to increase pool depth.
Circulating supply:
There are 14,780,393 tokens that are currently part of circulating supply, representing 10.1% of the fully diluted shares outstanding.
Of this amount, 5,147,124 tokens are held by the Chairman.
While these tokens are unlocked, the Chairman has no plans to sell.
At the moment, these tokens are held as $rFLUID tokens (shareholder tokens) and are not part of circulating supply of $FLUID.
The circulating supply is set out below.
The circulating supply over time, taking into consideration various unlocks periods, is set out below.
Reasons to hold $FLUID tokens:
- Access to premium banking services, for free.
- Lower fees and higher returns on products.
- Exclusive offers of new investment products.
- Airdrops of $DBD tokens.
- Ability to borrow against the tokens (in development)
- Discounted purchase price in any future fundraisings
Quick Facts:
About Fluid Finance:
Fluid Finance is a bank alternative based in Switzerland. The Company offers the four core functions of a bank: accounts, savings, investments and borrowings, including via tech partners, in the EU and the UK. Expansion is planned to include FDIC insured bank accounts in the United States, as well as offerings in Singapore, Hong Kong, Australia and Japan. The Company is the first in the world to allow users to move seamlessly from their bank account, to crypto, and back. This is delivered via web and mobile apps and involves a 1:1 cash-backed transparent Digital Cash coin deployed to the Arbitrum Network (an Ethereum L2 solution) that allows the user to be the mint. The stablecoin is chain agnostic and will be deployed on multiple different chains in the future.
A savings product that brings yield from DeFi into a traditional bank account is coming soon.
Fluid Finance is the first company in Switzerland to be established with shareholders’ capital in ETH. Its equity tokens will commence trading on the SushiSwap exchange on Arbitrum on 15 November 2021.
Our Socials:
📆 Be part of the Future:
Download the mobile app! Available on iOS and Android!
- Follow our Twitter
- Check out our website: fluid.ch
- Sign up for an account at: app.fluidfi.ch (<15 min)
- Join our Telegram community & the Announcement Channel
- Or our Discord community
- Inspect our GitLab
- Watch our YouTube
- Read more about our DigitalDollar(DUSD)
We’re constantly looking for talented developers and other professionals to join our team. Many in the core team started as investors and community members.
We’re also pursuing partnerships across the ecosystem, mainly to grow the adoption of DUSD, and Fluid accounts.
Signing up on our web-app is an easy and intuitive process.
If you prefer detailed instructions on how to use the web-app, you can read this piece:
