To provide a high degree of transparency to the Nimiq community, we would like to present an overview of the assets and use of funds for the Nimiq project as of July 31 2018, as well as details of the distribution of NIM tokens with circulating and total supply.
Assets and use of funds
At closing of the NET token creation event (July 9 2017) a total of 56.5K ETH were raised through contributions (60K ETH minus creation event costs), the approximate equivalent of US$12.8 Mio at the time.
Following professional advice during this highly volatile period with the market in steep decline (ETH had peaked out at US$400/ETH on June 11 and was down over 50% below $200 levels on July 10, going as low as US$140 in the days that followed), we sought to convert and diversify funds swiftly resulting in holding around 30% of funds in BTC, 20% in ETH and 50% in fiat (mostly US$).
The Nimiq Project has a variety of assets. Since the initial diversification additional investments were made, including the acquisition of a property intended to provide diversification of assets held and grounds for a potential future Nimiq Campus. As of end of July 2018 the Nimiq Project has the following assets (valued earlier on day of this publication):
724.7 BTC ~ US$4.53 Mio
9’470.5 ETH ~ US$1.61 Mio
Fiat (EUR, USD) ~ US$5.08 Mio
Real Estate ~ US$1.1 Mio
Total Assets: ~US$12.32 Mio
Use of funds
The use of funds since project inception early 2017 up to the end of July 2018 breaks down as follows:
Contracting, Compensations: This includes all development, design, code audits (Smart Contracts, Genesis & Mainnent Launch Code) and efforts of the team, Y Media Labs, Overnice GbR, Backes SRT GmbH and additionally contracted individuals.
~US$2.039 Mio in crypto
~US$80.4K in fiat
Subtotal US$2’119.4K, ~46%
Legal, Administration: This includes legal and administrative expenses regarding NET creation, activation of NIM, corporate structuring and restructuring, accounting, professional KYC and AML support from MME Legal | Tax | Compliance, Lara Legal Corp, Sielva Management, Jumio Corp, Intrum Justitia et al.
~US$235K in crypto
~US$115.8K in fiat
Subtotal US$350.8K, ~7.6%
Marketing, Listings, Content, Community: This includes expenses related to creating marketable video and written content, branding, listing integration fees, ledger co-branding & promotion, swag production, and community rewards. It also includes community programs such as the Hackerone Bug Bounty Program (of which unused balance is refundable) and the sponsorship of PhD Blockchain Research at Imperial College in London.
~US$995.9K in crypto
~US$18K in fiat
Subtotal US$1’013.9K, ~22%
Digital Operations, Equipment: This includes expenses related to hosting, hardware, software, licensing, and other development tools and platforms.
~US$201.4K in crypto
~US$37.6K in fiat
Subtotal US$239K, ~5.2%
Travel, F&B, Fitness: This includes expenses related to transportation (air, ground, water), hotel, food & beverage, health & fitness and team building.
~US$185.9K in crypto
~US$365.7K in fiat
Subtotal US$551.6K, ~12%
Physical Operations, Rent: This includes expenses related to rent, maintenance, and campus development.
~US$77.2K in crypto
~US$253K in fiat
Subtotal US$330.2K, ~7.2%
Total Use of Funds: ~US$4’604.9K
The monthly burn rate excluding one-time, irregular travel and short-term contract expenses end of July was around US$245K.
NIM supply and distribution
In this second part we would like to describe the distribution of NIM tokens, indicating details of accounts and vesting contracts as well as circulating and total supply as of end of July.
Live summary of NIM supply: http://nim.sh/stats/supply.txt
Just the current circulating NIM supply: http://nim.sh/stats/supply/circulating/nim.txt
The total final NIM supply in ~100 years by design of the Nimiq Blockchain protocol: 21'000'000'000 NIM
In the context of raising ETH contributions through the NET token creation in June 2017, a total of 10'500'000 NET Token (ERC20 Token) were created and held by contributors. No additional NET were ever held or controlled by the team.
The NIM token (native token of the Nimiq Blockchain) followed this creation process: For each NET burned by a NET holder in the activation process he/she receives 100 NIM. Therefore up to 1'050'000'000 NIM are being activated from NET holders.
NIM activated from NET as of July 31 2018 amount to 712'315'677 NIM and are part of the circulating supply. The remaining difference (~337'684'323 NIM) to be activated from NET is visible at account addresses NQ69 9A4A MB83 HXDQ 4J46 BH5R 4JFF QMA9 C3GN and NQ15 MLJN 23YB 8FBM 61TN 7LYG 2212 LVBG 4V19. Since these NIM can be activated at any moment from remaining NET token holders, we also consider them part of the circulating supply.
Reminder: The deadline for activating NIM from NET is October 14 2018, 11:59 pm UTC-12. After this time Activation of NIM from NET will no longer be supported. This also means that NET will no longer be associated with the utility of the Token of the Nimiq Blockchain. The plan is to immutably stop the NET contract some short time after the Activation deadline.
All other NIM are either acquired through mining or released through a vesting contract (all vesting durations are measured from April 14 2018).
NIM minable (88% of final total): 18'480'000'000 NIM
NIM mined as of end of July (~3% of final total): ~647'623'990 NIM, part of circulating supply. The live amount is available here: http://nim.sh/stats/supply/mined/nim.txt
Nimiq Foundation (Project, 2.5% of final total): 525'000'000 NIM at vesting contract address NQ09 VF5Y 1PKV MRM4 5LE1 55KV P6R2 GXYJ XYQF. Vesting is 26'250'000 NIM every 6 months over 10 years. First vesting is in October 2018, so nothing from this amount is yet part of the circulating supply.
ImpactX Foundation (Charity, 2% of final total): 420'000'000 NIM at vesting contract address NQ19 YG54 46TX EHGQ D2R2 V8XA JX84 UFG0 S0MC. Vesting is 21'000'000 NIM every 6 months over 10 years. First vesting is in October 2018, so nothing from this amount is yet part of the circulating supply.
Nimiq Team & Early Contributors (2.5% of final total): 525'000'000 NIM (of which 114'420'444 NIM for future team member & development allocation) at 82 vesting contract addresses, see https://pastebin.com/raw/1eDwDF45. Vesting schedule A (for creators) is 35'000'000 NIM every 6 months over 3 years and vesting schedule B is 157'500'000 NIM month 3 and month 6 (team, early contributors and future team member allocation). First vesting was July 14 2018 so 157'500'000 NIM are part of the circulating supply.
Recommended Block Explorer for Account and Contract Addresses: https://nimiq.watch
DISCLAIMER: Due to varying exchange rates and ongoing accounting, numbers are approximations. The financial information referenced in this report has not been audited internally or externally by a chartered accountant or similar accounting professional. Nimiq has performed these duties and prepared the information in good faith. Nimiq cannot certify or attest to the complete accuracy or validity of the information presented herein until such records have been audited and certified by a financial professional.
None of the statements must be viewed as an endorsement or recommendation for Nimiq, any cryptocurrency, or investment product. Neither the information, nor any opinion contained herein constitutes a solicitation or offer by the creators or participants to buy or sell any securities or other financial instruments or provide any investment advice or service.