# Financial Calculations and Profitability Examples

**Last updated:** 2025-01-27  
**Version:** 1.0

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> ⚠️ **Important:** All forecasts are a vision of the future, not a guarantee. The probability of achieving optimistic forecasts may be very low (less than 10%). It is recommended to focus on conservative scenarios when making investment decisions. For more details, see [DISCLAIMERS.md](DISCLAIMERS.md#forecasts-and-vision-of-the-future).

---

## Calculation Methodology

**Five Sources of Value for Investors:**
1. Dividends from treasury receipts (15% of all receipts)
2. Token price growth (minimum and market price)
3. Portfolio company governance token portfolio
4. Access to DLE platform
5. Co-investment opportunities

For more details on revenue sources: [for-investors.md](for-investors.md#revenue-sources)

---

## Treasury Balance and Token Price Calculation Mechanism

### Initial Conditions

- Total governance tokens: 3,000,000
- Available for LPs: 30% = 900,000 tokens
- **Sequence:**
  1. First, entrepreneurs purchase tokens (21,000 first accelerator entrepreneurs)
  2. Receipts from entrepreneurs: 84,000,000 USDT (minimum at full capacity)
  3. Then investors (LPs) purchase governance tokens

### Initial Treasury Balance

- From token sales to entrepreneurs: 84,000,000 USDT
- From governance token sales to LPs (30%): 900,000 × 1,000 = 900,000,000 USDT
- **Total: 984,000,000 USDT**

### Initial Token Price

- **Initial token price (treasury-backed): 984,000,000 / 3,000,000 = 328 USDT**
- **Primary sale price for LPs: 1,000 USDT per token**
- Premium at primary sale: 1,000 / 328 = 3.05x (premium for future growth)

### Treasury Balance Growth

- 70% of all receipts go to treasury (after 15% dividends and 15% expenses)
- Receipts include: license sales, portfolio company exits, additional LP investments

### Two Token Price Levels

#### 1. Minimum Price (Treasury-Backed)

- **Formula:** Minimum price = Treasury balance / 3,000,000
- Guarantees token liquidity
- Initial: 328 USDT (984,000,000 / 3,000,000)
  - Includes 84,000,000 USDT from token sales to first accelerator entrepreneurs
  - Includes 900,000,000 USDT from governance token sales to LP investors

#### 2. Market Price (Accounts for Future Profit)

- Can be significantly higher than minimum
- Accounts for future receipts from license sales and exits
- Example: if minimum price is 351,067 USDT (by year 5), market price can be 2,500,000 USDT (7x)
- Holders can sell tokens at market price on secondary market

---

## Token Liquidity Mechanism

### Treasury Token Buyback

**Buyback Mechanism:**
- Investor can sell tokens back to treasury at minimum price (treasury-backed)
- Minimum price = Treasury balance / 3,000,000 tokens
- Treasury guarantees token buyback at minimum price to ensure liquidity
- Buyback procedure: Investor initiates buyback request through smart contract

**Buyback Conditions:**
- Buyback is executed at minimum price (treasury-backed)
- Treasury balance ensures ability to buy back all tokens
- Buyback occurs in stablecoins (USDT)
- Transparent system through smart contracts

### Lock-Up Period

**Minimum Holding Period:**
- **Lock-up period: 12 months (1 year)** from token purchase date
- During lock-up period, investor cannot sell tokens back to treasury
- Lock-up period applies only to treasury buyback, not to secondary market sales

**Purpose of Lock-Up Period:**
- Ensuring fund stability in early years
- Protection against short-term speculation
- Guarantee of long-term investor participation in fund development

**After Lock-Up Period:**
- Investor can sell tokens back to treasury at minimum price
- Or sell tokens on secondary market at market price
- No restrictions on token transfer to third parties after lock-up period

### Secondary Token Market

**Secondary Market Mechanism:**
- Holders can sell tokens to third parties on secondary market
- Secondary market price is determined by supply and demand
- Market price can be significantly higher than minimum (accounts for future profit)
- No restrictions on token transfer after lock-up period

**Factors Affecting Market Price:**
1. **Expected Receipts from Accelerator:**
   - License sales forecast (21,000+ entrepreneurs)
   - Client growth and scaling

2. **Portfolio Company Exit Forecast:**
   - Expected number of successful exits (60-120 companies)
   - Average return from exits (10-15x)
   - Exit time structure (3-7 years)

3. **Treasury Balance Growth:**
   - Receipts from license sales
   - Receipts from portfolio company exits
   - Additional LP investments

4. **Additional Value:**
   - Access to DLE platform for digital asset management
   - Access to accelerator projects
   - Co-investment opportunities

**Market Price Multiplier:**
- Market price can be 6-9 times higher than minimum price
- Example: minimum price 351,067 USDT → market price 2,500,000 USDT (7x)
- Multiplier depends on investor expectations regarding future profit

### Token Transfer Restrictions

**During Lock-Up Period (12 months):**
- Cannot sell tokens back to treasury
- Can transfer tokens to third parties (secondary market sale)
- All token holder rights transfer to new owner

**After Lock-Up Period:**
- Can sell tokens back to treasury at minimum price
- Can sell tokens on secondary market at market price
- Can transfer tokens to third parties without restrictions

**Rights Transfer Procedure:**
- Token transfer occurs through blockchain
- All token holder rights (dividends, voting) transfer to new owner
- Transparent system through smart contracts

### Liquidity Provision with 70% Investments

**Liquidity Maintenance Mechanism:**
- Treasury balance constantly grows from license sales receipts
- 70% of receipts go to investments, but treasury balance does not decrease
- Receipts from portfolio company exits increase treasury balance
- Minimum token price is guaranteed by treasury balance

**Example:**
- Initial balance: 984,000,000 USDT
- Receipts from licenses: 339,452,400,000 USDT (70% goes to treasury)
- Investments: 339,452,400,000 USDT (70% of receipts)
- Treasury balance: 984,000,000 + 339,452,400,000 = 340,436,400,000 USDT
- Minimum price: 340,436,400,000 / 3,000,000 = 113,478.8 USDT

**Important:**
- Treasury balance ensures liquidity of all 3,000,000 tokens
- Investments do not decrease treasury balance, as they are funded from receipts
- Receipts from exits additionally increase treasury balance

---

## Profitability Calculation Examples

### Example 1: Investment 10,000 USDT (Minimum, Conservative Scenario, 5 Years)

**Initial Conditions:**
- Investment: 10,000 USDT (minimum)
- Coverage: 1 business activity type
- Period: 1 accelerator (5 years)
- Number of tokens: 10 tokens (10,000 / 1,000)
- Ownership share: 0.000333% (10 / 3,000,000)
- Initial minimum token price: 328 USDT (treasury-backed)
- Initial market price: 1,000 USDT (primary sale)
- Initial treasury balance: 984,000,000 USDT (84,000,000 from entrepreneurs + 900,000,000 from LPs)

**5-Year Forecast (Conservative Scenario):**

**1. Treasury Receipts from License Sales (Cumulative over 5 Years):**

**Year 1: First Accelerator (21,000 entrepreneurs)**
- Maximum: 14,000 Standard × 1,000 + 7,000 Premium × 10,000 = 84,000,000 USDT
- **Year 1: 84,000,000 USDT** (at full first accelerator capacity)

**Year 5: 40% of All Entrepreneurs Worldwide (133,200,000 entrepreneurs)**
- Distribution by pricing (assume 80% Standard, 20% Premium):
  - Standard: 106,560,000 × 1,000 USDT = 106,560,000,000 USDT
  - Premium: 26,640,000 × 10,000 USDT = 266,400,000,000 USDT
- **Year 5: 372,960,000,000 USDT**

**Total Receipts over 5 Years:**
- Year 1: 84,000,000 USDT
- Years 2-4: Progressive growth (assume 10% of year 5 each year = 37,296,000,000 USDT × 3 = 111,888,000,000 USDT)
- Year 5: 372,960,000,000 USDT
- **Total: ~484,932,000,000 USDT**
- Net treasury receipts (70%): 484,932,000,000 × 70% = 339,452,400,000 USDT

**2. Receipts from Portfolio Company Token Sales (Exits):**
- **Initial Investment Capital:** 984,000,000 × 70% = 688,800,000 USDT
- **Additional Capital from Receipts:** 70% of license receipts go to treasury, then 70% of that to investments
- **Total Investment Capital:** ~1,200,000,000 - 1,500,000,000 USDT (considering exit profit reinvestment)
- Number of portfolio companies: 600
- Average investment per company: 1,200,000,000 / 600 = 2,000,000 USDT (or 1,500,000,000 / 600 = 2,500,000 USDT)
- Investment stages: from Pre-seed to ICO
- Exit rate (conservative): 10% = 60 companies
- Average return (based on competitor metrics): 10x of investment
- **Return from Exits: 60 × 2,000,000 × 10 = 1,200,000,000 USDT** (conservative scenario)
- Net treasury receipts from exits (70%): 1,200,000,000 × 70% = 840,000,000 USDT

**3. Treasury Balance and Minimum Token Price Calculation by Year 5:**
- Initial balance: 984,000,000 USDT (84,000,000 from entrepreneurs + 900,000,000 from LPs)
- Added from licenses (in addition to initial): 339,452,400,000 - 84,000,000 = 339,368,400,000 USDT
- Added from exits: 840,000,000 USDT (conservative scenario)
- **Total Treasury Balance: 340,352,400,000 USDT**
- **Minimum Token Price (Backing): 340,352,400,000 / 3,000,000 = 113,450.8 USDT**
- **Market Token Price (Accounts for Future Profit): ~1,500,000 USDT** (proportional to growth)
- **Your Token Value at Minimum Price: 10 × 113,450.8 = 1,134,508 USDT**
- **Your Token Value at Market Price: 10 × 1,500,000 = 15,000,000 USDT**
- **Capital Gain (Minimum): 1,134,508 - 10,000 = 1,124,508 USDT**
- **Capital Gain (Market): 15,000,000 - 10,000 = 14,990,000 USDT**

**4. Dividends over 5 Years:**
- From licenses (15%): 484,932,000,000 × 15% = 72,739,800,000 USDT
- From exits (15%): 1,200,000,000 × 15% = 180,000,000 USDT
- **Total Dividends: 72,919,800,000 USDT**
- **Your Share: 72,919,800,000 × 0.000333% = 242,823 USDT**

**5. Additional Value:**
- Access to DLE platform for digital asset management
- Software value is not included in cash flows but is an additional asset

**6. Final Profitability:**
- Dividends: 242,823 USDT
- Capital gain (minimum price): 10 × 113,450.8 - 10,000 = 1,124,508 USDT
- Capital gain (market price): 10 × 1,500,000 - 10,000 = 14,990,000 USDT
- **Total (Minimum Price): 1,367,331 USDT (13,573% profit, ~90%+ annually)**
- **Total (Market Price): 15,232,823 USDT (152,228% profit, ~800%+ annually)**
- **+ Additional Software Value**

**Conclusion:** With minimum investment of 10,000 USDT (1 business activity type, 1 accelerator), investor receives exceptional profitability, multiple times exceeding target IRR of 20-30%.

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### Example 2: Investment 100,000 USDT (Maximum, Conservative Scenario, 5 Years)

**Differences from Example 1:**
- Investment: 100,000 USDT (instead of 10,000 USDT)
- Number of tokens: 100 tokens (instead of 10)
- Ownership share: 0.00333% (instead of 0.000333%)

**Calculations:** Similar to Example 1, but with 10x increased ownership share.

**Final Profitability:**
- Dividends: 2,428,229 USDT (10x more than Example 1)
- Capital gain (minimum price): 11,245,080 USDT
- Capital gain (market price): 149,900,000 USDT
- **Total (Minimum Price): 13,673,309 USDT (13,573% profit, ~90%+ annually)**
- **Total (Market Price): 152,328,229 USDT (152,228% profit, ~800%+ annually)**
- **+ Additional Software Value**

**Conclusion:** With maximum investment of 100,000 USDT, investor receives proportionally increased profitability, multiple times exceeding target IRR of 20-30%.

---

### Example 3: Investment 100,000 USDT (Maximum, Optimistic Scenario, 5 Years)

**Differences from Example 2:**
- Exit rate: 20% (instead of 10%) = 120 companies
- Average return: 15x (instead of 10x)
- Total investment capital: ~1,500,000,000 USDT (instead of ~1,200,000,000 USDT)
- Average investment: 2,500,000 USDT (instead of 2,000,000 USDT)

**Calculations:** Similar to Example 2, but with optimistic exit parameters.

**Final Profitability:**
- Dividends: 2,444,713 USDT
- Capital gain (minimum price): 11,350,080 USDT
- Capital gain (market price): 249,900,000 USDT
- **Total (Minimum Price): 13,794,793 USDT (13,695% profit, ~90%+ annually)**
- **Total (Market Price): 252,344,713 USDT (252,245% profit, ~1200%+ annually)**
- **+ Additional Software Value**

**Conclusion:** With optimistic scenario (exit rate 20%, return 15x), investor receives maximum profitability, multiple times exceeding target IRR of 20-30%.

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### Example 4: Investment 100,000 USDT (Maximum, Conservative Scenario with 10% Entrepreneurs, 5 Years)

> ⚠️ **Important:** This scenario is more realistic than the optimistic scenario (40% entrepreneurs). The probability of achieving this scenario is higher, but still not guaranteed. For more details, see [DISCLAIMERS.md](DISCLAIMERS.md#forecasts-and-vision-of-the-future).

**Initial Conditions:**
- Investment: 100,000 USDT (maximum)
- Coverage: 1 business activity type
- Period: 1 accelerator (5 years)
- Number of tokens: 100 tokens (100,000 / 1,000)
- Ownership share: 0.00333% (100 / 3,000,000)
- Initial minimum token price: 328 USDT (treasury-backed)
- Initial market price: 1,000 USDT (primary sale)
- Initial treasury balance: 984,000,000 USDT (84,000,000 from entrepreneurs + 900,000,000 from LPs)

**5-Year Forecast (Conservative Scenario: 10% Entrepreneurs):**

**1. Treasury Receipts from License Sales (Cumulative over 5 Years):**

**Year 1: First Accelerator (21,000 entrepreneurs)**
- Maximum: 14,000 Standard × 1,000 + 7,000 Premium × 10,000 = 84,000,000 USDT
- **Year 1: 84,000,000 USDT** (at full first accelerator capacity)

**Year 5: 10% of All Entrepreneurs Worldwide (33,300,000 entrepreneurs)**
- Distribution by pricing (assume 80% Standard, 20% Premium):
  - Standard: 26,640,000 × 1,000 USDT = 26,640,000,000 USDT
  - Premium: 6,660,000 × 10,000 USDT = 66,600,000,000 USDT
- **Year 5: 93,240,000,000 USDT**

**Total Receipts over 5 Years (Conservative Scenario):**
- Year 1: 84,000,000 USDT
- Years 2-4: Progressive growth (assume 10% of year 5 each year = 9,324,000,000 USDT × 3 = 27,972,000,000 USDT)
- Year 5: 93,240,000,000 USDT
- **Total: ~121,296,000,000 USDT**
- Net treasury receipts (70%): 121,296,000,000 × 70% = 84,907,200,000 USDT

**2. Receipts from Portfolio Company Token Sales (Exits):**
- **Initial Investment Capital:** 984,000,000 × 70% = 688,800,000 USDT
- **Additional Capital from Receipts:** 70% of license receipts go to treasury, then 70% of that to investments
- **Total Investment Capital:** ~600,000,000 - 800,000,000 USDT (considering exit profit reinvestment, but less than optimistic scenario due to lower receipts)
- Number of portfolio companies: 300 (instead of 600, as fewer entrepreneurs = less selection)
- Average investment per company: 600,000,000 / 300 = 2,000,000 USDT (or 800,000,000 / 300 = 2,666,667 USDT)
- Investment stages: from Pre-seed to ICO
- Exit rate (conservative): 8% = 24 companies (instead of 10%)
- Average return (conservative): 8x of investment (instead of 10x)
- **Return from Exits: 24 × 2,000,000 × 8 = 384,000,000 USDT** (conservative scenario)
- Net treasury receipts from exits (70%): 384,000,000 × 70% = 268,800,000 USDT

**3. Treasury Balance and Minimum Token Price Calculation by Year 5:**
- Initial balance: 984,000,000 USDT (84,000,000 from entrepreneurs + 900,000,000 from LPs)
- Added from licenses (in addition to initial): 84,907,200,000 - 84,000,000 = 84,823,200,000 USDT
- Added from exits: 268,800,000 USDT (conservative scenario)
- **Total Treasury Balance: 86,076,000,000 USDT**
- **Minimum Token Price (Backing): 86,076,000,000 / 3,000,000 = 28,692 USDT**
- **Market Token Price (Accounts for Future Profit): ~200,000 USDT** (proportional to growth, but lower than optimistic scenario)
- **Your Token Value at Minimum Price: 100 × 28,692 = 2,869,200 USDT**
- **Your Token Value at Market Price: 100 × 200,000 = 20,000,000 USDT**
- **Capital Gain (Minimum): 2,869,200 - 100,000 = 2,769,200 USDT**
- **Capital Gain (Market): 20,000,000 - 100,000 = 19,900,000 USDT**

**4. Dividends over 5 Years:**
- From licenses (15%): 121,296,000,000 × 15% = 18,194,400,000 USDT
- From exits (15%): 384,000,000 × 15% = 57,600,000 USDT
- **Total Dividends: 18,252,000,000 USDT**
- **Your Share: 18,252,000,000 × 0.00333% = 607,792 USDT**

**5. Additional Value:**
- Access to DLE platform for digital asset management
- Software value is not included in cash flows but is an additional asset

**6. Final Profitability:**
- Dividends: 607,792 USDT
- Capital gain (minimum price): 100 × 28,692 - 100,000 = 2,769,200 USDT
- Capital gain (market price): 100 × 200,000 - 100,000 = 19,900,000 USDT
- **Total (Minimum Price): 3,376,992 USDT (3,277% profit, ~65%+ annually)**
- **Total (Market Price): 20,507,792 USDT (20,408% profit, ~400%+ annually)**
- **+ Additional Software Value**

**Conclusion:** With conservative scenario (10% entrepreneurs, exit rate 8%, return 8x), investor still receives significant profitability exceeding target IRR of 20-30%, but significantly lower than optimistic scenario. **This scenario is more realistic, but still not guaranteed.**

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### Example 5: Investment 10,000 USDT (Minimum, Conservative Scenario with 10% Entrepreneurs, 5 Years)

**Differences from Example 4:**
- Investment: 10,000 USDT (instead of 100,000 USDT)
- Number of tokens: 10 tokens (instead of 100)
- Ownership share: 0.000333% (instead of 0.00333%)

**Calculations:** Similar to Example 4, but with 10x reduced ownership share.

**Final Profitability:**
- Dividends: 60,779 USDT (10x less than Example 4)
- Capital gain (minimum price): 276,920 USDT
- Capital gain (market price): 1,990,000 USDT
- **Total (Minimum Price): 337,699 USDT (3,277% profit, ~65%+ annually)**
- **Total (Market Price): 2,050,779 USDT (20,408% profit, ~400%+ annually)**
- **+ Additional Software Value**

**Conclusion:** With minimum investment of 10,000 USDT in conservative scenario, investor still receives significant profitability exceeding target IRR of 20-30%.

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## Summary: Key Conclusions on Financial Model

**Accounted Revenue Sources:** See "Revenue Sources" section in [for-investors.md](for-investors.md#revenue-sources).

### Key Conclusions from Calculations

> ⚠️ **Important:** All forecasts are a vision of the future, not a guarantee. The probability of achieving optimistic forecasts may be very low (less than 10%). It is recommended to focus on conservative scenarios when making investment decisions. For more details, see [DISCLAIMERS.md](DISCLAIMERS.md#forecasts-and-vision-of-the-future).

**Conservative Scenario (10% of 333M entrepreneurs by year 5) — MORE REALISTIC:**
- At minimum price sale: **3,277% profit (~65%+ annually)** ⚠️
- At market price sale: **20,408% profit (~400%+ annually)** ⚠️
- **Probability:** Medium (30-50%)
- **Recommendation:** Use this scenario as baseline when evaluating investments

**Optimistic Scenario (40% of 333M entrepreneurs by year 5, exit rate 10%) — UNLIKELY:**
- At minimum price sale: **13,573% profit (~90%+ annually)** ⚠️
- At market price sale: **152,228% profit (~800%+ annually)** ⚠️
- **Probability:** Low (10-20%)
- **Recommendation:** Consider as maximum possible scenario, not as expected result

**Very Optimistic Scenario (40% of 333M entrepreneurs by year 5, exit rate 20%) — VERY UNLIKELY:**
- At minimum price sale: **13,695% profit (~90%+ annually)** ⚠️
- At market price sale: **252,245% profit (~1200%+ annually)** ⚠️
- **Probability:** Very low (less than 10%)
- **Recommendation:** Consider as vision of the future, not as realistic forecast (see [DISCLAIMERS.md](DISCLAIMERS.md#forecasts-and-vision-of-the-future))

**Important:**
- Market token price accounts for future profit from accelerator and can be 6-9 times higher than minimum price (treasury-backed)
- Even in conservative scenario, investors can receive profitability exceeding target IRR of 20-30%
- **Actual results may differ significantly from all forecasts** — possibly tens or hundreds of times lower
- **All forecasts are a vision of the future, not a guarantee**
- For more details on pricing mechanism, see "Treasury Balance and Token Price Calculation Mechanism" section above
- For detailed disclaimers, see [DISCLAIMERS.md](DISCLAIMERS.md)

---

## Additional Materials

- **Investment Proposal:** [for-investors.md](for-investors.md)
- **Business Model:** [business-model.md](business-model.md)
- **Disclaimers:** [DISCLAIMERS.md](DISCLAIMERS.md)
- **Market Analysis:** [market-analysis.md](market-analysis.md)

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**Last updated:** 2025-01-27  
**Version:** 1.0