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# Financial Calculations and Profitability Examples
**Last updated:** 2025-01-27
**Version:** 1.0
---
**🧭 Navigation:**
- [← Back to Contents](README.md)
- [← For Investors](for-investors.md)
- [📈 Market Analysis](market-analysis.md) →
- [📊 Business Model](business-model.md) →
- [↑ Back to Top](#table-of-contents)
---
> ⚠️ **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).
---
## 📑 Table of Contents
- [Calculation Methodology](#calculation-methodology)
- [Treasury Balance and Token Price Calculation Mechanism](#treasury-balance-and-token-price-calculation-mechanism)
- [Initial Conditions](#initial-conditions)
- [Initial Treasury Balance](#initial-treasury-balance)
- [Initial Token Price](#initial-token-price)
- [Treasury Balance Growth](#treasury-balance-growth)
- [Two Token Price Levels](#two-token-price-levels)
- [Token Liquidity Mechanism](#token-liquidity-mechanism)
- [Treasury Token Buyback](#treasury-token-buyback)
- [Lock-Up Period](#lock-up-period)
- [Secondary Token Market](#secondary-token-market)
- [Token Transfer Restrictions](#token-transfer-restrictions)
- [Liquidity Provision with 70% Investments](#liquidity-provision-with-70-investments)
- [Profitability Calculation Examples](#profitability-calculation-examples)
- [Example 1: Investment 10,000 USDT (Minimum, Conservative Scenario, 5 Years)](#example-1-investment-10000-usdt-minimum-conservative-scenario-5-years)
- [Example 2: Investment 100,000 USDT (Maximum, Conservative Scenario, 5 Years)](#example-2-investment-100000-usdt-maximum-conservative-scenario-5-years)
- [Example 3: Investment 100,000 USDT (Maximum, Optimistic Scenario, 5 Years)](#example-3-investment-100000-usdt-maximum-optimistic-scenario-5-years)
- [Example 4: Investment 100,000 USDT (Maximum, Conservative Scenario with 10% Entrepreneurs, 5 Years)](#example-4-investment-100000-usdt-maximum-conservative-scenario-with-10-entrepreneurs-5-years)
- [Example 5: Investment 10,000 USDT (Minimum, Conservative Scenario with 10% Entrepreneurs, 5 Years)](#example-5-investment-10000-usdt-minimum-conservative-scenario-with-10-entrepreneurs-5-years)
- [Summary: Key Conclusions on Financial Model](#summary-key-conclusions-on-financial-model)
- [Key Conclusions from Calculations](#key-conclusions-from-calculations)
- [Additional Materials](#additional-materials)
---
**🧭 Navigation:**
- [← Back to Contents](README.md)
- [← For Investors](for-investors.md)
- [📈 Market Analysis](market-analysis.md) →
- [📊 Business Model](business-model.md) →
---
## 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: 261,130,800,000 USDT (70% goes to treasury)
- Added from exits: 482,160,000 USDT
- Treasury balance: 984,000,000 + 261,046,800,000 + 482,160,000 = 262,512,960,000 USDT
- Minimum price: 262,512,960,000 / 3,000,000 = 87,504.32 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
- Year 5: 372,960,000,000 USDT
- **Total: ~373,044,000,000 USDT**
- Net treasury receipts (70%): 373,044,000,000 × 70% = 261,130,800,000 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:** ~688,800,000 USDT
- Number of portfolio companies: 600
- Average investment per company: 688,800,000 / 600 = 1,148,000 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 × 1,148,000 × 10 = 688,800,000 USDT** (conservative scenario)
- Net treasury receipts from exits (70%): 688,800,000 × 70% = 482,160,000 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): 261,130,800,000 - 84,000,000 = 261,046,800,000 USDT
- Added from exits: 482,160,000 USDT (conservative scenario)
- **Total Treasury Balance: 262,512,960,000 USDT**
- **Minimum Token Price (Backing): 262,512,960,000 / 3,000,000 = 87,504.32 USDT**
- **Market Token Price (Accounts for Future Profit): ~1,500,000 USDT** (proportional to growth)
- **Your Token Value at Minimum Price: 10 × 87,504.32 = 875,043 USDT**
- **Your Token Value at Market Price: 10 × 1,500,000 = 15,000,000 USDT**
- **Capital Gain (Minimum): 875,043 - 10,000 = 865,043 USDT**
- **Capital Gain (Market): 15,000,000 - 10,000 = 14,990,000 USDT**
**4. Dividends over 5 Years:**
- From licenses (15%): 373,044,000,000 × 15% = 55,956,600,000 USDT
- From exits (15%): 688,800,000 × 15% = 103,320,000 USDT
- **Total Dividends: 56,059,920,000 USDT**
- **Your Share: 56,059,920,000 × 0.000333% = 186,680 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: 186,680 USDT
- Capital gain (minimum price): 10 × 87,504.32 - 10,000 = 865,043 USDT
- Capital gain (market price): 10 × 1,500,000 - 10,000 = 14,990,000 USDT
- **Total (Minimum Price): 1,051,723 USDT (10,417% profit, ~90%+ annually)**
- **Total (Market Price): 15,176,680 USDT (151,667% 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%.
---
### 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: 1,866,795 USDT (10x more than Example 1)
- Capital gain (minimum price): 8,650,432 USDT
- Capital gain (market price): 149,900,000 USDT
- **Total (Minimum Price): 10,517,227 USDT (10,417% profit, ~90%+ annually)**
- **Total (Market Price): 151,766,795 USDT (151,667% 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 ~688,800,000 USDT)
- Average investment: 2,500,000 USDT (instead of 1,148,000 USDT)
**Calculations:** Similar to Example 2, but with optimistic exit parameters.
**Final Profitability:**
- Dividends: 1,885,832 USDT
- Capital gain (minimum price): 8,739,360 USDT
- Capital gain (market price): 249,900,000 USDT
- **Total (Minimum Price): 10,625,192 USDT (10,525% profit, ~90%+ annually)**
- **Total (Market Price): 251,785,832 USDT (251,686% 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%.
---
### 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
- Forecast by end of Year 5: 93,240,000,000 USDT
- **Total: ~93,324,000,000 USDT**
- Net treasury receipts (70%): 93,324,000,000 × 70% = 65,326,800,000 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): 65,326,800,000 - 84,000,000 = 65,242,800,000 USDT
- Added from exits: 268,800,000 USDT (conservative scenario)
- **Total Treasury Balance: 66,495,600,000 USDT**
- **Minimum Token Price (Backing): 66,495,600,000 / 3,000,000 = 22,165.2 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 × 22,165.2 = 2,216,520 USDT**
- **Your Token Value at Market Price: 100 × 200,000 = 20,000,000 USDT**
- **Capital Gain (Minimum): 2,216,520 - 100,000 = 2,116,520 USDT**
- **Capital Gain (Market): 20,000,000 - 100,000 = 19,900,000 USDT**
**4. Dividends over 5 Years:**
- From licenses (15%): 93,324,000,000 × 15% = 13,998,600,000 USDT
- From exits (15%): 384,000,000 × 15% = 57,600,000 USDT
- **Total Dividends: 14,056,200,000 USDT**
- **Your Share: 14,056,200,000 × 0.00333% = 468,572 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: 468,572 USDT
- Capital gain (minimum price): 100 × 22,165.2 - 100,000 = 2,116,520 USDT
- Capital gain (market price): 100 × 200,000 - 100,000 = 19,900,000 USDT
- **Total (Minimum Price): 2,585,092 USDT (2,485% profit, ~65%+ annually)**
- **Total (Market Price): 20,368,572 USDT (20,269% 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.**
---
### 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: 46,807 USDT (10x less than Example 4)
- Capital gain (minimum price): 211,652 USDT
- Capital gain (market price): 1,990,000 USDT
- **Total (Minimum Price): 258,459 USDT (2,485% profit, ~65%+ annually)**
- **Total (Market Price): 2,036,807 USDT (20,268% 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%.
---
## 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: **2,485% profit (~65%+ annually)** ⚠️
- At market price sale: **20,268% 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: **10,417% profit (~90%+ annually)** ⚠️
- At market price sale: **151,667% 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: **10,525% profit (~90%+ annually)** ⚠️
- At market price sale: **251,686% 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)
---
**Last updated:** 2025-01-27
**Version:** 1.0
---
**🧭 Navigation:**
- [← Back to Contents](README.md)
- [← For Investors](for-investors.md)
- [📈 Market Analysis](market-analysis.md) →
- [📊 Business Model](business-model.md) →
- [↑ Back to Top](#table-of-contents)