MHB Distributing returns to investors.

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The discussion revolves around the complexities of distributing returns to investors in a crowdfunding model where early members hold special stakes. The challenge lies in justifying a fixed 10% return on net profits to both early members and non-members, as the former may demand a larger share. A proposed solution involves calculating each investor's stake based on their coin ownership and investment amount relative to total funds raised. The crowdfunding initiative aims to support developers by allowing startups to create tokens, which will generate royalties for investors. The conversation emphasizes the need for clarity in the distribution model to address investor concerns effectively.
saransh
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I have a problem let's say where I am organising a crowdfunding exercise I have distributed early membership to people say as some Stakes S. Now there are two groups one who holds membership and non-member.

When one raises fund through crowdfunding exercise one promises a return of fixed 10 % return on the net profit they make or sales they make to all of the investors.

Now I am not able to justify the division of the above 10 % to every individual investor because I have some group of investor who has early membership stakes S where they can demand some extra cut from the return.

how do I differentiate between both of them.

One way of solving this as I see is in the given latex.Let c be the coinsOwned by the user, m be the money invested by the user \ where totalSupply of coins is t, \ y is the totalAmountRaised so far.

$Total\ Stakes$(S$_{i}$) = $\frac{c_{i}}{t}$ + $\ \frac{m_{i}}{y}$ $ $
Above equation yields the total percentage of the stakes S in the crowdFunding where one can use S as.
$Tokens\ ( T_{i}) =\frac{S_{i} \ \times \ y}{100}$

Let y be the amount to be raised in the crowdfunding , let R be the returns every month to the investor.

$R=\ T\ \ $

I am pretty much confused (maybe I can use some weight also to assign to every investor)
 
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I think you have a right to be confused!

"Crowd funding" for what objective? What are you selling? Where do the profits you want to distribute come from? What are these "coins" you refer to?
 
Country Boy said:
I think you have a right to be confused!

Yeah , you think so. After every confusion there needs to have clarity and if confusion arises then clarity is waiting just after confusion.

"Crowd funding" for what objective? What are you selling? Where do the profits you want to distribute come from? What are these "coins" you refer to?

Crowdfunding platform for developers to raise funds.(For development Purposes.) I am not selling anything . People will sell on my platforms. So basically startups will create their tokens and then they would distribute a fixed percent say 10% of Royalty every year per month to investors who has invested in the project.

Coins are basically tokens in the language of ETH.

I hope this answers your questions. Think KickStarter on Blockchain . I hope now we can proceed ahead towards clarity.

Thanks
 
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