But profit will only be produced by decentralized autonomous companies, so where do i3's profit seeking objectives actually meet with their theory of DACs? And how exactly did li xiaolai and any other initial investor see that their investment would return over time?
It has been said/implied in other places, but I would like to outline our strategy for Invictus making a return for the shareholders of I3.
1) Invictus develops software at-cost and takes no profit as a company. Ie: We will be spending 100% of AGS funds on R&D with no fee-for-service.
a) Officers in the company receive salaries far below market value.
2) Invictus used initial VC funds to do the following:
a) build & develop a business plan
b) build PTS
c) mine & buy PTS
d) contribute funds to AGS on equal footing with everyone else.
e) we have only received $450K of the initial $575K commitment as scheduled.
3) As a result of the initial steps the company holds free and clear (as profit) about 5% of the Feb 28th snapshot which we estimate to be worth about $2.5 million based upon PTS price prior to snapshot. If we were to distribute everything except the AGS funds our investors would already see a profit and we haven't even released our first full DAC yet.
4) As we spend the 4+ million in AGS funds we have received we will grow the value of our 5% along with the other 95% which is owned by the community.
5) The nice thing about this strategy is that our 'profits' are all in the form of capital gains.
The numbers and figures used in this example are mere approximations and should not be construed to represent actual numbers which only our accountant has.
The original business plan when Charles was CEO was something along the lines of:
1) Build Keyhotee and attract a lot of eyeballs (users)
2) Monetize these eyeballs through hardware sales (wallet, miners, add-on services)
3) Build DACs that use our dedicated mining hardware.
4) Run a mining pool and collect all of the fees.
As you can see we had to pivot our business plan when I eliminated mining. You can also see that our new business model aligns our interests with those of the community much better than the old plan. By owning shares in profit generating DACs Invictus in turn also generates profits.
Lastly we are partnering with other companies and we are earning revenue from consulting and custom development (outside of AGS).