As we creep towards a close of Q1 2019, we wanted to share with you an update on the aXpire project and some good news. Despite the presence of the bear market, our business has continued as normal, and we were able to successfully negotiate with our anchor client, the $24bn hedge fund. We have renewed our contract with them for 3 years, with a similar ongoing rate, but with a few distinct, large new sources of additional revenue related to new product development on Resolvr, which we can also use with other, new clients.
We had talked about using incremental revenue from our contract negotiation for a burn, so we wanted to follow through on that. We’ve now decided on an overall burn percentage from all Resolvr licenses; a percentage that is sustainable in a way that allows aXpire to continue growing as a business, in turn helping the burn grow further. This percentage is 5%, and will become active from this month, starting with the anchor client license fees. We will commit to burning these tokens, starting in March, at the beginning of each month, with an announcement surrounding the event. This 5% represents approximately 100K AXPR, and will be adjusted with incremental clients of Resolvr as we grow.
The 100K AXPR burn rate will be active each month of the one specific anchor client’s new 36 month Resolvr contract, regardless of the token’s price movement. After these months, a new contract would potentially fluctuate as it would be based on price movement with the 5% of revenues converted into AXPR and burnt, with the amount of AXPR burnt based on then-current market rates. All new and additional clients’ license fee revenues in AXPR burn will also fluctuate from the start. We are excited to share this development with the community and welcome your feedback.
In total, this means we have the following burn of the AXPR token:
- 5% of Resolvr revenues.
- 100% of MatchBX transaction fees. This burn is expected to increase as more cryptocurrencies are added to the site, and all fees are still converted into AXPR and burned.
- 100% of CoinBX transaction fees.
- Excluding Resolvr fee burn weeks, 10,000 additional AXPR burnt each week (may be subject to change).
In terms of other future deliverables, we will share an updated roadmap and white paper with you all soon. Stay warm in this crypto winter!