SOME HELPFUL FACTS, FIGURES & OPINIONS ABOUT XENIUM
MINING NEVER SLEEPS..
An opportunity to get in at the ground floor of an expansionary start-up that has so many advantages over the competition, e.g. starting its operations debt-free and returning a profit every day from day one; makes Xenium’s outlook as an investment, very promising. Indeed, many of the extraordinary business fundamentals which underpin operations, resulting in its unmatched profitability in a bear market for the first 7 months trading, were gained by collocating Xenium at the Veritas' facility as a standalone operation and their second business. The resulting synergies, scale advantages and symbiosis contribute a significant part to the unparalleled profitability of Xenium's business model - in cryptomining, and start-ups across all sectors of business. It is a once in a generation investment opportunity. Read why, below.
What is XENM?
Xenium is a fully compliant security token, registered in the crypto-friendly jurisdiction of Thailand, and represents a mining profit share. It is issued by Veritas, via the Ethereum blockchain, to investors participating in their Security Token Offer.
I didn't even know there were different kinds of coins. What is a security token and why is Xenium one?
There are at least three types of digital assets: Coins or Cryptocurrencies, utility tokens, and security tokens. By meeting the conditions of the Howey test, Xenium is considered a tokenized security, because the tokens represent shares of the business. Put simply, it means that when the business makes a profit, each token makes a proportionate share of the profits, too. In Xenium's case, paid as a monthly dividend.
What are the funds raised by the STO going to be used for?
Xenium is a crowd-sourced cryptocurrency mining business, aiming to raise up to $50m via its Second Token Offering, launched in July 2018. Due partly to its symbiotic collocated business model, which allows a massive 97% of all capital raised for the purchase of mining hardware - the most efficient FPGA - Xenium already claimed an industry-first, when it paid a solid dividend to investors for its very first month of operation - in bear market conditions!
When and how will the dividends be paid to token holders?
During the STO, 50% of net profits are paid as dividends, with 50% going into re-investment for expansion. However, changes to the ratio may occur throughout, but 50% of net profits to dividends, and 50% to re-investment would be highest ratio to dividend. They are calculated and paid monthly in ETH, after the 15th of each month, to the Ethereum wallet you nominated during KYC.
What exactly is cryptocurrency mining?
Cryptocurrency mining is a term coined to name an operation which uses computer processing hardware to verify transactions made between counter-parties, who are using a digital currency as a form of payment. Every transaction that has been made using that digital asset is stored on a distributed ledger, called a blockchain, which is a publicly visible record of all transactions. For every transaction, the records transmitted between each party must always match exactly what is on the blockchain, in order for them to be a success.
I read big cryptomining operations like Bitmain, make huge profits. Is this true in most cases?
Whilst this can be very true, the reality is that most current crypto-mining ICOs, from 2018, possess business models that weren't even able to profit, much less deliver on their huge, advertised ROIs, during the 2018 bear market. It also reveals that these business won’t be sustainable over the medium to long-term, as market conditions can rapidly fluctuate. Sadly, some never even began mining, and in both, the investors lose just about all the money they invested.
Where and when will Xenium have access To Cheap Solar Power
Our test solar project has had 0.1586mw of solar running since 7/2/19. We are still gathering data and have been feeding that power into our substation to power our current mining facility, including both Veritium and Xenium. Veritas has already gathered $400k USD of funding to set up 0.8mw farm. With it, we are running and discovering the optimum way to power our growing mining operation and ensure a huge source of clean energy profit.
Thus far, we have roughly calculated that the maintaining of the farm doesn’t surpass 1c/kWh. Thus we forecast that it will be able to provide our whole mining facility with power around 2.5c/kwh. This will dramatically increase profitability from our current price of 6.3c kWh.
We are aiming to have this in place by the beginning of 2020.
why do most mining ICOs go bust, or fail to deliver on forecasts, than achieve success?
Setting up a mining operation – including hiring staff - is expensive. These one off costs usually drain the majority of funds, before mining hardware can be paid for. There is almost always a significant period with no income, before any mining can begin. Mining is also very energy intensive. A company, first, must be able to make enough from selling the crypto it mines in order to pay for its: power costs, wages, maintenance, insurances, marketing and replacement of hardware just as a minimum. Anything remaining is their profit.
Generating enough income to cover all outgoings will also be affected by perilous headwinds, such as downward price volatility or increased competition; or from the deployment of new and superior technology by competitors; even just an increase in the number of miners or difficulty factor.
Therefore, the minimum a mining operation must have in order to survive, let alone achieve profitability, is guaranteed access to cheap electricity; and, mining with the most current hardware. However, unless the cost of labor, vital upgrades, rent – even poor management decisions - can also be kept very low, the operation will struggle to remain viable, long-term.
Why did Veritas Mining launch an STO during a bear market?
Again, look to Bitmain's 2017 performance - mining can be very profitable, especially when an operations business model possesses the optimal mix of key factors. Veritas saw a unique opportunity to turn the company's fortunes, after being hit hard by the current, long bear market. The facility had plenty of capacity just sitting idle, and we already had the experienced team in place. But, there was a dark horse - we were very excited by the possibilities of an incredibly efficient, emerging technology in hardware mining, called an FPGA. All we needed was capital to purchase this new type of hardware – then we could just plug and play! So, after receiving the community's overwhelming support, the Xenium concept was born and soon after the Token Offer was launched.
What are the advantages or differences between Xenium and most other mining ICOs, e.g. Ice Rock Mining, MIO?
Special access to the manufacturers in China of the most cutting-edge mining technology, allowing Veritas to build the hardware for one-third of the cost, a 3-to-1 cost advantage no other miner can dream of
Ability to allocate 97% of all capital exclusively towards the deployment of FPGA hardware, maximizing ROI
Access to renewable & eco-friendly energy which rivals the prices of our biggest competitors in Europe, Russia, and China.
Very low labor costs for running the operation, again, comparable to our toughest competitors
Dividends paid monthly and on time to token holders – something rarely seen by other ICOs to date
The security token is a share in profits with no end date – meaning forever
Veritas team is very experienced & are always looking to stay ahead with the advantage of new technology
Veritas Mining is a registered mining company in Thailand, and fully compliant with Thai regulations
I have read that anyone can buy the hardware and make an easy side income from mining at home, so why risk investing in a mining token?
Whilst there may have been the opportunity to profit with home mining setups during the period leading up to the bubble for many people running a rig or more at home, the huge increase in interest and investment also caused the number of people mining from home, and commercially, to rise exponentially. This caused the difficulty factor to increase dramatically as well, which put simply means that the amount crypto mining could yield has decreased as the difficulty factor increased. That, combined with high power costs in the home has driven most home miners out of the game – which has also caused the difficulty factor to fall again. Further, investing in a successful miner allows people who don't have the experience, space or many thousands to set-up at home, to profit from crypto-mining.
How and where can I purchase Xenium tokens?
What risks should all investors in the rapidly evolving crypto-space be aware of?
As with all investment into new markets, 'early adopters' should be aware of natural volatility. The fluctuations in cryptocurrency prices can be very extreme. All miners and their investors should be aware of the high risks, and be prepared to accept the possibility of low or even non-existent dividends when mining is not that profitable. Further, that there is the chance that a company may fold if cryptocurrency prices remain too low for the business model to sustain. However, with our unique mix of cutting-edge tech, cheap power, and low costs, Xenium's exposure to these risks are very low, as shown already by our dividends, paid to date, all generated in a bear market. As always, DYOR!
How will Xenium “scale up” to remain competitive with the increasing difficulties of crypto-mining?
After reaching a majority consensus from investors in support of the team's proposal to increase the proportion of re-investment from 40% up to 50% of net profits. This is put towards expanding the hardware purchasing of the operation, as well as towards researching ways to innovate and develop better mining. We are currently utilizing FPGAs for mining – pay off for research and development undertaken by Veritas Mining Co.
How does Veritium, the ICO, benefit from Xenium's use of the facility?
In the white paper, it was prescribed that Xenium provide additional income to Veritium, at 12% of gross profits. This is to be used exclusively for the purchase and deployment of FPGA hardware in order to expand the mining operations and increase the dividends to VRTM token holders.
Will Xenium [XENM] be tradable?
The tokens will become tradable at the end of the STO. We have already secured the high volume exchange, Yobit. We are also in the process of building our own, VERAExchange, and XENM will likely also be listed on it, and whilst there may be other exchange listings possible in the future, XENM is a 'security token'. Therefore, from an investment point of view, Xenium tokens generate passive income, by design. They should be considered more like a blue-chip share in a PLC, for example, which are generally held by successful investors as longer term and lower risk investments, not as speculative investments for arbitrage.
How does the high re-investment into the expansion of the operation benefit all Veritas investors?
Purchasing more hardware for the expansion of our operation will not just increase the amount of crypto we can mine and sell, but also our power consumption. This adds the potential to reduce our power costs greatly if we can meet the required levels. We currently pay just 0.063 US$/kWh. However, due to our exclusive contract power, once we hit 10mW, the price drops to 0.0528 US$/kWh. Over 20mW = 0.0376 US$/kWh. Finally, over 30mW = 0.0285 US$/kWh. These savings are from our current supplier whilst we attempt to transition to full solar power from our farm.
What crypto does Xenium mine?
We will be mining Ethereum, Ethereum Classic, Zcash, Monero, Ubiq mainly. However, all these might change accordingly to profitability and liquidity of the coins.
What Hardware are we expanding our operation with?
We currently have quite a big edge over the competition with FPGA technology, so our focus is 100% FPGAs for now. However, we will change that accordingly to profitability and maintaining our policy of being future-proofed.