VAR Token Architecture and Tokenomics
TOKENOMICS
TLDR;
Based on a Real World Asset Tokenization structure, token issuance is done in a way that all VAR Tokens ever released to market will be backed by Varosi art. Every issued token is backed by a real physical artwork. These artworks provide the collateral for the tokens, ensuring a fundamental value for the tokens at all times.
VAR Token Architecture:
Every single VAR token ever released is backed at the token release price by physical Varosi Art. This way, token ownership mathematically reflects ownership in physically existing Varosi Art!
Whenever VAR tokens need to be released to the market, they will be backed by Varosi Art in exactly the same way.
Whenever a physical Varosi Art that is backing tokens is sold at a VIP Event & Private Auction, VAR tokens are purchased for the income price, from the market, and are burned. This has a direct positive effect on the valuation of the remaining tokens, while making the tokens deflationary thanks to the burn mechanism.
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VAR Token launched, backed with Varosi Art
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New VAR Token Released = + Varosi Art as Collateral
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Collateralized Varosi Art sold for $X at Auction = $X VAR Token purchase from market and burned
VAR Token TOKENOMICS
100% of the tokens are backed by genuine Varosi artworks. The goal of the revenue from the tokens released to the market at issuance is to grow the project.
Total VAR token count:
VAR Token launch price:
Hard Cap at launch:
Pricing for early users:
The current market price for a basic Varosi picture is $25,000. (Bodó Auction)
1 picture =
1 token =
1 picture =
The initial issuance will be between 1,000,000,000 and 2,000,000,000 VAR Tokens depending on overdemand. Thus, the issuance price of the tokens is 2.5X cheaper than the collateral value of the pictures!!!
If the value of the physical works increases, this will have a positive effect on the tokens, as there is fundamentally a minimum value guaranteed by the collateral provided by the pictures. This way the VAR Token holders and VArtverse project with Gabor Varosi, are both incentivised in a higher valuation of the artists work.
Also, through VAR Tokens, the works can be accessed at a better price, as long as the VAR Token price is cheaper than the total real value of the works used as collateral. E.g. at launch price.
The value of the tokens is subject to further appreciation beyond the minimum value indicated by the pictures due to utility over and above the arts backing the tokens. This includes their use in a tier system, staking, or any Web3 activity that uses and locks up VAR Tokens. Thus when actual transactions with the art backing the tokens occur, the effect on the VAR Tokens can be multiplied, given the mathematical impact of the transaction is exerted on a smaller number of free tokens.
For the system to operate credibly, it must be easily traversable in both directions:
- When the project's expansion and the token price justify it, we issue VAR Tokens from the company's central wallet, while placing Varosi art as collateral behind the newly issued tokens, priced at or below, but never above, the current pricing of the Varosi works, thus preventing token inflation.
- The art that serves as collateral behind the VAR Tokens in the system can always be auctioned off. So, if a picture is sold at a physical auction for its entry price or higher, but never lower, then VAR tokens are purchased from the market for that amount and burned, and the picture is naturally removed from the system as collateral.
Additional features:
- Staking - Any art can be transformed into a staking pool, and a picture that previously only served as collateral behind the market's tokens can now be "owned" directly by those token owners who tie their VAR Tokens to the given picture for the campaign or period. These will occur in campaigns operated transparently on the blockchain under clear terms. E.g. such as when a picture is exhibited, and a portion of the entry fee is allocated to the owners of the picture through the staking protocol, or if the income allocated from an Auctioned art backing the VAR Token, is partially funneled to users staking VAR Tokens with the given Varosi art.
- DAO (Decentralized Autonomous Organization) Auction - It will be possible to buy a physical art from the system in fractionalized NFT form even in cryptocurrency, not just in the form of a regular physical auction. Thus, instead of one large buyer, several small buyers can purchase and extract the work from the system. This process has a price-increasing effect on the token, and the buyers will have an investment owned by the DAO, which they can do anything with. Then, of course, extra features can be added, or try to sell that picture at a price determined by the DAO at any VIP Event & Private Auction, etc. This is a community investment opportunity, which, if they wish through Real World Asset Tokenization, can be completely extracted from the system, and of course, they are free to physically dispose of the picture as their property.
More features coming soon...
Launch details:
Range:
Calculated at the starting price, the project will issue VAR Tokens between $50k and $150k, which at a $10,000 artwork pricing means 5-15 pictures for the launch. The current minimum market value of these pictures is $25k/piece, so after the $50k-$150k issuance, the minimum value backed by the tokens' collateral will range between $125k-$375k.
IDO (Initial Dex Offering)
The issuance of VAR Tokens will happen roughly in equal parts in a public IDO on the Next Earth IDO Launchpad, and in private OTC deals. The exact IDO token amounts will be publicly available concurrently with the appearance on the Next Earth IDO Launchpad.
IDO launch details coming soon (IDO date, token DEX Launch, etc.)
OTC:
Anyone can apply for the Private OTC deal, but we will only accept applications from those who can create visible value for the project professionally or through networking. This way the inside circle will give value to the project, and not just take away profit from it.
We offer a maximum of $100k worth of OTC deals in 10X$10,000 packages. With the purchase of an OTC deal, the user receives Tier 1 classification, because they also receive 1 free VArtvesre GENESIS NFT mint right along with the VAR Tokens:
Equity:
For professional investors who can add even more significant value to the project, we also offer the opportunity to invest in the operating company up to 10% of the equity. Terms for this is negotiated individually and only with those who have passed the OTC round as professional partners representing value for the project.