Author Topic: [Litecoininvest] Credit Providing Investor Fund (CPIF)  (Read 15809 times)

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #15 on: September 05, 2014, 02:29:22 PM »
Thanks for the feedback turbooster, let me know if my answers below address your concerns.

Currently 24.79% of the holdings is in LTC and 75.21% in USD. The USD/LTC rate would have to breach ~7.24USD per LTC before investors would start 'incurring losses'. Please note that this can change at any moment. With the current number of outstanding shares at 692 and FUM of ~90 LTC it means that each share is currently backed by ~90/692 = ~0.13 LTC.

As a side note, the value of LTC will for a long time yet be measured against USD:
1 LTC at a USD/LTC rate of 5 is 5 USD, 0.5 LTC at a rate of 10 is 5 USD. Most people know what they can buy with 5 USD, to know what you can buy with 0.5 LTC or 1 LTC most people will convert it to USD before they know what they can buy. Holding onto LTC with hoping it will increase in value (in USD terms) is speculative and akin to taking a bet, CPIF tries to stay away from speculating where possible.

The problem with including the first week is that CPIF has to unwind some its positions and won't be earning interest on the portion of funds that is set aside for this purpose. I am not sure what you mean by the rest of your last sentence, does this address it: CPIF will let you know (upon exchange request) how much LTC you will get per share and you can opt out of the exchange (if you let CPIF know before sending your shares) if this seems unfavourable.

All of the above figures can be made available to anyone upon request via this forum or email.

Offline turbooster

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #16 on: September 05, 2014, 04:18:05 PM »
Thanks for the answer. Some remarks:

Currently 24.79% of the holdings is in LTC and 75.21% in USD. The USD/LTC rate would have to breach ~7.24USD per LTC before investors would start 'incurring losses'.
I didn't consider the parts of the FUM that are held in LTC, that very much lessens the effect. Will you keep the ratio of held LTC, BTC and USD vaguely constantor do you have another plan that is not simply guesswork? A constant ratio would make CPIF more predictable for shareholders but possibly losing on gain. Do you have a target there?
As a side note, the value of LTC will for a long time yet be measured against USD:
Exchange rate risk s is a long debate I really don't want to get into. Adding to the rate question above: I really only want to know what your course of action is and if you'll stick to it. In think the only options are that you do - or-  you don't want to commit to a promise like the mentioned ratio. Both courses of actions are fine with me, I just want to know what you will do when exchange rates go wild.
CPIF will let you know (upon exchange request) how much LTC you will get per share and you can opt out of the exchange (if you let CPIF know before sending your shares) if this seems unfavourable.
This seems fair. Good enough solution.
In summary, you will lose out on one dividend payment, however you will have access to your funds through other means than what the market offers on Litecoininvest.
You miss out on the dividend only if you're not fast enough to buy in before the dividend with the new funds, right?

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #17 on: September 05, 2014, 08:26:27 PM »
The only mandate/target CPIF has and follows is to lend funds at rates that are representative of the risks taken. Demand for LTC recently rose and with it borrowing rates, which is the reason why some of the FUM is now sitting in LTC. Committing to a ratio takes away a lot of the freedom CPIF currently has and will not really suit its operations.

Exchange rate risk is something CPIF would like to hedge, however this does not seem viable at the moment.

In summary, you will lose out on one dividend payment, however you will have access to your funds through other means than what the market offers on Litecoininvest.
You miss out on the dividend only if you're not fast enough to buy in before the dividend with the new funds, right?
You would have to be really really fast :)

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #18 on: September 22, 2014, 05:30:38 AM »
Interim Update - 2014/09/21 and contract amendment

CPIF as at the end of 2014/09/21:

Raised funds:  70.2LTC
FUM: 102.1203LTC
Interest accrued:  0.831165LTC

Also, pending any objections to the proposed contract amendment, the changes will be implemented starting next month.

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #19 on: October 01, 2014, 05:13:43 AM »
Dividend payment – 2014/09/30

Mkt Cap: 93.02 LTC
FUM: 101.42 LTC
Dividend paid: 1.4446 LTC

Please note that the proposed contract amendment is now live. The contract will be updated in the near future.

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #20 on: October 12, 2014, 10:28:57 AM »
I have added the contract amendment as discussed, please have a look at the amendment.

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #21 on: October 13, 2014, 05:25:11 AM »
CPIF as at the end of 2014/10/12:

Market Cap: 137.99LTC
FUM: 148.02LTC
Interest accrued: 0.83809LTC

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #22 on: October 20, 2014, 03:57:57 AM »
CPIF as at the end of 2014/10/19:

Market Cap: 143.1LTC
FUM: 146.81LTC
Interest accrued: 1.558LTC

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #23 on: October 27, 2014, 06:08:28 AM »
Interim Update - 2014/10/26

CPIF as at the end of 2014/10/26:

Market Cap: 144.6LTC
FUM: 161.06LTC
Interest accrued: 2.502LTC

If there is any interest from BTC investors to have a BTC based listing of CPIF, post your interest here.

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #24 on: November 01, 2014, 09:10:12 AM »
Dividend payment for October:

Mkt Cap: 144.6
FUM: 161.63 LTC
Dividend paid: 3.2 LTC

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #25 on: November 10, 2014, 05:11:29 AM »
CPIF as at the end of 2014/11/09:

Market Cap: 174.41LTC
FUM: 176.57LTC
Interest accrued: 0.8822LTC

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #26 on: November 17, 2014, 06:27:43 AM »
CPIF as at the end of 2014/11/16:

Market Cap: 187.28LTC
FUM: 172.79LTC
Interest accrued: 1.6455LTC

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #27 on: November 24, 2014, 05:06:21 AM »
CPIF as at the end of 2014/11/23:

Market Cap: 186.31LTC
FUM: 193.3165LTC
Interest accrued: 2.5235LTC

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #28 on: December 01, 2014, 05:15:09 AM »
Dividend payment for November:

Mkt Cap: 203.15LTC
FUM: 204.48 LTC
Dividend paid: 3.42 LTC

Offline cpif_admin

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Re: [Litecoininvest] Credit Providing Investor Fund (CPIF)
« Reply #29 on: December 08, 2014, 05:10:27 AM »
CPIF as at the end of 2014/12/07:

Market Cap: 209.32LTC
FUM: 202.12LTC
Interest accrued: 0.904LTC