In September 2019 PARSIQ raised 1.5 million Euro in our IEO(Initial Exchange Offering) on CoinMetro.com.
The intended supply of PRQ was 500 million tokens. The distribution was intended to look like this:
250 million for IEO participants.
250 million for reserves, marketing, development, advisors and the team.
In the IEO and through private sales, only 98.3 million tokens were sold. Along with bonus allocations for advisors and large contributors, the total circulating supply ended at 101 million PRQ.
As the intended 250 million didn’t sell out, the remaining 151.7 million tokens were sent to a retention wallet, instead of being burned since there is regulatory uncertainty in that area. If regulations become clear on the matter, all tokens held in the retention wallet will be burned. Otherwise all tokens sent to the retention wallet will remain locked there for 5 years, unless burning becomes an option. At the end of the 5 year cycle, we will re-lock the tokens if there is continued legal uncertainty.
Currently we have 4 wallets controlled by the team:
Reserve: 125 million
Intended to be used in a “global change scenario”, if we for example decide to decentralize the majority of the infrastructure driving the PARSIQ services, to reward the running of PARSIQ nodes.
Development: 43.7 million
Intended to fuel marketing campaigns, listings, market maker liquidity and developer oriented events, such as hackathons etc.
Advisor: 37.5 Million
Intended for the current and future advisors of the project.
Team: 37.5 Million
Intended for the current and future members of the PARSIQ team.
What we are announcing today is that we will be rebalancing the advisor and team token allocation, to balance out the fact that we did not sell the intended 250 million PRQ in the IEO.
The new allocations for the advisor and team wallets are:
Advisor: 18.48 Million
Team: 18.48 Million
We are sending the remaining 38.04 million tokens to the Retention wallet with the intent of burning/locking them in the retention wallet. This means that the total possible future circulating supply of PRQ decreases from 348,296,872 PRQ to 310,256,872 PRQ or almost another 11%.
The vesting schedule
Both the team and advisor wallets are currently locked, but we will start unlocking 770.000 PRQ from each pool, per month over the next 24 months at which point, all team and advisor tokens will be unlocked and entered into circulation (January 2023). The unlocking of tokens does not however mean that they will all be sent to the current team and advisors. A large portion of each unlock will be withheld for future employees and advisors that will join team PARSIQ at a later date, and even though the tokens are unlocked, there will also be separate vesting schedules for them.