Hi Toby,

First of all, congrats to the whole team for achieving the biggest milestone so far, the EMI licence. I think it will really positively affect the perception of the company professionally speaking (in regards to potential partners/investors/…). Can you elaborate a bit more on what the next steps are that are necessary in order to issue EU cards? I understand that you are planning on issueing cards yourself, but do you have a backup 3th party issuer that you can use in case self-issueing takes too long?

Regarding the TENX token issuance, there is a lot of unclarity among the community in the chat (which I follow and moderate daily), I will try to sum up the most pertinent questions regarding the token issuance and rewards:

Can you elaborate how the 4m PAY rewards were calculated, and can you tell us the reasoning behind calculating it in PAY before even paying out any rewards? Because at the time of announcement those rewards equal roughly 1mln USD, but if PAY rises or goes down, that value changes. Since the rewards are being paid out daily over 1 quarter, wouldn’t it be better to calculate in USD and payout the equivalent in PAY each day? For example 1 mln divided by 90 days = 11,111 per day. Now the payout is 44,444 PAY per day, which will fluctuate each day.

In the Token Distribution FAQ from April 9th (https://blog.tenx.tech/tenx-token-distribution-and-rewards-a3f0708bf622), you state that company held tokens will be eligible for rewards. Why the sudden change? In the past it was always clearly stated that company held tokens and exchanges would NOT be eligible for rewards, this was even in the original FAQ from 11th of December (https://blog.tenx.tech/tenx-token-distribution-and-rewards-a3f0708bf622). In there, you state “Yes, the company will also receive 1 TENX Token for every 1 PAY Token it holds on the snapshot time. However, TenX will not be receiving rewards from the TENX Tokens it holds after the issuance.”

If the 4mln PAY will also be distributed to company tokens (which is 70+% of all circulating tokens atm), the announcement should have been altered to “We will give 1.16mln rewards to the community”, as that is more or less what will be the case. Kind of false advertising here (yeah we give out 4mln, but as we own the majority of the tokens, you only get 30% of that).

What will happen to rewards for tokens that are held on exchange wallets? If I read the code correctly, the smart contract will assign rewards to each address that holds TENX tokens (except 0x00000…), so those rewards would get stuck on that exchange address. What is your policy on that subject? Same for addresses which are lost or inactive.

In the original whitepaper, both ETH for rewards and PAY for cashback would be bought by TenX on the open market. Will that still be the case or will you be using PAY tokens from the company wallets? If so, how do you justify that in view of this earlier token breakdown: https://blog.tenx.tech/tenx-pay-token-update-ea6687c32db9