The Apis Token is the world’s first digital token that provides exposure to a volatility-focused hedge fund. It is issued by Apis Token Fund and managed by Apis Capital Management. Unlike traditional hedge fund interests, which are often locked up for months or years at a time, tokens will be immediately re-sellable to individuals following the tokens’ initial
issuance. A tokenized fund structure democratizes access to investments that requires substantial capital commitments, making private pooled investment vehicles accessible to the average investor.
ACM Market Neutral Fund Strategy- The Basis of the Apis Token.ACM Market Neutral Fund Strategy(The Fund) pursues a dynamic, quantitatively driven strategy which takes advantage of consistent market phenomenon with active risk management to drive market leading returns.
The Fund seeks to provide investors with strong, consistent returns by taking advantage of volatility and equity risk premium, a consistent phenomenon in the securities markets. The Fund uses a dynamic model that seeks to perform well in both trending and sideways markets, with minimal Beta correlation to the market. The Fund trades in very liquid instruments and benefits from this liquidity by being able to determine the fair value of Tokens on a monthly basis.
APIS TOKEN ADVANTAGES
- Re-sellable: No lock up period. Tokens are immediately re-sellable.
- Unique Strategy: The token provides exposure to profits generated by the Issuer’s investment in the fund. The fund’s investment strategy combines selling of “Volatility Risk Premium” (VRP) ,in VIX Futures or “Equity Risk Premium” (ERP) in S&P 500 Index Options strategies to effectively perform in market conditions including bull and bear markets, with very little correlation of returns to the cryptocurrency market. In bear markets, the Fund sells index options, taking advantage of ERP, which is much higher due to higher demand by institutional investors needing to protect their portfolios. In bull and sideways markets, when ERP is low, the Fund primarily sells volatility futures, taking advantage of VRP, which allows it to capitalize on the upward market trend and lack of volatility.
- Proven Track Record: The Fund has generated gross annualized and audited returns of 70% over its existing 28-month track record.
-No Minimum Investment: Unlike typical investments in hedge fund which require large capital contributions, the Apis Token may be purchased with little capital.
- No Fees: Proceeds from the token sale will be invested directly in the fund by the Issuer and the
Issuer will become a limited partner of the Fund.
TECHNOLOGY AND SECURITY
Apis primary goal is to use technology that keeps the Tokens secure, liquid and transparent. The Issuer will use Stellar, a blockchain that provides the best combination of a thoroughly tested platform, speed, efficiency, low transaction fees and liquidity. The Stellar Network is the fastest blockchain network currently available, allowing over 1000 TPS per second. This ensures that, unlike asset tokens built on the older Ethereum network, the Apis Token will not experience delays and congestion.In addition, transactions on the Stellar network settle in as little as 3 seconds, which is an unmatched record for the securities industry which typically deals with long,cumbersome and inefficient settlement processes. This is critical for asset backed token liquidity, and enables the Apis Token to provide a best-in-class technology solution. The Stellar Network has built in tools to verify assets, which ensures that the Apis Token’s status will be instantly and independently verifiable.
The Stellar addresses for Token includes the following:
- Issuer Account: This account issues Tokens. To ensure that Tokens cannot be issued without a corresponding $USD investment into the strategy, the Issuer Account requires a multi-signature security protocol, which necessitates authorization from both Apis Capital Management and a Third-Party Administrator before any Tokens are issued.
- Distributor Account: Once Tokens are issued, they are moved to the Distributor Account, from where they are allocated to the Investors who have purchased them, as well as to Advisors and the Expense accounts per the token distribution model.
-Advisor Accounts: At issuance, up to 15% of all Tokens may be allocated to the Manager and Advisors.
- Expense Account: This account receives an allocation of 5% of all issued tokens and will be used by Apis Capital to reimburse all the legal, technological, regulatory, and miscellaneous expenses incurred in the issuance of the Apis Token ICO.
-Tokenholder Accounts: Each Tokenholder can use their existing Stellar accounts or create a new one, to receive Apis Tokens, and from which they can buy, sell, or redeem additional tokens.
APIS TOKEN BLOCKCHAIN MECHANICS
Every time a Token is exchanged, the transaction is recorded on the Stellar blockchain. This allows the Issuer to track the location of all Tokens without major administrative overhead costs. In addition to recording transactions, the contents of the smart contract are public, which provides Tokenholders transparency around how many tokens are in circulation and how many addresses are in possession of these tokens. The smart contract will also, have pausing and safe upgrade mechanisms in place to protect Tokenholders.
INITIAL TOKEN ALLOCATION
Private pre-sale May 1st to May 31st
Offering price $0.80 per Apis Token
Public pre-sale June 1st to June 30th
Offering price: $0.90 per Apis token.
Pre-ICO July 1st to July 31st
Offering price: $0.95 per Apis token
ICO August 1st to August 31st
Offering price: $1.00 per Apis token.
Hard Cap $50 million
Organization expenses 5%
Team & Advisors 15%
ISSUER AND FUND ROADMAP
PHASE 1: Tokenholders send BTC, ETH, XLM or Fiat to the Fund’s wallet. Each transaction is publicly recorded on its respective blockchain. Once the funds are received, they are directly invested in the ACM Market Neutral Volatility Strategy.
PHASE 2: Apis Tokens will be distributed to the wallet addresses of the Tokenholders from phase .The location of all tokens can be monitored on the Stellar blockchain.
PHASE 3: Tokens can be freely traded between Tokenholders on the Stellar blockchain, including the native StellarPort Decentralized Exchange, as well as other exchanges such as White Company Capital and similar major exchanges.
PHASE 4: : On a monthly basis, the net profits from the Strategy will be allocated to the Investment Balance of the Apis Token, thus increasing the redemption value of each Apis Token.
The Apis Token will also publish the performance of the Fund in a secure and publicly visible manner. There will be no subtraction of management or incentive fees