Token Price Comments
Hey everyone, today we would like to discuss the XIL price situation.
As you have noticed, the price has been declining which is quite frustrating for all of us. We want to talk about it and our strategy for how we are solving this. Looking at the numbers, the recent several days were super volatile. For example, during the last two days, the price went up by 30% from 0.0015 to 0.002 with a 3-times larger volume. Then right after, it went back to 0.0013 (35% down) in the next 48 hours. This was a 65% volatility which is considered to be high. We think that our token is heavily undervalued at the moment, which is a good moment to buy, but it’s a frustrating moment for current holders.
Why it happens:
Mainly because of Insufficient liquidity and not enough sustainable long-lasting buy-side demand.
How to fix that:
To make it simple, there is just two steps to fix this.
- Build a strong fundamental value for the project.
- Bring new investors and volume to trade the token, via marketing and promotion of that fundamental value.
To get the maximum out of marketing, you need to create the value to promote first. It doesn't matter how good your marketing is. If there’s no fundamental value, you could achieve a quick pump - however, you won’t be able to keep it going that way for the long term. Of course, this is if it’s not a meme coin or anything like that. The vast majority of successful projects have a significant underlying fundamental value. That’s what we have to build and what we are building.
What’s our fundamental value?
Since we are an incubator, the only way to create a fundamental value for us is to make the projects we build successful. For example, if AllSet will continue to grow, that will bring added value to XIL token holders. Therefore we invest all the time, money, and effort to make it work.
What do leading VCs recommend for struggling startups?
When they see that the idea doesn’t work and the resources are insufficient, they advise them to just close the business, move forward and try something else. That’s the unwritten rule of the industry, and that’s how this industry has been working for the last two decades. 90% of the startups close in the first 12 mo, even those with mind-blowing potential and Tier-1 VCs behind them. That’s why every person who invests in startups needs to have a diversified portfolio of 10-20 different bets to see if 1 or 2 would make it and to not be worried if others won’t. That’s part of the game in venture investments and especially in Web3 venture investments.
So, what did we do when we realized that the initial concept didn’t work and resources were insufficient? Instead of closing it, we invested more capital by ourselves and did a pivot.
We continue to build every day, and are trying our best to make it work. Yes, we make mistakes and sometimes fail to deliver on the expectations we set up, as all human beings do. However, we learn from those mistakes and constantly improve our approach.
What to expect from the price?
We don’t know if the price will go up or down in the short-term or mid-term period. Both ways are possible. But we know that if even just one project from those we incubate will become successful, that will add a huge value to the XIL token and eventually will be reflected positively in every token holder's portfolio. But, we can’t say for sure if those projects will become successful, as nobody can.
Even when it seemed obvious like when Clubhouse got launched. It got 100MM users lightning-fast, got an offer from Twitter to be acquired for $4 Billion, rejected it, and then went almost to 0 in less than 12 months. Pretty much no one uses it as of now, and no one was predicting it to be the outcome then.
The only thing we can guarantee, because that’s the thing we have direct control over is that we will be working hard, regardless of the resources we have. We can guarantee that if we don’t have enough money for marketing, we anyway will be doing the marketing by using free channels creatively and actively to make money and re-invest them in marketing.
If we don’t have enough money to hire a team of super salespeople, then we will be cold calling and closing sales ourselves as we are already doing. For instance, we have made 500+ calls and emails only to brokers this week for example, and got 29 brokers who are interested to work with us. We will be doing the same with the owners of the inventory, partners etc.
Every penny we will be spending will be spent on creating a fundamental value for the projects / tokens and ecosystem so we could promote it and increase our chances to build a sustainable business model that creates a significant value for all of the token holders. And of course, we won’t be spending money on any quick unsustainable pumps. Not only because we can’t afford it, but also because that’s a zero-sum game no one wins from except the trading bots.
To summarize, we are more interested than anyone else in the success of the project. We will do our best to deliver on that and appreciate your support and contribution. If you see a way how you can add value, we are always happy to talk about it. It doesn’t mean we will agree on everything and will do everything we get as advice, but we will carefully listen and explore ideas on how to make our ecosystem better.
Thank you for your continuing support. We greatly appreciate our OG holders for their involvement, support, and ideas - and we hope you will be with us for as long as possible.
The good news is that we are close to the moment when AllSet will be launched, and we will start onboarding users to it. We will see how the platform performs and if the concept is liked by users. If it goes well, then it will give our token a strong fundamental value and therefore will positively affect the value. Is that guaranteed? No. Nothing is guaranteed in investments, and especially in early-stage investments. But selling at this level is not the better option, and we will continue to give AllSet a chance and see if this project will work out well.
Have a great weekend!
About us
Xillion.one - a Web3 Tokenized Incubator that provides every XIL token holder with free tokens of every project it incubates.
We build projects from scratch and create synergy between them. We combine the VC and PE approach to building companies by growing their value and managing investor capital. We simultaneously operate as investors and founders to amplify the results.
