Xillion re-launches as a Tokenized VC

Xillion by ProjectX
4 min readFeb 20, 2024

Hey Xillionaires, we are happy to announce more details about our upcoming re-launch!

First of all, we have great news, Xillion will become a Tokenized VC after the re-launch and token swap. And XIL as a native token is directly pegged to all the assets within its portfolio. Moving forward, we will not solely focus on projects we build, but we will also begin investing in promising startups on the secondary market and during private sales via SAFTs. This enables all XIL holders to have direct access to those assets, allowing them to exchange their XIL tokens for a diverse portfolio of the tokens in which we have invested. (if they want). So XIL will be fully redeemable, very well-diversified and way more valuable than ever.

How do we build our portfolio?

  1. We build projects and run them by ourselves, so all of those projects are in our portfolio, and up to 50% of the tokens are available for XIL holders for free.
  2. We invest in carefully selected liquid tokens which are tradable on the secondary market.
  3. By leveraging our connections we Invest in rising stars and hyped projects during private sale rounds (via SAFTs) and add them to our portfolio.

And XIL token will be pegged to that diverse portfolio of assets. So by holding XIL you get access to a dozen high-quality assets.

By doing it this way we expect to be delivering an above the market ROI.

Token utility

  1. Assets Representation: XIL is directly pegged to the entire portfolio, so you can anytime redeem those tokens by burning XIL. So XILs value = The Total value of the entire Portfolio + the % of future growth since we will be always adding new positions. Therefore, XIL is backed by many other assets which makes it way more sustainable.
  2. Staking: You can stake a XIL token to get a great APY.
  3. Profit Reinvestment: 50% of Xillion VC’s profits will be used to acquire additional assets for the Portfolio, increasing the value of all XIL tokens.
  4. Governance Participation: XIL holders can take part in governance, voting on certain decisions.
  5. Fees: By using XIL, LPs could save up to 50% on fees.

Where Xillion VC will get the funds to invest?

  1. Xillion VC will be offering XIL tokens for sale in a form of a private / public sale to interested investors. Of the proceeds, 70% will be allocated to investing, and the remaining 30% will go towards project development.
  2. The XIL token is fully redeemable, meaning that holders can exchange their tokens for the underlying assets at any time. As the value of the assets grows and, as we add more assets to the portfolio - the intrinsic value of the token itself increases.
  3. To cater to more risk-averse users, Xillion VC is launching a traditional LP program. Investors can stake their USDT, allowing the VC to invest those funds into various assets. With this approach, the maximum downside risk is capped at 30%. If the portfolio’s value drops below this threshold, every LP has the right to prompt the VC to sell the portfolio and return the funds to the LP immediately.
  4. This structure allows conservative investors to engage with potentially favorable returns — though perhaps not as high as those possible with the token — but with limited risk.

Simultaneously, Xillion VC is committed to locking in profits and seeking new investment opportunities. For instance, if an investment in certain tokens yielded a sufficient return, we would secure the profits and then reinvest them into assets with even greater growth potential.

Valuation

The relaunch of Xillion VC is set to occur at a fully diluted valuation (FDV) of $15 million to accurately reflect the company’s asset value.

30% of the total token supply will be distributed to existing XIL token holders, equating to $5 million worth of tokens (around 10x to the current value). This means that up until the official announcement about the snapshot, you have the opportunity to purchase tokens. Following the snapshot, a portal will be released where XIL token holders can exchange their old tokens for new ones.

As things stand, the aggregate value of all tokens currently held by token holders is estimated at approximately $460,000 with the actual amount depending on the going secondary market price of around $0.002 per XIL. This represents an instant increase in holdings by approximately 10 times.

All new tokens will come with a vesting period. The vesting schedule is designed to be investor-friendly and to allow the token to grow healthy and avoid dumps; the initial unlock is slated for 6 months post-listing, releasing 50% of your total holdings. Subsequent unlocks will release an additional 30% at the 9-month mark and the remaining 20% at the end of the 12 months, allowing for a phased realization of returns.

The full tokenomics will be published later, but we’ll give you some sneak peak on how we want it to be structured.

  1. We will offer 20% - 30% of the supply of XIL for sale on the website with a reasonable discount and the 12-mo vesting. 70% of that funds will be used to invest in various tokens from the secondary market + several private sales (SAFTs).
  2. The remaining 50% will be kept in treasury and will be dedicated to marketing, liquidity, operational expenses, future investment rounds, ecosystem growth, employees token units and more.
  3. Only Liquidity and Marketing funds will be unlocked earlier to provide liquidity to the token and grow the price. We will keep the Circulating Supply below 10% of the total supply before the token holders vesting is started. All the investors / KOLs / team members / advisors / contributors get their tokens vested at the same time, so no priorities or anything like that.

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Xillion by ProjectX

Xillion.one is a Web3 Tokenized Incubator that provides every XIL token holder with free tokens of every project it incubates.