The WARCHEST is a result of feedback that we received from our initial focus group.
We realize that there are differing risk appetites with investors and if we are truly going to bridge between real world investment and the blockchain technology then we must accommodate all investor types.
The WARCHEST is a mechanism where when the final NFT numbers are known and locked in prior to a project purchase, we will convert 30% of the funds into stable coins and hold them within the same wallet as the $VUL coin.
We understand that crypto can be volatile so the ability to hold a percentage of the funds raised in stable coins means that if the token price does fluctuate then we have the ability to use the WARCHEST to make sure the activity within the real-world property investment can continue. This is basically an emergency fund should the price of $VUL decrease resulting in less funds available.
This will result in a slightly smaller return from the blockchain rewards, but we believe that keeping investors’ money as safe as possible is our number 1 priority.
When the project is complete, we will have a community vote to see if the WARCHEST should continue to hold stables for security or if it should be converted back into $VUL to increase investor rewards. This will be influenced by the crypto market at the time of the vote, so may be different each time.