We recently announced that the Republic Note profit-sharing token will go on sale to accredited investors on July 16, and the response has been fantastic. On July 2, Republic co-founder Kendrick Nguyen joined hundreds of community members on Telegram for a busy AMA to answer people’s burning questions about the Republic Note.
Kendrick was joined by two colleagues who lead Republic Core, the issuer of the Republic Note: Shrina Kurani and Jed Halfon. The following is a summary of the top questions and answers from the community. For more information, please visit the Republic Note deal page as well as our FAQs.
To join the discussion, join Republic on Telegram.
Q: What is the main purpose of launching the Republic Note?
A: To share our growth as an ecosystem with our community and incentivize participation across the board, from investing to referring business to helping with due diligence.
Q: How does the Republic Note work? When might I make money?
A: The Republic Note is a profit-sharing token. It allows you to share in Republic Core's profits when certain conditions are met. Specifically, Republic’s crowdfunding platform and private capital platform receive cash and an upside potential in every company they raise money for, in the form of equity, carried interest, tokens, etc. If and when those positions succeed, some or all of those earnings will be paid back to Republic Core and ultimately to Republic Note holders.
Q: Can non-US citizens buy the note? Is it available to buyers outside of US?
A: Yes, non-US citizens who are accredited investors can buy the Republic Note on July 16!
Q: How do I make returns?
A: We will pay out dividends when we make over $2M from certain revenues. or a smaller amount if we see fit. The Republic Note is a highly speculative investment and subject to risk. We cannot predict when you will see returns if at all.
Q: When do you expect the first profit distribution to occur?
A: We don’t know for sure, but hope to make the first distribution as soon as possible.
Q: What is the formula to distribute the gains to Republic Note holders?
A: Once the minimum amount distributable has been reached, the total amount will be paid out pro-rata to all holders of the Republic Note at the time a distribution is calculated and set.
Q: How long will Republic Note tokens be locked?
A: We are working to get Republic Notes qualified under Reg A+. If and when we receive this qualification Republic Notes will be freely transferable shortly thereafter. Republic Notes sold in Reg D offerings may have different lock up restrictions and tradability.
Q: Have you had contact with the SEC regarding whether or not it’s a security?
A: The Republic Note token is and will be a security under US law.
Q: What cryptocurrencies will we be able to purchase the Republic Note with?
A: Bitcoin, Ethereum, and USDC.
Q: What will happen to my Reward Notes?
A: We intend and hope to allow investors to trade in their Reward Notes as an acknowledgment for your support and loyalty, for Republic Notes in the future.
Republic Note is the profit-sharing token that pays out when startups or private equities that raise with Republic get acquired or go public. Republic Note is the first digital security of its kind that will allow both accredited and unaccredited investors to get exposure to the future of private investing. Republic Note goes on sale to accredited investors on July 16. Pre-register today!
Register for the upcoming Republic Note Q&A, if you still have questions.