Adhering to the principle of transparency and in order to let our community know more about the foundation’s fund situation, Cyber Physical Chain Foundation Ltd, (hereinafter referred to as “The Foundation”) decides to publish its financial statements on a quarterly basis since 2019.
The report for Q1 will cover the time period between 1/1/2019 and 03/31/2019. The main content includes:
1. Circulations status of CPC
2. Expenditure status in terms of CPC and ETH.
Part I. CPC Circulation
The total supply of CPC is 1,000,000,000. As of March 31, 2019, the CPC market circulation was 376,765,820, accounting for 37.68% of the total circulation. There is an increase of 1% from the previous quarter. The current holders are mainly domestic and foreign investors and investment institutions.
Part II. CPC Expenditure
In Quarter 1, The Foundation spent a total of 4,733,721 CPCs. The main purpose of the expenditure are allocated in the following 2 areas：
1. CPChain S1&S2 Pre-mainnet Reward Program, which received strong support from CPChain community.
2. CPChain Community Expenditure in terms of domestic and overseas campaigns and manpower.
Part III. ETH Expenditure
The total expenditure of ETH in the first quarter of 2019 is 1942. The ETH expenditure has been converted into US dollars according to the real-time exchange rate in the table below. The total expenditure of ETH in this quarter is divided into three categories according to different purposes: daily operation, technology development, and business development, in which technology development and daily operations are the main expenditure items.
Operations：This part of the expenditure is mainly the salary of the Foundation operations team, events of the community domestically and globally, media promotion and so on. The events include CPChain's activities for the community and the activities in cooperation with other agencies. In April, MOBI Shanghai Colloquium is about to start. As a member of MOBI, CPChain has undertaken a large number of activities for early publicity and preparation. This meetup is scheduled on April 17 at IBM Shanghai. In addition to the MOBI event, in order to attract more Dapp developers to participate in the CPChain mainnet development in term of DApp development, the Foundation has cooperated with the well-known public chain project GXChain and a Blockchain Event Producer BITRUN, to launch the very first hackthon. The event will be take place at Zhejiang University of Finance and Economics between April 19, 2019 and April 21, 2019.
Furthermore，The launch of the CPChain mainnet Alpha & Beta is a milestone for CPChain. Given that, after internal discussion and calculation about cost, The Foundation contacted with a number of domestic medias for reporting and publicity. It is really a pity that not too many international medias were reached. We had to hold part of the expenditure in in international media exposures during the market winter in consideration of the relatively high price and the low effect it might bring.
R&D：The expenditure in this part is mainly for the R&D team salary, technology research, the purchase and lease of development equipment, and the publication of periodicals.
At present, the R&D team is involved in a number of blockchain related patents which have already entered the application process. With the deepening of mainnet development and stabilization, CPChain's R&D team is expending workshops with industry partners more and more frequently to develop a series of industry POC projects. R&D is a long-term process that requires a lot of manpower and material costs.
Business Development：The expenditure in this part is for business exposure and expansion
In Q1, CPChain joined the Zhongguancun Blockchain Industry Alliance with the efforts of the marketing team; CPChain was selected into the “China Blockchain Enterprise Top 100”; CPChain became one of BMW global technology suppliers. We have achieved some progress and will continue to seek opportunities to establish cooperation with more industry partners to further promote the commercialization of CPChain’s ecosystem.
With the CPChain mainnet development coming to an end, the construction of next-stage public chain ecology has been officially put on the agenda. In the future, CPChain will increase expenditures in the fields of commercial development and ecological construction in a targeted manner. We aim to gain more industry partners as well as realize profitability as early as possible.
Cyber Physical Chain Foundation
April 15th, 2019