Understanding Equity Events
Group Deposits, Exits, Distributions
Member Equity:
When you contribute to the Group Vault during Group Deposits, you earn a slice based on your contribution and the Vault's value.
Track your slice size (equity percentage) in the Member tab!
Payouts or new members affect your slice size - it all gets recalculated to keep things fair.
Two Ways to View Your Slice:
Equity (%): How much of the Vault you own compared to others (e.g., 20%).
Equity Value: The value of your slice in ETH based on the total Vault value (e.g., 5 ETH).
How We Calculate Your Slice:
It's like a recipe! We consider your contributions through Group Deposits, payouts, and the Vault's overall value. These are Equity Events that Lore tracks automatically, replacing what would have been a very complicated excel sheet.
See a step-by-step example here!
Equity Changes Over Time:
Imagine the pizza grows in value - everyone's slice gets bigger! (Yay!)
New members join? The pizza expands, and everyone gets a slightly smaller slice (but still delicious!). Although each slice is a bit smaller, everyone still owns a part of the Vault and benefits from its growth
Members leave? Their slice goes back to the group, and everyone else's slice gets a little bigger.
This system ensures that new members can join the Group as it grows while maintaining fairness for existing members. Equity Events are at the heart of the Co-Ownership Framework. Everyone's ownership reflects their contribution, and as the Vault grows, everyone's slice grows as well.
Remember:
Equity ensures everyone gets a fair share based on their contributions.
It changes dynamically to reflect the Vault's activity.
We have the recipe down to a science, so you can focus on enjoying the Group pie!
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