What is DMHCO?
DMHCO is a token backed by mineable crypto that can at any point in time purchase a proportionate share to the share of that of its total supply (x/30,000,000,000) of the mineable crypto advertised at Assets House daily as underwriting the DMHCO token supply.
What is HarLot?
HarLot is a smartnode, which is a new type of digital note smart contract that functions just like a master node, rewarding holders of the smart nodes with additional supply every time someone mines new ones by using DMHCO tokens. It does this by sending a variable percentage of all newly purchased supply to the HarLot smart contract as an airdrop reward whenever someone uses DMHCO tokens to create new HarLot. HarLot can be exchanged back for a proportionate share of the original supply of DMHCO tokens in the HarLot smart contract at any time. HarLot also has a facility whereby it can mine any ERC20 token sent to its smart contract as long as that token has been activated by someone to mine it.
HarLot is mineable by using DMHCO tokens. HarLot is priced according to an equation representing the fractional USD price of DMHCO tokens on every exchange on which it trades. The way that HarLot is produced is that someone sends DMHCO to the HarLot smart contract and receives a specific number of HarLot tokens in response according to the equation:
(1 DMHCO/DMHCO PRICE IN BTC REPRESENTED IN USD)*variable percentage = HarLot
The remaining variable percentage of HarLot are sent to the HarLot smart contract and are mined by existing holders of HarLot. For instance, let's assume that 1 DMHCO costs 1 satoshi and that BTC trades at $3500. In this case:
1 DMHCO/1 SAT = 0.000035c = 28,571 HARLOT*80% = 22,857.14 HARLOT
In this example, 5,714.28 HARLOT would be sent to the HarLot smart contract since the mining bonus is set at 20%. The mining bonus (variable percentage) begins at 50% and falls by a logarithmic factor equal to Fibonacci every month, sliding to 0.5% by year-end annually.
At any time someone can burn HarLot and once burned they will receive a proportionate share (to that held) of the DMHCO that is stored in the HarLot smart contract.
Obviously, if the owner of the token decides to burn it then when he does this he will shrink the total share of HarLot smartnode miners in circulation by reducing the HarLot supply. As a result, existing holders who do not swap will be able to mine greater quantities of non-DMHCO tokens in the smart contract. The question of whether or not owners of HarLot decide to burn their tokens and receive back DMHCO will depend on:
· What price the person paid for HarLot (where the index was when he purchased)
· The price of DMHCO when the person purchased and the price of DMHCO now
· The quality of airdropped tokens that is distributed to the smart contract
· Other market factors
(Note: HarLot will be released in December 2018.)