Hey community, please see below for a summary of the Q&A last week regarding the Transparency Report:

What is the reason for the Q2 Transparency Report?

It’s now been exactly 1 year since our ICO. At TenX we wanted to show you what has happened within the last year from when we were just 8 people. Today we have about 80 employees. How much money we have now, what it looks like with us, what we are working on — that’s exactly what the Q2 Transparency Report is about.

It is not our goal to publish a transparency report every quarter; rather, such a report should always be published at important points in time. The main reason for this is that we think long-term and don’t want to lose anything in the long term just to achieve something in the short term.

What we have deliberately refrained from in the report are forward-looking statements — e.g. When is the card coming? When and how will the token be structured? When will the banking license be issued? Not many of these actions rely solely on TenX, which is why it is difficult to make exact statements for this.

What are the 4 big goals we are currently pursuing at TenX? (4 OKRs — Objectives, Key Results and Initiatives)

  1. Get the card out — as quickly as possible.
  2. Developing creative solutions if and how one can add additional benefits to the PAY token.
  3. Restructuring of the TenX Group. Above all from a regulatory perspective, so that the TenX Group can be managed as such. This is initially so important because we have investors who own shares in the company. Currently, they do not yet have the correct shares. Furthermore, we would like to offer our employees an option to acquire company shares, this is not possible without a successful restructuring.
  4. COMIT — Presentation of the first user-friendly “Use Case”. Here we will not only demonstrate what COMIT can do, but also show how it can be used. Especially in the Bitcoin and Ethereum Ecosystem.

These are the four big goals and the only things, we want share right now in regard to forward looking statements.

Why should you believe what we have published in the Transparency Report?

Absolutely justified questions. However, with 80 employees, there is a high probability that inaccurate facts will quickly come to light. Furthermore, it would not be good for our reputation if we spoke of transparency and then spread untruths. We decided to publish a Transparency Report because we are fully behind our organisation and what we do — behind every dollar that someone in our organisation earns and every dollar that we spend.

“Current Monthly Burn Rate“

The biggest cost of our total monthly expenses (740,000 USD) is salaries (530,000 USD). We now have approximately 80 employees (+ a few part-time employees).

Included in the salaries are: The gross salary + health insurance (which we pay to all employees) + additional costs (such as lunch and dinner) + rent allowance (for employees living within a certain radius of the office) + a small percentage of PAY tokens (about 5%). With 80 employees, this package averages USD 6,000–7,000 per month. This is absolutely usual for the FinTech sector (cf. salary for programmers).

Salaries of single individuals are never made public, therefore also not the salaries of our co-founders. However, we can state that the co-founders earn less cash than some employees. But how they will earn in the long run is the PAY token and the shares they hold in the company.


For strategic reasons, we cannot disclose which five banks hold our FIAT money. We greatly appreciate the relationships we have with our banks, which are certainly due to our long-term thinking and strong networking. There are many other crypto companies that do not even have one bank account.

It is also important to note that some crypto coins are excluded from the 70.515M. Altogether we have more in crypto than we actually listed in the report. Among other things we excluded our PAY token holdings, which we did not add to our assets, although it is actually part of our assets, because as mentioned above a part of the salaries is paid in PAY tokens. Therefore, the actual burn rate is actually much better. However, we have excluded the PAY token in order not to distort the picture positively.

Were we lucky with the our sales of Ethereum?

No. We used an algorithm that led to selling at the time we were selling. We got 80M in June 2017 and now we have just over 100M — how did this happen? Whenever the prices in the crypto market have risen, we have made sure that we have equal percentages in Crypto and Fiat (and we always communicated this). TenX is not a crypto fund, but a company with operative business. We want to hold as few volatile assets as possible, since most of the world is calculated in Fiat in 2018, this is currently regarded as our “non-volatile” asset.

In January, for example, we had about 75M in Fiat and 75M in Crypto due to the prices of the market. This has nothing to do with market timing. Our goal is not to switch from a non-volatile asset to a volatile asset portfolio. In the future, the burn rate will continue to rise as more staff will have to be hired.

Our vision is not to be cash flow positive in the shortest possible time. Our goal is to both increase sales and the number of customers. With this growth and the focus on marketing, partnerships and possible company takeovers also the expenditures will rise in the future. This is to be implemented primarily in the long term and strategically. Therefore, a positive cash flow is not our main goal this very moment. However, should our actions lead to this, we would be quite pleased.

Financial System Policies

When a startup grows, it is normal that new guidelines are added. In the future we will certainly integrate community, social media, legal and many other guidelines.


Currently we are focusing on: “Replatforming”, i.e. the conversion to Rust, a stable and reliable programming language with “memory management” (away from JavaScript). This procedure costs resources that are not necessarily immediately recognisable from the front end perspective.


Further development with regard to branding should bring us closer to corporate identity and thus to a clearer communication overall.

Business Development

Asian BIN Issuance means that, as a first step we will issue new cards in Asia. The next step will be Europe, where we are already working with several issuers. At the same time, we are working on a banking license in Europe so that we can issue cards directly in future (without a third party). The next step will be the USA and then the remaining markets.


This deals with topics that affect the team as well as internal processes. But also the treasury, such as the procedure for a “crypto-ice age”, falls into this category. Since we have solid financing and a good distribution between Fiat & Crypto, we don’t have to worry about running out of money.


The PAY token is the focus here. Hopefully some good ideas will soon lead to positive news.


We have many users in Germany, Austria and Switzerland. This size of the German speaking area creates a separate focus, especially regarding important news and announcements.

Customer Support

Two centers are planned in order to provide good long-term customer support. English support will be provided by a location in the Philippines. German support with one location in Europe.


Our Research Lab in Sydney. We have taken over the team there and are planning a first “Use Case” for the Bitcoin and Ethereum Ecosystem by the end of the year.

What do the token holders gain from holding PAY tokens?

Due to the current status of the PAY token structure still being under legal and compliance review for potential rewards as mentioned on page 13 of the Transparency Report, we can’t share any concrete details yet. However, we can see that the PAY token has outperformed the exchanged ETH token since the ICO. Theoretically, each token holder could be given back the ETH that was originally given to us (200,000 ETH). In fact, it was a better decision back then to buy PAY tokens than to keep ETH. The difference is minor, but the challenges that TenX has faced in the past months, both with the product and with the token, must be considered.

Will there be several card versions (e.g. Standard, Gold, Premium) ?

Yes, there will be. However, the focus right now is on the standard cards and their distribution.

Can you say what percentage of the salaries is paid in PAY tokens?

For most employees this is only a few percent. The exception is the co-founders, where a large percentage is paid in PAY. This is due to our incentive structure and the fact that the co-founders might be less insecure when the tokens price is at 60 cents and not 6 dollars. Furthermore, we are of course personally convinced that we will see other numbers in the not-too-distant future. We got into this high-risk venture and we still have this high risk tolerance.

While there is no card, how do you earn money at the moment?

We currently have a low income from small things that are not worth mentioning. Therefore we are currently living off our funding and the balance between capital and spending. Theoretically it could go on like this for 11 to 12 years. But that is not the goal.

Does the app have any use case at all at the moment?

The app can be used normally. But of course we know that the most important thing for you is the card, which is why we are working on it at full speed.

In your opinion, which powers/institutions slow down the cryptosystem in the background and thus the business of TenX?

I don’t know whether they are powers or institutions. I do believe that they are generally large corporations that are simply not so fast. When you work with large corporations, it is unfortunately not the case that you do something overnight. It is therefore not necessarily a matter of braking, but rather of speed, which could be another.

Who is your biggest competitor?

We never look at our competitors — we look at what our customers want. Ask them, give them something; ask them how we can improve it and at the same time try to innovate a new product/creation and offer it to the customers. In general, we don’t see a big competitor at the moment. We know that the product, as we bring the card onto the market, no one else can offer. All other cards only try to make Fiat spendable, but we try to make crypto spendable. A completely different mission and different idea. What they do is a pure “exchange function” and after that you finally spend Fiat again. We have and have always had a different system on which we continue to work.

What do customers want right now?

Cards. If they have the cards, then we get feedback. At the same time, we are currently working on another three or four ideas. The company has two or three people working on it and looking for creative solutions. Things we, as TenX, have never talked about before. Maybe we realise these ideas or maybe we don’t. And when they come, we’ll present it to you and get feedback on how we can improve the concept.

Can you publish numbers about the amount of ordered cards?

No. We can, but we don’t want to do it.

You once said that from about 100 employees it becomes difficult to remember all names personally or to know them all. As a founder, do you have a solution for this?

We have a whiteboard in the office with all the names of the employees. Here we write down something nice for each employee. We want to expand this system further.

Will TenX ever be listed on Binance, Bitpanda or any other exchange?

Presumably, this has a lot to do with the development of the token. If the token is to be a security token or a utility token — this has a big influence.

Are there other large channels besides Visa and Mastercard through which credit cards can be offered?

The question will be whether it always has to be credit cards or if you do something else. Maybe you could have other payment providers, because it doesn’t always have to run on credit cards.

How far is the Exchange mode in the app?

This one is ready. We didn’t publish it because we want to provide the cards first. The mission and the procedure should remain clear, which is why we stick to the clear procedure.

Has TenX received an offer in the past?

Yes — quite a few times. So far, however, not at a value for which we would sell. And we would always sell for a value that is so utopian that we would probably never get it and this motivates us. Because if we have the feeling that we have arrived at the actual value, then we push ourselves again. None of us wants to sell. But if someone were to offer us 5 billion — I think we would sell. But because we know that nobody is currently offering us 5 billion, that is not relevant at the moment. And if we reach the 5 billion point in time, then we probably actually want 50 billion? So push and motivate us again.

Will the TenX Wallet be able to import private keys via an upcoming update?

Yes — this should definitely be possible. But I can say that this will not happen this year.

Why does the price in the TenX Wallet usually differ between 1–5 % to the big Exchanges?

At the moment we do not have a payment or trading engine connected, because nobody can spend crypto at the moment. I therefore believe that this is not relevant at this point in time.

Is the card launch for the year 2018 possible?

I think anything is possible, isn’t it? The sky’s the limit.

How many employees will your company grow to in the next two years?

I can well imagine that by the end of 2019 we will be 400 people and in 2 years 1000 people. I see this realistically because I would like to hire 200 people right now and know exactly what each of them should be working on. But the problem is, you don’t just bring in 200 people, it all takes time. Big growth for TenX, so I see it as very realistic.

Is there an export interface in terms of sales?

Not yet, but in the future there will be something like that.

If I already had the first version of the card, should I reorder or will the process work automatically?

The process will work automatically.

If you would sell your company, what would happen to the token holders?

I would say if we were to spontaneously say that we are selling now, then I would probably offer a price for all token holders (which would be in the interest of all token holders). I don’t know if I would go there on the ATH and say no one could have bought it over 7 dollars. Then I would say 7 dollars for the token and in this case I would give 700M dollars to the token holders. Depending on how Liechtenstein develops in terms of tokenisation, you could also find other structures. But this is pure utopian reverie, because it is currently not relevant.

Who do you see as a customer for TenX?

At the moment there are about 50 million active Crypto users, of which I would probably consider a small percentage as potential customers.

Why doesn’t TenX become independent of credit cards — see MobilePay in Denmark?

This is already being planned and is very interesting for us.

Is “stable coin” a topic for TenX?

Yes, definitely, but it has to be the right one.

I can’t use the old card anymore, should I order a new one?

You can no longer use the old card. Please don’t order a new card — only order a new card if you haven’t had an old one yet.

Is it planned to have an IBAN in the future? To deposit Fiat directly?

Yes — there are certainly still some exciting things coming up for us and you and we will definitely take a look at them.

There were plans to open an office in Innsbruck, is that still relevant?

At the moment Austria is not moving forward at the speed we would like it to or rather Austria does not offer the possibilities. That’s why we don’t see Innsbruck as a potential location right now, but let’s see what the future holds.

Would new cards have to be sent when the bank license is received?

We would drive on two tracks. Some people get the card via one system, others via the other.

If you want to keep up with our latest progress: