$RAD purchased with Revenue

Here we will look at an example of $100million a small amount of Fortnites revenue and see how it effects the price.

Conclusion:

If $100 million is used to buy back $RAD tokens and assuming the buyback reduces the supply by 90%, the price of $RAD would rise from $0.01 to approximately $66.77 per token.

Note that this is an extreme case and assumes a high level of supply reduction. In reality, the price increase would be more gradual, but this example illustrates the potential growth in $RAD's value due to significant demand and reduced supply.

Step 1: Determine the Number of Tokens in Circulation

If the market cap is $150,000 and the price of $RAD is $0.01, we can calculate the total supply of $RAD tokens using the formula:

Market Cap=Price per Token × Total Supply

Rearranging this formula to solve for the total supply:

Step 2: Calculate the Impact of $100 Million Buyback

If $100 million is used to buy back $RAD tokens, we need to calculate how many tokens would be purchased with that amount. Assuming the buyback happens at the starting price of $0.01 per token, the number of tokens purchased would be:

However, the total available supply of $RAD is only 15 million tokens, so purchasing $100 million worth of $RAD would not be possible unless the token price increases due to demand from the buyback. This creates an imbalance between supply and demand, which drives the price of $RAD up.

Step 3: Estimate the New Price of $RAD

Now, let’s estimate the price impact on $RAD. If $100 million is used to purchase and burn tokens, the overall demand increases, and the supply decreases. The price will rise based on the amount of $RAD purchased with $100 million.

We will assume that the purchase of $100 million worth of $RAD reduces the supply significantly (assuming a portion of the market cap and supply are burned).

Let’s calculate the price change as follows:

1. Original Market Cap: $150,000 with 15 million tokens at $0.01.

2. Total Amount Used to Buy $RAD: $100 million.

3. New Market Cap: The new market cap will be the original market cap plus the amount spent on buying $RAD.

So, after spending $100 million:

Now, with the supply reduced due to the buyback and assuming all $100 million is spent on buying back tokens:

Assuming the buyback burns 90% of the total supply (which is a simplifying assumption to show a major price impact), the remaining supply would be 10% of the original supply (15 million tokens).

So:

Now, we calculate the new price: