ICO Analysis: CEEK

CEEK is a VR/AR company offering a tokenized platform for musicians to create virtual worlds built around their music.

By building an “Entertainment Metaverse”, an interconnected virtual world of venues, CEEK will be able to provide its users to be physically “present” anywhere in the world. This means that users can attend any show they want to, and artists can sell an amount of tickets without limits.

The CEEK platform allows musicians to “mint” coins which can be exchanged with fans for different parts of the virtual reality experience.

What attracted me to CEEK was an underlying attraction to the VR/AR world. I envision a 10-year-old me (circa 2002) putting on a VR headset and having my mind completely blown, much how it is now.

However, the initial excitement and wonder with the VR/AR world of the past 2-3 years quickly faded, as it did for most people. The virtual reality and augmented reality has come a long way, but it’s still pretty far from becoming the mainstream sensation it should be.

The industry is filled with thousands of incredibly talented programmers, creatives, and entrepreneurs working hard to take it where it needs to be, but it has its technical limitations. This is why I’m a fan of virtually (ha!) any infrastructural or user-facilitating technology for this industry.

CEEK is already an existing company with over 50,000 headsets sold in stores like Target and Best Buy, and could play a significant role in popularizing VR for the mainstream. CEEK is also estimated to be distributed on over 100 million devices by EoY 2018.

Additionally, CEEK plans to build VR/AR studios across the country to help entertainers and partners create branded content for their audience. Countless entertainment and media industries have been exploring ways to get into VR, and this would essentially be yet another bridge to help make that happen.

 

Token

CEEK’s tokenomics and distribution seem pretty straightforward. “Only” 1 billion tokens will be created with a 100m soft cap for the public token sale, and a total hard cap equal to $50m USD.

Team

The team behind CEEK comes from a variety of accomplished professional backgrounds.

The CEO, Mary Spoi, holds 10+ technology patents and was formerly the Head of Satellite Communications at Boeing Digital Cinema. She previously founded an online and mobile video platform that had clients such as Microsoft XBOX, Coca COla, and Clear Chanel. She is also on the Advisory Board of Oculus VR for Good (Facebook), and Amazon Launchpad.

Risks

  • Steep private sale discount. The first thing that caught my eye about the distribution was how steep the discount was for private investors, which were able to receive 1 CEEK for $0.10, whereas public token sale investors get 1 CEEK for $0.50. Thankfully, only 10m tokens (1% of the total tokens) went during the presale and we can only hope they went to strategic partner/investors. -2
  • Adoption limited to people who will actually pay money for VR/AR experiences. Granted, I am one of them, but the amount of cash-generating users is a very important component to the token value. CEEK is somewhat, but not completely tethered to this amount. -2

Growth Potential

  • Intimate concert access from the comfort of your couch. There are over 60 million concert tickets sold in the United States every year. Imagine being able to “watch” your favorite in a world customly designed to provide a phenomenal experience. The technology also doesn’t limit you to a certain time period. A world could technically be designed to emulate Jimi Hendrix at Woodstock, Nirvana Unplugged in New York, or virtually anything else. As a consumer, I’m personally willing to spend some money on something like that, and I imagine I’m not the only one. +2
  • Proven success. CEEK already demonstrated a demand for these sorts of experiences with their sale of the Megadeth VR headset, which sold out of Best Buy in 24 hours. The album also won a 2017 Grammy, so that’s pretty cool. +2
  • Synergy with artists. The music industry is in a dire need to monetize effectively. Micropayments for songs on services like Spotify aren’t nearly enough compared to what artists used to make. If artists can create a custom world that allows them to provide their biggest fans an intimate experience, I’d imagine they’d jump for the opportunity. The CEEK platform seems to make it simple enough to do so. +2
  • VR/AR is coming. This technology is too cool to be stagnant, and there will be more companies (and more investment money) pouring into the industry to try to get a piece of the action. CEEK is one of the early adopters of blockchain in the virtual reality world, which could help cement them as a focal point of investment attention, as well as give them all the practical benefits offered by their utility token. +2
  • Simple, affordable product. Many high-end VR headsets can cost upwards of a few hundred of dollars and require an external console or computer to function. If CEEK is able to integrate their promised deliverables into their $100 headset, they could lap the competition in user adoption and the following revenue. +1
  • Building VR Studios. Perhaps one of the coolest components of the CEEK offering is the proposal to build VR studios all over the country to allow partners to create VR/Ar content. The popularization of the product with a high level audience of entertainers, and the multiplier effect it will have on the desirable content users want to see, is something that would help drive the CEEK business model forward at a much higher speed.  +1
  • 100m devices using CEEK. This estimate really stood out to me. 100m is a lot of people, and the popularization of the product seems to already be in full-swing. +1

Disposition

We arrive at a +7 for CEEK. CEEK presents an interesting intersection between blockchain and the VR/AR world,  and with an already established network of users and advantageous strategic partnerships, it is poised to have some success.

Investment Details

The CEEK public crowdsale started on February 19th and can be signed up for here (currently paused).

Author:
Alex Moskov is a writer and entrepreneur with a passion for building and creating awesome things. Alex has experience in music tech startups, digital marketing, and cryptocurrency investing.