ICO Analysis: EtherInc

EtherInc, or eInc, is basically a blockchain startup in a box, and it’s looking to do for startups what the bitcoin network did for payments. More specifically, it’s a smart-contract-fueled blockchain platform for decentralized organizations and apps. It’s designed to streamline the process of joining the blockchain for entrepreneurs and developing decentralized apps for developers.

eInc is a fork of the Ethereum blockchain that found the latter to be inadequate for transaction times, gas prices, etc. The EtherInc blockchain is designed to offer the best of both worlds, including decentralization plus higher bandwidth that global organizations command. As a fork of the Ethereum network, any dApp running on Ethereum can similarly be run on eInc.

The way they describe it, “Every eInc organization is actually a smart contract on EtherInc Blockchain.”  eInc also describes its technology as “a Blockchain with a built-in Turing-complete programming language.” The mission of EtherInc is to use its technology to help build blockchain entities that would otherwise be restricted by national borders and other limitations.

In its white paper, eInc points to a startup community that’s in need of transformation, particularly as it relates to cross-border management teams, where the compliance costs associated with incorporation can be restricting. They are looking to support the tens of millions of startups that are forced to shut down for any number of reasons such as:

  • “Different country-specific compliances and regulations create friction”
  • “Heavy incorporation costs, prohibitive legal fees, high transaction charges, etc”
  • “Costs involved in updating, managing and safeguarding company finances”
  • “Difficult procedure of conflict resolution”
  • “Complicated process of partner inclusion or exclusion”
  • “Angel Investors And VC’s have become discerning, while mechanisms like Crowdfunding and ICOs have earned a bad name due to numerous scams”

eInc has ambitious plans to decentralize the startup community and guide them through fundraising events such as crowdsales while removing the barriers to cross-border partnerships and business.

Token

EtherInc’s ETI coin will fuel its blockchain similar to how ETH fuels the Ethereum Network. Below is an illustration of how ETI coins can be directed followed by the distribution model.

Source: eInc White Paper
Source: EtherInc White Paper

Team

Tarun Malik is at the helm as CEO. Malik is an alum of global corporations including PwC and SwissRe as well as pharmaceutical giant Johnson & Johnson and biotech firm Biogen. His experience at multinational corporations across industries should serve him well in eInc’s goal to create global decentralized companies on the blockchain.

eInc’s advisory panel of eight includes Tyler Sanford, who has lent his expertise to some eight ICOs that combined have raised more than $130 million. Sanford also has experience with high-profile tech startups including Yelp and Zenefits. Oh and he is a former Major League Baseball player in the United States, having played for the Los Angeles Angels.

Nikolay Shkileve is also on the advisory panel. Shkileve appears to be highly selective about the ICO projects he accepts as co-founder of Top ICO Advisors. According to his LinkedIn profile, he advises on other blockchain projects including South Korea-based clean energy project CyClean and crypto mining project ETHernitymining.

Verdict

eInc is an ambitious project that has the wind of Ethereum’s network at its back. With its blockchain already launched and mining activity under way, eInc is miles ahead of many other projects that are pursuing ICOs.

eInc’s technology has the potential to be the answer to some of the chief criticizms of blockchain startups. BTCC Founder Bobby Lee has said that many startups aren’t blockchain companies at all and instead more closely resemble database companies. By providing the blockchain-in-a-box solution, eInc could validate blockchain businesses and make sure they’re using the ledger in the manner in which it was intended.

eInc plans to be listed on exchanges and asks that you follow them on Telegram for listing updates.

Risks

  • Forked digital currencies have a higher propensity for 51% attacks than the coins of the original blockchain networks like Ethereum. A complaint of forked coins generally speaking has been that they fail to reflect the ingenuity of an original network. (-1.5)
  • If startups fail to show an interest in the eInc platform, that would likely lead to the decline in value of the ETI coin. It’s unclear if there’s a pipeline of startups ready to sign up for the eInc blockchain. Based on the white paper, it appears eInc will begin inviting startups to use its platform in Q4 2018. They also have yet to partner with wallet providers. (-1)

Growth Opportunity

  • EtherInc has a live product and apps. They launched Mainnet (7 nodes) and Ropsten (3 nodes) test networks back in February 2018 and will be distributing MainNet ETI coins during the ICO. Many ICO projects have yet to develop an actual product at the time of the token sale and are relying on funds not yet raised to do so. EtherInc is several steps ahead in this regard. (+4)
  • Supports dApps that are running on the Ethereum network (+2)
  • eInc boasts a deep bench of talent in its management team and impressive advisory panel. (+2)
  • eInc appears to have a unique understanding of the hurdles that startups face, and its turnkey solution could enable more entrepreneurs to succeed in a decentralized world. (+2)

Disposition

We arrive at a score of 7.5 out of 10 for the eInc ICO.

Investment Details

  • Token Type: Utility
  • Platform: EtherInc Blockchain
  • Symbol: ETI
  • Pre-ICO: June 7 – June 15
  • Public ICO: June 25 – July 25, 2018
  • Token Supply: 997,528,142 ETI
  • Tokens Available for Sale: 450,000,000 ETI
  • Soft Cap: $ 1,000,000
  • Hard Cap: $ 22,000,000
  • Price: $0.10
  • Payment Methods: Bitcoin (BTC), Ethereum (ETH) and Litecoin (LTC)
  • Jurisdictions Banned: United States

Featured image courtesy of Shutterstock.

Author:
Gerelyn has been covering ICOs and the cryptocurrency market since mid-2017. She's also reported on fintech more broadly in addition to asset management, having previously specialized in institutional investing. She owns some BTC and ETH.
Comments

Leave a Reply