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ICO Analysis: Etherisc



Blockchain insurance

The insurance industry is an old and traditionally minded industry, often plagued by conflicting interests between insurance policy holders and insurance companies.

Insurance companies sometimes have business models that are based upon doing everything they can not to pay out money to policy holders, and the policy holders are, as a result, often fighting frustrating battles with the insurer every time they submit a claim.

Etherisc is a decentralized insurance protocol that aims to “collectively build insurance plans” by offering common infrastructure, product templates and insurance license-as-a-service that allows anyone to build insurance products.

The incentive insurance companies traditionally have of withholding payments or making it difficult to submit claims is removed by giving power back to the people and cutting out the middleman. Instead, anyone can buy “tokenized risk” by holding the Etherisc token and earn returns on the risk they are taking.

The risk for token holders in this case is that they may see the value of their tokens go down when large natural disasters, hurricanes, fires, and similar events strikes, and the insurer need to make a pay-out.

The potential for savings in a model like this is obviously huge in that it can cut the large bureaucracy that characterizes many insurance companies today. These savings could potentially benefit both insurance buyers and token holders.

Etherisc’s white paper goes into great detail in many areas, and as a result it is not easy reading for anyone wanting to learn more about this token sale. Certain sections of the white paper also suffer from poor English writing and structuring which can make it difficult to understand.

In fact, the Etherisc white paper looks more like an academic paper than a typical ICO white paper. In our view, it still has a way to go when it comes to explaining their concept to the general public. Interestingly, it appears the team has addressed this issue and created a separate PDF called “What is Etherisc,” which is more easily digestible for anyone used to reading ICO white papers.

To make things even more confusing, there is a third document that also resembles a white paper called “Token Mechanics for a Decentralized Insurance Platform” available on the website.

We believe the team would benefit from putting all of these together into a single easily understandable white paper. This document should also include essential information about the token and token sale, which is now largely missing.


Etherisc is a company registered in Germany that is issuing a token that will be known as DIP on the Ethereum blockchain.

The DIP token will be used for transactions within The Etherisc Decentralized Insurance Platform, while the funds raised from the token sale will go towards development of the protocol and platform, as well as product launches into different markets.

When it comes to the token allocation, details are not easy to come by. We were not able to find any information about this on the website or in any of the 3 white papers that are available online. Eventually, we were pointed to a Google Doc by one of the company’s representatives on Telegram.

As stated in this document, only 30% of DIP tokens will be available to the public during the token sale. This is a really small share, which in our view challenges the idea behind decentralized platforms.

The overall token allocation is presented as follows:

DIP token allocation

The token price for early contributors will be $0.10 + up to 25% bonus with a high minimum investment of 10 ETH. During the main sale, the price will be $0.10 with no minimum investment.

Only non-accredited US investors are mentioned as barred from participating in the token sale. When asked about this on Telegram, the Etherisc representative stated that “some other countries might fail the AML check,” without offering further details.


The Etherisc team appears to be fairly large with lots of experienced people from a variety of industries. The team is also more senior than many other blockchain projects, which in our view is better than having a team of only young people with no prior work experience.

There are three co-founders on the team, each one with his own area of responsibility:

  • Christoph Mussenbroch, Protocol & Architecture
  • Stephan Karpischek, Ecosystem & Community
  • Renat Khasanshyn, Insurance Products & Revenue

All three co-founders have Etherisc listed as their employer on LinkedIn.

Etherisc team

Other than the three founders, there is also a large team of people with expertise in many different areas, including engineers, blockchain developers, PR staffers, UI designers, and insurance industry experts.

Most team members have listed Etherisc on their LinkedIn profile, which indicates commitment to the company and not just a lose affiliation (which so often is the case with ICO projects).

The team is also spread out geographically with people from lots of different countries.


With several working products, a large and experienced team, and an an industry ripe for disruption, Etherisc is in a better position to succeed than many other ICOs we have reviewed recently.

The team also appears to be in a good position when it comes to regulatory compliance with the authorities in their home base of Switzerland, which they claim to be in close contact with.

Despite this, we do have some concerns regarding the team’s preparedness for the ICO (or “Token Generating Event” – TGE – as Etherisc calls it).

Firstly, the many white papers that are published on the website make it difficult and confusing to find the information investor’s typically look for before investing. These documents should be merged and rewritten into a single easy-to-understand go-to resource for ICO investors.

Secondly, we are critical of the team’s decision to only make 30% of tokens available to the public through the ICO. Generally, anything less than 50% public ownership of tokens challenges our view of what a “decentralized” platform should be like.


  • Several long and confusing white papers with key information about the token sale missing. -2
  • Only 30% of the tokens will be available for sale, while a whopping 25% is reserved for the team and founders. This goes against the idea of decentralization. -4

Growth potential

  • Etherisc already has several products that either have been built or are under development, which is a very positive sign. The blockchain-based “Flight Delay Insurance” and “Hurricane Guard” are the best known among these. +4
  • The insurance industry is undoubtedly ripe for disruption, and the “tokenization of risk” is an interesting idea that could improve efficiency and lower the costs for all parties involved. +3
  • The team is large and experienced, and there appears to be a strong level of commitment to the project from the team members. +3


All in all, we agree that the insurance industry is a good candidate for disruption. We also like the idea of “tokenization of risk” and letting anyone participate and essentially buy risk in return for a profit. This way, there is a huge potential for savings and cutting down on unnecessary bureaucracy in the insurance sector.

However, we believe the team still has some work to do on the promotion and marketing side in order to make this ICO more understandable for the general public. All token sale details also need to be made available in one place, and the team should explain clearly their reasoning behind the token allocation model they have chosen.

Overall, we arrive at a score of 4 out of 10 for the Etherisc ICO.

Investment details

  • Token Type: Utility
  • Platform: Ethereum ERC20
  • Symbol: DIP
  • Pre-ICO: Currently ongoing (minimum early contribution: 10 ETH)
  • Public ICO: June 25, 2018 – July 23, 2018 (or until hard cap is reached, whichever comes first)
  • Token Supply: 1 billion
  • Tokens Available for Sale: 300 million (30%)
  • Soft cap: None
  • Hard cap: $30 million
  • Price: Public ICO: 1 DIP = $0.10. Pre-sale: Up to 25% bonus with one year lock-in period
  • Minimum investment: No minimum
  • Payments Accepted: ETH
  • Jurisdictions Barred from Participating: Only USA mentioned (accredited investors are allowed)

More information:


White paper:


Featured image from Pixabay.

Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term trading. The author has no investment in Etherisc at the time of writing.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

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4.3 stars on average, based on 34 rated postsFredrik Vold is an entrepreneur, financial writer, and technical analysis enthusiast. He has been working and traveling in Asia for several years, and is currently based out of Beijing, China. He closely follows stocks, forex and cryptocurrencies, and is always looking for the next great alternative investment opportunity.

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ICO Analysis: SmartContainers



Based out of Switzerland, Smart Containers aims to combine Internet of Things (IoT) sensors and blockchain to rent out airfreight containers used for food and medicine transportation that also track temperatures on the blockchain throughout the shipping process.

Maintaining the right temperature for things like food and medicine is crucial to protect against degradation of product. The integrated IoT sensors will also allow the smart containers to know who’s renting them, when the contract ends, and when to invoice a customer.

Smart Containers already is #4 in the business to business (b2b) global pharmaceutical transportation market with its product, SkyCell. The company has plans to introduce SkyCell in the consumer market as well, which is much bigger than the b2b market.

The company claims to have close to 100 patents, be 75% more reliable than the current market leader thanks to a less than 0.1% temperature deviation, and have the largest amount of blockchain-based IoT sensors in all of airfreight.

By building LOGI CHAIN, Smart Containers is building a mostly free, open platform for logistics companies and users, such as airlines, customs brokers, sea freight companies, and so on. LOGI CHAIN will provide additional services like payment and insurance through its partners, all paid for using LOGI. The smart containers will be completely autonomous, allowing for truly paperless logistics. Billing will be automated throughout the supply chain and through the use of cryptocurrency, transaction fees will be significantly lower.

Smart Containers has also entered the food transportation market recently through FoodGuardians, which is launching in Europe in 2018.


SMARC tokens will be used for profit sharing in the proceeds of SkyCell and FoodGuardians. 20% of Smart Containers’ future dividends as well as potential exit profits from its subdivisions like SkyCell will be paid out to SMARC holders proportionally in ETH according to the number of SMARC tokens in circulation.

LOGI is the utility token for LOGI CHAIN and will be used by parties in the ecosystem to pay for transactions.

There is a total of 150 million SMARC and 100 million LOGI.

Smart Containers is selling two tokens to raise a total of $40m.

120 million SMARC / 150 million SMARC will be offered in the ICO – pre-sale, private, and public phases ($36m). The remaining 30 million will be used to cover ICO costs and align interests of the management team.

Pre-sale was at the end of May and open to invited individuals and organizations. 49.3m tokens (41% of ICO amount and valued at $16m) were sold in the private, invitation-only pre-sale. Participants in the pre-sale bought SMARC at a 25% discount while those in the crowd sale can buy tokens at a 15%, 10%, and 5% discount (first third, second third, and final third of participants respectively). 12.8m tokens (10.66% of ICO amount valued at $5m) are available during the public token sale.

57.9m tokens, or nearly half the tokens for sale valued at $15m/$36m total, are offered in a private sale to institutional investors (red flag).

20 million  / 100 million LOGI will be sold in the token sale – pre-sale, private, and public ($4m). The rest of the tokens will be used for the LOGI CHAIN Foundation (50m tokens), Smart Containers Group foundation capital and ecosystem initialization (25m tokens), and bounty program and incentivizing of board members (5m tokens).

As with SMARC, LOGI pre-sale was held at the end of May and open to select individuals and organizations. Pre-sale saw 5.85m tokens (29.3% of tokens for sale or $1.25m) for sale to invited investors. Participants in the pre-sale bought LOGI at a 25% discount and those in the public sale can buy 3.9m tokens (19.5% of float) worth $1m at a 15%, 10%, and 5% discount (first third, second third, and final third of participants respectively).

10.25m tokens, more than half the float of LOGI or $1.75m/$4m , is for private, institutional investors (another red flag).

Proceeds from the sales of both tokens follow a 3-year allocation plan.

For the funds raised through the sale of SMARC, $15m will be used to scale Skycell, $13m for the launch and scaling of FoodGuardians, $3.6m for reserves and team compensation, $2.4m for marketing, and $2m for Smart Containers IT.

LOGI sale proceeds will be used as follows.

  • $1.55m initial IT development costs
  • $1.5m setting up and running the LOGI CHAIN Foundation
  • $0.75m marketing
  • $0.2m finances and fees

As of press time, $12.82m/$21m in SMARC tokens have been sold while $1m/$3.25m in LOGI tokens have been sold.

All investors have to pass AML and KYC verification.


CEO and Co-Founder Richard Ettl – worked at Bobst Group, a Switzerland-based, global leader in providing equipment and services to label and packaging manufacturers, before founding Smart Containers with Nico Ros

CTO and Co-Founder Nico Ros – as managing partner at ZPF, a Swiss engineering company, he worked with famous architects Herzog & DeMeuron to construct the most expensive buildings in Switzerland before founding Smart Containers with Richard Ettl

On the adviser side, two names stand out.

Oliver Bussmann, former CIO of UBS and SAP as well as President of the Crypto Valley Association (association that promotes development of Zug, Switzerland as a blockchain and crypto hub – Crypto Valley Association partners include KPMG and ConsenSys)

Michael Guzik, ICO Lead for Lykke and former Head of Blockchain & Manager of Digital Strategy at PwC


Though Smart Containers is a proven company, the need for an ICO is vague, especially for its utility token LOGI, and LOGI CHAIN is yet to be developed. These factors along with other risks (discussed below) make this an investment that requires proper due diligence.


  1. SMARC is definitely a security token since it grants token holders the right to dividends from Smart Containers’ profits. In its ICO FAQ, the company says that SMARC are not categorized as security tokens under Swiss law, but investors should be careful. -1
  2. LOGI CHAIN yet to be built. -0.5
  3. Very small amount of tokens available to public compared to private and pre-sale investors. -0.4
  4. Information on lock-ups or vesting vague at best (see “What is the vesting schedule for Team and Advisors token?”), -0.4
  5. No max contribution information. This along with heavy token distribution to pre-sale and private investors is worrying. -0.4
  6. Smart Containers whitepaper light on details about LOGI token utility and focuses a lot on the company’s accomplishments thus far, making it seem like a push for non-equity fundraising via the sale of SMARC tokens in an ICO. -0.2
  7. Competitors like VeChain, Walton, WaBi, etc. working on blockchain integration into supply chain scenarios and in the case of VeChain, have much more significant presence and partnerships (e.g. being incubated by PwC) already established. -0.2

Growth Potential

  1. Through SkyCell, the company is well-established, operational, and has revenues. In the Smart Containers whitepaper, the team claims customers like Roche, Takada, and Novartis. +3.5
  2. Skycell is partnered with large carriers like Cargolux and Emirates, already giving it an in in the industry. +2
  3. Even if the ICO is mostly for fundraising via SMARC tokens, if the tokens really give token holders the right to dividends, investing in them could prove profitable if the company does well, which is very possible considering its past and present performance as one of the leaders in the container industry. +3.5


  • Although the need for LOGI utility token isn’t clear, and the LOGI CHAIN blockchain solution has yet to be developed, investing in SMARC tokens could prove profitable for investors that want to benefit from the dividends of a leading container providing company.
  • Smart Containers receives a 5.9/10.

Investment Details

  • Type: Security, Utility
  • Symbol: SMARC, LOGI
  • Platform: Unspecified
  • Crowdsale: Now until June 30th, 6PM CEST
  • Minimum Investment: $500 USD
  • Price: 1 SMARC = $0.432, 1 LOGI = $0.285
  • Hard Cap: $40m ($36m SMARC, $4m LOGI)
  • Payments Accepted: BTC, ETH, fiat currencies via credit card including USD, EUR, and CHF
  • Restricted from Participating: USA and countries facing embargoes and sanctions from the US like Burma, Cuba, Côte d‘Ivoire, Iran, North Korea, and Syria.

More Information:

Smart Containers Website

Featured image courtesy of Shutterstock.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

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ICO Analysis: Ocean Protocol



Data has come into the public spotlight recently with scandals like Cambridge Analytica making everyone more aware of the implications of data and just how valuable it can be, both for consumers and corporations.

However, it might surprise you to learn that most data in the world goes unused.

According to Ocean Protocol’s whitepaper, only 1% of the world’s data gets analyzed. Moreover, as society continues to go digital, more and more data is produced every year.

In 2010, the world produced 1 zettabyte (ZB) of data. That’s 1,000,000,000,000 gigabytes (GB) of data. To put that into perspective, a standard iPhone X comes with 64 GB of data. 1,000,000,000,000 / 64 = 15.6 billion iPhone Xes worth of data.

That figure might seem like a lot until you consider the fact that in 2016, the world produced 16 ZB of data and will produce more than 160 ZB by 2025.

So if only 1% of the world’s data is being used, that’s a lot of data that sits dormant.

Some accused Cambridge Analytica of using data from Facebook to influence elections. If that’s true, data can be used for truly significant purposes, good or bad.

The Emergence of Artificial Intelligence (AI)

While data in itself is a huge industry, AI is also an emerging industry that is set to impact every part of the economy in the coming years.

By 2025, revenue from AI will hit $60 billion.

However, AI needs data to be accurate. And given that most of the world’s data is unutilized, that means AI is being held back from its potential. Its only companies with enormous caches of data like Facebook and Google that are really pushing ahead in the AI industry.

Why Data is Underutilized

Data is being underutilized because sharing data amongst parties currently suffers from a number of challenges:

1) Centralized hosting

2) Cost (transaction fees, commissions, etc).

3) Lack of flexible pricing mechanisms (E.g. for building apps, model training)

4) Lack of audit trial for compliance purposes

5) No control over data usage once data supplied by providers

6) Lack of frameworks for consent, trust, and regulation

7) No way to track data usage for royalty pricing models

Ocean Protocol: A Decentralized Data Exchange for AI

Ocean Protocol wants to enable the exchange and sharing of data that could be put to use for AI development and other purposes.

The market for data will be two-sided between Data Providers and Data Consumers.

Data Providers earn Ocean Tokens (OCN) by providing data while Data Consumers pay OCN to providers for valuable data.

Providers can set data pricing via Ocean Protocol to prevent problems like vendor lock-in, choose from various pricing models, control who buys their data, see who has worked with their data, set different usage models (one-time, limited time, continuous), and sell their data without revealing it.

On the other hand, consumers benefit from transparent pricing, clear usage guidelines, previews of data before purchasing, choice amongst different data providers, data quality and reputation reviews, and tracking of data that has been bought and used.

OCN can also be earned by curating data, becoming a data marketplace that interfaces with Ocean Protocol, and providing network services like validation, verification, and storing the network’s blockchain.


OCN’s total supply is fixed at 1.41 billion OCN.

Network service providers like validators earn OCN, which has a block time in seconds.

The token’s supply will be allocated as follows.

45% Network Keepers (block rewards for storing the blockchain and validating transactions) and Data Providers

25% Token Purchasers – goes towards funding Ocean Protocol’s development, partnerships, nurturing key customers as well as providing liquidity. 10% of this amount will be held in reserve for a possible secondary token sale.

20% Founding Team – used for core protocol, development of network and software, business development, community support, marketing.

10% Ocean Protocol Foundation – used for building community and ecosystem using bounties, grants, partnerships, and rewards.

50% of block-rewarded tokens will be released in 10 years.

Founding team and Ocean Protocol Foundation tokens will be released in six equal portions over the course of five years, beginning in the end of 2017.

Twenty-five of the total OCN supply will be sold to investors in four phases:

1) Seed

2) Pre-Launch

3) Network Launch Distribution

4) Secondary Token Exchange (potential)

Fifteen percent will be distributed during Seed, Pre-Launch, and Network Launch Distribution phases.

There will be another 10% potentially distributed during a secondary exchange if additional liquidity is needed or additional funds are needed to build the Ocean Protocol community. Otherwise, these tokens will be burned, distributed proportionally to OCN holders, or sold by Ocean Protocol on exchanges on a publicly announced schedule.

All purchasers of OCN have to be whitelisted.


The Ocean Protocol team brings a lot of experience to the table.

CEO Bruce Pon spent years at top companies like Accenture and Daimler AG as a consultant and project manager before founding his own consulting, data, and blockchain-based companies.

Overall, the team has deep experience in big data, blockchain, AI, and data exchange and has done things like calculate gravity assisted trajectories between Earth and Mars, built a dozen global banks, managed operating budgets over $30 million, and more.

Companies, institutions, and organizations that the team is or has worked with include MIT, Cisco, Oracle, Microsoft, IBM, Google, Ernst & Young, and more.

Pon and other core members founded BigchainDB in 2014. BigchainDB will develop Ocean Protocol and has already created things like, a way for creators to track intellectual property on the blockchain, WhereOnThe.Net, which tracks the spread of creative works, IDPB, the Interplanetary Database or a shared global database, ImageMatch, machine learning-based image recognition, and more. Clearly, it isn’t their first rodeo when it comes to things like blockchain, data, and AI.

DEX Pte. Ltd. is also working on developing Ocean Protocol and was a lead partner for Data City : Data Nation, a partnership amongst Singaporean and British corporations and governments to work on data exchange by providing common regulatory and governance frameworks.

Singapore, which has shown its hostility towards crypto at times, is the lead government partner for Ocean Protocol. Singapore wants to become the hub for data sharing and is working with Ocean Protocol to achieve that goal.


Though Ocean Protocol has a promising premise and team with lots of relevant experience, lack of a working product and significant partnerships makes investing less desirable.


  • No working product (-2)
  • Many other competitors like Enigma, Datum, Dentcoin, Streamr, and more, some of which have working products. (-1)
  • No other significant advisors or partnerships besides Singaporean government that could boost the spread of Ocean Protocol. (-1)
  • No hard cap announced for Network Launch Distribution round. (-1)

Growth Potential

  • Data sharing and AI are huge growth industries. (+3)
  • Team has lots of experience, especially in relevant fields, such as blockchain, data exchange, and AI. (+3)
  • While competitors may be focusing on specific use cases, such as “data marketplace for advertising data”, Ocean Protocol is more of a platform, and platforms, e.g. Ethereum and NEO, have done well in the past. (+2)
  • Pre-Launch round had an equitable token distribution with a max contribution of 1250 euros – helps prevent dumping by whales. (+2)
  • Long vesting periods to prevent dumping. (+1)


It might be better to pick up some OCN post-ICO or if and when the project is more proven in terms of a working product and partnerships. Moreover, Network Launch Distribution details have yet to be released, which could have an influence on investment potential as well.

Ocean Protocol receives a 5/10.

Investment Details

  • Type: Native Token
  • Symbol: OCN
  • Platform: Ocean Protocol
  • Crowdsale: Network Launch Distribution date unspecified
  • Minimum Investment: Unspecified (Network Launch Distribution)
  • Price: Unspecified (Network Launch Distribution)
  • Hard Cap: 25m euros (Seed and Pre-Launch), Unspecified (Network Launch Distribution)
  • Payments Accepted: ETH
  • Restricted from Participating: not specified but their Ocean Tokenomics article makes it seem like it would be open to even un-accredited US and Canadian investors (see “Lock-Up”)

For more information:

Ocean Protocol Website

Featured image courtesy of Shutterstock.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

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ICO Analysis: Harmony



As of today, there are no blockchains in existence that can scale to the needs of 5G technology and the internet of things. According to this Huawei article, to meet the requirements of 5G you need 100 billion connections, 1 ms latency and 10 Gbps throughput.

New startup, Harmony Protocol, aims to be the first to meet these requirements by redesigning the public chain with top performance and physical locations, which will scale blockchain to 10 million transactions/second and 100-millisecond latency, and at no more than a 0.1% fee.

Let’s pause here. A lot of people are about to skim over the rest of this analysis, thinking it’s just another ICO promising the world. And to be honest, few of us are technical enough to know if what Harmony promises is doable. What I can tell you after looking deep into this company is these guys are “THE REAL DEAL HOLYFIELD”, and this project has the “potential” to be a top 5 token for all of crypto.

Harmony will try to bring 1,000x speed and capacity to the next generation of the decentralized economy, enabling open marketplaces for 10 billion people and 100 billion devices. They plan to do this by proposing linear scaling over network nodes and machine cores using OmniLedger and Rust. These innovations together will bring a 1,000x breakthrough to the scaling transaction rate.

Omniledger Byzantine protocol is a secure, scale-out, decentralized ledger via sharding. It currently does 13,000 tx/sec and 1.5 sec latency with 1,800 hosts.  The protocol has the following principles and optimizations for scaling.

  • Atomic shard commit: Each shard uses O(log n) multicast tree-based BFT to unanimously accept cross-shard transactions with O(1)-size coordination.
  • Gradual transition Sybil resistant identities to maintain liveness when swapping. A sliding window from a fixed permutation to ensure ⅔ honest majority.
  • Pruning checkpoints State blocks for storage and bootstrapping against Byzantine DoS. Multi-hop, collectively signed back -pointers, 100x space savings.
  • Parallelizing blocks Acyclic graphs to capture transaction dependencies transitively. This divides each shard into groups to replace faulty nodes with a view-change.

A few of the most interesting features Harmony will offer are Location Oracles, Decentralized Maps and an AI data marketplace. These things will allow new innovations to move from imagination to reality, including:

  • Community content: Long-tail features, incentivized games, #pokemom, augmented reality and IoT w/ GPS data.
  • Smart cities: Autonomous vehicles-, ~1,000 self-organizing swarm robots with driven mission.
  • Privacy: Preserving Multiparty computation, #deletefacebook, homomorphic encryption.
  1.  Location Oracles: Nodes must be able to independently verify an oracle’s consistency so that it can effectively serve as authenticated data feeds. It is a challenge to integrate smart contracts with oracles that serve as authenticated data feeds. The team studied Crux: Locality-Preserving Distributed Systems for optimizing routing and for exposing network topology. This can take the GPS signals of mobile or IoT devices as proof of location in applications.
  2. Decentralized Maps:  Maps for geocoding and points of interest can be a showcase for decentralized applications in the real world. A good starting point for building decentralized maps on Harmony can be augmented reality games with incentives like Pokémon. The competitive advantage of decentralized maps is the long-tail, community-specific content. For example, a school can mobilize all of its staff to map out its buildings and playgrounds in a day; any student or organization can then build games and events on top of the location data without coordination.
  3. AI Data Marketplace: Harmony will also serve as a high-volume data marketplace and optimize its machine learning performance. It will follow blockchain-based machine learning marketplaces to build a new decentralized economy based on data.

Harmony also explores the design space and the scaling of smart contracts. It designed a new programming language called Min, and built a prototype compiler to demonstrate its ease and security, It compiles Min directly to machine code, eliminating the common dependencies of libraries or system tools. Currently, the compiler bootstraps itself in x86-64 instructions and supports development in Mac OS. In an unpublished repo Min also compiles to Java VM without any third-party tools.

The company has the following message:

“Computers automate tasks, Internet delivers information, smartphones bring mobility at almost no cost. Harmony will bring the next revolution of the decentralized economy to the masses, in which enforcing transactions and contracts is essentially free. Harmony will enable disintermediation of trust where anyone can create businesses without a central authority. For example, all 10B people can vote on a bill in 17 minutes; or, organization resources can be efficiently re-allocated every second.”


The token model of Harmony aims to build a sustainable platform with help from decentralized developers and aligned investors, balancing the long-term commitment of development with the tiered incentives of investment.

The distribution is as follows:

  • 40% Community and Developer
  • 28% Foundation and Research
  • 20% Sales and Floating
  • 12% Founder and Team

For details on token lockup periods and incentives check out page 20 of the whitepaper.

The use of proceeds are outlined below:

  • 40% tech development of protocol platform
  • 20% Community Engagement and developer programs.
  • 15% Business Dev, Marketing
  • 10% Operations, Equipment, Cloud Servers
  • 10% Collaboration with Academic Research
  • 5% Legal, Finance


The team is the reason we decided to run this analysis early before all the info was available. Readers need to know about this stacked group of elite techies.

Stephen Tse: is the project founder. His past experience includes: research at Microsoft Research, senior infrastructure engineer at Google, principal engineer on search ranking at Apple. He founded the mobile search Spotsetter with institutional venture capital; Apple later acquired the startup.

Alok Kothari has experience in deep learning models for natural language understanding at Apple Siri. His research paper won the best data set award at ICWSM 2013.

Rongjian Lan is an infrastructure engineer for Play Store at Google. He has published more than ten academic papers on spatio-temporal querying and map-based visualization. He is the co-chair of ABC Blockchain Foundation with 100+ engineers from Google, Facebook and LinkedIn as members.

Hakwan Lau is a Rhodes Scholar that specializes in neuroscience and machine learning. He was an associate professor at Columbia University and has published 90+ papers in peer-reviewed journals.

Trausti Kristjansson, whose previous experience includes stops at Microsoft Research, IBM Research and Google Research, founded full-stack startups and led PhD engineers at the top of their field as an Engineering Director.

Team member Bruce Huang served as engineer lead at Microsoft for seven years, a director at Alibaba Cloud and at Credit Ease. Later, he was the CEO of Madailicai, a top peer lending company in China.

Nicolas Burtey founded a VR video startup in 2012 that grew to 40 people and raised $10 million. Orah served the needs of thousands of professional content creators in 70 countries by selling GPU-driven live stitching software and 360° camera.

On top of that, Harmony has six extremely impressive advisers/collaborators. Check them out here. Below we highlight two project collaborators:


I’ve watched more than a few conspiracy theory videos on YouTube. I know about Bilderbergers and The New World Order. This team has Illuminati written all over it. Hakwan Lau is a Rhodes Scholar for shit’s sake.

Hakwan’s latest science paper was called, “What is consciousness, and could machines have it?” At Harmony, he is exploring the connection between probabilistic consensus protocols and brain communication. He’s also studying “privacy-preserving modeling of mental patience’s data on blockchain.”

The whitepaper lists Harmony Protocols’ closest competitors; EOS valued at $14 billion, Zilliqa valued at $700 million, Hashgraph at $300 million, Thunder $100 million, Dfinity $100 million and Kadena at $12 million.

These valuations show just how important scalability is to the market. It’s everything right now.

Harmony has yet to announce its hard cap. Word on the streets is that it will be around $40 million. That’s massively less than the rest.


  • The token model is unsettling. Twenty-one billion tokens is a massive number. They do not give details on the utility uses of the token yet. It looks like there will definitely be staking nodes which means inflation. -1.2
  • A good question in their Q&A section was, “If OmniLedger is 13,000 tx/sec, how does Harmony make the leap to 10M tx/sec?” The answer: “Our further boosts to 10M tx/sec might come from: 100x more nodes (including light clients), 10x network (1Gb and 20ms world round trip with backbone relay), and 10x manycore graph processing.” So in order for Harmony to scale like they say they can, it will require community node participation. The more nodes go onto the chain, the faster it will transact. Growing their community to that scale will be very tough. -2
  • They aren’t doing a public ICO as of right now. So far they raised $18 million in a private seed sale. The whitepaper only mentions this in regards to further sales: “2018 Q4- Raising $?M as the final private token presale”. -1
  • No Telegram or community yet. Its still early, but still – they collected seed money already. -1

Growth Potential

  • Protocols that host DApps do really well. This one has innovative Location Oracles and Decentralized Maps. +4
  • They designed their blockchain with the 5G network in mind. The sky is the limit if they become a major player in 5G blockchain protocols.+2
  • A subproject of Harmony is a new programming language for writing smart contracts in an easier and safer way. Memory management requires enormous development effort or it dominates run-time cycles. According to the company, “Min’s innovative type inference automates ownership annotations in a region-based memory model, so code remains at a high-level abstraction without the complexity of a garbage collector.”+1
  • They plan on integrating the following aspects of a consensus protocol: scripts and contracts, fairness and efficiency (anti-pooling, proof of useful work, proof of stake), security and privacy (multi-signatures, attack models, verification) and off-chain and edge clients (Lightning, IoT)+1
  • This 2018 roadmap/chore list is strong. +2
  • Team is absolutely outstanding.+3


This is a crypto investors wet dream. A team of ex-Apple and Googlers building a protocol for DApps that promises to scale the Decentralized 5G Economy to 10 billion People. Its a shame they won’t let the public buy into the sale easily. Guess we have to wait.  7.8/10

Investment Details

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4.3 stars on average, based on 22 rated postsJoshua Larson is also known as the "Bullshit Man" for his ability to spot it a mile away. Avid ICO researcher and contributor. Former professional poker player/backer. Spent 10 years analyzing hand history, stats, and player data. Discovered blockchain in late 2016, and never looked back. He now uses his analysis skills to investigate ICOs full time. What a perfect match, because in today's crazy world of ICOs, information, passion, and diligence = dollar bills!

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