ICO Analysis: Gladius.IO
Gladius.IO is offering a decentralized solution to help protect people from DDoS attacks and accelerate websites.
Gladius.io is essentially an automated marketplace where users can rent out their spare bandwidth and storage to earn Gladius tokens (GLA), while also purchasing DDoS protection and content delivery services.
A DDoS (distributed denial-of-service attack) is basically an overwhelming flood of traffic on a website that originates from different sources, making it nearly impossible to stop block a single source to stop the attack. For any website owner, this is an absolute nightmare. It’s essentially the same thing has having a gang of people clogging up the front door to your store and not letting any legitimate customers walk through.
As a recent example, Bitcoin Gold, the latest fork in the Bitcoin network, experienced a major DDoS attack after launching its token.
In 2016, DDoS attacks cost companies around $150 billion, and corporations spend an average of over $5,000 a month on DDoS protection even though they never get attacked. Not only do DDoS attacks cost companies a lot when they happen, they also cost a significant amount just for protection.
DDoS attacks have already cost big names like the BBC, Blizzard Entertainment, and GitHub millions of dollars, with the average DDoS attack costing around $2.5 million dollars. Thanks to the October 21st, 2016 attack on a company that is responsible for a huge part of the Internet’s DNS infrastructure called DYN, sites such Twitter, Netflix, Reddit, and CNN were all shut down for an entire day. This single attack cost well over a billion dollars in damage and missed revenue
Over 1.2 Tb/s of malicious connections brought down this cornerstone of the internet. Sites including Twitter, Netflix, Reddit, CNN were all completely shut down for an entire day.
Additionally, if an unprotected company experiences a DDoS attack, the damage can cost the site owners days, weeks, or even months to try to reverse the damage.
That’s where Gladius wants to make an impact. Gladius aims to use the excess bandwidth and computing power (most of which goes unused) to create inexpensive pools of protection that are tailored to each client’s specific needs.
So, not only will companies be protected from DDoS attacks at a fraction of the cost, they would also be able to accelerate their content as well. Faster on-site content leads to higher user satisfaction and conversion rates.
Tokens (GLA) and Distribution
A maximum supply of 96,320,000 GLA ever be created, with the fixed supply being issued during the Token Creation. Upon issuance, the tokens will be immediately available to be used on the Gladius network prior to the public sale.
Max Sale Issuance: 68,000,000 GLA
Max Token Issuance: 96,320,000 GLA
Max Token Market Cap: $25,000,000
Max Market Cap: $41,000,000
Gladius will accept ETH for GLA.
Public Sale max: $12.5 million
Public Sale min: $2 million
Token Sale Max Coin Distribution: 68 million GLA
$4 million – Basic DDoS, CDN, and Load Balancing
$8 million – CDN File Upload
$12 million – 5 Layer DDoS Protection
$16 million – CDN Static Content Caching
$18 million – CDN Dynamic Content Caching
$20 million – Gladius App Store
$22 million – Layer 7 DDoS Protection
$24 million – Advanced CDN optimizations
$25 million – Advanced DDoS optimizations
The distribution of these tokens are as follows:
- Core Development | 40%
- Security | 20%
- Operations | 20%
- Legal | 10%
- Marketing | 10%
Out of the tokens,
- 10% of all GLA will go to the core founders.
- 15% will go the advisory, community, and marketing teams.
- 15% will go to operational costs, which includes bounty programs, day-to-day costs, etc.
The coins for the founding team will be locked for 18 months.
The Gladius whitepaper states that the majority of the fees go towards the person renting out their spare bandwidth and storage space (node owner), with a small percentage that goes towards support and protocol development. The fees are going to be denominated in GLA.
Interestingly enough, the Gladius Team started early in 2017 as a student team at the University of Maryland College Park. Gladius team members have significant experience in computer science, blockchain, and cybersecurity, making them ideally suited for this sort of venture. The team includes Max Niebylski, Alexander Godwin, Marcelo McAndrew and a handful of other members with experience in marketing, PR, and other cryptocurrencies.
As the following discussion illustrates, the author is bullish on Gladius. The ICO is perfectly timed, given widespread concern over cyber security.
- One can’t help but notice the youth of the founding team. I actually think having young team can be incredibly beneficial in terms of malleability and adaptability, and the team does have some experienced people on board, but the risks of inexperience associated are worth noting. -2
- The world has become more and more connected to the Internet, and hackers using DDoS attacks have no shortage of targets. +2
- This increased threat requires new solutions, and Gladius will be one of the most affordable. Most DDoS protection solutions tend to be very expensive, and offer varying degrees of success. +1
- Technology trends such as the Internet of Things broaden the number of targets for DDoS attacks, and the market seems to be consistently growing. +1
- There are huge government applications. Many people believe that if another global war should occur, cyber security will likely be at the heart of it. Having a solution that offers complete protection is something that would provide countries such as the United States a bolstered layer of security. +2
- Content delivery is a major factor in how consumers view websites. Today’s consumers expect instant gratification, and sites that aren’t to deliver what the consumer wants in a matter of 2-3 seconds could end up losing heaps of traffic. Gladius conveniently provides this solution in addition to its DDoS protection. +1
- It’s ridiculously easy to launch a DDoS attack. A mere payment of $5 can get anyone access to a botnet and start doing damage. For $400, you can essentially launch an attack on any site. There is no shortage of attackers, but there are limits to what the current protection services can do (or what the average company can afford). +1
We arrive at a +6 out of 10 for the Gladius ICO. I like how the tokens have an immediate application. As someone who runs multiple websites (thankfully no DDoS attacks yet), I could actually see myself as someone on the immediate consumer side for the DDoS protection, as well as content delivery, as well as the content delivery speed. I also think the team has the skillset and marketing experience to execute this project.
The Gladius ICO starts on November 1st, and can be found here.
If you are thinking about investing in Gladius, I advise you to do your due diligence and read through their whitepaper here.