Connect with us

ICO

ICO Analysis: ICON (ICX)

Published

on

ICON is another project that aims to interlink various blockchains, and allow for transactions to be hyperconnected between said blockchains. This is the primary purpose of it, but it can serve other purposes, including identity verification through the blockchain and payment rails. ICON will be one more effort at making the blockchain as easy as possible for new people coming in, and we believe there is no shortage of room for such projects.

// -- Discuss and ask questions in our community on Workplace.

From the top, we like the presentation of ICON, we think it will probably be an interesting offering over time. Nevertheless, it requires an intrepid investigation before we can say whether something is worth investing in or not.

ICON is inspired by Gilles Deleuze and Felix Guattari’s rhizome –“the world with no center point and the world where any point is a mere connection to other points.” ICON is a connector of disparate cryptocurrencies with different blockchain governances, and furthermore, a connector of the crypto world to our real world. ICON embraces the new and the unfamiliar,the principle of radical inclusion –accept new ideas and decisions made by the new republic established by ever-changing crypto-to-real world connections.

There will be five components of the ICON network:

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //
  • Community
  • Community Node (C-Node)
  • Community Representative (C-Rep)
  • ICON Republic
  • Citizen Node

All of these elements will work together to enable essentially seamless use of the blockchain. In practice this will mean that in some cases, people will have no knowledge or need of knowledge of which blockchain they’re actually interacting with.

The ICON Project began with the goal to enrich our everyday lives through “connection”. The history of mankind’s technological innovation is related to our history of connection. The creation of postal service made it possible to connect each other’s thoughts without having to physically meet. Telephones made it possible to connect each other in real time regardless of the distance, and wireless communication added freedom of mobility. And with the advent of the Internet, real-time connection to everything, not just people, has become possible anywhere in the world. Despite these breakthrough innovations, today’s level of connection is still not perfect. With the ICON Project, we are now moving closer to a more seamless connection.

A lot of complex terminology is used in the whitepaper, but what it adds up to is a form of atomic cross-chain blockchain interactivity with some added benefits. As a side benefit to this functionality, blockchain identification across chains would also be possible. This is an interesting offering, and may prove to have some utility regardless of the rest of the project.

ICON Republic is supported by loopchain. ICON Republic is designed to connect various communities both in the real world and crypto world, so that it adopts the consensus algorithm that allows real-time transaction processing. ICON Republic has governance which is different from that of each community, and operates on LFT (Loop Fault Tolerance) consensus algorithm.

Some cursory research revealed that Loopchain is a “high-performance blockchain” which:

[blockquote] supports quick, fork-less consensus through LFT,Loop Fault Tolerance , which supports BFT, Byzantine Fault Tolerance. In addition, faster consensus becomes possible by putting multiple nodes with mutual trust into one group based on LFT. It is also possible to freely set the number of votes allocated for such group/node, which allows the establishment of various consensus system.

ICON uses a Bancor-like function to guarantee the liquidity of transactions:

DEX sets currency reservesto provide exchange ratio in Community and ICON Republic in order to facilitate exchange values in real time based on that ratio. When it comes to the connection of Community that cannot reach a consensus in real time (e.g. Bitcoin, Ethereum, and Ethereum-based Cryptocurrency), the agreement within ICON Republic issuspended until consensus is completed.

ICON is far from the first project to seek to do what it is doing, but as we’ve said multiple times in this column, we believe there is room for many projects to flourish in the blockchain revolution. So while Chainlink may perform some of the same functions that ICON could be, and others may perform all of the functions of both in the future, we think they’ll all do just fine in spite of each other.

ICON Token

The token will be called ICX and it will be one of many that can be transacted in the system. If the reader is interested in the detailed complexities of the ecosystem, they’ll have to consult the whitepaper themselves. This analysis is meant to assess the potential profitability of investing in this token and ICO.

Token holders who actively participate in the ICON system will be able to earn more tokens as a reward for more participation. The token will be necessary to perform various types of transactions within the network, like most of the token schemes that will work. The work required to actually earn more tokens may be more than most traders would be willing to invest, so we then must calculate on the actual base demand for the tokens.

About 50% of 400,230,000 ICX will be released to the public, with 16% held in reserve and another 34% being distributed among the team. We don’t like both the high distribution for a highly technical concept as well as the high number of tokens held back. Additionally, we feel that a target of roughly 150,000 Ethereum is not very high. 150,000 / 200,115,000 = around .00075 Ether per token to start with. This means that the savvy trader would have to time his exit perfectly to safely trade here. We’re not sure it will work out for anyone, but we can see the token’s potential growth. We think there is a great deal of learning involved in full network participation, and that this can be a problem.

ICON Team

One thing that ICON has going for it is a large team, and a wide range of advisors, presumably each with a range of connections which will be helpful in getting the technology out into the world. A predominantly Asian team, product development is lead by YG Lim, whose biography says he is working on a number of other blockchain projects as well.

We think that what ICON’s team lacks in name recognition, it makes up for in numbers. We think they’ll be able to carry it off, and that more talent will be attracted to the technically large ambitions of the project.

ICON Verdict

Ultimately, we think that big ideas like ICON will have to fund somehow, but that later developments will be crucial to actually generating demand for the token. We think that tokenization is, however, perfectly suited for this type of technology, and applaud their apt development of a high performance blockchain that interacts with the Ethereum blockchain. We’ve seen other efforts come about, and we’d like to see more. The better the technology that underpins the blockchains of the future, the more likely we are to prosper as a whole.

Risk

  • For average investors, we see a lot of risk in holding this token, primarily because it will have no use to you without having someone to sell it to. -2
  • We worry that the technology aspect of this project may yet be undercooked. -1
  • The high supply of this token doesn’t help much – a lot of companies will be needing to use the blockchain services offered in order to generate real demand here. -1

Growth Potential

  • When this thing takes off, we think it will get big. So while probably not great in the short term, we think a long-term proposition here, and in spaces like it, would likely pay off. +3
  • Developers will be interested in ways to build cross-chain applications, especially as more tokenized systems come to fruition on various platforms. We foresee a future in which the base layer doesn’t matter – we can see more operations like AdEx, which intends to work on both NEO and Ethereum – happening. We think that as more platforms are built on Ethereum, newer platforms will in turn offer access to them from others. We think that this type of technology will lay the groundwork for such developments. +3
  • If a few large companies have interest in building on this platform, they’ll gobble up large amounts of the tokens in order to ensure they have a stable price to base operations from. +2
  • When the general momentum for blockchain picks back up, highly technical projects like this will benefit just by nature of being blockchain-related. +1

Disposition

We come to a 5 on ICON. We think you can make money if you pay close attention, and that you can earn tokens if you’re of a mind to invest the time. But ultimately, we think this one will need some runway to fully mature and realize the full value of the token. Demand from firms that want to integrate with the ICON’s various functions, which are many and at first hard to understand, will have to develop before the token’s value will be too high – but an ICO rate of around .00075 Eth makes it a tempting play.

Investment Details

A pre-sale will open up on Sep. 20 at 13:00UTC at https://m.icon.foundation/en

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.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
1 vote, average: 5.00 out of 51 vote, average: 5.00 out of 51 vote, average: 5.00 out of 51 vote, average: 5.00 out of 51 vote, average: 5.00 out of 5 (1 votes, average: 5.00 out of 5)
You need to be a registered member to rate this.
Loading...

5 stars on average, based on 2 rated postsP. H. Madore has covered the cryptocurrency beat over the course of hundreds of articles for Hacked's sister site, CryptoCoinsNews, as well as some of her competitors. He is a major contributing developer to the Woodcoin project, and has made technical contributions on a number of other cryptocurrency projects. In spare time, he recently began a more personalized, weekly newsletter at http://ico.phm.link




Feedback or Requests?

2 Comments

2 Comments

  1. XynDigital

    September 17, 2017 at 11:52 am

    How is this any different to what ethereum can do, this is why I am getting more and more annoyed with tokens.. and ICO’s.

  2. DeadDuckWalking

    September 17, 2017 at 4:34 pm

    Why would anyone compare this to ETHEREUM? ETHEREUM is more of an infrastructure and ICON is a set of services using that platform.

You must be logged in to post a comment Login

Leave a Reply

ICO

ICO Analysis: Emanate

Published

on

Perhaps the most glaring use case for blockchain and smart contracts is the music industry. This new technology could easily disrupt the entire billion dollar industry. It’s no wonder numerous startups are rushing into blockchain to carve out their nitch. New ICO Emanate (MN8) believes they have an edge on the competition by building their platform on EOS instead of Ethereum.

// -- Discuss and ask questions in our community on Workplace.

Emanate is a music creation and collaboration platform that allows creative artists the tools to rightfully, and legally monetize their works via smart contract. Brought to us by Pedro Colaco, creator of the world’s leading cryptocurrency streaming platform, Dsound, Emanate will be one of the first apps on the EOS platform.

“With Dsound as our proof of concept on Steem, and some investigation on Muse we have settled on EOS as the best platform to commence build of our production grade platform. EOS covers decentralised storage, ultra fast processing, no transaction fees, and smart contracts. Furthermore we believe that those involved in EOS have the right vision for blockchain technology and we relate strongly to the ethos.”

MN8 is designed to reward creators, producers, distributors and influencers in the music industry ecosystem. According to the company:

“For fans and listeners, Emanate is positioned as the very best place to hear the latest new sounds, to discover the biggest new tracks first, and to earn cryptocurrency in exchange for musical influence and following.”

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //

Emanate offers six key components for listeners and creative artists:

  1. Web App: The first feature to be released, Web App allows music producers to seal their work with “Smart Collaboration” then publish it on the platform. Music lovers will discover the original content, create playlists and follow their favorite artists. The artists and anyone else involved in creating the song will be programmed into the smart contract so they can receive their fair share of listening royalties. Tracks created on the Emanate platform will be instantly published for discovery and monetization via listener playback, collaboration with other artists and commercial licensing. Listeners can also earn MN8 tokens in exchange for playlist creation and sharing.
  2. Smart Collaborations: The blockchain smart collaboration layer will launch day one of the Alpha release. Each time two artists share some audio, an agreement is executed on the blockchain. This is the backbone of the Emanate ecosystem which is used for royalty calculations and artist payments.
  3. Mac and PC Studio Apps: Used by music producers for track management and sound discovery, studio apps may become nodes in the content network. It will allow streamlining of the music production workflow, leveraging files stored locally on your hard-drive, with IPFS-based Emanate samples.
  4. Digital Audio Workstation (DAW): Emanate will fully integrate with DAW. Sounds, samples and track packages that are shortlisted in the discovery apps will appear in the DAW file browser to be queued and auditioned for tracks. Plugins will be released which will bring Emanate sounds and collaborations directly into the DAW, removing file downloads completely. The journey from sound recording to full track release will now exist in a frictionless, Emanate based workflow.
  5. Audience Attribution: Proprietary algorithms will ascribe ownership to rightful creators and will help identify and reward unique music.
  6. MN8 audio exchange protocol: Emanate Live is built on the MN8 AEP, so new protocol releases will be realized as the platform evolves. They will launch an open source API and SDK development program, allowing the entire music industry to access the ecosystem and leverage its power and interconnected system.

A series of audio-recognition algorithms will ensure only unique, high-quality audio makes it to the platform. Another audio analysis process will look for copyright violation and Emanate will not only protect artists from fraud but will also reward and incentivize musicians for the creation of unique music.

Token

MN8 is a utility token that actually offers utility. Here are the guidelines:

  1. MN8 will need to be staked on the platform in order to run a record label.
  2. MN8 is required for artists and/or labels to publish ‘official’ releases to the platform.
  3. All accounts (listeners, artists, labels) will require a balance of MN8 in order to stay active.
  4. Listener accounts are debited micro-payments as payment for their plays.
  5. Record labels will need to hold a significant amount of MN8 as a deposit in order to receive royalties from their artists.
  6. Emanate tokens will also be used to process transactions and licensing agreements off the Emanate Live platform via the Audio Exchange Protocol.
  7. Listeners can also earn MN8 tokens in exchange for playlist creation and sharing.
  8. Each Emanate application can operate as a node on a studio computer, generating even more value for holders.

The token will be launched on the EOS platform but selling will take place via Ethereum ERC-20. The private sale consisted of 19 million MN8 tokens, which were sold at various prices. The public sale will consist of 88 million units at a price per token of $0.12.

In terms of allocation, the breakdown is as follows:

  • 10.5% marketing
  • 10.5% overhead
  • 10.5% events/PR
  • 5.3% legal
  • 63.2% platform development

Team, adviser and partner tokens are vested over 18 months with 25% unlocking at the end of the token sale and 25% every six months thereafter until 100% is reached.

Accounts/airdrops will be completed at some stage in future to attract new users to the platform

Team

The group of mostly Australians seem pretty solid and better than average. They have a fair amount of hype despite being so early in their marketing plan.  The Telegram and Twitter each boast 4,000 followers.

Reis Colaço (CTO/Founder) is a full stack developer with 30 years’ experience. He is the creator of Dsound, a popular music app build off steemit.

James Frew (Industry Relations Director/Founder) produced, engineered, remixed and curated for Evolution Radio, BBC 1XTRA, KIIS FM and 2DAY FM, Tommy Trash, A-Trak, The Stafford Brothers, Gryffin and Marquee Las Vegas. He has scored film placements for Magic Mike, Trophy Wife, Persons of Interest and the Bold Type.

Sean Gardner (CEO/Founder) spend a couple years as head of technology with DDB Group Australia, a rather large advertising agency.

Trent Shaw (CFO/Founder) has 15 years experience in online technology. He worked as a sales manager  for eBay and served in various roles at other top technology companies.

The team is in the process of appointing experienced professionals in the Digital Rights Management space to help us contribute positively, fairly and legally to the world of Digital Rights Management.

Emanate is assembling a team of artist ambassadors, lead by Jordy Dazz and Thomas Olsen who alone have over three million followers on their social media and music accounts.

Ten advisers, three Territory Influencers, and four partnering artists round out the team. The advisers are a mixed group of seriously well-connected people. One of whom, Michael Trainer, co-founded Global Citizen Festival which raised over $1 billion for charity over three years and hosted Coldplay, Jay Z, Rihanna and hundreds of other massive superstar acts. He is connected to a lot of people in both the tech and entertainment space and is making Emanate introductions to VCs, artists management companies, EOS Foundation, tech partners and various artists.

Learn all about them here.

Verdict

Smart contracts and music go together like peas and carrots. Manufacturing, distribution costs and unfair royalty percentages are all a thing of the past on Emanate. The music technology platform they are building places creative artists, fans and effortless collaboration at the center of its ecosystem, allowing for smart contract creation and precise royalty distribution.

 

Risks

  • Perhaps they were just waiting for EOS before making a detailed plan, but the roadmap just says “Beta Launch 2019 and Production Release 2020.” EOS gives them a chance to be front-runners, would it be nice to see a lot of goals and deadlines to motivate the team to work as quickly as possible. When asked about analytics for owners/promoters/third-parties, as well as the SKD, the mod responded, “Yes for sure, probably more towards maturity as analytics is quite complicated on a decentralized network. The API/SDK part of our project is further down the roadmap.” -1
  • Competition is fierce There are already at least five crypto related music projects. -1
  • Trying to get this out to the masses cant be cheap. They will raise about $15 million. That is going to have to stretch. -1
  • 9.6% of the supply going to bounties/account/airdrops seems too much. Perhaps it will prove to be a good marketing strategy, but for now it is a risk. -0.5

Growth Potential

  • CTO Pedro Colaco created Dsound, the No. 1 music streaming platform in crypto, which gets 134,000 visits a month without any marketing. This proves the demand for this product is here, and that the team is capable of producing. +3
  • When the Emanate platform is ready for beta launch and hosts hundreds of thousands of unique tracks, Emanate will give away 1 million free trial accounts which will be pre-loaded with an MN8 balance. This will be a key moment for Emanate taking us from the stage of early adoption to mass awareness in a matter of months. +1
  • There are many utility uses for the token. including nodes and staking. +1
  • The EOS blockchain has the potential to scale much faster than Ethereum. Since Emanate is the front-running app on  EOS, that gives it a tremendous head start vs competition.+2
  • Partnerships , and networks. They have 10 Advisors, and several talented artists and influencers on their team. The experience and connections are stronger than most startups.+2

Disposition

Out of all music related blockchain start-ups, I believe this looks the most promising. 6.5/10

Investment Details

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.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
0 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 5 (0 votes, average: 0.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.1 stars on average, based on 10 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!




Feedback or Requests?

Continue Reading

ICO

ICO Review: Senno

Published

on

Senno is a NEO-based blockchain for sentiment analysis that includes an open API for third-party apps. Sentiment analysis consists of reading through mounds of user-generated data on sites like Twitter and Facebook to determine whether a certain topic has a positive or negative view in the community. You can use this data for anything from determining brand awareness to forecasting stock prices.

// -- Discuss and ask questions in our community on Workplace.

Right now, there are a couple of major problems with traditional sentiment analysis systems:

  • Expensive. It requires an intensive amount of computing power to scan web pages and analyze the data.
  • Untrustworthy. Like other centralized systems, a lack of transparency may lead to data manipulation.

By bringing sentiment analysis to the blockchain, Senno provides an inexpensive solution with no need to trust a centralized data store. Let’s dive into how it works.

The Process

The Senno process begins with data collection. The platform’s data listeners collect information from popular channels such as blogs, YouTube, and other social media.

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //

From there, Senno assigns the data channels with a reputability score using the NEO digital identity. This data classification helps to remove data manipulation and ensure consistent accuracy.

Next, the data goes through core analysis and lexical analysis. In core analysis, the party that provided the data receives SENNO token payment, and the platform saves the data in distributed storage. After the data registry smart contract (DRSC) confirms that the storage contributor is actually storing the data, the contributor receives payment as well.

A transfer of SENNO tokens to the hardware contributor kicks off the lexical analysis process. Here, the data and requested analysis are sent to a distributed CPU to perform the sentiment analysis. The result is then sent back to the core platform.

By now, all contributors have received their full payments. The analyzed data is then stored in the Senno database (SennoDB) where third-party apps can access it.

Senno Output

Senno produces two main calculations with this process: buzz and mood. Both results are determined by a set of complex equations that you can find in the Senno white paper.

Buzz is the measure of how much discussion is occurring about the topic. Mood is a measure of sentiment value for the topic. It ranges from negative to positive. The Senno team recommends using the delta values of both these figures when making decisions.

Token

SENNO is an NEP-5 token based on the NEO network. It’s the primary currency on the Senno platform. SENNO is used to pay hardware contributors, plugin developers, and network resource providers. You also receive tokens for sending referrals. To tap into crowd wisdom data and use the API, you also need to pay a subscription in SENNO.

The Senno token pre-sale started on March 31 and will last for 30 days or until contributions reach the $4 million hard cap. During this pre-sale, you’ll receive a 20%-50% bonus when purchasing tokens.

During the regular ICO crowdsale, $0.01 will get you 1.6 SENNO. You may also get up to a 20% bonus depending on when you participate and how much you contribute. You can purchase SENNO with either NEO, Bitcoin, Altcoins, a credit card, or through a wire transfer.

The Senno team is minting a maximum of 10 billion SENNO during the crowdsale, and distributing 4 billion (40%) to crowdsale participants. They will destroy any unsold tokens after the sale.

The token breakdown is as follows:

  • 40%: Crowdsale
  • 30%: Reward tokens for contributors
  • 15%: Company shareholders
  • 10%: Advisers and business partners
  • 5%: Employees
  • As you can see, the distribution is far from decentralized. However, as the team gives out the reward tokens, this should hopefully change.

Team

Co-founders Elad Peled and Rudy Zakuto lead the Senno team. Peled previously founded LibraTrade, a company that developed the first-ever smartphone trading platform. And, Zakuto worked as a cybersecurity advisor for almost 5 years before founding Traffiq Net. At Traffiq Net, he implemented blockchain algotrading protocols into the system.

Although the team isn’t too versed in blockchain technology, they have the support of a well-versed suite of advisors – the most notable advisors being Ophir Gertner, the founder of Stox, and Marc Kenigsberg, the founder of Blocksmarter and CoinJanitor.

 

Verdict

Senno is a sentiment analysis platform built using the NEO network. The team is planning on reducing the cost and upping the reliability of sentiment data so that even small and medium businesses (SMBs) can utilize the business intelligence.

Even with as complex as a subject as sentiment analysis, the Senno white paper is one of the clearest and easiest to understand ones that I’ve read. This should be a testament to the work that the team puts into the product.

Risks

  • Pre-launch. Senno hasn’t finished building the product yet. They’ve even stated this as one of the biggest risks in their white paper. (-3)
  • Not enough contributor incentive. It looks like Senno will be relying heavily on the token reward pool to incentivize early contributors. What happens if that pool isn’t enough or runs out before the platform gains traction? (-2)

Growth Potential

  • Companies love sentiment data. Understanding how consumers feel about your brand is immensely important for businesses. Additionally, investors are incorporating sentiment analysis into their trading strategies more and more each day. (+5)
  • Clear communication. The team has concisely stated their goals and how they expect to reach those goals. They have a clear vision for their product and can explain it well to others. (+3.5)
  • Multiple token uses. The SENNO token has value through several different revenue streams in the Senno ecosystem. Success in just a couple of these streams should drive up the token value. (+4)

Disposition

Senno receives an 7.5 out of 10. The project is addressing a legitimate problem in an important space and doesn’t seem to be facing any huge competition (yet).

As long as the team can hit development milestones on time and launch successfully, there should be no problem securing customers. As the launch isn’t scheduled until Q2 2019, we have some time to wait and see.

Investment Details

  • Type: Utility
  • Symbol: SENNO
  • Platform: NEO
  • Pre-Sale: Mar. 31 – Apr. 30, 2018
  • Crowdsale: TBD
  • Price: $0.01 = 1.6 SENNO
  • Hard Cap: $25 million
  • Payments Accepted: NEO, Bitcoin, Fiat
  • Jurisdictions Barred from Participating: U.S., China

The pre-sale began on March 31st. You can find more information and sign up to contribute at their website here.

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.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
0 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 5 (0 votes, average: 0.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.5 stars on average, based on 14 rated postsAlex 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.




Feedback or Requests?

Continue Reading

ICO

ICO Analysis: MYDFS

Published

on

MyDFS is a blockchain-based daily fantasy sports solution that connects sports fans around the world with a transparent, easy-to-use, investor-friendly platform. A fantasy sport is a type of online game where participants assemble imaginary or virtual teams of real players of a professional sport. These teams compete based on the statistical performance of those players’ players in actual games.

// -- Discuss and ask questions in our community on Workplace.

Select platforms like Fanduel and Draftkings monopolize the North American market. MyDFS has identified some significant challenges that the industry faces and aims to bring improvements using blockchain smart contracts and cryptocurrencies.

Some of the issues faced by the industry and the solutions proposed by MyDFS is as follows:

  • Legal ambiguity: Fantasy sports platforms operate under a legal loophole, where they get classified as a game of skill rather than betting. This allows fantasy sports platforms to operate in certain jurisdictions while getting banned in some. MyDFS is based on a token-based model and completely excludes fiat money, thus working around the regulations.
  • Application interface: Most of the fantasy sports apps have a complex UI which acts as a barrier for new users. MyDFS’s team has made special efforts to bring in ease of use in the user experience.
  • Verification: Players on the most popular gaming platforms have to go through complicated verification procedures almost every time they want to deposit money to play. MyDFS allows ease of verification while enabling users from all geographies to participate.
  • Payments: The use of cryptocurrencies make payments seamless and instant.
  • Transparency: The use of blockchain smart contracts bring in complete transparency while removing concerns around manipulations and insider trading.

An alpha version of the application with basic game functionality is available for testing. The MyDFS application would be fully functional as early as June 2018.

// -- Become a yearly Platinum Member and save 69 USD and get access to our secret group on Workplace. Click here to change your current membership -- //

Team

In 2016, CEO Viktor Mangazeev founded uTrener.com (utrener.com), a daily mobile fantasy sports platform that launched in Russia. They also have a white label application which has been gaining traction. Having a white label app that is used to create fantasy sports applications shows the team’s expertise in this segment. There are 12 members of the team, all of them work full time on MyDFS.

They have six advisers, which includes tech and crypto entrepreneurs and also one football player.

Token

The Ethereum based MyDFS tokens will power the platform. The tokens will be used for game entry fees, reward distribution, advanced functions like p2p duels/access to leaderboards, in-game purchases, and sponsor integrations.

The tokens have a good utility across the platform and, as the adoption grows, the demand for tokens will increase. Users interact with fantasy sports applications on a daily basis which will keep the demand consistent.

The token distribution is as follows:

  • ICO Distribution: 40%
  • Growth and user adoption reserves: 37%
  • Team: 10%
  • Advisers and early contributors: 10%
  • Bounty: 3%

Verdict

Fantasy sports was built out of a loophole in the law that normally bans such betting. It’s a growing industry, estimated to be worth more than $7 billion a year in the U.S. and Canada. MyDFS’s team has industry relevant experience which will help its cause in platform building and subsequent promotion.

Blockchain technology finds a perfect use case in fantasy sports. Transparency and ease of payments is the most significant advantage in my opinion. Users located in different corners of the world can participate and earn from NBA matches, which is not possible without using the blockchain.

A major area of concern is whether MyDFS will be able to gain market share in the key market of North America. Incumbents Fanduel and Draftkings are the undisputed leaders in the sector with a combined market share of 90% and have made it impossible for newer platforms to gain any share. It would be interesting to see whether the dual advantages of transparency and ease of payments are solid enough to enable a shift.

Growth Potential

  • One of the most tempting factors about MyDFS is that the platform will be fully functional by June 2018, before the FIFA World Cup. Very few projects have functional products immediately after the launch. Majority of the funds raised in the ICO will be used for marketing and promotional activities; the team doesn’t need as many funds for product development. +5
  • The team looks solid and already has a functional product serving the same use case without blockchain. +4
  • MyDFS opens a completely new market opportunity as it removes jurisdictional constraints using tokens and blockchain. Users located all over the world can participate and earn in any fantasy sports using MyDFS. +3

Risks

  • Competition is the biggest risk that MyDFS faces. Fanduel and Draftkings have raised a combined sum of more than $1 billion and have established a duopoly in the market. Other blockchain based projects like DraftDaily, Protoblock are vying to gain a share. -2
  • MyDFS is raising $40 million for 40% of the token supply, which makes the valuation based on total supply a bit steep for a company with no users. We are not sure whether MyDFS will achieve its targets. -2
  • Fantasy sports is a relatively new industry with just $7 Billion of total valuation. -1
  • Fantasy sports industry has primarily matured in North America and the U.K. However, US citizens are not allowed to participate in the ICO, thus losing an opportunity to distribute tokens amongst the primary audience. -1

Disposition

We arrive at a score of +6 out of 10 for MyDFS. Although there are short-term concerns about the ability to reach its hard cap, MyDFS is a good project from a long-term investment perspective.

ICO Details

  • Token Type: Utility
  • Platform: Ethereum
  • Symbol: MyDFS
  • Pre-Sale: April 16, 2018 – May 6, 2018
  • Public Sale: May 21, 2018 – Jun 12, 2018
  • Pre Sale Bonus: 25%
  • Hard Cap: $40 Million
  • Jurisdictions Barred from Participating: USA, Singapore, China
  • Website: here
  • Whitepaperhere

Disclaimer: The writer has no position in MyDFS at the time of writing.

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.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
2 votes, average: 5.00 out of 52 votes, average: 5.00 out of 52 votes, average: 5.00 out of 52 votes, average: 5.00 out of 52 votes, average: 5.00 out of 5 (2 votes, average: 5.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.5 stars on average, based on 16 rated postsAakash Kawale is a financial analyst based out of Mumbai, India. He is the lead analyst at a Singapore based organization and has extensive experience of analyzing US and Indian equities. Aakash is a strong advocate of the Blockchain technology and has been analyzing cryptocurrencies since 2015.




Feedback or Requests?

Continue Reading

Recent Comments

Recent Posts

A part of CCN

Hacked.com is Neutral and Unbiased

Hacked.com and its team members have pledged to reject any form of advertisement or sponsorships from 3rd parties. We will always be neutral and we strive towards a fully unbiased view on all topics. Whenever an author has a conflicting interest, that should be clearly stated in the post itself with a disclaimer. If you suspect that one of our team members are biased, please notify me immediately at jonas.borchgrevink(at)hacked.com.

Trending