ICO Analysis: Loyakk
Due to their inability to securely and efficiently share data with their business partners, enterprises are losing billions of dollars. Data leakage, contract disputes, and limited visibility across business networks is forcing future enterprises to look to blockchain for solutions.
Loyakk, a blockchain-enabled platform for decentralized business networks, transforms how companies collaborate and share data with partners, distributors, channels and suppliers across the world by extending the blockchain with patent-pending extensions to support enterprise requirements. They also have a patent-pending business platform that enables secure, permissioned sharing of data and value movement through smart contracts with business rules and security policies leading to improved security, efficiency and distributed governance.
When asked On Telegram to explain the project to a 12 year old, CEO and Co-Founder Salim Ali provided this nugget:
“If I were to explain to a 12-year old, I would use a simple metaphor: why send mail by postal service, when you can send via FedEx or UPS which offers tracking, incremental security and more. So think of Loyakk as FedEx++ for business communication built on blockchain which will make email and other systems seem like postal services from a past era.”
Loyakk’s Vega Enterprise Relationship Platform is being built on Ethereum with an element of Quorum and proprietary patent-pending extensions. They will use a variant of BFT Consensus.
The basis for the platform is their in-house token LYK, which protects AND tracks critical business data across business networks.
“The Loyakk token is a data container required for all interactions across all Loyakk-powered private business networks. The LYK token carries data, enables critical functions that manage multiple levels of permissions, and controls the propagation of data amongst the participants in the business network while providing full auditibility across company boundaries.”
There’s a lot going on with this token. To learn all the technical specifics, check out CMO Rakesh Sreekumar’s breakdown here.
The Loyakk network interactions are essentially a set of micro-services and each invocation of the micro-service requires a token.
The network draws its value from the number of data interchanges occurring on the platform. These data interchanges are what will increase the value of the business network and help businesses that use the network grow by bringing to bear the collective power of their relationships into their transaction. The objective is to power all inter-company interactions via the Loyakk token.
Loyakk will mint an ERC20-compliant token that will be made available to users and businesses.
The use of funds is outlined below:
- 45% Product and development
- 20% Operations
- 15% Marketing
- 10% Sales/customer adoption
- 10% Legal and admin
Based in Silicon Valley and ICO’ing in London, the core team of eight check out clean, and actually seem organized and capable of accomplishing their goals.
Salim Ali: CEO and Founder. He was the Global Vice President, Marketing at SAP where he conceived and scaled multiple new businesses with revenue KPIs of $1.2 billion, and jump-started SAP’s Digital Business with the SAP App Store. Salim has given a couple interviews on YouTube – he’s confirmed professional.
Jitu Telang: BTO and Co-Founder. He served as Senior Software Engineer at Pavilion from 1995-99, Trilogy from 2000-04 and then got into high-frequency trading in securities and futures markets all over the world until founding Loyakk.
Tsvetan Georgiev: Technical Architect/Lead Developer. He looks like the mastermind that spent 15+ years at SAP working his way up to leadership positions.
Loyakk has a team advisers that includes the CIO of Nissan, former CIO of McAfee and two SAP higher-ups. There are three blockchain advisers with plenty of experience in the space.
Current communication channels between enterprise partnerships lack security, transparency and efficiency. The problem is they are forced to email each other all the time. Loyakk wants to give them a better system by adding blockchain to the business application stack. The enterprise will leverage the potency and power of the blockchain to do fundamentally different things that they couldn’t do up to this point. Their platform is patent pending (which is something you don’t hear often in this space) and will be able to evolve to changes in the technology. It is meant to cover both intra-Ethereum and cross-chain.
- Token reconciliation and settlement will be done in 8-12 weeks after the conclusion of the token open sale event. With the event ending in July, that means tokens won’t be trading until October. -2
- A $45 million hard cap is on the higher side. -2
- The token doesn’t have many ways to bleed value to holders. No master nodes or token burning going on. The token must gain its value purely from demand to use the platform.-2
- They already have several partnerships. After briefly exploring into each of them, it looks like there are some very legit partnerships mostly to help Loyakk build its infrastructure. +4
- Many of the core team members played big roles in the past for SAP, which is very popular worldwide; it is used to coordinate all the resources, information and activities needed to complete enterprise-wide information systems billing, including accounting and finance. It was also learned in an interview with the CEO that Loyakk will officially partner with SAP. +4
- Enterprise Security Magazine names Loyakk a ‘Top 10 Blockchain Solution Vendor -2018’. +2
- The team looks really strong, as evidenced by this reply from the CEO when asked about his MVP: “We have V1 built (with approx 400K+ lines of code) and deployed by customers. V2 with Vega Blockchain aspects is being designed and built. Blockchain patents have been filed, token def published on github, relationship modeller showcased via demo video, and broader demo is almost done. As per Roadmap, Vega will be ready in Q3/Q4 timeframe”. +3
This is one of those projects with unlimited upside, and a seemingly high floor since being partnered with SAP pretty much guarantees they are around for years to come. 7/10
- Symbol: LYK
- Platform: Ethereum
- Current Release: 177,000.000 (177m)
- Token Sale: 60,000,000 (60m)
- Price: around $0.60 before bonus
- Private Sale: Now open
- Pre-Sale: June 7
- Public Sale: June 15- July22
- Hard cap: $45 million
- Whitelist: https://loyakk.io/loyakk-ico-whitelist/
- Website: https://loyakk.io/
- Telegram: https://t.me/loyakk
Featured image courtesy of Shutterstock.