ICO Analysis: Mothership | Hacked: Hacking Finance
user

ICO

ICO Analysis: Mothership

Posted on .

ICO Analysis: Mothership

Introduction

This article was posted on Thursday, 16:49, UTC.

In the age of technology, financially depressed or neglected regions of the world have renewed opportunities to attract business and distinguish themselves from other jurisdictions. Over the past few years, Estonia has raced to the head of the pack in terms of moves made in this direction. The e-residency program allows people from anywhere in the world to become Estonian citizens online. According to an article from CCN around the time of the program’s implementation:

// -- Discuss and ask questions in our community on Workplace. Don't have an account? Send Jonas Borchgrevink an email -- //

In October [2014], the Estonian government invited anyone, anywhere, to become an e-citizen of the Estonian digital society, open a bank account in Estonia, or start a business.

The frameworks of legalization are only the beginning for an initiative like this, however. There have to be businesses who will implement the things which are encouraged or allowed. This is the purpose of Mothership, in four simple bullet points:

  • The Mothership token market intended to make token integration easy for Estonian companies.
  • An actual virtual wallet which established Estonian e-citizens can associate with their citizenship.
  • An exchange.
  • An API for other companies to directly access said exchange and token market.

So What?

The focus on Estonia is not exclusive. Anyone in the world will be allowed to use Mothership services. Building on top of Estonia’s tech and crypto friendly regulations is more of a philosophical move than anything, as there are other places they can operate just as well. There is inherent risk in an ICO like this, where they are simply bundling services already well-managed by other companies, and often using inexperienced talent to get the job done. Let’s see what they’ve got for talent on board.

Mothership Team

CEO Arseny Zarechnev has previously worked for Atlassian, a major web services company which has BitBucket (a very similar project to Github) as one of its properties. He resides in Russia physically, but is an official Estonian e-Resident. He concurrently runs a firm called Sabanka, which is a “DevOps, SysOps and Cloud” service provider focused on other start-ups. DevOps are defined by Wikipedia as “a software development and delivery process that emphasizes communication and collaboration between product management, software development, and operations professionals. It seeks to automate the process of software integration, testing, deployment, and infrastructure changes by establishing a culture and environment where building, testing, and releasing software can happen rapidly, frequently, and more reliably.” Unfortunately, like Mothership, Sabaka.io is a relatively new venture for Zarachnevm, and there are currently no publicized testimonials as to their abilities. Nevertheless, it would be the mindset necessary to work in DevOps that would be necessary to successfully amalgmate the varying services that Mothership hopes to.

// -- 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 -- //

CTO Anton Egorov has a degree in nuclear power engineering. His previous experience, however, is largely in computer systems engineering. He worked at Ostrovok, a popular hotel booking application for Russian-speakers.

Mothership Token

Mothership is over 75% of the way to raising just over 24,000 Ether at time of writing. If they raise their full amount, a supply of 140 million tokens will be generated. The minimum of 8000+ was long ago reached, so this thing will definitely launch. Some of this supply is eaten up in a referral program.

Speculative Returns + Buyback

Up to half of the tokens will be burned in a buyback program Mothership intends to conduct over time. To do so, they will take proceeds from activity on the Mothership platform and delegate them to buying back MSP tokens – after which they will destroy them until the supply is halved. Following that, the only avenues to token redemption are making use of it within the Mothership platform or dumping it on an exchange. There is no mention of a revenue share, meaning that whatever Mothership earns after launching belongs to it. Purchasing MSP tokens does not make you a shareholder in the company or its operations, but if the company is successful, your tokens will have value to those that need them for use in the ecosystem.

The Verdict

This is not the most attractive ICO to date. There are some problems with it. It is a great idea but perhaps it should be executed by a firm which already has the funding to do it, since there will be numerous operations like Mothership in Estonia and other parts of the world as time goes on.

Risk

Mothership is not offering anything particularly new to the world. As such, they are not the only place to get any of their services. Their value will be brought on by a drive to be the best at what they do, and to feel really confident in that taking place, we have to accept that they are the best. Getting the best people is the only way to do that, and in this very small, growing industry, most of the best people are already busy. Due to the great potential for failure to really take off, we have to shave 3.5 points off the top. All of this presumes that Mothership will not have big issues in making its platform work. If you think they will, you can safely shave another full 1 point.

The existence of a referral program is a red flag anyway you slice it. Telling a friend about an investment usually does not require one to get a piece of that investment, because a high tide raises all ships. The author docks .25 for a hunch.

Growth Potential

Certainly there is a ton of space in the world for blockchain services companies and companies which make it easier for businesses to get online. It seems that anyone can start an exchange and it will get some volume, and it also seems that the dominance of cryptocurrency exchanges is in constant flux. As such, Mothership has a lot of opportunity to take its massive funding and fight its way into the exchange market. Having former blockchain.info employees on board and other experienced talent, as well as good marketing, will probably yield moderate to good results. For this we lend 5.

For being first in the region with this specific implementation, we lend another 2 points.

Disposition

The numerical rating here is not high because there are not a lot of things to get overly excited about here. The project is cool, but that doesn’t mean it will be a multi-billion dollar company in a decade. So we come out with 3.25. (-3.75 + 7). For those who will actually make use of the platform, and not merely speculate on the sidelines, it’s legitimate to grant another point. 4.25 for those cases, 3.25 for most cases.

Investment Details

The crowdsale is ongoing and about 3-quarters through. If you would like to invest, get over to https://buy.msp.cx/ right away. The rate is 5800 MSP tokens per 1 Ether invested – and there is a program, although, as mentioned, the distribution is almost over.

Important: Never invest money you can't afford to lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here.



Feedback or Requests?

P. H. Madore

P. H. Madore

http://phm.link

P. 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

There are no comments.

View Comments (0) ...
Navigation
The team:
Dmitriy Lavrov
Analyst
Dmitriy Lavrov is a professional trader, technical analyst and money manager with 10 years of trading experience. He covers Forex, Commodities and Cryptocurrencies. He is among the top 10 most Read More
Jonas Borchgrevink
Founder
Jonas Borchgrevink is the founder of Hacked.com and CryptoCoinsNews.com. He is a serial entrepreneur, trader and investor. He shares his own personal journey on Hacked.com. // -- Discuss and ask Read More
Mate Csar
Analyst
Trader and financial analyst, with 10 years of experience in the field. An expert in technical analysis and risk management, but also an avid practitioner of value investment and passive Read More
Mati Greenspan
Analyst
Senior Market Analyst at Etoro.com. // -- Discuss and ask questions in our community on Workplace. Don't have an account? Send Jonas Borchgrevink an email -- // Important: Never invest Read More
Rakesh Upadhyay
Analyst
Rakesh Upadhyay is a Technical Analyst and Portfolio Consultant for The Summit Group. He has more than a decade of experience as a private trader. His philosophy is to use Read More
Pamela Meropiali
Account Manager
Pamela Meropiali is responsible for users on Hacked.com. // -- Discuss and ask questions in our community on Workplace. Don't have an account? Send Jonas Borchgrevink an email -- // Read More
Joseph Young
Journalist
Joseph Young is a finance and tech journalist & analyst based in Hong Kong. He has worked with leading media and news agencies in the technology and finance industries, offering Read More
Thursday Market Recap Asset Current Value Daily Change S&P 500…