ICO Analysis: OceanEX

OceanEx is a next gen intelligent digital asset exchange. Based in the VeChainThor ecosystem, it will serve as a trading and an asset management platform. OceanEx deploys cutting-edge AI technologies, providing an actively protected and ultra-liquid market. It will have full-fledged quantitative trading capabilities, and a rich set of investment tools and products to meet the needs of every type of investor.

From the company:

“As the VeChainThor Ecosystem grows, we see ourselves contributing our expertise and devotion and playing a significant role in VeChainThor Ecosystem. OceanEx’s trading service and related offerings will provide a bridge between the crypto world and the physical world for the VeChainThor Ecosystem. This platform is a necessity, not only for VeChains adoption, but the widespread adoption of cryptocurrency in general.”

Project highlights:

  • Lightning Fast Trading: Trading engine is capable of processing 1,200,000 orders per second.
  • AI Powered Security: Bank-level SSL secure technology and advanced machine learning algorithms to actively detect attacks and safeguard your assets and transactions.
  • Tailor Made Services: A variety of trading tools (eg. margin trade, conditional order, iceberg order) and investment products (ex. CryptoBentos).
  • Top Industry Resources: Strategic partnerships with VeChain and other industry leaders. Access to top quality digital assets.
  • Global Operating Supports: 24/7 support across all time zones with OceanEx teams located in the U.S., Luxembourg, China and Singapore,

The team is currently developing four key features, and promise many more in the future.

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  • OceanBrain: AI for Exchange Security. Closely monitors the exchange for suspicious activities. Uses advanced deep learning algorithms to detect patterns of misbehavior in the market. For all the details check out this Medium blog.
  • OceanQuant: Supports quantitative trading through OceanEx’s high frequency trading engine, allowing users to back test and deploy customized trading algorithms on OceanEx.
  • OceanMarket: Gives the option for algo traders/portfolio managers/active community members to take advantage of their influences, publish their strategies in OceanMarket; allows other users to follow and invest in them, and earn commission based on their performance.
  • OceanLab: A project incubator, supports industrial research and product innovations aiming to enhance OceanEx’s edge in the market.

For additional details check out this Q&A with the co-founder.

Token

OCE will be used in many scenarios, including:

  • Pay for fees such as: transaction fee, withdraw fee, listing fee, algo fund deployment fee, etc.
  • Voting rights in project listing pool.
  • Invitation to OceanEx’s quality community events and meetups.
  • Access to market research center in OceanLab,
  • Subscribe to and use professional developed trading tools and investment products such as CryptoBento™
  • More in the future.

There will be no public round for OCE token issuance. 27.5% of all OceanEX tokens minted will be issued to private and VeChain community round participants for a total of 4,125,000 VeChain tokens raised.

30% of the tokens will be available for the private and community rounds.

Private round total 2,062,500 VET.

Community round total 2,062,500 VET  (1 VET = 730 OCE ).

In all rounds of token issuance, only VET Tokens will be accepted for our Token Issuance.

Allocation is as follows:

OceanEx will provide a suite of open-source APIs to allow users to develop and deploy trading algorithms. The performance of the algorithms will be tracked publicly, and other users can subscribe to the algorithm with commission fees in the form of OCE

Team

The project has four co-founders and a chief architect listed on their site. They look pretty strong with lots of experience in the crypto space.

Nan Xiaoning: Co-Founder and CEO. A younger guy with a Master’s from Tsinghua (MIT outlet), 2016. Lead advisor for Vechain Foundation; has been in crypto since 2013. He established the first franchised mining facilities in China. Founder of BitOcean Japan Exchange.

Daniel Kelman: Co-Founder and CCO. Also a crypto OG. He’s on the bitcoin general council. A Taiwan lawyer and member of the NY State Bar. Co-Founded BitOcean in 2014. He’s a special advisor to the VeChain Foundation’s Steering Committee. From the web: “After getting Goxxed in 2014 Daniel moved to Japan where he worked pro bono on issues related to the MtGox bankruptcy, including co-founding WizSec to investigate the bitcoin theft. also  worked with a Japan counsel to file for civil rehabilitation in 2017–18.”

Jiayu Zhou: Co-Founder and CTO. Former research scientist for Samsung. Also interned at Microsoft and IBM. Currently Assistant Professor at MSU, where he’s been working on machine learning theories. Led the research and development of the Distributed Data Vending (DDV) framework on blockchain and co-authored EdgeChain.

Wei Wang: Co-Founder and COO. Hard to find info on him. There are man Wei Wangs. Worked for Deloitte, and was AN investment director for Loncin.

He Zhu: Chief Architect and Security. Many years as an architect for Cisco working on the company’s orchestration framework where he drove the transition of Cisco cloud orchestrator’s architecture evolution. He has a PhD, wrote a bunch of papers on cloud security and holds many U.S. patents on network and security.

There are two advisors listed for this project: Sunny Lu  ( CEO of VeChain) and CREA M (a crypto merchant bank).

Verdict

There are already a ton of exchanges, with many more coming in the near future. OceanEx needs to be able to separate themselves somehow. The team is strong, and the features they offer are pretty special.

Because VeChainThor has such an enthusiastic community, one tweet created enough hype to get OceanEx in the game. And despite not having a whitepaper or any kind of evidence of work being done, they have sold out the private sale and will probably quickly sell out the community sale.

Risks

  • From the website: “Currently, we are a centralized exchange. However, the decentralized exchange model has serious potential in the eyes of every stakeholder we have talked to. Now, what we can confirm is when it happens it will be fully built on and powered by the VeChainThor Blockchain.” -1
  • No whitepaper yet – one is supposed to be out before Q3 ends. -1
  • No MVP or GitHub. -1
  • You have to buy “OCE” token with VEN. No other way to buy it. There could be serious price fluctuations with VEN before the token releases onto the markets. -1
  • Before Bitocean Global started OceanEx, they were a different entity called Bitocean Japan. Here’s the info, make of it what you will. Bitocean Japan was founded in 2014 by Daniel Kelman and Nan Xiaoning (both also co-founders of OceanEx). The website hasn’t been updated since 2014 until recently when they started promoting the OceanEx ICO . -1

Daniel Kelman and everyone at Bitocean Japan lost a lot of money in Mt Gox, so they started Bitocean Japan in 2014. Here’s how they describe themselves.

“We are a Bitcoin startup company founded in Tokyo with the support from Bitocean and Atlas ATS. We are working on setting up a new Bitcoin trading platform in Tokyo while at the same time we are contributing to help with MT.GOX’s liquidation/rehabilitation process. The members of BitOcean Japan are all creditors of Mt Gox.” (Bitocean Japan, 2014)

Here is their explanation on why they started a new entity. From a Medium post: “…However, this did not come at a cost. Our pledge and our commitments within the Japanese Government became in conflict, and by no request of VeChain, we decided that we would push on despite them. It is for that reason that we have made the decision to push our OceanEx out in to the global market, separately from BitOcean Japan where the entity is still undergoing Japanese regulatory procedures. As the Japanese Government moves forward, BitOcean Global will once again service the Japanese population in force.”

Growth Potential

  • OceanEx is closely working with different regulators to provide fiat to crypto exchange services for many major fiat currencies. +2
  • $11 million hard cap with 30% of the supply circulating. +2
  • VeChainThor, the #20 ranked coin in crypto, recently tweeted a link to OceanEx. This is a rather large community, and with only 15% of the tokens available for sale, that should create a lot of demand for the token once it hits exchanges. +2
  • We found no info on CREAM except a teaser promo video for OceanEx. CREAM is an enterprise advisory and investment firm, working to expand OceanEx’s capital reserve, community outreach and brand exposure. +2
  • The project incubator will be very beneficial to growth. +3

Disposition

This has short and long-term potential. We give it a 6/10.

Investment Details

The ICO has only two phases, the private round (already sold out) and the VeChain community round in September. If you are interested in the VeChain community round, fill out the whitelist, then follow on twitter for further announcements.

The full version of the white paper, liquidity and investment partners, along with more detailed plans of the new token issuance process will be out in Q3,

Featured image courtesy of Shutterstock.

Author:
Joshua 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!