ICO Crowd - Issue #3

www.icocrowd.com

ISSUE #3, november 2017

The Crypto Harbour a New Era in Token Sales

Price: 0.01 BTC

FOREWORD

ISMAIL MALIK Editor-in-chief DONOVAN OBOSI Head Analyst

ICO’s decentralised or regulated

GIORGIO ANDREWS Deal Flow Director ANNEMIEKE DIRKES Managing Editor PAM TATRO Content Editor TZVI SHISHLER Marketing Photo credit © Shutterstock

by ISMAIL MALIK Chairman & Executive Editor ICO Crowd

ICO’s have become a truly global phenomenon, being embraced equally in both the east and west / developed and undeveloped world. Now the discourse moves to national exchanges, token platforms and decentralised (open source) Exchanges.

Global consensus on governing of token models is neither binary or monopolistic, recent blockchain fork events have witnessed passionate debate in tech ethics of this nascent technology.

If you would like to advertise with us or have any other queries please get in touch at info@icocrowd.com Disclaimer. All opinions and views expressed in this publication are those of the author only and do not necessarily represent the views of ICO Crowd magazine, its Management or Advisors. All content of ICO Crowd Magazine, in particular but not exclusively, photographs, businessdetails, facts and figures, names, adresses and dates, historic details and offers, are the sole responsibility of the author of each artice. Copyright violations by the author are the sole responsibility of the author and ICO Crowd magazine can not be held liable, whether on the whole or on particulars. www.icocrowd.com

value that transcends national boundaries and borders, currency and languages, where every product, service, idea and action is underpinned by tokens and coins that deliver the greatest social impact since the beginning of the barter age.

Meaning, with potential to replace the current inefficient murky haphazard overbearing and some would say highly manipulated global consensus, that benefits its architects, to a transparent / distributed / decentralised and immutable economy of trust, that delivers true development on a global level, as can be seen by recent spawning of identity / privacy p2p sharing (coin communities).

If current speed and scale is an indicator of growth then the world economic forum forecast of 10% global GDP to be token Due to the speed of global capitalisation based, is not only correct but could in fact (USD terms) of various ICO token markets, arrive as early as within the next decade authorities on various levels regional / (10 Year cycles) In that context the seven national / global have put much scrutiny into thousand odd ICO’s in circulation / gestation ICO’s, with some countries banning them out is only the pinnacle of a large trillion dollar right, and others trying to position themselves mountain of universal value yet to be as the leaders in this new token economy, decentralized and tokenized. these circumstances fortunately have led to ICO’s rebounding much in the way that For those who have yet to be converted or bitcoin crashed and rebounded after the 2013 slightly unsure, keep a close eye at the future, scrutiny. forking and fungibility to be the bedrock for the universal token offering / economy - token The momentum behind the institutional coin generation events. offerings has led to a massive explosion of distributed token projects around the globe, this being the catalyst for the new crypto based economy disrupting the old global legacy tech consensus.

Tech thinkers / planners see the crypto economy being the based and primary driver of future global economic rejuvenation / upcycle, free from the shacks of a credit based economic stimulus centrally planned or otherwise.

Tokenization will bring about and finally deliver global change in value. An internet of

Advisory Board SUSAN POOLE

BRYANT NIELSON

MARC KENIGSBERG

Founder, BlockBridge Advisory Co-Founder, Blockchain Training Institute

Executive Director at The Blockchain Academy & CapitalWave Inc. Speaker

Founder of BitcoinChaser.com

SIMON COCKING

BRETT KING

ANDREY GOLUB, PhD

Senior Editor at Irish Tech News Freelance for Sunday Business Post, Irish Times, The Southern Star, Dublin Glob

Speaker, Startup Founder, Bestselling Author, Radio Host, TV Commentator

Entrepreneur, CEO & Founder @ELSE Corp- a Virtual Retail company

SEAD MUFTIC

SERGIO A. FERNANDEZ DE CORDOVA

THEODOSIS MOUROUZIS, PhD

CEO at Blockchain Information Exchange Security Corp

Chairman – P3SmartCity Partners, Inc Private Sector Advisory Group, SDG-FUND, United Nations

Program Director of MSc in Business Intelligence and Data Analytics at Cyprus International Institute of Management (CIIM) Research Fellow at UCL Centre of Blockchain Technologies (London,UK)

MUKHTAR MUSSABETOV

EMMANUEL R. GOFFI, PhD

Blockchain Entrepreneur, Founder at BlockSpace Labs

Associate doctor with Science Po-CERI Research fellow with the Centre FrancoPaix, at the Université du Québec à Montréal

NOVEMBER 2017

Aimwise

is Back to its Mission to Encourage Innovation Through Community Interaction

by LEO LIU Co-Founder and CEO

Aimwise platform continues to be on its mission to create a comprehensive and dynamic framework for collective wisdom maximization and community engagement in the value determination process. Recently the Aimwise CEO spoke about the initial concept development for the Aimwise project, the interlinked operational elements of the platform and outlines of the new partnership initiatives that the project has established with ICO Crowd.

“A core value preposition for Aimwise has always been shaping an open and competitive global network that allows the detection of the most promising and investable initiatives through crowd engagement. Therefore, transparency and an open multi-channelled interaction between the Aimwise development team, the industry participants and regulators are crucial elements that will define the success of the project in the future” states Mr. Liu. he added “In order for the platform to scale globally, incorporate all the necessary functionalities reflecting the market needs and allow the

“In order for the platform to scale globally, incorporate all the necessary functionalities reflecting the market needs and allow the platform to function in a highly efficient manner, the Aimwise project decided to establish cooperation with ICO Crowd.

platform to function in a highly efficient manner, the Aimwise project decided to establish cooperation with ICO Crowd. We believe that this team’s initiative to increase awareness about Blockchain technology through education will be a complement to the accumulation of the smart capital in the Blockchain industry in the long run, where decisions will be based on the informed choice of the community members. We are very excited about our partnership and believe that the Aimwise project will gain a global scale with a team of contributors, industry experts and blockchain advocates all around the world. We will continue achieving our vision now from London”.

SETTING A CONTEXT – INITIAL CONCEPT DEVELOPMENT FOR AIMWISE PLATFORM The Last 2 years have witnessed a great number of projects aiming to put themselves in the frontline of the Blockchain ecosystem development, while attracting financing through TGEs. Those projects have been initiated in a diverse range of geographical locations and in5

NOVEMBER 2017

volved large numbers of professionals, experts, contractors, investors and in some cases even the regulators. Yet, from the very beginning each of the interest groups in the crypto ecosystem have been experiencing different types of challenges such as the complexity of finding and forming professional teams for project execution, absence of information transparency, counterparty risk, insufficient levels of competence in the evaluation of projects, regulatory uncertainty, and a failure to achieve fair token valuation equilibrium.

When we, the Aimwise team, first initialised the concept of our project in November 2016, we were aware of those risk factors and saw a great value in designing a distributed platform that would form a strong alliance, between the diverse interest groups and create the right incentives for each of them. We formed a global team of professionals that had a great desire 6

to leverage their experience and knowledge and provide a highly secure, transparent and legally compliant platform.

3. Availability of the diverse set of automated and standardised tools to initiate and complete project financing on a global scale that creates a fair level playing field for the proWHAT DOES AIMWISE jects.

REPRESENT EXACTLY? 4. A protocol that uses the crowdsale process Aimwise is a combination of five interlinked itself to determine the common perception operational elements working in conjunction of the token’s present value. with one another: 5. The ultimate portfolio management tool uti1. A Team-building, cooperation and experilising the project assessment and portfolio ence sharing mechanism for crypto enthusioptimization algorithms to provide Blockasts, cross-industry experts and new project chain enthusiasts with an automatic engine initiators all around the world. It allows creto contribute their funds to the projects ation of the new business models, new types that meet their interests, vision and requireof employment as well as getting rid of the ments. inefficient intermediary circles in the business process.

Thus, the Aimwise platform creates a compre2. A Democratic, fully transparent, decentralhensive and dynamic framework for collective ized and interactive method of evaluation wisdom maximization and community engageand assessment of a projects’ credibility. ment in the value determination process.

NOVEMBER 2017

Zonafide: Enabling People To Work

Together To Secure Activities Zonafide is the world's first Digital Wallet for Securing Activities. Founder and Cofounder Paul and Salena Worrall started the company in 2015 after members of their family and community were experiencing increasing incidents of identity theft. They felt there had to be a better way to ensure that nothing could happen without someone expressly wanting it to.

By combining Paul's thirty years’ experience in software, Salena's relationships in the public sector and the Ethereum blockchain, they found a solution. The Zonafide mobile application has been available as a minimum viable product since early 2017 by and has Local Governments across the PAUL WORRALL Founder/CTO UK trained and ready to offer services to members of the public who want to use it.

ENSURING INSTRUCTIONS ACTED ON ARE GENUINELY YOURS The Zonafide DApp aims to ensure that an activity is being carried out by the correct person and that the instructions acted upon are genuinely theirs. An activity could be a payment instruction shared by a solicitor for a house purchase payment, 8

documentation notarised by a lawyer or even a company assuring their customers that an employee is authorised. All these examples are serious problems and Zonafide is a credible solution that could be used today. Organisations prepared to process the activities published by users of Zonafide can reduce the amount of checking to verify them, improve the customer experience and increase automation.

were showing a lack of confidence in existing technologies. Ethereum came to the rescue and provided Zonafide with a universally acceptable solution.

UK LOCAL GOVERNMENT HELPING THE PUBLIC TO USE ZONAFIDE Paul believed that for Zonafide to succeed, it had to start where as many of the characteristics of the concept are exercised in a low volume but high value use case. Salena found that use case VALUES AROUND PEOPLE, with Registered Services across EngACTIVITIES AND COLLABORATION land and Wales. After two years this has The three principles on which Zonresulted in Letters of Intent with Camafide was based, influencing every den, Kensington & Chelsea and Enfield feature: people, acLocal Governments tivities and collabwith many more enTGE: January 2018 gaged and trained to oration. When people experienced a follow. Starting with compromise, there marriage, the Regiswas always a friend, member of the ter Services will offer to help the pubfamily or professional who said they lic use Zonafide to prove a life event would have known that something took place. The public can then easily was wrong. So, a key part of the DApp and securely update multiple organisais being able to easily have those peo- tions with a change to their status; savple involved in confirming an activing time, money and the frustration of ity as genuine. The focus on actividealing with each organisation indeties was because the battle to protect pendently. information was already considered lost. By concentrating on the activiHELPING PEOPLE BE ty, itself, new and more novel ways of SELF-SOVEREIGN AND CENTRAL solving the problem could be found.

TO THEIR OWN AFFAIRS The biggest problem was actually col- From the use case with the Local Govlaboration because organisations ernments Zonafide plans to grow the

NOVEMBER 2017

application of the product around a vision to help people become self-sovereign and central to their own affairs. Enabling them to protect their important activities, avoid fraud, cybercrime, data loss and impersonation across a wide range of activities. Most importantly leveraging their social and professional relationships to help secure them. A large number of organisations ranging from insurance companies like Aviva and Legal & General to utilities such as Eon and British Gas are already engaged. Their vision is that they can pivot around customers using the Zonafide wallet and become true service providers. They can benefit from the customer becoming a conduit for leveraging and repurposing of processes across organisations. Completely reversing the gravity of the customer-company relationship today.

ZONAFIDE DAPP AVAILABLE SINCE OCTOBER 2016 The Zonafide DApp started development in March 2016 using the Ethereum stack. As a full stack developer Paul built the Minimum Viable Product to version 0.5 and has made this available on Google Play for Android and Test flight for Apple iOS. Since June Paul and other members of a growing team have worked on how a crypto-token could be integrated into the product and how its tokenomics would work.

TEAM Paul's 30 years’ experience includes significant enterprise software and infrastructure development mainly for investment and private banking. He established his first tech company in Switzerland in 1992 and sold it in 1994. He spent the 1990's in London building trading floor solutions for bonds,

equity derivatives, swaps and other financial products for Nomura and Merrill Lynch. Following with a number of start-ups in Wealth Management, Islamic Finance, Mobile Messaging and Enterprise Software Management. In 2007 he found himself at JPMorgan Chase managing and building software development teams until leaving in 2014 to start and personally finance Zonafide.

The Cofounder, Salena Worrall, had a fifteen-year teaching career in England. She joined Zonafide full-time in September 2015.

She is now focused on engaging, training and on-boarding Service Providers in financial services, utilities, retail and telco's at CxO level to process the Zonafide life event activities.

The Zonafide team also includes advisors William Mougayar, Board Advisor to the Ethereum Foundation and the author of The Business Blockchain, Shaun Djie, Digix co-founder, Chris Hitchott formerly Digix core developer. The product team include Bernd Flieschmann an expert in software for portfolio management, Daniel Fu formerly CTO of a Russian EPOS provider acting as community manager, Bennett Arron a well know Comedian, TV Writer/Author and expert in Identity Theft. Two other developers currently cannot be named because they work for Goldman Sachs and JP Morgan Chase.

The law firm CMS Nabarro and Olswang are engaged as legal advisor for a proposed Token Generation Event in January 2018. Availability of a white paper to the public is planned coming November. For more information please visit www.zonafide.net or social media on @ZonafideWallet and /r/Zonafide.

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NOVEMBER 2017

Dissecting the data of initial coin offerings by TOBY LEWIS CEO Novum Insights

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WHAT IS AN ICO? An ICO (initial coin offering) or a token sale is a fundraising tool in which a new cryptocurrency project, typically a blockchain start-up, sells part of its new cryptocurrency tokens for cryptocurrencies of immediate, liquid value.

The most notable two being bitcoin and ether, the cryptocurrency used on the Ethereum blockchain. This is done over a pre-defined period. The ICO will usually only sell a portion of the overall cryptocurrency in circulation and the target investment level is set as a goal in fiat or other cryptocurrencies. If the ICO is popular and more is raised than the intended goal, it is said to be oversubscribed. Sometimes a cap will be set, and when that cap is reached, the ICO will complete before the defined end-date.

ICOs provide a way for entrepreneurs to raise money for their business plans, an

alternative to traditional venture capital or angel investment. Tokens created in an ICO can be traded, much like shares created in an IPO (initial public offering), which traditionally has only been reserved for well-established, respected start-up companies. Unlike shares, tokens created in ICOs do not confer ownership rights and are not regulated or registered with any government organization. They hold no investor protection unless there is an Escrow in place. The investor in an ICO hopes that the project’s success will cause the tokens to raise in value, a premise that gives rise to many speculative actions in the market.

CRYPTOCURRENCIES Several tokens offered in ICOs will not create and maintain their own blockchain, most will use meta-tokens built on top of a branch of the Ethereum,

Bitcoin or other blockchain source code. This helps simplify the token-creation process.

Chart 1.1 shows the amount raised by ICOs overlaid on the market capitalization of the ten largest cryptocurrencies in the world. Both Bitcoin and Ethereum, the two most commonly used cryptocurrencies in ICOs, have well outperformed the rest of the cryptocurrency market and have increased substantially in value over the past year. Part of this performance can be attributed to the booming ICO market.

ICO, THE DISRUPTOR OF VENTURE CAPITAL The rise of ICOs as a funding mechanism has opened new avenues of project financing for start-ups and other projects alike. The traditional financ-

NOVEMBER 2017

THE FUTURE OF ICOS It is hard to judge the success of the ICO market, the majority of funds have been raised within the last year and it takes many years to objectively see the success of a start-up project. Time will only tell how many companies that have fundraised through ICOs in 2016 and 2017 will have survived, but currently there is no sign of the market slowing down.

One can only speculate the impact of regulation on the market. Will early regulation benefit long-term? Will implementing regulation too early and too strictly deflate the

Cryptocurrency Market Cap (USD)

$200M $200B $150M

$100M

$100B

$50M

$0M

$0B Aug 16

Nov 16

Cryptocurrency Bitcoin

Feb 17

May 17

Ethereum Classic

Litecoin

Bitcoin Cash

Etherum

NEM

Dash

Iota

NEO

2012

2013

Ripple

2014

2015

2016

2017 $2,465M

2011

Aug 17

Funding Source ICO Venture

Annualized to YE 2017

$1837M

Will implementing regulation too early and too strictly deflate the bubble or altogether kill the concept?

Raised Amount (USD)

Novum Insights has tracked more than 650 ICOs to date (See chart 1.2). Out of all these ICOs, in 2016 there were 52 notable completed ICOs, whereas in the first eight months of 2017, already 216 have been completed.

$96M

$593M $9M

$548M $30M

$405M

$595M $799M

YTD 2017

A handful will rise to the top and stay there, to create the next generation of Googles and Facebooks of this world.

$1M

ICO INVESTMENT ANALYSIS To emphasize the massive growth of the ICO market, at the start of 2016 only a handful of notable ICOs had taken place, Ethereum itself being one of them (see chart 1.3). End of 2016, 24 had already raised more than $1M, with the largest being Waves, which raised $16M. At this point, no ICO from 2016 is in the top 10 largest ICOs; none is even in the top 20. The largest ones have all taken place in 2017 (the top 20 ICOs are available at the end of this report). Filecoin, with $252M raised (including its pre-ICO of $52M), has already become the most funded ICO ever. EOS, with $232M raised and stepping on Filecoin's toes, closely follows in second, but still has until June 2018 to raise further funds in its ongoing ICO.

$300B $250M

$102M

Novum Insights has tracked more than 650 ICOs to date (See chart 1.2). Out of all these ICOs, in 2016 there were 52 notable completed ICOs, whereas in the first eight months of 2017, already 216 have been completed. In the short time of their existence, ICOs have attracted $2.3bn in investment to date, therefore having already surpassed all venture capital funding ever made in the blockchain space, currently at $2.2bn. To further emphasize this, in the first eight months of 2017, ICOs have already raised a staggering $1.84bn, four times that of traditional venture capital investment in blockchain startups, which has declined to $590m. There is no doubt this is a paradigm shift.

$300M

$4M

This is already happening - the numbers speak for themselves. ICO’s are booming, with no sign of it slowing down anytime soon. Tens and hundreds of millions of dollars of capital have been raised by projects backed by little more than a whitepaper describing the intended cryptocurrency-backed start-up project.

$400B

$350M

$3M

ing model, in which only institutional players, high net worth individuals, venture capital firms and other insiders could participate in financing new ventures through restricted-access share purchases in unlisted companies, is being disrupted. The ICO promises to democratize this model by opening investments to a wider audience, which in turn could make the venture capital financing model for start-ups much less used or even obsolete.

Filecoin $251.9M Tezos $232.3M

Bancor Protocol $153.0M

ICO Status Completed Ongoing

Aeternity $37.0M

Iconomi $10.6M Oct 16

Golem $8.6M

bubble or altogether kill the concept? Can regulation be implemented in some jurisdictions and not others without creating a regulatory arbitrage and driving companies to less regulated markets? Will there be a global standard and how could it be enforced?

When the regulations come in, will they be backdated to include companies that have already completed their ICOs and hence po-

KIK $50.0M

Qtum $15.4M Lykke $2.3M

BetKing $5.0M

Dec 16

MobileGo $53.1M

Feb 17

Apr 17

Jun 17

Aug 17

Oct 17

tentially incur massive fees, as seems to be the case in China? Whatever the answer, one thing is clear, similarly to the dot-com bubble, there might be a market correction and many companies born from this ongoing boom in ICOs will crash as fast as they have risen. A handful will rise to the top and stay there, to create the next generation of Googles and Facebooks of this world.

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NOVEMBER 2017

eSports.com ICO: The Comprehensive Platform Taking Gaming to The Next Level Teams, tournaments, fans and packed venues with all the sponsors you can imagine. That is the face of gaming today and eSports.com is about to transform this whole ecosystem with a blockchain-powered platform that will create the next level of gaming ecosysby tems. A few years ago, no one would ESPORTS.COM have thought that gaming could become a global phenomenon on par with any major sport. Nowadays, this phenomenon turned into a bright new industry with incredible projected growth and tech-savvy users. Exactly the kind of audience that is ripe for a transformative blockchain project that can put all the elements under a single roof. There is no doubt that this is a challenging endeavor. eSports.com is especially well-suited to tackle it through an ICO that has enormous potential.

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TGE: Now Live

This platform will set in motion a series of changes that will form a completely new ecosystem for the gaming industry.

ESPORTS.COM ICO: FROM THE BASIC BUILDING BLOCKS TO THE WHOLE CHAIN eSports.com is uniquely positioned to deliver a transformative change through its ICO. First and foremost because its team has a unique understanding of both the world of gaming and the world of blockchain technology. Gamers who developed into entrepreneurs with a unique understanding of cryptocurrency, have the vision as well as the strategic foresight to put a comprehensive platform together. They know how to align all the critical building blocks to create a whole ecosystem around eSports, based on 3 key verticals: 1. Education.

2. Entertainment.

3. Statistics.

NOVEMBER 2017

THE MECHANICS OF THE ESPORTS.COM APPROACH These seemingly simple verticals, are the pillars of the eSports.com ecosystem. They will enable users to enhance their gaming experience and actively engage in commercial activities focused on gaming. The following are some of the functions that the eSports.com ICO will unlock for this booming industry: • Capturing the imagination of anyone interested through education – it is critical for new users to learn how to play, so the platform will engage this audience in order to integrate it into the growing eSports industry.

• There are varying degrees of education. Developing gaming skills past the beginner level is crucial. Therefore, more experienced players can offer their coaching services through the platform, using the ERT token as a medium of exchange.

• Others might be interested in purchasing or selling hardware or other gaming merchandise. eSports will have an eBay-style platform to do this with the use of the ERT token.

• Some users will be looking to place bets on their favorite teams. With the gaming licenses that eSports.com has in Malta and elsewhere, users who meet the legal requirements will be able to do so through the eSports platform.

• The eSports.com platform will also have a shop for in-game items that players will be able to purchase using their ERT tokens.

• An economy based on the eSports.com ICO will come full circle with platform operators themselves using the ERT token to pay for the services the platform needs to keep running and growing. As a result, eSports.

com will be actively acquiring ERT tokens in the open market to keep its operations running.

• Platform users will get additional perks with multi-tier accounts, access to VIP benefits and special tournaments and games, such as raffles for ERT token holders.

THE BENEFITS OF THE ESPORTS.COM MODEL The mechanics of this platform and the way the eSports.com ICO is structured, will prompt users to gravitate towards this comprehensive gaming platform model. The platform will also be a key gateway into the world of gaming, making eSports.com a unique portal that takes the would-be gamer through all the necessary steps to become a part of this rising industry. Businesses will develop, with a deep market-place for a wide variety of products and services within the gaming industry.

A UNIQUE OPPORTUNITY The potential for success is clear.

This ICO is based on solid strategic principals and a plan that will snowball to gain a significant network effect within an industry that is growing at breakneck speeds. All eyes are now on the ICO itself and the unique opportunity it offers to participate in this emerging economy. With

. Gamers who developed into entrepreneurs with a unique understanding of cryptocurrency, have the vision as well as the strategic foresight to put a comprehensive platform together.

The platform will also be a key gateway into the world of gaming, making eSports.com a unique portal that takes the would-be gamer through all the necessary steps to become a part of this rising industry.

their sights set on a November 1st ICO, the eSports.com team is already showcasing its prowess with an ongoing, successful pre-sale.

The pre-sale period is open until the ICO starts on November 1st.

The pre-sale is caped at 12 million ERT tokens, or half of the projected amount of 24 million tokens set to be sold through the ICO. 40% of the total number of tokens created for the eSports.com platform is up for sale during the presale and ICO combined. The team, which is entitled to 20% of the tokens, will have strict locks on its 6 million tokens, ranging between 1 year to 5 years. This will keep the balance of the platform and will help the team focus on its longterm growth.

ESPORTS.COM TRANSFORMATION COMPLETE! With that last piece of the puzzle in place, the transformative nature of the eSports.com ICO is gathering steam. This platform will set in motion a series of changes that will form a completely new ecosystem for the gaming industry. The depth of the eSports industry, which enjoys spectacular growth rates, will be enhanced by adding a blockchain component to it, all thanks to eSports.com and its talented team of gamer-entrepreneurs.

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NOVEMBER 2017

Not All ICO Advisors are Created Equal The role of ICO Advisor has evolved dramatically and quickly over the last year. Working with many ICO’s as an advisor and being approached everyday by more, I examine the role from the perspective of an ICO. Simply put; what should you be looking for in an advisor?

by MARC KENIGSBERG Founder of BitcoinChaser.com

Many ICO’s don’t understand the role of an advisor well enough. Leading to the wrong choice of advisors, under capitalization of the advisor as a resource and in many cases a disconnect between the ICO and advisor as to expectations.

The market is also unsure as to the exact role of advisors in an ICO, especially since this segment is evolving so fast. I aim to share here some of my learnings and from being exposed to different expectations and types of advisors.

THE PURPOSE AND EVOLUTION OF ADVISORS Initially advisors broadened the skillset and experience of the core team without adding more team members. One of the biggest determinants of suc-

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cess that potential investors look at is the makeup of the team. Track record? Skills? Staying power to succeed?

Choosing knowledgeable advisors is a way for an ICO to essentially “rent” additional experience to increase their probability of success.

The market quickly saw an additional aspect; credibility. Having a subject matter expert agree to be involved in a project provides not only additional experience but a kind of vetting of the project from someone who should be in a good position to judge. Many ICO’s treat the advisor role simply as a marketing tactic. I believe that this is a disservice to the ICO itself as well as the industry as a whole.

CHOOSING ADVISORS Every ICO team goes through the process of trying to find the right advisors for their project. Clarifying internally the objectives of advisors in the project can help in the choice and more importantly maximize the positive impact on the project. Key questions to consider include: • How many advisors • The advisor breakdown

• How much to pay advisors • The scope of advisor involvement SCOPE OF ADVISOR INVOLVEMENT In defining the scope of involvement many ICO’s underperform. Good understanding of the advisor objectives, clear communication of expectations dramatically increases the benefit.

Advisors are just that and not function as day to day team members. But by the same token they are resources within the project and should be applied correctly to the area they can most positively impact. Different advisors will be comfortable with different levels of involvement. Detail expectations in the advisor agreement.

Signing an advisor and then expecting them to deliver value without an upfront discussion is not an effective strategy.

DIFFERENT TYPES OF ADVISORS In my experience there are essentially three types of advisors available to ICO’s: • Name only • Cryptocurrency experienced • Subject matter expert

NOVEMBER 2017

An advisor in name only lets the ICO add his/ her name and face to the project for the purpose of credibility and/or publicity. These advisors are extremely well-known personalities and are not directly involved in the project in any way. The ICO simply pays for the right to use his/her profile.

A cryptocurrency experienced advisor brings specific cryptocurrency experience to the project. Typically, this is either blockchain experience, knowledge of crypto economics or experience in the actual ICO process. They could be of any level of fame and involvement is dependent on the individual agreement with the ICO. A subject matter expert may or may not have cryptocurrency experience but will always have deep experience in one particular aspect of the project. This most often applies to different verticals where the team is trying to bring disruption to another industry. In this case the more experienced the advisor is, the better. The higher the advisor’s profile the more weight they add to the ICO offering for the potential investor.

MY CRITERIA FOR WORKING WITH AN ICO The vast majority of ICO offers I refuse. I will not get involved in any project that I don’t believe in or am not excited about. Over time I have developed a simple system to filter through potential ICO’s. I would like to share that now to give insight in to how at least one ICO advisor’s thought process works.

Firstly, I have three criteria the ICO must fulfil for me to consider working with them: • Legitimacy • Interesting • Commercials

One of the biggest determinants of success that potential investors look at is the makeup of the team. Track record? Skills?

Staying power to succeed?

I need to be able to establish legitimacy. Not meaning how likely the project is to succeed but rather that the project and team are legitimate and there exists the belief in the team that they can succeed. I prefer to meet the team in person but in absence of that a recommendation from a trusted colleague and some research usually suffice.

Next the project has to be interesting to me.

Either in passion, innovation or disruption and not the same as I already have been involved in.

But by the same token they are resources within the project and should be applied Lastly it has to be commercially interesting correctly to the area they can most posi- to me. Thankfully today I am in a position to choose what I work on, but ultimately it tively impact.

Lastly it has to be commercially interesting to me. Thankfully today I am in a position to choose what I work on, but ultimately it is not solely altruistic. My time is valuable and if an ICO does not recognize that then I would prefer not to work with them.

is not solely altruistic. My time is valuable and if an ICO does not recognize that then I would prefer not to work with them.

Having met these criteria, I impose one more upon myself; can I add value to the project? If the answer is yes, next step is a meeting with the team to hear in their own words about the project and approach. Giving me a good understanding of who is behind it and where I could be of value. Then and only then will I make a decision as to my involvement.

TAKEAWAYS Not all advisors are equal in skillset or levels of involvement. Identifying the best advisor breakdown and then clearly communicating expectations dramatically increases the added value that advisors can offer. Be respectful of an advisor’s time and get them excited about your project by keeping them updated. An excited advisor is one that is more likely to be involved and be more vocal publicly about the project.

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NOVEMBER 2017

Public Blockchains vs Centralised Blockchains “Blockchain” may be the tech buzzword of 2017. It’s getting headline-inducing name drops from the ICO boom, cryptocurrencies, fortune 500 enterprises, and technology thought leaders. The blockchain is the powerful accounting technology that enables cryptocurrencies like Bitcoin and Ethereum to thrive. and they are thriving.

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Cryptocurrencies are seeing higher and higher valuations, and they seem to be attracting everyone’s attention. However, while Bitcoin and Ethereum are soaring to new heights each day, the true value of these cryptocurrencies may be in the technology that powers by them.

KIRBY DARCY

CEO & CTO and Pay Per Growth

The blockchain isn’t a new concept. It was first introduced by Satoshi Nakamoto and Bitcoin in 2009. Nakamoto envisioned “a system for electronic transactions without relying on trust.”

The expression of his vision would be a decentralised ledger system, which means that it isn’t stored on a single server. Rather, its contents are distributed across thousands of networks all over the world, and by almost all estimations, these are the most accurate, reliable, and transparent records in technology. The resulting technology continues to proliferate and change while holding true to Nakamoto’s original vision. However, as the blockchain is expanding beyond just cryptocurrencies and into the enterprise arena, there are those, in-

cluding the R3 initiative, who are striving to exploit the benefits of the blockchain while disbanding some of its core principles. As a result, the debate over the future of blockchain continues to rage on.

THE ORIGINAL VISION The blockchain is as much a philosophy as it is a practical technological solution. Founded in the wake of the 2009 financial crisis when disillusionment with the financial sector was at a high-water mark, Bitcoin strove to be a viable, p2p alternative currency that would allow users to eschew traditional fiat currencies and their accompanying financial institutions. More importantly, Bitcoin’s accounting would take place on a public blockchain that was fully transparent, secure, and reliable. At a time when centralised institutions were grappling with their own misdeeds, Bitcoin and its blockchain offered an appealing alternative.

As the Harvard Business Review writes, “with the Bitcoin blockchain, power is meant to be distributed among all the stakeholders in the community.”

NOVEMBER 2017

When Vitalik Buterin and his team launched Ethereum in 2013, Satoshi’s original blockchain vision seemed to be maturing into its full potential. The Ethereum blockchain proliferated the possibilities of the blockchain by creating a platform where developers could build decentralised applications that utilise the blockchain and its principles to create new solutions to modern problems.

PUBLIC BLOCKCHAIN The original vision of the public blockchain is beginning to find implementations at enterprise levels at public and privately held companies. For example, The Enterprise Ethereum Alliance (EEA) is a recently launched consortium with more than 150 members including Microsoft, Intel, and BP. Their goal is to design and implement enterprise scaling blockchain initiatives, and they are poised to make real progress. In a statement released by the alliance, Julio Faura remarked that “The technological breadth, depth and variety of organisations coming together under the auspices of the EEA to create and drive enterprise Ethereum standards, bodes well for the future development of the next-generation Ethereum ecosystem.” In conjunction with the developments of the EEA, Ethereum recently launched its Byzantium hard fork, which is intended to improve the Ethereum networks ability to sufficiently scale to accommodate enterprise solutions. It’s obvious that the public blockchain is maturing to incorporate the growing use cases for the technology.

All of this, represents a progressive expression of the original blockchain. These projects embrace decentralisation and accountability while also achieving practical, enterprise solutions for their business. This is the next big step for the public blockchain, but some aren’t as convinced of the efficacy of the public blockchain.

CENTRALISING BLOCKCHAIN The battle for the future of blockchain is primarily happening at the R3 consortium, which is similar to the EEA in that it is a collection of companies striving to develop and implement best practices for the blockchain. They are pretty serious about it too. This spring, R3 raised more $107 million to help fund their project. R3 shares some of the EEA’s priorities, but it’s embracing a different approach to blockchain integration. Specifically, R3 is blockchain solutions for banks and other financial institutions. According to their official press release, “R3 was born out of a common frustration among banks and other financial institutions with multiple legacy financial technology platforms.” In other words, R3 rightly sees the blockchain as a way to upgrade the industries technology while also incurring many of the ancillary benefits that are inherent in the blockchain.

ly different than Nakamoto’s original vision and from Ethereum’s later implementation. Most notably, Corda’s feature demonstrates the difference. Corda is focused on recording and securing transaction data rather than the currency data of an entire blockchain. Corda engineers explain this difference in their forum, writing, “With Corda, consensus can be reached by way of appending digital signatures to a contract state. If signatures are present from all parties to a transaction, then we assume that the transaction is agreed upon and consensus is achieved.” Public blockchains like Bitcoin and Ethereum achieve consensus at the ledger level, and this information is made public.

However, without the public record associated with the blockchain, it stands to question whether or not the Corda blockchain is actually a blockchain or a derivation of the concept. R3’s corporate ledger shares many qualities with traditional, centralised data systems but with a different name. As TechCrunch notes, “their approach of enlisting banks and financial services companies for projects is

light years from the more subversive mindset of some of the developers of the original and the largest blockchain protocol, Bitcoin.”

Of course, different isn’t necessarily bad, and R3’s Corda is establishing some serious connections with major financial outlets. The effectiveness of their product will determine the legacy of their solution.

THERE IS A DIFFERENCE. DOES IT MATTER? Ultimately, the debate between the strategies of the Enterprise Ethereum Alliance and R3 is the best kind of debate. It doesn’t matter who wins because the best solutions will benefit everyone. Satoshi Nakamoto’s original vision for the blockchain was naturally disruptive, and as others build upon his ideas, new disruptions will occur. There may never be a consensus on the best expressions of blockchain technology, but this innovative technology will make a real difference at every level of business and society. In a real way, when ideas compete against one another, improvement and progress is inevitable.

As a result, R3 launched its blockchain application, Corda, in August. R3 may be working toward blockchain solutions for the financial sector, but their definition of blockchain is wild17

NOVEMBER 2017

Virtual Reality Ad Tech ICO Spectiv Receives Over $1 Million in Pre-sale SPECTIV VR Virtual reality streaming platform Spectiv has just closed its private early supporter pre-sale, where Signal Tokens were sold for a total of 3,548 ETH, 32 BTC, and $58,000 USD. Spectiv is a dedicated VR media platform where usby ers can stream their VR video experiDYLAN SENTER CEO ences to the world, and where others can enjoy those experiences from the comfort of their homes. It is a niche streaming platform similar to Twitch, but with a focus on VR content. Learn more about it here: www.spectivvr.com.

SUCCESSFUL PRESALE BUSINESS AND LEGAL STRUCTURE The Spectiv pre-sale was executed in Since the pre-sale, Spectiv has hired partnership with Sutton Stone excluan additional developer, an external sively for early supporters of the proCFO, and moved into an office space ject. Pre-sale participants were redirectly across from their crypto venquired to pass qualification screenture partners Sutton Stone. In prepaings in compliance with OFAC and oth- ration for the open sale, Spectiv is er KYC checks. All pre-sale participants structuring the relevant business enengaged in a personalised SAFT with tities to comply with existing/unSpectiv, LLC. All pre-sale transactions declared governmental regulations. have been audited This includes setting and verified by globup a Mauritian coral public accounting porate vehicle used TGE: firm, Baker Tilly. This support the token December 8th 2017 to pre-sale was conductsale in that jurisdicSIGNAL TOKENS ed with a pioneering tion. Spectiv will be Signal Tokens will be used on Spectiv's standard for securithe second large proplatform to directly connect advertisty and regulatory consciousject to undergo this process ers with attention influencers. This is ness. Proceeds from the toin partnership with Sutton achieved through Spectiv’s “Ad Campaign ken pre-sale have recently Stone.

Smart Contracts” which advertisers can been released and are being use to directly reward viewers, publishused to build the platform alTOKEN PURCHASING ers, and curators for driving attention to pha and raise awareness for OPPORTUNITIES their ads. Every ad view and click that oc- the project. The open token Signal Tokens can be purThe protocol is curs on the ad is communicated to the Ad sale period is set to start on chased at a fixed price designed for any of $0.50 each, with earCampaign Smart Contract which then au- December 8th, 2017. tonomously rewards Signal Tokens. media platform ly bird bonus opportuniSPECTIV PLATFORM to adopt and im- ties for qualifying particiThe Signal Token Protocol is not limitALPHA RELEASE pants. The sale will have a plement. ed to the Spectiv platform; it is openSpectiv is currently focused maximum expected receipt source. The protocol is designed for any on developing its VR streamof $40 million in Signal Tomedia platform to adopt and impleing platform which is expected to roll kens. This open sale will be hosted at ment. Spectiv brings integral value to out in early November. The alpha V1 www.spectivvr.com on December 8th, this protocol by acting as the pioneer will support VR content upload, view2017. Sign up for the email list on the and first use case, providing a foundaing, user accounts, and more. This homepage of their website at tional layer for other media platforms means token purchasers will have an www.spectivvr.com. to benefit from and build upon. This opportunity to use the platform far bepragmatic approach to token creation fore the sale on December 8th. Check Reach out to info@spectivvr.com for could bridge the gap between blockout the current product demo here: private token purchasing inquiries and chain theory and real-world utility. www.spectivvr.tv/demo. bonuses.

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NOVEMBER 2017

We are excited and proud to present trade.io – a next generation financial institution based on blockchain technology.

Designed to disrupt the existing status quo in the financial markets, this is a revolution that will usher in a new era of trading and financing. Incorporated in Crypto Valley, Zug, Switzerland, Trade.io is committed to operating with the highest standards of governance and in a regulated environment.

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OPPORTUNITY trusted record keeping capabilities that A whole ecosystem of banks, advisors, only blockchain provides. This is coumarkets, and record keepers are extract- pled with trade.io’s investment banking enormous fees from both invesing and advisory expertise and the reastors and companies. On top of the insurance that comes with operating in a efficiencies creatregulated environed by high fees and ment. Ultimateby low liquidity, exly, trade.io will be Pre-Sale: JIM PREISSLER a trading and fiCEO trade.io isting trading platNovember 7th, 2017 forms lack transnancing platform November 25th, 2017 parency, they have for more than just no third-party vercrypto assets. It ification and often will also offer FoTGE: suffer from conrex and CFD’s over November 28th, 2017 flicts of interest. precious metals, These failures are oil, commodities, December 15th , 2017 the problem that indices, global eqthe trade.io team uities, to name just seeks to solve by disintermediating and a few. Offering more than 120 products commoditizing today’s inefficient sysat launch, trade.io will have the capacity tem. By using our innovative and trustto trade any number of assets. ed trade.io blockchain trading platform, we will democratize the markets and OUR SOLUTION save money for investors and compaBy launching trade.io, we aim to use nies, reducing and in some cases, elimBlockchain technology to disrupt the inating the tremendous fees and ineffimarket-making broker model. From ciencies traditionally associated with as- launch, Trade.io will offer trading in set trading. As well as asset trading, the more than 120 instruments, includtrade.io exchange supports a more efing crypto, Forex, CFDs on stock indificient and secure method of listing asces, commodities, stocks, metals, and sets in the crypto economy, using the energies.

NOVEMBER 2017

Trade.io is a next generation financial institution based on blockchain technology, providing the ultimate in security and transparency. By leveraging decades of experience in the investment banking, trading & fintech sectors and combining them with the power and transparency of the distributed ledger, we’ve created a truly unique product that will revolutionize asset trading and investment banking.

Trade.io recognizes the potential for Blockchain to transform the global trading system and as a result, has created an offering and product that not only fills a huge void in the fintech space but which, most importantly, puts its investors’ and clients’ interests first.

OUR GOAL 2 Aims to be the leading platform for trading multiple financial assets based on blockchain technology.

2 Aims to be the leading exchange for traditional companies to raise funds from the crypto communities.

2 Aims to be the most cost-effective platform to facilitate investment banking services with reduced advisory expenses.

2 Aims to be the biggest trading liquidity pool comprised of TradeToken holders for the benefit of TradeToken holders.

2 Aims to be one of the top 5 crypto-assets based on market capitalization.

INTRODUCING TRADETOKEN (TIO) TradeToken is a utility token that enables frictionless transactions of a wide range of assets on the trade.io exchange whilst also acting as a medium of exchange and a store of value that could become more valuable in line with the growth of users and increasing use of the trading platform. You can use the TradeToken to participate in the trade.io shared liquidity pool

as a market maker and receive daily payouts to your trade.io wallet in fiat and cryptocurrency.

In the future, holders may also be able to use the TradeToken to purchase new issues and IPOs on our trade.io exchange.

KEY DATES & PARAMETERS PRE-ICO: 2 Period: November 7th-25th, 2017 2 Tokens: for PRE-ICO: 200,000,000 2 Unsold TradeTokens: will be sold during ICO ICO: 2 Period: November 28th-December 15th, 2017 2 Tokens for ICO: 75,000,000 2 Unsold TradeTokens: Will be burned postICO

By using our innovative and trusted trade.io blockchain trading platform, we will democratize the markets and save money for investors and companies.

The biggest trading liquidity pool comprised of TradeToken holders for the benefit of TradeToken holders.

EARLY ADOPTERS Some of you may be familiar with two of our early adopters. Firstly, award winning EU regulated, FXPRIMUS, which over the last 9+ years has grown to several hundred thousand customer accounts and almost half a billion US$ in cumulative deposits. The platform transacts several hundred billion in trades per year.

Secondly, Primus Capital Markets UK Ltd, an FCA regulated boutique FX brokerage firm located in the heart of London. Both FXPRIMUS & Primus Capital Markets UK are officially venturing parties of trade.io by being an early adopter of the forthcoming trade.io platform and technology. Both companies will be the first regulated brokers to potentially adopt blockchain based systems, integrating legacy systems to the new world of blockchain. For more information please visit: trade.io 21

NOVEMBER 2017

Wala

The Financial Platform for the Next 3.5 Billion Consumers Were you aware that over 3.5 billion consumers worldwide operate outside the formal financial system? That means they are excluded from basic banking and financial services because traditional institutions are not designed to support their needs. They are not able to utilize the money transfer, saving, and borrowing services that allow many of us to progress.

As the numbers show, this is a major problem that affects over half the world’s population, with particularly high proportions in Africa, Asia-Pacific, and Latin America. by TRICIA MARTINEZ CEO Wala

THE PLATFORM Wala is the financial platform for the next 3.5 billion consumers. It is a borderless, rewards-driven and zero-fee platform that brings banking and financial services to the previously unbanked or underserved.

Wala is not a bank. It is a financial platform that closes the gap that exists between consumers and financial service providers by increasing the accessibility of the financial system through a mobile phone. Financial service providers operate through Wala to more efficiently deliver their services, minimizing their costs, and increasing the access for users.

THE CURRENT SITUATION In Africa, where Wala is based and has established its first partnerships, the issue of financial exclusion is particularly acute. According to McKinsey & Co, 80% of the continent’s residents do not have access to formal or semi-formal financial services.

At the same time though, mobile money services are much more popular here than in other parts of the world.

12% of Sub-Saharan Africans have a mobile money account, compared to just 2% worldwide. This fact demonstrates how, if new technologies are introduced in a way that fits the dynamics of local markets, Africa can leapfrog others in adoption and financial innovation.

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WHY BLOCKCHAIN? Blockchain and cryptocurrencies offer an easy method for value transfer between people, across a trusted network, at a low cost. Access to the internet is the only requirement to transfer a unit of cryptocurrency between two parties.

In Africa, more than 500 million consumers currently subscribe to mobile internet services, with the number expected to grow to 725 million by 2025 with 44% operating on smartphones.

The Wala platform is a global solution that is meant to reach every consumer in the world in order to provide them access to financial services. Unfortunately, there are limitations to what Wala is able to deliver on its own. There will always be some number of consumers that are beyond the reach of formal financial services, whether due to identity issues, infrastructure, or economic reasons. But through a crypto solution, Wala can reach even the users whom our financial service providers are unable to.

THE WALA SOLUTION By avoiding a traditional bank-led approach and instead focusing on its strengths in customer engagement through digital solutions, Wala can avoid the large transaction costs that come with previous models. Wala has partnered with banks and microfinance institutions that share its vision for a low-cost, customer-centric experience focused on driving growth. Integration has begun with Wala’s first major banking partner.

To understand the need for the Wala solution, think of a migrant worker wanting to transfer funds to their family in another country. The fees that they have to pay for a sensible financial transaction - as high as 15% - forces them to find an alternative solution or incur that prohibitive fee. However, Wala is zero-fee and borderless, completely removing the barriers that stop them from transacting. Additionally, users are rewarded for good financial practice, such as saving and paying down debt.

ROUTE TO MARKET The Wala financial platform has launched in Africa but, given the huge

unbanked and underbanked communities across Latin America and Asia, there are plans to roll out globally. Wala has already grown a financial community to over 1 million consumers in 100 emerging markets. Different markets will have different dynamics that require different approaches, but Wala will continue to expand their financial communities and work with local partners to service local demand.

THE DALA UTILITY TOKEN The Dala Utility Token is a general-purpose ERC-20 crypto-token being issued to enable zero-fee banking for emerging market consumers. The token is fractionally divisible and independent of all local currencies and cryptocurrencies.

The Wala Financial Platform is the first application to make use of Dala. A Wala user can transfer Dala to other Wala users for free, remit across borders, and redeem for airtime, data, and other value-added services. Not only that, Wala will incentivize users through a rewards model and drive partner service providers to also reward with Dala.

THE TOKEN SALE One billion Dala tokens were created as part of the token generation event, with 40% going towards the rewards program, 30% held in reserve as company tokens, and 30% going forward into the token sale. There is a maximum cap of $30 million.

Presale and registration are now open until 28 November, with the public sale beginning at 18:00 UTC on 1 December and running until 18:00 UTC on 11 December.

THE FUTURE Wala’s five-year roadmap includes expansion to countries such as Uganda, Rwanda, South Africa, Zimbabwe, Ghana, Nigeria, the USA, Mexico and more. Over the next year, Wala will roll out in Uganda using a multi-stage approach that includes 435,000 Wala community members waiting for launch, as well as a range of service provider partners that will add value to the market.

Once the token sale is complete, Wala will launch the Dala Wallet in 2018 to enable users to earn Dala and use the tokens to transact in the app and in person. The rewards system will then be unveiled, followed by integration with a token-to-fiat exchange and banking partnerships that enable financial services to be provided.

Once there has been sufficient uptake of the app, Wala will begin to expand globally in 2019.

NOVEMBER 2017

AI: The Holy Grail of Trading?

Let me start off by saying “maybe” to this question and give some context to AI and trading. In 1956 a group of academics decided that it was about high time that they would formulate a definition for “intelligence”, they all picked a summer vacation of 6 weeks, sat toby ALEX gether at the now famous Dartmouth APELDOORN workshop. 61 years later we still don’t have a solid definition for intelligence.

Of course, it’s no secret that when it comes to definitions, academia always finds it hard to agree on anything, but this specific case has been proven to be very interesting.

Before I dive deeper into the subject, I’d like to ask you to spend a moment to “define” intelligence for yourself.... If you are like me you’ll start off thinking of things like “self-awareness”, “dealing with abstract concepts”, “ability to plan the future”, etc., etc. The problem with these definitions is that you would need to start defining the concepts in the definition and most likely the concepts in those definitions as well.

Quickly you’ll run into an exponentially growing web of definitions. Like any computer scientist will tell you, any problem with an exponentially growing solution space is probably not the way to go. The closest that we get is a sort of meta-definition by Alan Turing who 10 years before the Dartmouth workshop started thinking about machine intelligence. He was asking the question "Can machines do what we [as thinking entities] can do?". By formulating the question like this he by-passes a lot of the initial problems we had with defining intelligence. He bluntly stated, “humans are intelligent, so any machine that can behave like a human is intelligent”. The conclusion of his article was that if a machine’s behavior is indistinguishable from human intelligence then the machine can be regarded as intelligent. There are some great articles online on this topic if you want to read into it further.

From the 1956 workshop until today, there has been massive progress in the field of AI. We’ve seen iterative algorithms like hill climbing, neural networks, NLP and deep learning. Each

adding a new layer of complexity to the field of AI. We see AI’s that work in medicine, play GO and participate in stock picking contests, but are they really intelligent? By the definition of Alan Turing, no. Yet in all these instances the AI outperforms human intelligence by a mile, which is also part of the problem.

Firstly, they can only work in that specific field (or space) and secondly, they don’t behave as humans would, they behave better. So here comes the crux of the whole AI space probably modern science in general. Trade off.

we are currently not building an AI that can mimic all of the human activities, rather an AI that is really really good at one thing and hopefully applying that to new fields of study.

Taking our new-found knowledge, how do we apply this to AI trading algorithms? Firstly, we need to define the space that the AI is working in and the goal that it's trying to attain, secondly, we need to define the constraints that the AI must consider. Thirdly, we need to define the tradeoffs we are willing to make. The space in our case is the crypWhat do we mean by this? Science has tocurrency space. Let's say that the goal become sufficiently advanced that to is the maximization of return of investgain progress on one point you lose ments. An actual investor would probsomewhere else. The most famous ably scan through various sources of tradeoff is probably in computers where structured and unstructured data, anawe trade off processing speed with pro- lyze sentiment, price movement, risk faccessor size. The faster you want to pro- tors and other highly specialized modcess the bigger the CPU. The trade off els. Trying something like that is a hopein AI is that if you want it to give you less task for various reasons, so we must the optimal solution it will take a lot relax our constraints. For instance, only of time to process, because it must go use price and volume data like in tradithrough each possible solution. Let us tional investing. Trading can happen at take the chess game example. Chess has high frequency but unfortunately also roughly 7.7x10^45states. Taking the lose at the same speed. We can try a more current 8 Ghz processors it would take risk averse strategy, but this means that roughly 60 eons to calculate one move. our returns are significantly reduced. Put So how do we deal with this? Mostsimply we need to make trade-offs in inly just minimizing the space (trade off) vesting as well. Which trade-offs we are that the AI must consider. Like for inwilling to make depends on the individstance to only look 6 moves ahead it ual investor, and creating an AI that fits will take a split second. This method of everyone's needs won’t be built easily. looking at a problem is called Lagrange But knowing that these trade-offs are beRelaxation, which is a fancy term for ing made in the background gives you the reducing the complexity of a problem tools to ask the right questions when it to get to a result faster. In the study of comes to investing your money with tradartificial intelligence this means that ing bots. -maybe.

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NOVEMBER 2017

“Crypto Got Choppy so I Anchored In Apple” Move From Crypto To Any Global Asset – And Back Again – With Ankorus In case you hadn’t heard, money is flowing into crypto.

by MARTIN HIGGINS Co-Founder and Media Director of Ankorus

For many years now, it’s also been exiting the traditional trading arenas of the financial world. Liquidity has been evaporating, rapidly. The big players and their high-frequency trading have driven out the “momand-pop” retail operations, their computers cozily “co-located” with those of the exchanges’ for that split-second jump on the humans waiting down the pipe.

We at Ankorus are watching the flow into crypto. We’re expecting a deluge, and for our company to be operating a key new floodgate. But the flow, ul-

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timately, will be both ways, bringing liquidity back even into traditional markets.

But how can a new blockchain fintech venture bring such a sea change? And what about the SEC, auditing, security?

We think of Ankorus as a mix of Coinbase, E-Trade and Tether, all rolled into one. We will make available to our customers, either tokenized or not, as preferred – any financial instrument, including stocks, bonds, futures, options, gold, silver, commodities, REITs, ETFs and sovereign debt. Cryptoholders will be able to truly diversify their portfolios across multiple asset classes and, for the first time, buy exactly the asset

they want, purchased with any one of more than 60 cryptocurrencies.

Where some tokenizers simply expose their customers to assets – effectively acting as a glorified bookmaker – Ankorus will actually secure and hold assets in the customer’s own segregated account, just like any other broker.

THE SEC, BROKER-DEALERS AND THE CRYPTOSPACE The Ankorus evolution is founded upon the introduction of a tried and tested concept into the exciting, immature and still predatory chaos of the frontier-land that is crypto. This is the venerable and venerated institution of the registered

NOVEMBER 2017

broker-dealer, allied to a seat on a major stock exchange (in the case of Ankorus, the London stock exchange).

“Everyone else [in the space] is trying to tokenize assets [without] being a broker-dealer entity. This is where they run into trouble with the SEC,” explains Ankorus CEO John Cruz, a veteran independent financial trader of twenty-five years.

“Broker-dealers can structure securities and financial products and, as long as they get SEC approval, they are able to sell those products.

Right now, everyone else is trying to structure products using technology, but they are not going through the SEC’s vehicles. Using precedent from other SEC products… we are sure we can get approval. Not only that, we expect the SEC to actively welcome Ankorus for helping bring back liquidity.”

Previously, in volatile times, cryptoholders had to either ride it out or tie their fortunes to Tether. With the Ankorus solution, a vast array of exits opens, limited only by the number of globally exchange-traded assets. For such reasons, it seems clear that Ankorus will act as a multiplier in the cryptospace, accelerating capitalization, as wealth moves more quickly and easily between the financial and crypto worlds, securely mediated by the broker-dealer model. The broker- dealer addition is the crucial component in the promotion of the blockchain asset-backed token to a legitimate and mature new financial instrument.

The futurist and entrepreneur Alex Lightman (now a member of the Ankorus advisers team) recently in ICO Crowd put the potential of the space into perspective, “I think it’s reasonable to expect that the cryptocurrency / blockchain boom will result in the creation of over $10 trillion in wealth. We are only 1.5% of the way there”.1 HOW TO DEMOCRATIZE GLOBAL FINANCIAL MARKETS Around two billion people do not use formal financial services, according to the World Bank. Even more remain completely “uninvested” in global markets. In the wealthy US, the percentage of Americans investing in the stock market stands at just under 14 percent of US households,2 and numbers are even lower in Europe. According to another US study, 21 per cent said they did not trust stockbrokers or financial advisors.3 Ankorus’s approach will demystify, simplify and democratize participation via: 1. Low commissions. As a broker-dealer with a seat on a major exchange, Ankorus will act as a minimum commission broker. Others lack this status and pass on the charges to the customer.

2. Fractionalization of assets. The Anchor Token system allows assets to be split into much smaller, more affordable, pieces. Take a bite of Apple instead of a whole share!

In case you hadn’t heard, money is flowing into crypto.

We think of Ankorus as a mix of Coinbase, E-Trade and Tether, all rolled into one.

“Everyone else [in the space] is trying to tokenize assets [without] being a broker-dealer entity. This is where they run into trouble with the SEC.”

3. No minimum account sizes. With Ankorus, customers will not need a minimum investment level to participate. No account size too small!

4. Removal of geographical barriers. Ankorus will broker assets from markets previously barred to non-nationals, while aiding other nationals who are restricted by capital controls.

5. Security and legitimacy. As a broker-dealer, Ankorus will also introduce a level of oversight unseen in the cryptosphere, while maintaining all the strengths of the space.

Ankorus will be SIPC insured and audited on a continual basis by the SEC and via membership of the London stock exchange.

6. AnchorNet Trading Platform. To be developed towards the end of 2018. An exchange where Anchor Tokens can be traded quickly and easily, while protected against high-frequency trading, front-running and similar practices.

With the advent of the crypto revolution, spearheaded by bitcoin, the money of the future has arrived. Yet global assets remain trapped in a centuries-old financial system.

Ankorus is building an entity befitting the times to act as a bridge between the two.

Hedge fund manager Kyle Bass recently commented, “If [cryptocurrency] is a viable asset class, and [bear in mind] the institutions aren’t there yet … because there’s no bonafide custodial edifice allowing institutional capital to come in, then I believe there’s going to be a once in a lifetime move of some number. But then it’s not going to grow from there. So you have to be there and then.”4 Ankorus will be exactly there and then. We hope you will join us, too.

The Ankorus Contributions Phase “ICO” begins on November 25th.

Email info@ankorus.org to join the whitelist.

Website: Ankorus.org. ________ ICO Crowd Magazine, October 2017.

According to a Federal Reserve study for 2013 - 2016. https:// www.federalreserve.gov/publications/files/scf17.pdf 3 https://www.cnbc.com/2015/04/09/half-of-americans-avoidthe-stock-market.html 4 Kyle Bass, interview on Real Vision.

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Blockchain technology provides unmatched efficiency and inclusion to the global economy yet investing in the space is both technically challenging and high risk.

Vanbex Ventures is an integrated venture studio and fund that enables public equity investment in a portfolio of seed-stage blockchain ventures that we identify, define and grow.

VA N B E X V E N T U R E S . C O M

WH O A R E WE ?

Vanbex Ventures was created by the founders of the Vanbex Group, a blockchain agency founded in 2013 that has successfully launched 24 projects and helped to raise $75M in funding. We believe that blockchain technology will have a greater impact on humanity than the internet and that the best way to further the development of this technology is to invest in the best ideas and the brightest minds.

P R O BL E M • The technology and legal/regulatory landscapes are changing rapidly.

• Investment information is of dubious quality • Intelligent investment requires deep understanding of the technology • Venture investment requires owning cryptoassets

W H Y BL OC KC H A I N ?

Blockchain is a foundational technology: It enables new foundations for social and economic interaction, providing levels of efficiency and accessibility.

Just like TCP/IP enabled email and internet communication, blockchain technology will enable the record and exchange of value across a global digital medium (asset ownership, exchange, programmability).

The blockchain industry has grown 2400% in 2017, from $7 Billion to over $178 Billion and is still relatively small ($7.7 Trillion gold market, $7.6 Trillion currency markets).1

• Identify the best opportunities to create value with blockchain

VANBEX

• Value is generated through the managed ownership of equity and token positions • Proceeds are used to grow the business and the fund

W H Y INVES T? • We have a track record of delivering high-quality blockchain projects to market • We only work with the best ideas and the brightest people • Seed-stage investment offers greater ROI as valuations accelerate rapidly towards public fundraising (ICO) • Unique diversification: gain exposure to both the equity and token value of each project • This regulated investment vehicle will be publicly traded so traditional equity capital can be used to gain exposure to the blockchain sector

US E O F PR OCEED S • Creation of the VV incubator program • Talent acquisition

B U SINE S S M O DEL

OPPORTUNITY

• Invest in the best teams capable of delivering this value in exchange for equity and tokens

$178B Market size

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$75M

Raised from Vanbex portfolio

• Team acquisition • VV team equity capital investment

2400 %

$3.3B

YoY growth rate 2

Venture capital raised in 2017 3

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$2.5B

Blockchain projects launched

In portfolio project market

Are you the next big thing in blockchain? If so apply here: A P P L Y @ VA N B E X V E N T U R E S . C O M

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NOVEMBER 2017

Blockchain For Humanity

with MELINDA WOOLF CEO Future of Humanity

Amid the ICO gold rush, there are those that believe (and rightly so) that Blockchain technology and network effects can do more than just change the financial and technological landscape, they can create social impact projects that can do good and solve the problems that affect the most vulnerable people with the greatest needs.

Every month, in this new column, Melina aims to keep you up to date with these humanitarian efforts.

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Blockchain, Cryptocurrencies and the United Nations SDG’s as Solutions for the Future of Humanity

Can blockchain technology and the crypto community come together around the United Nations Sustainable Development Goals (SDG’s) to solve the world’s greatest challenges for the Future of Humanity?

What if we were to take the revolutionary movement that is ablaze within the blockchain and crypto space and apply that magic to solve the globally recognized United Nations Sustainable Development Goals, which were established to eradicate the globe’s most pressing challenges?

Shake, simmer, stir, ignite! Might

we just have a recipe to create exponential and quick success?

vulnerable people with the greatest needs. Harnessing the rapid fire pace in creating resources With the brilliance of blockchain and solutions that target the estechnology and new wealth cretablished UN SDG initiatives, we ation ability of cryptocurrencies, might just have a winning combiwhy not focus this network effect nation for the Future of Humanon creating social impact proity. In fact, there are initiatives jects that can do good and solve that are doing just this. First the problems that affect the most have a look at the UN SDG’s.

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WHAT ARE THE UNITED NATIONS SUSTAINABLE DEVELOPMENT GOALS (SDG)?

For those who may not be familiar with the United Nations Sustainable Development Goals, the SDG’s were established in 2015 with a global call to action for 2030.

“On September 25th 2015, countries adopted a set of goals to end poverty, protect the planet, and ensure prosperity for all as part of a new sustainable development agenda. Each goal has specific targets to be achieved over the next 15 years.”

The first few goals focus on basic human rights, alleviating poverty, hunger, and providing universal healthcare and quality education for all. The SDGs go further in establishing gender equality, clean water and sanitation, affordable and clean energy, and decent work and economic growth. The SDG’s also state that it is important for everyone on the planet to create industry, innovation and infrastructure, to reduce inequalities, to design sustainable cities and communities, and to take ownership of responsible consumption and production of resources.

The utilization of blockchain and crypto ‘smart contracts’ creates automatic authenticated transparency and trust to enable partnerships to thrive, hence breeding a situation where true collaborative solutions can be born. This is an ideal model for establishing productive partnerships and makes blockchain technology a natural ‘fit’ towards providing solutions for SDG #17 - Partnerships for the Goals.

SDG #1 - NO POVERTY Presenting Blockchain and Cryptocurrencies as Solutions to the Goals Cryptocurrencies by their very nature create funding. One of the biggest gaps for the SDG’s success is a simple lack of resources and funding.

“$1.4 trillion a year is needed to reach global goals for the world's poorest.”

Cryptocurrencies and Utility Tokens built on blockchain technology offer an elegant opWith this, the SDG’s begin leading into the cli- portunity for solutions, by providing customized and integral approaches to capital needs. mate focused goals and the potential climate Utility Tokens can be specifically engineered crisis that we all are facing: Will there be a to solve key needs around the specific SDG’s. planet that will continue to support us?

Even currencies without a specific call to action towards Social Impact can be asked to The climate SDG’s continue with climate action, both below water and for life above land; simply contribute a percentage of their token to ensure we can reach and sustain these goals, base towards UN SDG related causes. Blockchain and crypto can provide automated, insociety also needs peace, justice, strong institelligent, easy and graceful solutions towards tutions, as well as partnerships that can further create and ensure the successful outcome SDG #1 - No Poverty. for these Global Goals.

And now that it’s been established that Blockchain technology and crypto-economics are already a natural fit for and addresses at least two of the seventeen United Nations SDGs, let’s explore some projects that are already implementing blockchain as solutions for the additional 15 SDG’s.

UNITED NATIONS GENERAL ASSEMBLY AND BLOCKCHAIN FOR SOCIAL IMPACT In New York, during the 72nd Regular Session of the UN General Assembly at the United Nations on the International Day of Peace, something magical happened. The Future of Humanity took a giant leap forward: projects using blockchain and crypto-economics stood on a global stage and shared commitments to lead the charge towards solving the UN SDG’s.

To a standing room only crowd, Founders of blockchain and crypto based projects announced to CEOs, captains of industry, senior policy-makers and government representatives, international agencies, academics and organizations concerned with sustainable development on how they will each be a part of the solutions for the UN SDGs. A few examples from the day and the SDG’s they address are below.

BLOCKCHAIN MEETS THE UN SDG’S Now one might wonder, what does blockchain technology have to do with creating social impact, and what can cryptocurrency and utility token projects actually do to a make a difference? The answer… it is already a natural fit!

SDG #3 - GOOD HEALTH AND WELLBEING SDG #17 - PARTNERSHIPS FOR THE GOALS Innate in Blockchain and Crypto technologies core design is the ability to foster successful partnerships with ’peer to peer’ exchanges.

Finance, Technology, Trade and Systems are actually listed as ‘Targets’ for SDG #17.

Universal Health Artificial Intelligence founder Quang-Vu Dang, announces UHAI, a decentralized and distributed electronic medical information on the blockchain with machine learning algorithms that detect and predict health outcomes for participants.

UHAI is a security first, privacy first highly decentralized platform that processes, stores and unifies electronic medical information on the blockchain, where machine learning algorithms are used to detect anomalies and pre29

NOVEMBER 2017

dict health outcomes for all participants on the network. UHAI is moving the current model of making medical diagnosis (i.e. ‘You’ have this medical condition) to predicting diagnosis (i.e. based on ‘Your’ profile, there is a 90% probability of developing this condition within 2 years.)

Leveraging distributed ledger technology, Horizon State has built a secure digital ballot box that cannot be hacked, wherein results can never be altered, and voter identities are protected. Partnered with SAP Next-Gen and engaged with numerous governments and global NGOs, Horizon State is poised to play an important role in the future of voting and collaborative decision making around the world.

This is a paradigm shift in medicine as the system is designed to help solve health inequality in the world by improving accessibility to care and making it more affordable while reducing medical mistakes.

Through technology, Horizon State will prove a key enabler in establishing effective, accountable and inclusive institutions and governments at all levels.

SDG #16 - PEACE, JUSTICE AND STRONG INSTITUTIONS At United Nations Blockchain for Social Impact, Co-founder Jamie Stella shared about Horizon State, a decision-making platform that is redesigning democracy for the 21ST Century.

UHAI Founder Quang Vu Dang states, “We are working to help solve the SDG #3, Good Health and WellBeing. I believe that healthcare is a basic human right, like clean water, clean air, and nutritious food. Having been in the healthcare field for almost 20 years, I have seen individuals, communities, and people around the world negatively affected by poor healthcare. I feel that there’s a great opportunity, a perfect storm, if you will, where people, technology and circumstances can intersect to make this a reality and be a part of the solution for this global challenge.”

Both Horizon State and it’s not-for-profit partner, MiVote.org.au, have developed blockchain based voting technology and solutions that can be applied towards SDG #16 Peace, Justice and Strong Institutions.

Jamie states, “For the first time in history, we are able to deliver unprecedented trust in electoral results, and the outcomes of other important collaborative decision making processes. We are now one very important step closer to the eradication of corruption, opening the door for improved governmental stability and accountability.”

UHAI is free to all participants on the network. Token pre-sale will be available November 11 this year. You can find more at: http://uhai.io/

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Horizon State’s token sale ran on October 16, 9AM UTC, through October 30.

More information about participating in Horizon State and MiVote can be found at https://horizonstate.com/ http://www.mivote.org.au/

Earth Dollar Founder David Kam and Future of Humanity Founder Melinda Woolf at UN SDG Media Zone Speaking of “For the People, by the People and For ALL People” Sovereign Nations were also represented. David Kam announces Earth Dollar and Earth Jubilee: 50 day event starting November 11th.

Horizon State Co-Founder Jamie Skella at UN Media Zone

Universal Health AI (UHAI) Founder Quang-Vu Dang speaks on UN Media Zone stage

Horizon State, MiVote and the team behind both, are firmly committed to the United Nations Sustainable Development Goals. In addition to a strong focus on SDG #16, both organizations also have a strong focus on SDG’s #4, #5, and #10.

David Kam shared, “The Earth Dollar is a new sovereign asset-backed currency: the world’s first “sustainable cryptocurrency”, representing the largest deployment of natural capital assets on the blockchain. The Earth Dollar is used to fund the Sustainable

NOVEMBER 2017

Development Goals of the UN, including ending poverty and creating a sustainable planet. The Earth Dollar will also power a new economic model, the ”Living Economic System”, built on blockchain technology.”

In addition to the focus on ending extreme poverty with SDG #1, Earth Dollar addresses the SDG Climate Goals #12 - #15. It also has a strong focus and impact on SDG #16.

Earth Dollar announced it’s Token Sale for 11/11/2017, 11:11 am GMT. http://www.earthdollar.org/ A Global Movement and Call to Action for Social Impact. Together we can make a real, lasting change!

This fire was lit by some of the best entrepreneurial and financial minds on the planet.

Their ingenuity was awe inspiring. The above serve as shining examples, and yet, despite their valiant efforts, there is still much work to be done to bring true solutions for the goals.

Not every SDG was addressed or could be addressed. However, it does show that Blockchain, with its disruptive technologies, and crypto-economics, with its ability to generate token offerings, can provide key solutions towards achieving these global initiatives for the SDG’s.

There is no doubt that more blockchain projects with a mission for social impact, that are working with the UN SDG’s, will soon be coming to the market.

What is needed is to develop projects that can make a contribution to these initiatives around the SDG’s. It is up to each of us to find our passion and to apply that which we are already doing towards solutions for these goals.

Let this serve as a universal call to action and ‘a throwing down of the proverbial gauntlet’ so to speak, for all who are in the blockchain and crypto space. And with Blockchain and Cryptocurrencies, there is currently a tremendous opportunity!

ABOUT FUTURE OF HUMANITY Blockchain and The Future of Humanity, a Collective Leap Forward In partnering with the best in technology, philanthropy, and ethical business to form opensourced decentralized communities to accomplish the United Nations Sustainable Development Goals globally, Future of Humanity is the distributed and decentralized community and technology stack for the UN Sustainable Development Goals.

Author’s Note: I am personally excited about what blockchain can do, and I am wowed at the tenacity of the potential of the crypto community to create new systems and models based on values, transparency and exchange so quickly. I have confidence in the community of visionaries. I am hopeful that more and more of these will choose to work with the SDG’s for social impact. This combination is a perfect synergy for the roadmap to a better tomorrow. Visionary leadership, technology for social impact and a dedicated team of culture hackers who aspire and have committed to the highest and greatest goals for the planet, assure me that a future for humanity we can all be proud of remains within our grasp.

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NOVEMBER 2017

An ICO You Can Trust

by ANDREW ADCOCK Crowd for Angels

Given the stellar performance of certain cryptocurrencies over the past few months and years, and the publicity created around them, it’s not strange that ICOs are being seen by many as a way of making fast and large returns.

But with many naive investors being attracted by the hype and looking to make a quick buck, that provides increasing opportunities for those with dishonourable intentions to set up fraudulent ICO schemes. Combined with the fact that the area remains largely unregulated, uninformed investors need to be especially wary when putting their money into the latest “hot” coin offering.

Of course, like with all investment classes, the vast majority of products that are created are legitimate. But whatever the asset, there will always be some who want to exploit investors and give the industry a bad name

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Combined with the fact that the area remains largely unregulated, uninformed investors need to be especially wary when putting their money into the latest “hot” coin offering.

with their disreputable deeds. As the Financial Conduct Authority (FCA) recently stated in its ICO consumer warning, “some issuers might not have the intention to use the funds raised in the way set out when the project was marketed.”

The issue was highlighted at the end of September when the US Securities and Exchange Commission (SEC) made its first charge for ICO related fraud.

This was against businessman Maksim Zaslavskiy and two companies he owns and manages, REcoin Group Foundation and DRC World (aka Diamond Reserve Club), which were accused of defrauding investors via a pair of purported ICOs. The SEC alleges that Zaslavskiy and his companies sold unregistered securities and that the coins being sold, supposedly backed by physical real estate and

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diamonds, don't exist. Zaslavskiy and REcoin allegedly misrepresented that between $2 million and $4 million had been raised, while the SEC suggests the actual amount was closer to c.$300,000. The assets of Zaslavskiy and his companies have since been frozen via an emergency court order.

With the industry remaining unregulated, the burden of due diligence on ICOs therefore rests largely with investors themselves. There are no brokers or other regulated advisors who have to make sure that ICOs meet a strict set of rules, only third party media brokers whose checks may not be of the highest quality. However, here at Crowd for Angels, we believe that we offer investors a number of reasons to have high levels of trust in both our business operations and our upcoming ICO. Crowd for Angels is one of the UK’s leading crowdfunding platforms for both debt and equity fundraising. Launched in January 2014, and regulated by the FCA, we have developed a sophisticated platform and helped companies connect with thousands of investors to raise the funds they need for expansion. In the coming weeks we will be launching our own ICO, but with a difference.

Crowd for Angels intends to raise up to £50 million by way of a 5 year “Liquid Cryp-

to Bond” paying 3% interest per annum. As part of the fundraise, for every £100 worth of Bonds purchased, investors will receive up to 9900 “Angel” tokens as a reward at no extra cost to themselves. These tokens will subsequently be listed on external exchang-

Crowd for Angels is one of the UK’s leading crowdfunding platforms for both debt and equity fundraising. Launched in January 2014, and regulated by the FCA, we have developed a sophisticated platform and helped companies connect with thousands of investors to raise the funds they need for expansion

es and their value supported through buybacks by the company.

We believe that our ICO overcomes many of the problems traditionally associated with the lack of regulation and trust concerns in the industry. Firstly, the tokens issued by Crowd for Angels are being distributed as a bonus to the bond issue. As they are being given away as a reward to investors there will be no risk of loss of capital, there is only the potential for upside. Secondly, as Crowd for Angels is already regulated by the FCA, while the token issue itself is unregulated, the company will apply its current processes and best practices as a matter of course. As a regulated entity Crowd for Angels must apply strict Know Your Customer and Anti Money Laundering procedures to its current operations and so will apply the same strict methods when administering the bond issue. Thirdly, the Bond will be a company liability so we have a vested interest in making this ICO a success.

What’s more, potential investors are able to check our record on the FCA register, as well as on Companies House. We are run by a team with over 100 years of experience in the financial services industry and can be contacted during most hours of the waking day via phone, email or LiveChat on our website. If you are ever in London, you’re also welcome to visit our offices for a coffee and a chat.

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NOVEMBER 2017

The Internet of Tokens

with ALEX LIGHTMAN

The Internet of Tokens is an ICO Crowd column that offers a broader longer-term view for both Blockchain industry professionals and for a wider audience interested in understanding the market, regulatory and other forces behind the prices that are making headlines, written by an award-winning and Amazon bestselling author.

An Incubator for Blockchain Startups A Conversation between Greg Gilman, Science Blockchain and Alex Lightman, ICO Crowd Science started with a $10 m fund four years ago. What happened with that fund?

The initial funding was used to found or fund a great group of companies, including Dollar Shave Club, DogVacay, and HelloSociety, among many others. Each of those three were acquired - most notably Dollar Shave Club for $1 billion cash by Unilever.

The success of our initial portfolio companies allowed us to raise $30m additional from Hearst.

What is Science Blockchain? How will it work?

Science Blockchain is, as the name implies, our blockchain focused incubator. It will found or fund businesses that are blockchain enabled or related only. It will work similarly to our current incubator - the Science team will both incubate and accelerate new businesses, meaning that we will either found and grow them ourselves, bringing in outstanding management teams to run them after we have them off the ground, or we will partner with entrepreneurs who are seeking our help to grow their businesses bigger, faster and hopefully

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more successfully than they can do on their own. The primary difference is that we are funding Science Blockchain through its own ICO. We did this for a couple of reasons. First, we wanted to actually go through the process ourselves, walk the walk, so we could truly understand the process firsthand. We believe that this will allow us to better advise and assist our portfolio companies as they go through their own process. Second, we wanted a broad base of token holders for the SCI token. Because SCI token holders will receive our portfolio company tokens when and if each of them conducts its own ICO, hopefully it will give our portfolio companies a large group of token holders with a vested interest in their success.

Speaking of our token structure, I think it is unique and it is something I'm really proud of and excited about.

Science Blockchain intends to own both equity and tokens of our portfolio companies. This means SCI token holders will potentially benefit from two value streams. As I mentioned, they'll receive portfolio company to-

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kens at no additional cost, because we'll automatically distribute 70% of whatever the incubator holds on a pro-rata basis to each SCI holder. We'll use the remaining 30% to refresh the incubator -creating a potentially perpetual vehicle to continue to create new companies. The second value stream is from the equity we hold - just like in our traditional incubators. When there is an acquisition of one of our companies, we'll use 70% of the proceeds to repurchase SCI tokens on the open market. So investors will only sell if the market price is attractive to them.

We think this will have a positive impact on price, and will mean that over time there is an ever-shrinking supply of SCI tokens. This will mean each token holder receives a proportionately greater number of future portfolio tokens.

What sort of companies do you plan to fund? Who should pitch you?

We believe blockchain is a foundational technology - that it has the ability to change the way both business and society function. For that reason, we're looking to found or fund businesses that are trying to solve large problems, doing so with a blockchain related solution that makes sense, and will make a big difference to massive numbers of people. Entrepreneurs with a vision that matches our goals, should reach out to us so we can start the process of getting to know them, because we generally get to know our company management teams well before we go into business together. We look at ourselves as co-founders, who are committing to a long journey with each portfolio company, and we want to make sure it is a good

How would you characterize the regulatory climate in the US with respect to coin and token offerings?

Fundamentally characterized by uncertainty.

At Science, we welcome thoughtful regulation, because we think that will give a clearer path for companies seeking to take advantage of the amazing potential of the ICO mechanism.

And the SEC has started down this path, along with several other US regulatory bodies. But we aren't to the point yet where there is very clear guidance, especially from Treasury, on how to conduct ICOs and account for their proceeds. I think it is likely to come rapidly - which is great, as that will make it easier for real inI think the stitutional money to flow into the market is space, especially with respect to serapidly moving curities tokens, which already exist in a more well defined arena. towards one

fit on both sides first. Because we don't run classes or cohorts, and instead view ourselves as inception to acquisition partners, we're very selective about the individuals we partner with. Fortunately, we've been able to partner with some amazing entrepreneurs Michael Dubin, Aaron Hirschhorn, and Kyla Brennan, Dave among them.

You are doing a token sale.

How is it going? What surprised you?

The token sale is going a bit slower than we'd hoped, but generally pretty well. We've raised more than $11M so far, which should be adequate to execute our plan.

An ICO is a 4-6 month process, so when we started this past spring, the market was very different than it is now. I think we've seen some market fatigue, as well as dominated by the lockup of substantial amounts securities token What do you think will hapof liquidity in some monster deals. pen in the Blockchain economy offerings, but But what really surprised us was over the next year? it isn’t really the reluctance of most traditionI'm extraordinarily bullish. Otheral investors (VCs and LPs) to jump ready for them wise we wouldn't be creating Science into the space, as well as the reBlockchain. I think there will cerquite yet. luctance of many crypto whales to tainly be ups and downs - as Bitcoin complete the KYC/AML/accreditahas shown over the last 8 years - but tion certification process. Since we are a se- in the long term, I think blockchain will fundacurity offered under Reg D in the US, US in- mentally transform society, and the companies vestors have to comply with significant reg- that build great solutions to positively impact ulatory requirements. We didn't realize that the lives of millions or billions of people will bethis might be a hurdle that some investors come the giants of the next century. would not be able to comply with. I think the market is rapidly moving towards one We look forward to checking in and seedominated by securities token offerings, but ing what companies you create, and it isn't really ready for them quite yet. wish Science Blockchain great success.

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The Trillion Object Opportunity BLOCKv Completes Token Sale and Prepares to Offer An Interface Upgrade To The Blockchain Ecosystem Reeve Collins is CEO of BLOCKv AG, a Swiss corporation. (AG is like “Inc.” in English) and had a conversation in Santa Monica, California outside in 98-degree heat on Oct. 24, 2017 with Alex Lightman representing ICO Crowd How long have you worked in the Blockchain space?

A little over 4 years ago I immersed myself by co-founding Tether, which later sold in early 2015 to Bitfinex by ALEX LIGHTMAN

What excites you about working in the Blockchain ecosystem?

I am excited by the potential of BLOCKv to transform the world’s relationship with digital value. Bitcoin created a paradigm shift for digital currencies. BLOCKv creates that shift for digital goods.

each other. These unique programmable digital objects that can represent value, contracts, and provide deep engaging experiences will usher in a digital goods economy, which can dwarf What is BLOCKv’s purpose?

BLOCKv was created to inspire a glob- the current app economy. al community of developers to prolifWhat are some examples/use caserate a brand new digital asset class called vAtoms. A vAtom is a superto- es of vAtoms? ken, a token that can be programmed Tickets, loyalty programs, coupons, in with App like qualities vs. simply rep- game goods, AR/VR objects, any digital good that would benefit from the resenting a unit of account. ability to be valued and owned. vAtoms are going to increase the ways Let’s consider Brand advertising. Tothat people, companies, products, day over $100 billion a year is spent services, markets and even nations buy, sell, borrow, loan and swap with in digital brand advertising and all of 36

that value goes to middlemen (planning/buying/technology, and the website to display the ad), but none of that value goes to you, the consumer, which that brand is trying to reach. vAtoms change that conversation and enable brands to provide direct value to consumers and skip the middlemen altogether. Coca-Cola can “hand you” a Coke via the Internet by sending you a virtual Coke that is unique, redeemable, trackable and even gamified. You the consumer have now received an enjoyable experience which provided you real world value vs. being interrupted with an ad.

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What can a vAtom do?

Well, what can an App do? Anything you program it to do. The same goes for a vAtom. Here is an image that lays out all of characteristics of a vAtom. As you can see, what it can do, is only limited by the developer’s creativity.

Today over $100 billion a year is spent Why is this the trillion-object opportu- in digital brand advertising and all of that value goes to middlemen (planning/ nity?

There are millions of apps and over a billion buying/technology, and the website to websites, all of which contain an estimated display the ad), but none of that value trillion digital objects. This whole universe goes to you, the consumer, which that of digital objects will benefit from BLOCKv’s brand is trying to reach. technology because these objects now have the ability to break free of their app, website or device to become ownable, traceable, possessable, transferable, combinable, redeemable and intrinsically valuable. BLOCKv will give developers the ability to imbue or in some cases rethink their technology because of the advent of the vAtom.

You recently led BLOCKv’s token sale.

What did you experience or learn?

That it is much harder than anyone would imagine and that it is getting even more difficult by the day. This market rapidly evolves and what worked yesterday will not necessarily work today and will definitely not work tomorrow.

Coca-Cola can “hand you” a Coke via the Internet by sending you a virtual Coke that is unique, redeemable, trackable and even gamified.

However, from that .1% you will see global tokenized business models that were never possible before, valued in the tens of billions of dollars.

It has been reported that 9 out of 10 startups fail. It has also been reported that 9.9 out of 10 ICO’s will fail until more regulation and higher standards are put into place. However, from that .1% you will see global tokenized business models that were never possible before, valued in the tens of billions of dollars.

How did the token sale go?

We are very excited with the results of our Token Generation Event. We now have ~$22m to deliver vAtoms to the world. Unlike the majority of projects out there, our technology is consumer facing. Soon there will be global awareness around this new type of digital object which will lead to more use cases, more innovation, and extraordinary demand for V, our network token.

Any final thoughts?

What has inspired me most about this experience is the realization that BLOCKv is pioneering an entirely new category of business models, businesses that are run exclusively on tokens enabling interests to be aligned amongst all of the participants, businesses which will change the way the world operates.

I think you’ll be recognized as a pioneer in tokenized business models. Thank you for adding to the capabilities of the Blockchain ecosystem with vAtoms.

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The Internet of Tokens:

Gibraltar and The New Wealth of Nations As this column was written, Nov. 2, Bitcoin just reached the $7,000 milestone. Bitcoin was unleashed upon an unsuspecting world in January 4, 2009, when Hal Finney received 10 Bitcoin, then worth nothing, now enough to buy 10 houses in Detroit. The time in days between the different US $1,000 prices for Bitcoin give us a very succinct and unprecedented resume for a new money-technology hybrid.

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Bitcoin has been around for 3225 days or 8.85 years or 8 years 9 months 30 days.

My, how you’ve grown for an eightyear-old. * 0$ to 1k$: 873 days by 1k$ to 2k$: 907 days ALEX LIGHTMAN 2k$ to 3k$: 56 days 3k$ to 4k$: 6 days 4K$ to 5k$: 45 days 5k$ to 6k$: 13 days 6k$ to 7k$: 4 days * From Arun Mukherjee (@Arunstockguru)

Bitcoin is unique in that it’s one of the few world leading technologies that was global from birth, and, since the authentic identity of Satoshi Nakamoto is a mystery, there isn’t a nation that can claim Bitcoin as its own. There are non-zero odds that Bitcoin is a product of National Security Agency’s cryptographers working with some expert con-

tractor help, so there is an argument that it’s American, but since no agency of the US government claims to have invented Bitcoin or Blockchain, there is low-hanging fruit for governments.

Which nation will develop a reputation as the best place to do initial coin offerings or ICOs? These are also called “Token Generating Events”, especially in the US, out of terror that the use of the acronym ICO will annoy and attract the attention of the Securities and Exchange Commission...a bad sign because it indicates a level of superstition and rumor is operating, in the absence of a crystal clear policy regime for ICOs and TGEs. Which nations will be able to increase inbound capital via ICOs/TGEs? Which nations will be able to attract a critical mass of Blockchain-savvy companies to headquarter and invest in financial infrastructure?

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Which nations will have adequate Blockchain-savvy developers to handle the massive demand?

This last question is crucial. Jason King of Academy School of Blockchain has been presenting around that world that for every 14 approved Blockchain projects, only one is fully staffed with competent developers, and that there are 18.5 million software developers on earth, but only about 5,000 who are expert in Blockchain.

DISTRIBUTED LEDGER TECHNOLOGY IS NOW EXCITING TO SOME GOVERNMENTS Why are an increasing number of governments now ready to compete for leadership in the Blockchain ecosystem? Because taste-makers like the World Economic Forum have blessed Blockchain, and made distributed ledger technology seem like a “must-win battle”.

In a white paper published on the 28th of June 2017, entitled “Realizing the Potential of Blockchain”, the World Economic Forum describes blockchain, or distributed ledger technology (“DLT”) as heralding a “second era” of the Internet. While the last few decades have seen the rise of the “Internet of information… we are now witnessing the rise of the Internet of value”, which promises to “upend business models and disrupt industries”.

As most readers of this magazine know, distributed ledger technology allows for value to be transferred directly and safely from one party to another via the Internet - be it money, stocks, bonds, property deeds, digital royalties or even votes in an election. Such transactions ordinarily pass through various intermediaries to be validated, cleared and processed, and are stored in central ledgers maintained by an authority, (i.e. a central bank in the case of financial transactions, or the Mortgage Electronic Registration System for mortgages).

The very first real estate transaction was accomplished by Propy in October, 2017, a few weeks after Propy raised $14 million in a successful ICO, as TechCrunch founder Michael Arrington purchased an apartment for $60,000 on the Blockchain.

Distributed ledger technology (in theory) eliminates the need for any middlemen, by distributing the validation and storage of

transactions over many computers in a secure and public way, using “heavy duty” encryption. It can be conceptualized as a spreadsheet that is duplicated thousands of times, across a network of computers which is designed to regularly update this spreadsheet.

Thus, information held on a blockchain exists as a shared, continually reconciled database, accessible to anyone on the internet, and with no centralized version vulnerable to corruption by hackers.

GOLDILOCKS REGULATORY ENVIRONMENTS While the winners of the last technology standards wars (mainly in Silicon Valley) and the survivors of global finance wars scramble to grasp the breadth of this technology’s potential applications, the impact which it is poised to make on the financial services industry is all too clear. A landscape stretches before us in which any form of digitized value can be transferred directly and securely, without the need to go through a bank or credit-card company, PayPal or Western Union, a social network or central government. Middlemen will undoubtedly fall by the wayside, but the ones that learn to add value to their ecosystems will not disappear. This technology presents the opportunity for innovative companies, institutions and national jurisdictions to “streamline processes, increase their metabolism, create new value and enter new markets”.

Nations now realize that the missing link is Goldilocks regulation. Not too hard.

Not too soft. Not too tight.

Not too loose. Just the right amount to filter out the bad offerings, bad entities, and bad actors, but not so much that ICO innovators and entrepreneurs and investors are angry, confused or frustrated, especially experienced investors who make their own due diligence and don’t want or need a government to prevent them from making their own choices.

Some governments have realized the opportunity and are rushing to seize it.

The US, with somewhere between 323 and 333 million people? Nope.

People's Republic of China with somewhere between 1.35 and 1.75 billion people? Nope (PRC is possibly the worst government for Blockchain regulation, treating property rights like Grand Theft Auto players treat automobile ownership) The Blockchain Economy’s new emerging leader in regulation is one with just 30,000 humans and a few hundred monkeys situated at the bottom of Europe, across from the closest point to Africa.

GIBRALTAR – EMBRACING FINTECH Faced with a nascent technology with such far-reaching ramifications as the Blockchain, you would think it would be important for governments to show restraint and foresight, and allow this potential to be harnessed and benefits realized.

Gibraltar just changed the game for governments by announcing the first truly innovative and wise plan, which has moved to embrace DLT, in stark contrast with world superpowers such as China and Russia, which have sought to stifle the emerging markets founded on Blockchain technology in recent months.

On the 20th of October 2017, the Government of Gibraltar published the Financial Services (Distributed Ledger Technology Providers) Regulations 2017, following an extensive consultation period with various working groups and industry experts. The Regulations, which come into force in January 2018, essentially consist of 9 key principles which will be applied on a proportionate basis to any provider of services which utilize distributed ledger technology (“DLT Providers”).

Governments have proven themselves non-expert: no government recommended that its citizens buy Bitcoin, but if one had back in 2010, they could have generated a $100 billion or more windfall for those lucky citizens. But that’s water under the bridge.

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The Regulatory Principles require DLT Providers to: 1. Conduct their business with honesty and integrity.

2. Pay due regard to the interests and needs of each and all their customers and communicate with them in a way that is fair, clear and not misleading.

3. Maintain adequate financial and non-financial resources.

4. Manage and control their business effectively, and conduct their business with due skill, care and diligence; including having proper regard to risks to their business and customers.

5. Have effective arrangements in place for the protection of customer assets and money when they are responsible for them.

6. Have effective corporate governance arrangements.

7. Ensure that all of their systems and security access protocols are maintained to appropriate high standards.

8. Have systems in place to prevent, detect and disclose financial crime risks such as money laundering and terrorist financing.

9. Be resilient and have contingency arrangements for the orderly and solvent wind down of their business.

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Gibraltar has, over the last decade, proven its ability to adapt to evolving technology with the success of its online gaming community, as measured by wealth creation from companies listed in the UK, and its willingness to seize new opportunities with the rapid expansion of its insurance sector.

By positioning itself as the first jurisdiction in the world to license and regulate the providers of DLT-based services, and by avoiding rigid legislation, which could potentially stifle innovation, Gibraltar just did it again. Gibraltar’s plan exhibits admirable foresight and flexibility, and underscores how its effective collaboration between government, regulator and industry offers a uniquely welcoming environment to blockchain-based start-ups.

It’s easy for power-mad despots to bark orders and ban anything that bothers them, which includes anything that could reduce the ability for the Extractive Class to steal from the masses using the tool of government. It takes at least 50 more IQ points equivalent, instead of banning new technology or new markets, to be the first in the world to create a way to accommodate this tech and allow it to flourish and create new industries, new companies, new jobs, new wealth, new markets and new products and services.

ICOS IN GIBRALTAR – A TOKEN COMMUNITY It is impossible to talk about blockchain start-ups without a discussion of Initial Coin Offerings, or “ICOs”, by which companies pre-sell a cryptocurrency or token granting investors early access to a future product or platform. This year has seen an explosion in the popularity of this means of funding DLT-based projects, such that by August, it eclipsed early stage venture capital funding for online companies.

Tokens can be equity-linked or have warrant-type characteristics, and therefore fall within the remit of the existing and extensive legislation governing traditional Initial Public Offerings, though most fall outside the scope of such regulation. This has led many to characterize the world of ICOs as a “Wild West”, in which a lack of regulation has allowed unscrupulous individuals to profit off their unfounded promises to investors, who have no means by which to hold them accountable.

A minority of bad actors has thus tarnished public perception of companies operating in this area, such that many legitimate startups see great value in Gibraltar’s DLT Regulations, which will allow them to differentiate themselves as a professional business up-

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DAVID ORBAN Network Society Ventures, and a long-time resident of Bergamo, Italy, said

“In today’s globally connected world the size of your home market matters less than your ability to execute, overcoming every possible obstacle. For blockchain businesses often these are represented by the regulators, their slowness to issue a clear guidance, and the consequent uncertainty that hampers investment and support for the project. The reason of the excitement around GBX is not only because it is a smart project, but also because they have full support from the regulators locally. Gibraltar is part of the European Union, for the moment there will be a broad application immediately for the set of rules that they are going to implement.

This is a new kind of role for nimble and fast territories. Estonia has been able to become a world leader in digital services for its local and remote residents. Luxemburg became the world capital of private space initiatives, In the course of a couple of years, thanks to Smart legislation.

And similarly Gibraltar has the opportunity to establish itself ahead of everybody else for forward-looking clear blockchain regulation.”

GORDON EINSTEIN attorney and resident of Los Angeles, CA, emphasized the value of coordination between the Gibraltar Stock Exchange (GSX) and Gibraltar Blockchain Exchange,

holding the corporate governance, systemic, fiscal and moral standards required by the legislation.

Gibraltar is not regulating or limiting the technology itself, nor the inherent risks in tokens and cryptocurrencies, but the principles-based DLT Regulations afford an element of consumer protection by ensuring the required infrastructure, safeguards and corporate governance of the operators in this space. This is part of the reason that publication in May of the framework on which the Regulations are built led to a surge in the number of blockchain startups seeking to domicile themselves in Gibraltar.

THE GIBRALTAR BLOCKCHAIN EXCHANGE – A SAFE HARBOUR Against this backdrop, the Gibraltar Stock Exchange (GSX) recently announced the launch, in January, of The Gibraltar Blockchain Exchange (GBX), which aims to become the world’s first nationally regulated exchange for tokenised securities. GBX’s mission is to establish a centralised cryptocurrency exchange for the highest

quality cryptocurrencies and tokens, focused on investor confidence and liquidity.

GSX aims to achieve this via its community based platform, overseen by an Alliance Council comprised of a cross-section of the community (tech firms, operators, legal advisors, investors and industry experts), which will work with GBX to establish guidance and standards for listing and trading. The Alliance will also be responsible for establishing the criteria by which entities can be licensed as Sponsor Firms, which will play a role akin to listing agents in traditional stock exchanges, to ensure a rigorous standard of quality, safety, transparency and execution in token sales.

The Gibraltar Blockchain Exchange will be founded on strong and secure technology, attracting top tier token sales through high barriers to entry and rigorous AML and KYC standards, to compliment the confidence, trust and credibility fomented by the DLT Regulations.

We asked Blockchain entrepreneurs who closely followed government regulations what they thought of Gibraltar’s announcements.

“Two entities. GSX and GBX. The idea behind GBX is an exchange dedicated to trading crypto assets. There is a very complimentary relationship between government, law firms, professional community in Gibraltar. It’s currently the best national regulatory framework on earth for Blockchain companies. ICOs will be vetted and guided through a process. Will have an IPO-lite level of disclosure. After the process, the company leaders can legally register and get them listed. Gibraltar will be first with this. They are creating a sister relationship between GSX and GBX.” MARK JEFFREY, Guardian Circle, and a resident of Marina Del Rey, California, put it succinctly:

It’s an officially government sponsored and regulated crypto exchange. Think of it like NASDAQ suddenly listing Bitcoin. Instead of kind of living at the edge of regulation and wondering all the time what new ‘crazy ivan’ the SEC is going to pull, the gov was all like “Hey. We like this. Just do this and this and this and you’re good to trade crypto.”

Our hope is that Gibraltar just created a friendly peaceful arms race to see who can create the greatest jurisdiction for Blockchain offerings.

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AIDAO

making crypto-investing accessible again Anyone that has experienced the 2008 crisis has been subjected to a plethora of financial jargon that makes medical jargon look like high school banter.

Options, Swaps, OTC, CFD, futures, you name it. All highly complex products with rigorous mathematics behind it that only the selected few understand. If one of us mere mortals would spend a day doing research on even one of these topics we would soon lose by ALEX our way in a maze of even more comAPELDOORN plicated jargon. It is no secret why financial jargon is so convoluted, the selected few try to make the threshold so high we can’t enter. Put simple, the less people understand these financial products, the more valued your knowledge is. This is also the reason why we need more transparency in the financial sector.

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Currently there are roughly 1200 tokens and coins available to trade with, there are 10 major exchanges and roughly 6 fiat currencies available. Given this, that would mean there are 1200x10x6 factorial possible currency pairs.

Readers of this magazine know that the blockchain concept was proposed in 2008 as an answer to the growing obscurity in the financial markets; a highly ideological concept of a transparent, free, accessible decentralized bank (ledger if you are a purist), where everyone can safely store their capital and make peer-to-peer transactions. The technology was meant to change the way we think about finance and has done so in many ways. Fast forward to 2017 where mass adoption of the technology is in full swing. New products are being launched daily, one more complex than the next. The products are more accessible and at the same time more complex. The crux of this introduction is that crypto-financial markets have become more accessible, but no more understandable than the previously mentioned financial jargon.

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Unless you are willing to become a full-time trader the crypto-market isn’t as transparent as everyone will tell you it is. At this very moment, high value investors, or whales as we call them, are spending hours sifting through large quantities of data, encrypted chats and technical research to establish long and short-term investment opportunities.

Sure, you can audit and track all the transactions, but the reality is that we are given an information overload, the proverbial needle in a hay stack. Profitable crypto-investing has been left to the whales in the community and is almost out of reach of the ordinary man.

Almost you say?

tasets would have stronger indicators, so to make better predictions in the future. This methodology also prevents the AI from being stuck in a local optimum, while reducing the analysis time.

As a practical example, let's say you want a quick win by finding an arbitrage opportunity. Currently there are roughly 1200 tokens and coins available to trade with, there are 10 major exchanges and roughly 6 fiat currencies available. Given this, that would mean there are 1200x10x6 factorial possible currency pairs. These currency combinations are so enormous that brute force algorithms would take so All investors know, that to long the opportunity find the right investment would no longer exyou will need to research at ist. Our AI however, can learn from previleast 50 poor investments. ous experiences and predict when a speToken holders will have cific arbitrage would emerge. For instance, access to the premium a relatively large voldataset that is usually only ume of tokens has available to the whales in been put on one exchange but not on the industry. the others, that can create arbitrage between exchanges.

AIDAO The AIDAO is here to make the crypto-market transparent again. Not by giving you all the information but only giving you the relevant information. The AIDAO was intended to serve as a private investment algorithm for the current team members of the AIDAO. However, we soon realized that we were building a world class artificial intelligence system, that poses as a novel approach to the information problem. The AI, when fed with such premium information has the best chance of successfully predicting price movements and producing higher returns. Returns that are usually only obtainable for insiders and the whale community. When the premium information is shared with the investors in the AIDAO they can utilize this to reap the benefits as well.

At this very moment, high value investors, or whales as we call them, are spending hours sifting through large quantities of data, encrypted chats and technical research to establish long and short-term investment opportunities.

SO HOW DOES IT WORK? All investors know, that to find the right investment you will need to research at least 50 poor investments. How and when they choose to invest differs per investor and risk appetite. Does the investor have a long investment horizon or a short one? Are they applying arbitrage or noise trading, whatever methodology they are using each will have to go through a lot of data to make the right call. Just like any other investor they’ll have to read into the company's business plan, experience, longevity, crowd sentiment and the list goes on.

There is a method in their madness and we have access to the most experienced investors in the industry. Our AI is created in such a way that it can analyze their trading strategy and perform the same analysis as them. Applying sophisticated dynamic data analysis, relevant data sets are added and removed to support a specific trading strategy. This means that the AI will only have strong indicators to support investment decisions, it can back test to check if new da-

TOKENS The AIDAO tokens can be used by any token holder to exploit the predictions metrics of our AI. Our dashboard will give the token holder the option to select any one of our trading strategies and check against past performance. Each trading strategy will give you indicators of risk, volatility, performance and liquidity. We want our members to be fully aware of all the ins- and outs of our strategies that are present in the market. Token holders will have access to the premium dataset that is usually only available to the whales in the industry. All this data will be presented in a way that can support them in their own hybrid investment strategy.

As additional data sources are introduced the value of the tokens rise, this is when tokens will be issued to keep the AIDAO stable. Once a quarter we’ll publish a report on the current level of prediction confidence of our AI. Value in cold storage will be used to support our endeavors.

CONCLUSION In retrospect we are building an artificial intelligence that will be fed with the information usually only accessible to high ranking investors and make it accessible to the AIDAO community. We’ll display the data in such a way that blockchain investing becomes transparent again, so our members won't need to spend hours trying to find the right metrics. Additionally, we will make investment strategies accessible to our members, so they can invest like pros.

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NOVEMBER 2017

Pareto Network,

The Peer to Peer Financial Content Marketplace The last year has seen over 700 ICOs (new cryptocurrency offerings).

The entire cryptocurrency market is now valued at $150 billion, and the original token - Bitcoin is now worth more than Goldman Sachs.

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Those who invested in now-popular tokens a year ago are seeing 3-figure, 4-figure and even 5-figure returns on their investments. The most surprising thing? Experts agree that things are just getting started, and that the coming years will bring more altcoin opporby tunities for investors and tech geeks.

ERIC LAMISON-WHITE Co-Founder & CEO.

But even as cryptocurrencies have grown and made tens of thousands of individuals richer, one key process has continued to lag behind: financial counsel. Today, most cryptocurrency investors get their information from blogs, YouTube videos and other public digital channels. Compare this to an advanced fund investor, who trusts his money decisions to experts, industry insiders, data-driven detail etc. Clearly less reliable, right? Especially given that ICOs are inherently

riskier due to the novelty and lack of regulation in the crypto niche.

This is why we decided to create Pareto: the very first decentralized knowledge trade platform, focused on finance, based on blockchain technology.

THE CURRENT CRYPTOCURRENCY MARKET PROBLEM If you’re trading with classical securities, you know who to turn to for financial advice. There are plenty of reputable organizations with decorated histories on Wall Street. Whether you’re paying for a Bloomberg terminal, letting JP Morgan manage your money or hiring consultants to guide you, you know what you’re getting.

This is not the case for cryptocurrencies so far. If you want to make prudent in-

NOVEMBER 2017

vestments in this booming space, you’ll have to rely on a smorgasbord of public sources that are neither managed, nor controlled, nor rated by your peers. In other words, you’re always rolling the dice a little bit, because you don’t know whether the information you have is correct or not.

The market is suffering from a dearth of quality information.

And even when you do get information, who’s to say you can trust it? There’s not much accountability on the internet. And do you really want to invest your money using unreliable information and counselors with no accountability? Probably not. That is the problem identified in the cryptocurrency by Eric Lamison-White: a Blockchain Engineer who’d been working in adjacent niches for over 6 years.

$150 billion in fiat money. The problem is that there’s too little accurate knowledge to facilitate fair exchanges between various players in the market. Or at least, this was the case before...

THE PARETO SOLUTION Pareto is the world’s first P2P financial content marketplace. It’s where investors and experts can trade profitable information piecemeal, bypassing traditional structures with high barriers of entry.

The platform is completely decentralized and the decisions concerning its development are taken by all stakeholders, with the native Pareto Network Token being used as a vehicle of both trade and decision-making.

You’re always rolling the dice a little bit, because you don’t know whether the information you have is correct The platform’s algorithms reward or not. excellent content, active investing

Lamison-White and a group of colleagues realized that cryptocurrencies had incredible potential as a security. Their current and future supply is always known; they can be traded instantly; they are backed by over

content they make. Finally, the platform’s development team gets a fair number of Pareto Network Tokens in compensation. This way, everyone is happy - and no single person or group can ever upset the delicate balance to their own advantage.

THE PARETO PRE-SALE AND ICO Pareto Presale: Live Now (30 October to 30 November), Pareto Crowdsale Dates: 1st of December to 30th of December Token Name: Pareto Network Token, PXT Public Token Allocation: 33% = 500,000,000 PXT Hard Cap: $32,000,000 If you’d like to queue-jump your way to the front of this opportunity, you can do so now and get a 28% Pareto Network Token bonus, by joining Pareto’s pre-sale. The minimum buy-in is only 5 ETH, meaning anyone can participate in the opportunity to co-own and trade on the world’s first P2P financial content exchange market.

in ICOs and traditional securities, and commitment to the Pareto project. For example, the better an expert’s content performs over time, the higher they rank. The same goes To contribute go to for active investors who reward experts for the https://pareto.network

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NOVEMBER 2017

Bluzelle

A Decentralized Database for the Decentralized Internet The decentralized internet is growing fast and for it to continue that growth like the internet before, it needs a range of specialist products and services to provide the foundation for that to happen.

tralized Internet would not be able to run efficiently and scale to massive use.

Bluzelle is the missing piece of the decentralized internet.

THE DAPP MARKET Blockchain technologies are propelling the next generation of the Internet. Protocols like Ethereum are a platform for Forgetting cryptocurrencies for a seclaunching decentralized applications ond, the real activity that is interesting most people within blockchain technol- (dApps) that will change the way prodogy is the number of developers current- ucts and services are consumed. These dApps will exchange massive amounts ly building decentralized applications (dApps) on platforms such as Ethereum. of data that need to be stored and managed. The problem is blockchains like by Ethereum are not designed for data storPAVEL BAINS Bluzelle spent the last several years deage and management; doing so would CEO veloping blockchain applications for take up too much space and slow the encompanies like HSBC, AIA, OCBC, and others. It was during this time they dis- tire system down. covered the need for a decentralized daDATA FROM IOT tabase for the blockchain world.

Not only that, it’s estimated that in five years there will be over 20 billion conBluzelle is a decentralized, on-demand, nected devices that require the generascalable database service for dApps. It fills a need and is complementary to the tion, management, storage and retrievother components that make up the de- al of enormous amounts of data. With all these applications producing more centralized internet. Without these deand more data, present database mancentralized components, the decen-

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agement services from Microsoft, Amazon and Oracle are under-equipped to meet the needs of businesses. There are problems centered around performance, reliability and scalability. These can lead to data breaches resulting in massive amounts of data theft. Credit scoring company Equifax recently had 200M records stolen. This could have been prevented by a decentralized database.

FILE VS DATA STORAGE The need for file storage systems is being served by the likes of Filecoin and Storj.

However, dApp developers also need data storage & management systems that are flexible enough to allow fast and simple data queries if they are to continue building the full range of services that are possible on the decentralized internet. Bluzelle is a decentralized database that solves this problem.

IMMUTABILITY ISSUES As well as needing database storage rather than file storage, dApp developers also know that the immutability of data

NOVEMBER 2017

on the blockchain can have negative as well as positive effects. Not only has data immutability been considered an unreasonable and unacceptable constraint to data storage situations for a long time, it can be a deal breaker in software projects. Bluzelle leverages the distributed ledger technology of blockchain but is mutable, thereby making it useable for all manner of real world software development needs.

every unit of data is 100% replicated in a single leaf swarm amongst a swarm of swarms.

sharding and partitioning concepts to create a marketplace for data storage and management.

It can provide a decentralized database that can grow and scale as per a product’s needs.

hardware applications, who will be the early majority. Finally, Bluzelle will engage the enterprise software architects once they’ve seen that other developers have been validated in their approach.

Scalability - Horizontal scaling is a cornerstone of the Bluzelle architecture, where every swarm is another “unit” of horizontal scaling at the metaswarm level. Within every leaf swarm, every node acts as yet another agent of horizontal scaling at the leaf swarm level.

It’s estimated that in five years there will be over THE BLUZELLE SOLUTION Bluzelle is a decentralized database service for 20 billion dApp developers. To ensure developers get the connected highest throughput in performance, reliabiliROUTE TO MARKET devices that ty and scalability, Bluzelle implements swarmBluzelle will target three main require the ing technologies. A swarm is a large group of groups in its journey towards benodes (computers) that work together to store coming recognized as a mainstream generation, and manage data. Nodes in these swarms can product like Oracle. The first is the management, go down and new nodes can come up with min- dApp developers, who are the early storage and imal impact on the network. adopters and are already taking adretrieval of vantage of complementary decenenormous THE MISSING PIECE OF THE tralized technologies. Next there DECENTRALIZED INTERNET are the small and mid-size developamounts of Bluzelle combines blockchain principles with ers writing common web, mobile and data.

BLUZELLE BENEFITS Performance - Bluzelle can reduce latency by retrieving data from the nearest nodes on the leaf swarm, and/or increase speed by retrieving data in parallel from the fastest nodes on the leaf swarm.

Reliability - Using the concept of fog or swarm computing, Bluzelle follows a model where

ROADMAP OF DEVELOPMENT The roadmap for Bluzelle is split into two distinct phases, first the minimum viable product (MVP) and then the post-MVP product releases. This year, the focus will be on single-swarm, NoSQL key-value pair RAFT consensus storage facility, driven by a minimum stake of BLZ ERC-20 tokens on the Ethereum blockchain.

This will lead up to the release of the MVP in April 2018. Later in 2018, development will focus on PaaS integrations and NoSQL documents, while three more stages in 2019 will cover features such as proof of storage, vertical partitioning and attack tolerance.

THE TOKEN Bluzelle is a utility token powering a consumer-producer network.

Consumers are all the dApp developers who will pay in BLZ tokens to store and manage their data. Producers are the people who rent out their hardware space to the network and earn BLZ tokens. So instead of paying for a high-powered machine and electricity to mine Bitcoin, people can use their computer at home to earn BLZ.

Using a token solves a fundamental problem with current payment systems. Bluzelle can charge in real-time, avoid merchant fees that come with traditional payment systems, and manage foreign exchange risk. All these combine to offer a lower-cost solution for customers.

The public sale will be in late November and will have a hard cap and there will be a limit on how much people can contribute. This is to ensure that there is wide distribution of the token as it will be needed by millions of developers around the world. There will be a pre-sale and registration is now open.

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NOVEMBER 2017

Wireline

The Cloud App Marketplace “A wave is moving through enterprise software development, function-as-a-service”.

by LUCAS GEIGER CEO of Wireline

Microservices have revolutionized the delivery of large systems at the most advanced companies, such as Netflix.

However, immature tools and operational overheads have prevented greater traction for them in enterprise IT departments.

Not only that, the rewards and benefits of producing enterprise-grade open source software have been restricted by the lack of open source monetization, resulting in highly skilled developers being left without a way to generate value. In turn this has resulted in a swathe of abandonware that is not maintained.

Wireline is the cloud app marketplace that will enable enterprise IT customers to consume microservices at scale,

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while providing a way for the open source developer community to monetize their enterprise focused projects.

The marketplace is an open platform, contrary to the typical centralized application platforms like Salesforce and Heroku.

tightly coupled to physical infrastructure. Typically they involve hundreds of different components, developed by highly skilled, in-house systems engineers, as well as an increasing number of open-source projects from external developers.

Wireline will use a token sale to fuel the This is a huge market, with corporate IT growth of this marketplace by estabspending $1.5 trillion globally. lishing the world’s largest open source developer fund.

MICROSERVICES ON THE RISE In response to these pain points, a THE ENTERPRISE CLOUD MARKET new software development paradigm In recent years, cloud platforms has emerged. Instead of building large, which are also known as Infrastrucmonolithic systems, this new architecture-as-a-Service or IaaS - have freed ture enables complex systems to be asbusinesses from the burden of managsembled from small modular compoing their own physical hardware. How- nents. ever, the complexity, cost and risk of migrating to the Cloud is still too high Microservices, as these components for many businesses. are known, implement the same functionality as the larger system by decomEven when they do choose to migrate, posing it into separate isolated compotraditional cloud systems are large, nents. They are building blocks that can monolithic software projects that are be created with specialization into sep-

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arate modular components and integrated together into sophisticated systems.

Businesses have already started to invest in this new model, but an integrated platform is needed that enables them to get up and running quickly by connecting them with developers.

THE ENTERPRISE IT ASSEMBLY LINE The assembly line approach of microservices can work if product owners and development teams are empowered by a few critical steps.

Firstly, better tools to develop and deploy microservices, which tie together all aspects of the development process and are easy enough for a junior developer to use.

Secondly, the development process needs to be decoupled from the management of the underlying hardware infrastructure so microservices can be deployed independently. Thirdly, operations must be radically simplified with dashboards used to give greater visibility of the business functionality of the system.

Finally, a marketplace is needed that allows for systems to be assembled from best in class components that include open source and third-party microservices.

A FULL SERVICE DEVELOPMENT PLATFORM A hub for reusable and composable microservices is possible, but has not been developed by any firm besides Wireline.

The Wireline platform answers the needs of the enterprise cloud market with four distinct features - the toolbox, the framework, the dashboard and the app exchange. The toolbox enables developers to launch prototypes quickly, use their own tools to create microservices and supports test driven development.

The framework is an execution environment for microservices and solutions that removes the need to manage the underlying infrastructure. The dashboard allows customers to configure, manage and monitor services and solutions, as well as audit service usage, system health checks, cost modeling, billing thresholds and application deployment.

The final, but most important part of the platform is the Wireline app marketplace, which makes microservices available so they can be composed into larger applications.

AN APP ECOSYSTEM The Wireline app marketplace narrows the gap between developers and businesses. It enables open source developers to monetize their efforts and businesses to leverage the extended open source community.

It allows successful projects to bring in revenues, either based on pay-per-usage models or for premium features and support. In turn, businesses derive immediate benefits from being able to quickly onboard new technologies

confer reputational status for developers, as consumers will be able to see earnings from app development.

Businesses have already started to invest in this new model, but an integrated platform is needed that enables them to get up and running quickly by connecting them with developers.

Wireline will use a token sale to fuel the growth of this marketplace by establishing the world’s largest open source developer fund.

and influence the priority of the development of new features.

THE WIRELINE TOKEN Wireline will create the WRL token to power the Wireline app marketplace because tokens have low setup costs for producers and low transaction fees for consumers. Also, because they utilize blockchain technology, all participants will be able to view all transactions.

Developers will receive tokens for the use of services deployed to the registry, as well as for professional services. Token holdings will also

Businesses will use tokens to pay for services and custom development in much the same way that they already use the concept of reserved instances as prepayment for compute time on Amazon AWS. In addition to the buying and selling of microservices, tokens will also be available through the Wireline Developer Fund.

THE WIRELINE DEVELOPER FUND (WDF) As part of the token sale, Wireline will establish the largest open source developer fund.

The aim of the WDF is to broaden the reach of the platform by encouraging the development of foundational components. Token holders will be able to question and comment on proposals to signal the relative quality and value of the applicant’s services.

All bids will be evaluated by the WDF committee and payments to fund the winning projects will be publicly visible on the Ethereum blockchain. The committee will initially be made up of current Wireline employees and advisors but, over time, it will include active members of the community.

THE TOKEN SALE Wireline will mint a total of 3 billion WRL tokens at launch, with no additional tokens created after this initial issuance. The sale will take place in the final quarter of 2017.

Interested parties can register now for the pre-sale.

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NOVEMBER 2017

The Future of Supply Chains is Blockchains SyncFab offers a solution for small and medium-size enterprises - IBM for large standalone companies

by PAUL SCOTT Owner, Matrix Information Service

INTRODUCTION Blockchain has expanded beyond its roots in cryptocurrency. The distributed ledger has many applications, including smart contracts, peer-to-peer purchasing markets, and specialized financial tokens. These applications are poised to bring major changes to one of the industry’s most vulnerable to blockchain disruption: the supply chain for production and sales of small machine parts.

This coming space has two major players. One is IBM, with their Blockchain Hyperledger Fabric project. The oth-

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er is SyncFab’s MFG Token platform.

SyncFab is an industry partner with the Smart Manufacturing Innovation Institute, along with companies like BASF, Alcoa, and Google.

THE MARKET Industrial manufacturing in the United States is projected to grow at 5% compounded annually through 2018, to a total of $1.7 trillion by 2018 for US manufacturing exports. Worldwide, the market is projected at $15 trillion by 2030. A lot of manufacturers and purchasing departments

stand to benefit from the blockchain disruption.

SYNCFAB VS IBM SyncFab offers several advantages over IBM’s platform. The Fabric project is designed for enterprise purchasing and sales management at a single company. The blockchain network is accessed by permission, generally given only to a company’s preferred vendors. This is useful for basic functions such as tracking sales and tracing the supply chain, but it is limited.

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In contrast, SyncFab offers a distributed, publicly accessed peer-to-peer blockchain network. This gives manufacturers and purchasing departments access to a digital marketplace in which they can take and offer bids, issue RFQs and respond, with privacy and smart contracts enforced by the blockchain platform. Participation in the marketplace is not limited by the size of the company or by any specific vendor relationship.

SyncFab’s MFG Blockchain offers a searchable database of vetted participating machine shops in any local area. Purchasers can search for shop capabilities, capacity, profiles and production history of local manufacturers. They can share IP such as design specifications with encrypted protection.

They can track their order history, generate reports, and arrange payment through several third-party platforms.

THE MFG TOKEN SyncFab powers their network with its MFG Token technology—a specialized utility token that facilitates smart contract transactions.

Primarily, the MFG operates within a reward system to allow purchasers and manufacturers to incentivize one another for returned engagement, trust, and transparency. Within the marketplace, participants can use it to reward others for faster responses and competitive bids. The platform’s smart contracts can provide a payment of MFG tokens equal to, for example, an hour of a machinist’s time, to encourage the shop to be active in the marketplace through competitive quotes.

The tokens provide incentive where no incentive currently exists, giving small working-class machinist shops reason to respond to RFQs even without a guarantee of acceptance by the purchaser. As machine shops become more responsive, small and medium-size companies can innovate more easily, where currently they are often crowded out of the supply chain marketplace by larger companies.

SyncFab will make an initial offering of 300 million tokens available through presale events in November 2017.

Token Sale Timeline 2 Industrial Revolutionary Private Sale Nov. 15, 2017 2 Hardware Innovators Exclusive Pre-Sale Nov. 15, 2017 2 Public Pre-Sale – Jan. 15, 2018 2 Public Main Sale – Feb. 15, 2018 A total of 1 billion tokens will be put into the marketplace by Q1 2018. The nominal value of a single MFG token is $0.20, with value set on an ongoing basis through the marketplace. The SyncFab platform can automatically provide tokens equal to any preconfigured value determined by marketplace participants.

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NOVEMBER 2017

Gibraltar Stock Exchange

Plans to Create World’s First Tokenised Stock Exchange Ecosystem In October, at the Hong Kong FinTech Summit, the Gibraltar Stock Exchange (GSX) launched the Gibraltar Blockchain Exchange (GBX), aiming to be the world’s first regulated and licensed cryptocurrency and blockchain based token exchange.

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by MATTHEW MARGETTS, JULIET ANNERINO and SONAL PATEL

The GBX is uniquely positioned, with the new Distributed Ledger Technology Regulatory Framework introduced by the Government of Gibraltar, coming into effect 1st January 2018.

The GBX offers unprecedented security, transparency and accessibility to its participants. It is a subsidiary of the Gibraltar Stock Exchange (GSX) which operates an EU regulated Main Market, recognised by ESMA (European Regulator) and HMRC (UK), and a self-regulated Global Market.

Gibraltar, a member of the EU, has long been a pioneer in the digital technology space and is a fully regulated jurisdiction with passport rights across Europe. It aims to welcome, support, provide structure and foster growth in the crypto community, in the same way that it has provided a harbour for the gaming community. With the GBX, Gibraltar will become “The Crypto Harbour”.

By building a well-governed community, establishing best practices and a

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gold standard code of conduct for token sales, the GBX will be the platform for the next generation of the crypto-economy. Advisory, corporate, banking and payment services are part of the integrated offerings available as well.

The GBX aims to provide an endto- end ecosystem for listings, trades, wallets, corporate services and KYC/AML to banking services worldwide.

By accepting only quality offerings which have undergone a thorough vetting process, the GBX will create a new standard of excellence in listings. Only these carefully vetted projects will be offered the opportunity to be listed and traded on a trusted, well governed platform with a strong, supportive community. All GBX listed companies will then receive preferred access to list on the GSX, giving crypto start-ups more options to raise capital and access to more diverse traditional investor bases, as they grow.

The GBX is uniquely positioned, with the new Distributed Ledger Technology Regulatory Framework introduced by the Government of Gibraltar, coming into effect 1st January 2018.

For those issuing token sales for their value-based, disruptive new platforms, the GBX provides incubator and development services along with a marketplace from a carefully regulated position. With its innovative sponsor staking process for establishing new blockchain projects, and diligent white-listing procedures, a token marketplace that consists only of high quality listings and an elite top-tier AML/KYC cleared investor pool is created. After an applicant for a new blockchain platform token sale is reviewed and approved, they are appointed a sponsor firm who is required to hold stake with the

new blockchain project. Sponsor firms are responsible for bringing tokens to market and assume specific ongoing responsibilities for their sponsored platforms, assuring a committed and ongoing relationship between sponsors and new offerings.

To guarantee its clear governance and vision the GBX Alliance, consisting of legal advisers, tech firms, academia and investors, will constitute an International forum, supporting development of the crypto community within the GBX. The GBX Alliance Council, chosen from the GBX Alliance, will establish guidelines and standards for listing and trading, and set sponsor firm entry criteria. The GBX and all of its branches and procedures will be overseen and supported by the GBX Alliance, to provide participant protection and security on all levels.

On 30th October 2017, the GBX launched the pre-sale of the Rock Token (RKT), the official utility token for the GBX, the GSX and the world’s new blockchain ecosystem. The token sale has a target of $27m. There will be a retail market offering as well. (Please see https://gbx. gi/ for updates.) RKT will fund the development of the GBX platform.

It will serve as a medium of exchange, facilitating and recording transactions, paying for listings, trades, membership and other fees. RKT will also be used for voting on select community developments, subscribing to tokens for future project offerings on the GBX and as a portal to Blockchain Innovation Centre campaigns and rewards.

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The founders of the GBX have an established record in building innovative exchanges. The Gibraltar Stock Exchange, formed in 2014, is a pioneer in the market, and the ambition is to be the first exchange in history completely run on blockchain technology. This will afford a level of security, speed of transaction and transparency never before possible on an exchange. Sale of the Rock Token will help facilitate this next new level of excellence.

The GBX aims to be the first regulated token sale platform, in addition to being the first blockchain exchange. With its own utility token and experience with its token sale, the GBX intends to be the first exchange with a clear understanding of what each blockchain project entails in its journey, from inception, incubation, funding, token sale and platform development, on to full market realisation. By truly understanding this process, the GBX will be better able to serve those offering innovative new platforms in the blockchain space.

Only these carefully vetted projects will be offered the opportunity to be listed and traded on a trusted, well governed platform with a strong, supportive community.

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Use of the GBX Rock Token (RKT) will help create an entire ecosystem, enabling businesses, from start-ups to established corporations, the necessary guidance for all their unique evolutionary journeys. We call this, the token offering to IPO path. Not only can the GBX assist new blockchain projects with token offering, listing and trading functionality, it may also assist in taking the project forward to a full stock market public offering and listing, if desired. To help create and develop these pathways, there are other planned offerings, including an e-money license to assist those in need of access to financial systems, including e-wallets and card payments. Ultimately the GBX aspires to build a new fully fledged digital bank, with banking relationships worldwide.

Centred on the solid foundations of Gibraltar’s emerging regulations, the GBX seeks to become the worlds first nationally regulated digital asset marketplace and ecosystem.

Building towards a new era of certainty and stability for the world of blockchain technology. Members of the fin-tech community will find their home for a secure, supported and vibrant crypto community. Today’s current storms in uncharted waters for new platforms and eager participants in this exciting new dawn of technology will pass, and Gibraltar’s GBX will be that harbour from the storms. A crypto Harbour.

The GBX Rock Token (RKT) launched on 30th October 2017 in a pre-sale round and will be open to the public on a date soon to be announced. Please visit: https://gbx.gi/ for updates.

NOVEMBER 2017

Property Investment on the Blockchain Karachi with a population of 21m is situated in Pakistan, where recently the highest GDP growth in 10 Years at 5.3% was realised. With billions of dollars of investment from China the future for Karachi looks positive economically. These kind of emerging marby ALI AFZAL ket opportunities exist all over the World, Uzbekistan has the second-fastest-growing economy, with projected growth of 7.6% thanks to rising oil prices, benign global financing conditions, robust growth in the Euro Area, and generally supportive policies among governments of several large countries in the region. India is the fourth-fastest-growing economy with 7.2% projected growth, thanks in part to a rise in exports and an increase in government spending. Among the other top 10 performers are Djibouti and Laos with 7% and Cambodia, the Philippines and Myanmar with 6.9%. But could you imagine buying property in any of these exciting economies?

PROPCHAIN Propchain is a property investment platform that removes all barriers of entry to investing in off-plan and newly built property globally, by merg-

ing a strong buyer protection mechanism with blockchain technology, Propchain offers a safe environment and a trust relationship for buyers to purchase off plan property, with every purchase insured against developer failure or fraud. Propchain will allow previously excluded individuals to access the global real estate market currently worth $217 trillion.

THE PROBLEM Propchain has redefined existing problems in the off-plan property investment industry, research conducted in 20 cities around the world has helped us refine Propchain.

Firstly, financially secure individuals such as business people and professionals would love to invest in off plan property but, lack the time and resources to conduct sufficient research that would give them the confidence in making a purchase in an off-plan property. With the sheer volume of developments happening globally and the lack of standardised comparison platforms, it is just impossible for many individuals to make a decision on where to invest. The market is notorious for glam-

ourous marketing and costly events to lure investors and rarely offers useful data, that investors could use to make a commercially sound decision.

Secondly, cross border property transactions are full of unnecessary and costly intermediaries that add several points to the cost of the transaction, often making the ROI unattractive.

For example, developers add anywhere from 4% up to 10% to the property just so that they can pay agents and marketing companies their commission to obtain the sales. Prices on nearly completed developments tend to be cheaper when bought directly from the developer, often sold 20% below the initial price simply because there are no agencies involved. Cross-border real estate transactions increased 334% from $65 billion to $340 billion, partly due to Chinese trade, but we believe this market can be much bigger.

Finally, although legal advice is necessary when buying a property overseas, fees tend to vary hugely with the need to visit notaries and appoint power of attorneys, and at times it becomes easier to actual fly over to the 55

NOVEMBER 2017

Country when the purchase is taking place just to finalise the purchase. This is not efficient at all and becomes a burden when it has to be done several times through the lifecycle of the property, i.e. at completion, when renting and when it is time for disposing. Aggregating the travel and legal costs can add an additional 2% - 4% to the property over its lifetime.

If these major problems could be solved we could open up the global off plan property market to millions of more investors around the World and the current market size of £217 trillion could be doubled to £400 trillion.

THE SOLUTION The Propchain team is made up of off plan property professionals predominantly based in Dubai with over 50 years of combined experience in selling off plan property to investors from around the World. They have teamed up with blockchain developers with an expertise in cryptographic security to develop an online platform on the Ethereum blockchain.

Propchain will allow individuals to purchase property investments with smart contract-based legal agreements on the blockchain doing all the work to ensure that their assets are secure. We aim to become the only platform in the World where individuals can For example, the number of international mipurchase property with Trust and Transparengrants — persons living in a country other than cy using digital smart contracts to remove the where they were born — reached 244 million in current drag in the industry.

2015 for the world as a whole, a 41 per cent increase compared to 2000, according to new data presented by the United Nations today. Global remittances, which include flows to high-income countries, was $575 billion in 2016. At some point a number of these migrants will want to invest in their home countries, the opportunity would be massive even if 1% decided to invest in an off-plan project in their home Aggregating the travel and legal costs can Country, that would represent a potential maradd an additional 2% - 4% to the property ket of 2.4m potential investors from the effect of migration in 2015 only. If we compound over its lifetime. If these major problems that over the last 5 years and add to it the next could be solved we could open up the global 5 years we could say that a potential new maroff plan property market to millions of ket could be created for 20m new investors if all more investors around the World and the barriers to entry were solved, assuming only 1% current market size of £217 trillion could of migrants want to plough money back home be doubled to £400 trillion. into property projects.

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Property developers will be able to ‘digitise’ their whole project and offer it to investors directly, effectively reducing their cost per sale which could be passed onto the investor.

Smart Contracts - in partnership with Agrello, Propchain will create smart contract-based legal agreements for each project that is approved by the Propchain panel. Using smart contract-based legal agreements will reduce the time and cost of the legal process. Propchain is currently in talks with legal teams in Dubai and Malta.

Digital Asset - Whilst access to almost all asset classes have changed with technology, property transactions have remained the same in each country since the establishment of their title deed registries. Today the process is the same globally; 2 a project is conceptualised by a developer who may acquire a site with finance or outright payment 2 a marketing team is appointed to start marketing the project to agents, who in turn will market the project to their investors 2 once 50% of the project is reserved then the development gets started backed up by the ongoing payment instalments made to the developer by the investors.

2 investors are required to follow the law of the land when purchasing the property 2 very little support (if any) is given to the investor if they decide to sell the development pre-completion or post completion.

The investment into each project will be executed through SPVs and issued as digital cer-

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tificates which carry all the benefits of the ownership but with the flexibility of a digital asset. Investors can purchase full units, buy into managed portfolios, or create their own consortium of investors.

Imagine buying into a new project in Barcelona, returning 15% per annum because a property professional creates his own consortium to offer investment into 2-3 units off-plan in a development which he will then manage for Airbnb lettings. A fail-safe solution will be provided should he decide not to manage the properties thereafter.

Insurance/Undertaking - Propchain will work very closely with developers to acquire exclusive projects that will be marketed to its global investor base, all projects will have trust built into the DNA of the project, all projects will either be 100% insured or underwritten by the developers’ global assets ensuring that any monies paid to the developer are secure and the project will be completed as promoted.

Viability - all projects promoted on the Propchain platform will be approved by our panel of experts from global companies who will not approve any project that does not meet its strict criteria. The panel is made up of experts from global brands such as Savills, Engel and Volkers, and many other reputable property sales companies.

uals can transact on a best in class platform. All transactions are backed onto a private blockchain and stored offline with our Attorneys.

Local Offices - Propchain currently operates offices in London and Dubai and has plans to open 20 offices post ICO to facilitate KYC/ AML requirements. By 2020 Propchain aims to open over 100 offices in 80 Cities around the world with just over 10 in China and 10 in the US alone.

TEAM The Propchain Team reside in Dubai but come from all over the world.

Propchain Founder Ali Afzal is the Managing Director of 8i Group an international off plan property sales company with offices in London and Dubai. Key Advisors include Ismail Malik of Blockchain Lab and Chris Thomas of Eureeca.com. The development team will be based in Dubai and consists of Serge Uvarov as the CTO, Carlos De Banardis VP of Engineering, and a number of senior software engineers.

PARTNERSHIPS Propchain will partner with Agrello to implement smart contract-based legal agreements in partnership Secure - Our platform is built by experts in with, yet to be disclosed, legal attorcryptographic security ensuring that all individ- neys in Dubai and Malta.

Payment partner Bitpay will provide the bitcoin payment functionality allowing individuals all around the world to invest into property with bitcoins.

The investment into each project will be executed through SPVs and issued as digital certificates which carry all the benefits of the ownership but with the flexibility of a digital asset.

Investors can purchase full units, buy into managed portfolios, or create their own consortium of investors.

Propchain hopes to work with Smart Dubai, and other forward-thinking government entities that are accelerating their plans to move their property registries onto the blockchain. We believe Dubai to be the best place in the World to launch such a platform, their attitude towards blockchain is reassuring; “We want to make Dubai the first blockchain-powered government in the world by 2020,” Aisha Bin Bishr, director general of Smart Dubai.

TOKEN SALE A token sale will be launched in January 2018 with the presale in the first week of December. Tokens will be offered as a security and token holders will financially benefit from each and every transaction that takes place. With the token sale limited to $30m of which 10% will be pre-sold it is sure to be a quick and fast sale.

Registrants can start the process by registering at www.thepropchain.com 57

NOVEMBER 2017

Blockchain Tech Meets Middle Kingdom Healthcare

China has made enormous progress with its healthcare system over the last twenty years, with substantially more hospital beds and doctors, higher quality medical schools and powerful medical insurance conglomerates. With the gargantuan rise in per capita income levels, the average citizen also has more cash to pay outof-pocket, which today translated as a percentage of total hospital revenue, reaches almost 50 percent.

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by WILLIAM PAUL PECKHAM Business Strategy Development

But China still has a long way to go if the country wants to provide worldclass healthcare to its 1.35 billion people, and not just to those who can afford what are believed to be the best hospitals available. In a country where curated reputation can often trump hard facts, it’s challenging for a patient to objectively analyze their options for treatment of a given condition based on their shifting regional location and ability to pay.

sively selected doctor claims he or she knows what to do, and the hospital has the appropriate tools that any good hospital should have. Still, the patient has no way of technically guaranteeing this information.

ENTER ROBOMED Robomed is revolutionizing how patients in emerging markets guarantee their access to best-in-class healthcare. The Robomed Network ecosystem connects healthcare service providIf a person is stricken with what they ers and patients on the basis of a blockdescribe might be pancreatitis, how do chain-based smart contract, the value they know their favored hospital, or criteria of which are the performance one they happen to be near at a time metrics of a specific medical service and of travel—has the equipment or interpatient satisfaction. This particular connal medical expertise necessary to adcept of a patient-oriented medical netequately test, diagnose and treat the work, based on breakthrough technoloillness? Perhaps the pre-selected or pas- gy, is new to the healthcare market.

NOVEMBER 2017

HERE’S HOW IT WORKS In-network clinics participating in the Robomed Network utilize Robomed EHR, a process- automation system designed for medical centers, which includes unified storage of medical data and health management tools.

Robomed EHR integrates all participating clinics into a single information space, which allows different service providers to quickly interact, bypassing bureaucratic, financial, and legal barriers, ensuring that services are provided according to uniform criteria, and quickly adapting processes to desired changes. Patients interact with the Robomed Network via Robomed Mobile or Robomed Web. The platform for interaction between communities plays the role of the “legislative body” of the Robomed Network. Through a voting mechanism, the medical community determines the objective criteria for the effectiveness of each individual medical service, introduces new services, and improves the existing ones. Similarly, the community of patients determines the subjective criteria for the medical services and the priority of case consideration by the medical community. Doctors actually receive compensation on the platform for contributing with their vote in the form of the Robomed token, RMB. Once a doctor and patient agree on an internationally recognized clinical pathway treat-

ment plan for a given illness, Robomed system guides the doctor step-by-step through the pathway and requires him or her to log data on the completion of each clinical step.

In a country where curated reputation can often trump hard facts, it’s challenging for a patient to objectively analyze their options for treatment of a given condition based on their shifting regional location and ability to pay.

Unavoidably, artificially intelligent data analysis will grow in importance as the decentralized Robomed Network database grows, and the future of healthcare around the world will be improved.

Learn more about the Robomed native token and its application to healthcare in China at Robomed.io 59

NOVEMBER 2017

ICOToday

The Trusted Platform to Launch and Participate in ICOs

THE PROBLEM Even as the blockchain community attracts more mainstream media coverage, it continues to struggle with the stigma created by questionable projects and unscrupulous bad actors.

We believe that the long-term viabiliby NADER M SADEK ty of the industry as a whole depends COO, ICOToday on its ability to mature into a structured marketplace of innovative projects where participants feel safe backing quality projects.

THE OPPORTUNITY Cryptocurrency enthusiasts are hungry for high quality information that enables them to separate the valid projects from the ocean of ICOs currently on offer. Every day, dozens of new initiatives are announced in a wild west marketplace with very little order or structure.

If cryptocurrencies hope to evolve into becoming a viable alternative to the traditional “old boys club” VC model of startup financing, a solid ecosystem of investor information is required. Within the traditional fiat-based world of finance, Standard & Poor's, which was founded in 1860, and Moody's, which was founded in 1900, are the world's two largest ratings agencies. Their primary goal is to provide reliable analysis 60

and market information to investors.

However, nothing similar exists today in the cryptocurrency world.

We believe that the long-term viability of the industry as a whole depends on its ability to mature into a structured marketplace of innovative projects where participants feel safe backing quality projects.

However, of the applicants that were qualified, there was a difference between the professional analysts’ reports that were relatively longer and had taken 20+ hours of research to those that were about 3-4 pages and had only taken 2-4 hours of research.

THE SOLUTION ICOToday has set course on becoming the go-to resource for analysis and ratings within the blockchain community.

1. ANALYSTS On ICOToday, there will be two types of analysts: Professional Analysts and Regular Analysts. Following the launch of our public beta and the announcement of our analyst program, we received a lot of applications for the analyst position. However, of the applicants that were qualified, there was a difference between the professional analysts’ reports that were relatively longer and had taken 20+ hours of research to those that were about 3-4 pages and had only taken 2-4 hours of research. Both types of evaluations had value depending on what type of user it was. However, the skill and effort that went into both evaluations was significantly different. Professional analysts should be rewarded relatively more than the regular analysts. Furthermore, the application requirements and the barrier of entry to becoming a professional analyst should be relatively higher than that of a regular analyst.

NOVEMBER 2017

PROFESSIONAL ANALYSTS A professional analyst will be an experienced professional and will be one of three types of people: Lawyers, Financial Analysts and blockchain Experts. They will be experienced individuals in their respective industries with proven track records. Their evaluations will also be significantly longer and take more time to prepare, than those of the other types of analysts. Their research will take about 30-40 hours.

ICOToday is far from being a simple ICO listing site. Instead, our focus is on providing thoughtful in-depth reports prepared by expert analysts with proven experience in the sector.

In addition, we will also open the doors to traditional fiat investors by streamlining and simplifying the investment process.

2. TOKEN PURCHASERS Token purchasers want a secure platform where they don’t need to constantly worry and think REGULAR ANALYSTS about the credibility of every email and compaA Regular analyst will be a knowledgeable indi- ny communication. They also want transparenvidual with deep knowledge of the ICO indus- cy from the ICO after the crowdfunding stage. In try. They will have relevant experience in eiaddition, they want a simplified process of parther a technology, finance or legal field. Howticipating in token sales comparable to the ease ever, their level of experience and deep knowl- of purchasing stocks. edge in one specific area will not be extensive. Their reports will not have one single foTOKEN SALE, KYC, cus. Instead, they will provide an overview of AML & ACCREDITED INVESTOR the whole project. The time that they spend When a company is ready to conduct their token researching a particular project will only be sale, they will be able to do so on our platform. about 2-4 hours.

Since the process will be streamlined for every company on our platform, this provides token Our goal is to build a decentralized ratings purchasers with a simplified process of particiagency dedicated to providing the blockchain pating in token sales. Furthermore, as we await world with the quality analysis and informaregulation, it is important that companies can tion needed to make great investment decispecify and limit their token sale however they sions. To accomplish this, we have developed please. Since users have three verification leva platform designed to leverage traditional fiels (Email Verified, ID or Passport verified (fulnancial analysis together with deep blockchain fills KYC requirement), Accredited Investor Verunderstanding to provide clear actionable inified), Companies will be able to choose which formation for ICO participants. segment of token purchasers are able to partic-

ipate in their token sale. This allows companies the ability to be compliant to the jurisdictions they are under.

PARTICIPATING IN TOKEN SALES Through our smart contract and working closely with Companies, a token purchaser will have the ability to specify upcoming ICOs they would like to participate in and the amount they would like to contribute. When the token sale has started, the transaction will be executed, and they will receive their tokens depending on the Companies token release plan. This feature will initially be limited to Ethereum based ICOs. To activate this feature, a token purchaser will need to add Ether to their ICOToday Ethereum wallet.

ICOToday has recently launched their public beta platform and is busy bringing together a team of qualified analysts with profound experience in both the world of finance and blockchain technologies. As this team expands we will begin accepting applications from ICO projects interested in receiving an in-depth analysis of their project.

Our strategy is centered around a three-prong approach. First, we are bringing to the table analysts capable of providing true value in their analysis. Second, we are expanding our community of cryptocurrency enthusiasts interested in receiving the reports, and finally we are reaching out to the ICO community to attract new projects to the platform.

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NOVEMBER 2017

HOQU The Future of Marketing It was said that any sufficiently advanced technology is indistinguishable from magic. The monumental strides in technological development and advancement are changing the lives of billions on a daily basis.

Commerce is one of the key sectors affected by the encroaching changes.

Businesses are moving online, and as a result, the digital marketing industry is growing fast – by approximately 20% annually as more businesses introduce products and services onto the market, yearning to effectively and efficiently reach their target audiences.

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by ALEXEY SHMONOV CEO, Co-founder

The global advertising market is projected to reach a staggering $385 bln by 2020.

Two of the main sectors of the internet marketing industry that are expected to benefit from the multifold growth are the performance marketing and affiliate marketing models, which will have grown from $46 to $183 bln by 2022. However, the bloating of figures comes at a dire price – efficiency.

Affiliate marketing traditionally requires the assistance of intermediaries or brokers – entities that act as third parties and determine the effectiveness of advertising campaigns through their efforts.

Unfortunately, the brokerage model is highly susceptible to fraud, as there are multiple loopholes and opportunities for profiteering from advertisers’ who need to market their products and services to ever growing audiences. Advertisers routinely lose up to 45% of their advertising budgets to untrustworthy affiliates and

scams, such as the unscrupulous shaving practice.

However, long-awaited change is on the horizon. HOQU is the revolutionary solution to the myriad issues of the industry. The project team, consisting of hardened industry experts and top blockchain technology specialists, has developed a platform based on the public Ethereum blockchain, that employs comprehensive smart contracts to connect advertisers and affiliates directly, eliminating the need for third parties altogether.

HOQU is more than just a platform, it is an ecosystem designed to enable the launch of decentralized, blockchain-based marketing platforms. In doing so, it cuts costs, lifts transparency to unprecedented levels and boosts productivity in digital marketing for all participants of the industry, regardless of their position and for mutual benefit.

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HOQU is set to usher the next generation of advertising as the internet’s first decentralized platform for online affiliate marketing “the future of marketing”, as the project has already been heralded by top industry professionals. Using smart contracts and blockchain technology, HOQU’s platform ensures advertising budget cost-effectiveness and guarantees fair pay to hard-working affiliates. With its innovative approach and the use of advanced technologies, HOQU is set to occupy 4% of the internet advertising market in the coming five years as its proprietary project HQX token Pre-Sale starts on November 13, 2017.

Blockchain technology is the cornerstone of HOQU’s projected success. Any novel technology seeking to become profitable, first and foremost, must prove its worth and value to average people, to have any chance of competing against conventional established approaches and services. Blockchain has already found multiple applications in the world of finance and other industries as a reliable method of ensuring impervious and transparent information storage and transactions, cutting costs and increasing operational efficiency to new heights. The use of dedicated HQX Tokens on the HOQU platform ensures the self-contained nature of the ecosystem and convenience of operation for its users. With its ease of exchange to other cryptocurrencies and given the limited amount within the HOQU platform ecosystem, HQX Tokens are certain to achieve staggering price gains as the project is launched and its highly competitive features attract both users and significant asset turnover.

As professionals in the marketing industry, the team at HOQU understand that advertisers seek maximum efficiency and results for their investment. Unfortunately, in the contemporary advertising model only about 55% of a marketing budget is used to breed tangible outcomes, resulting in a colossal and unjustifiable waste of funds. By eliminating the need for intermediaries and providing a transparent and comprehensive scoring model of affiliates, based on their reputation within the platform ecosystem, HOQU grants advertisers a more efficient marketing model, saving them valuable resources.

market. Using its own cryptocurrency and eliminating the need for financial intermediaries, such as banks, also means that HOQU can guarantee instant payouts for all platform participants.

HOQU is set to usher the next generation of advertising as the internet’s first decentralized platform for online affiliate marketing “the future of marketing”

Advertisers also have to be able to trust the affiliates and affiliate networks they work with. With blockchain technology, the fraud factor is negated entirely. The decentralized nature of the platform means that one compromised machine does not impact the security of the rest of the network. Advertisers can access data on a multitude of networks from their user accounts, simplifying work with different affiliates, and increasing the scope of their activities.

Affiliates will also benefit from the HOQU platform as delayed payouts and opaque deals, so common on conventional marketing platforms, become history. HOQU provides protection through its transparent smart contracts designed to identify the fairest offerings on the

The high costs associated with using marketing platforms are one of the major hurdles for affiliate networks as overcoming a conventional platform’s entry barriers is oftentimes an insurmountable cost. HOQU, conversely, is free of charge for affiliate networks and runs a groundbreaking decentralized web application on the hoqu. io servers. Traditional CPA networks operate on a 15 to 25% commission.

HOQU operates on a 0.5% per transaction fee.

HOQU is also built to be integrated into marketing platforms everywhere in the world and is preparing to release a software development kit, making it easy for third-party marketing applications to be built or altered for integration into the HOQU ecosystem.

The advantages that advances in technology generate are self-evident and HOQU is no exception, as its meticulously crafted and user-friendly platform is meant to cater to all the ecosystem’s participants. Change often requires breakthroughs and the pioneering HOQU project is set to be a guiding star of the marketing industry for years to come.

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NOVEMBER 2017

ORCA Alliance:

The Adoption of Cryptocurrencies in The European Union Is Soon to Happen While cryptocurrencies seem to find their place in countries such as Japan or South Korea, there’s still a lot of work to do in the EU. Depending on the country, cryptocurrency adoption and regulations in the European Union fail to keep up the necessary pace due by ICO CROWD to the public ignorance of decentralised cryptocurrencies, as well as the highly fragmented engagement of the crypto community.

Despite their rapidly increasing importance in the global market, cryptocurrencies are still facing many challenges, such as lack of legal certainty and stability or delayed innovation. As a result, other economies often greatly benefit from it and money ends up flowing into other countries. Many of these issues could be solved just by broader mainstream recognition and adoption.

ORCA Alliance ICO is a significant and well-thought-out step towards sustainable cryptocurrency adoption in the European Union. To facilitate cryptocurrency adoption processes in the EU by achieving reasonable legal and financial cryptocurrency regulations, as well as promoting cryptocurrencies to the wid64

er public, are the principal goals driving the whole organisation.

these are the benefits the public should receive and the sooner, the better.

ORCA is all about the open, self-sufTHE REVOLUTIONARY VISION ficient and regulated cryptocurrency The future is now. It’s time that we all market in the EU. The mission of the were able to make safe, fast and cheap ORCA Alliance is to create a safe and international financial transactions, sustainable climate for wider public but not only that. Bitcoin payment adoption of cryptocurrencies in the Eucards, secure and legally protected cryp- ropean Union. By educating the pubtocurrency accounts, and much more – lic about cryptocurrencies as well as uniting the cryptocurrency community, ORCA aims to gather mainstream support to achieve better laws and regulations.

Bitcoin payment cards, secure and legally protected cryptocurrency accounts, and much more – these are the benefits the public should receive and the sooner, the better.

The issue of regulations is the most important one for the crypto industry. In the vision of ORCA, regulations do not mean strict, controlling sets of rules but rather clear and consistent legal guidelines, explaining how cryptocurrencies are viewed legally, what kind of regulations and taxes apply, how can crypto businesses be developed or how ordinary consumers should manage them.

Once these things are sorted out in the European Union, the cryptocurrency market will become more reliable and accessible for everyone willing to partici-

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pate. By clearing out the grey areas, ORCA will make the use of cryptocurrencies safer and more accessible for ordinary consumers. This is the type of change ORCA Alliance is striving for.

THE 3-PART STRUCTURE OF ORCA ORCA Alliance consists of three main elements – ORCA Think Tank, ORCA Investment Fund and ORCA Financial Ecosystem.

ments and provide innovative consumer services. ORCA Community members will be presented with exclusive co-investment opportunities, thus getting a chance to work with us side-by-side.

The ORCA Financial Ecosystem will be an aggregator of various cryptocurrency financial services. By following the spirit of de-

The ORCA Think Tank is the place where the members of the Alliance will engage with each other, solve problems, cooperate with experts and educate the public. By integrating the community with professional field experts, ORCA will be able to generate well-thought-out, community-backed policy suggestions. The organisation will take these suggestions directly to EU officials and regulators. Through dialogue and cooperation, ORCA is going to help create a sustainable ecosystem for cryptocurrency industry growth throughout the EU. The ORCA Investment Fund is set up to function as a dedicated accelerator for startups working in fin-tech or closely associated sectors. The Fund will focus on projects that are essential to the emerging cryptocurrency financial services sector, offer technological solutions that satisfy regulatory require-

cryptocurrencies and access the best of the crypto-world, all in one place.

ICO LAUNCH ORCA Alliance seeks to rally the crypto community and gather the necessary support to pursue its mission of accelerating mass cryptocurrency adoption. To facilitate these processes, the Alliance is issuing the ORCA Token – an Ethereum (ERC-223) based utility token – during an ICO. Every ORCA Token holder is considered a member of the Community. As a part of the ORCA Community, members will be able to participate in the activities of ORCA Alliance, while also receiving awards for their engagement and loyalty, gain exclusive co-investment opportunities, have early access and exclusive offers for new crypto services and much more. ORCA is offering 75% of all available ORCA Tokens to future Community members.

centralisation and working with like-minded partners, ORCA will develop an integrated platform for trusted crypto service providers and fin-tech startups, both business and consumer-oriented. ORCA Alliance seeks to create a safe and convenient platform for ordinary consumers to get accustomed to

With sufficient crypto community backing, ORCA Alliance will be able to amplify the voice of the Community and bring it straight to the European Parliament. Community effort has lead blockchain technologies to where they are now and ORCA Alliance believes that community effort can make them go mainstream.

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Genesis Vision by DMITRY NAZAROV COO

Over the years, traditional asset management practices have raised hot discussions due to the nature of the investments. Usually, the Asset Manager maintains an undisclosed account where the investor, through the broker sends funds for management. After that, you must wait until the end of the reporting period for the manager to return your funds hopefully with some profits.

INNOVATION THROUGH TECHNOLOGY AND DIGITIZATION Blockchain technology coupled with cryptocurrency has brought with it widespread innovation as the re-

GENESIS VISION IS AT THE FINTECH CROSSROAD Lots of investors have lost money in dubious business dealings. In the wake of the scams, The Financial Times published an article that outlines the main factors that influence the savings and investment environment within which the asset manager operates:

Each Asset Manager on the GV platform, has a unique token.

The trade statistics of the Asset Manager will determine the value of the tokens.

The major fundraising objective is to enhance the transparency for • A Rise in Slow Growth and a low In- investors in the $70 trillion Assets vestment Environment Under Management (AUM) • Innovation through Technology market. and Digitization • A Need to Rebuild Trust

A RISE IN SLOW GROWTH AND A LOW INVESTMENT ENVIRONMENT In various parts of the globe, financial regulations have changed, which has encouraged slow growth, low returns, and less risky investments.

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al-world assets continue to get digitalized. With the increased influx of companies into the industry, there’s a rising need for transparent and data compelled systems.

A NEED TO REBUILD TRUST Considering the uncertain nature of the traditional asset management practices, investors have, for a long time, been receiving meagre returns and at times losing all of their funds.

As a result, there has been a marked decrease in the amount of capital into the markets.

GENESIS VISION PLATFORM ECOSYSTEM HAS A SOLUTION Currently, the investors lack trust in the current traditional infrastructure and the existing structures are excessively inefficient. This has brought about the need for Genesis Vision to design their business model and processes founded on market activity transparency.

Genesis Vision uses Blockchain technology to automate the process using the smart contracts. As such, that seals the loophole that rogue Asset managers and brokers used to exploit innocent and ignorant investors. All that while guaranteeing a more transparent asset management system.

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HOW IT WORKS We’ll delve into the two token types used, featuring in the asset management ecosystem for better understanding: 1. Genesis Vision Token (GVT) – This is the internal currency of the platform and is the medium of creating, storing, transferring and distributing value.

2. Manager Token – Each Asset Manager on the GV platform, has a unique token. The trade statistics of the Asset Manager will determine the value of the tokens. Besides, an Asset Manager considers the successful trade statistics when issuing tokens. Investors can purchase the Manager tokens right from the Genesis Vision internal exchange at fixed prices until all of them are sold out.

That marks the beginning of the exchanges, always transparent for all the parties involved.

WHY SHOULD YOU CONTRIBUTE TO THE GENESIS VISION TGE? Currently, the Genesis Initial Coin Offer is ongoing. The major fundraising objective is to enhance the transparency for investors in the $70 trillion Assets Under Management (AUM) market. It aims to close the gap between the Investors, the market, Brokers and Asset Managers enhancing transparent smart contract-driven asset management. Discussed below are the benefits of the Genesis Vision TGE.

SECURED SMART CONTRACTS For ultimate transparency, the GV team involves 3rd parties (SmartDec and Zerion) for the 150-point security contract audit.

The two firms did successful ICO audits for Humaniq.

SECURE FROM HACKERS & DDOS The GV team has put all the efforts and resources to ensuring security. With a security officer who works at Kaspersky Lab, one of the largest and most reputed cybersecurity firms globally, there’s sufficient reason to invest.

ICO CERTIFIED Given GV has its pillars founded on transparency, the TGE was certified successfully by The Financial Commission becoming the first TGE to be Certified. Even better, the new TGE Certification Committees of the Finance Commission, conducted a certification exam and produced a report. That makes the project more than a reality.

A HIGH FINANCIAL ACTIVITY INDUSTRY Price Waterhouse Coopers (PWC) estimates that the Assets Under Management, which currently stands at $70 trillion is bound to hit $100 trillion. Clearly, GV's TGE looks highly promising, thanks to the work that has been put into the research. The Genesis Vision project aims to put money into the pockets of the investors.

ESCROW SERVICE Cryptocurrency has not been spared in the hack attacks, which brings the need for an escrow service. To guarantee the security of the TGE funds raised, GV has brought aboard Changelly, a reputed cryptocurrency exchange interface that started operations in 2015. As an investor, you can be sure your investment is secure.

FOURTEEN ADVISERS GV project is a well-thought-out project with crucial advisers from different facets. We have advisers from the financial and crypto industry, whose different expertise and experience cover most of the questions/issues we could face. They represent all kinds of participants involved in our system.

ACTIVE CLIENT BASE Alexey Kutsenko’s Company, Tools for Broker (TB4) is a key part of the GV project. No doubt, TB4 will bring with it, its extensive client base. As you would expect, TB4 has a role to play in uniting the GV team with other institutions. What’s more, TB4 owns a centralized client software similar to the one used by Genesis Vision with more than 80 broker clients. Without a doubt, the 80 plus brokers are potential GV clients given they already have the software integrated into their system.

FINAL THOUGHTS We are glad that you’ve followed along as we dug into this impressive and highly promising TGE. It’s evident that the project consists of a solid team looking to make the AUM market transparent to regain the trust of the investors.

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NOVEMBER 2017

Globcoin:

A Cryptocurrency More Stable Than the Swiss Franc!

Innovative technologies have fostered major disruptions thanks to the growth of cryptocurrencies such as Bitcoin and Ether. These new technologies open vast perspectives to revolutionize financial systems, services and payments, thus creating a wide range of inby HELIE vestment opportunities.

D’HAUTEFORT CEO and Founder

Not only private investors but also institutional money, hedge funds and Family Offices have started to join the party, but this young market still has inherent fragilities. There are still major obstacles to the growing acceptance of most cryptocurrencies such as high volatility, uncertain valuations and unsatisfactory standards of custodianship.

1. OUR VISION Globcoin is a major game changer as it enables everyone to convert part of their cryptocurrency holdings into the most stable ERC20 token.

Because it is 100 % backed by the value of a basket of 15, of the worlds largest fiat currencies and 5 % of Gold, the diversification effect makes it “more stable than the Swiss Franc”!

For the “safety first approach, it will be managed on a one to one reserve basis, at a prime custodian and audited by a leading external provider.

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In addition, not only will GLOBCOIN revolutionize the way cryptocurrency holders can freeze the value of their portfolio in fiat currencies terms, but it will also represent a big innovation for a very distinct group: those who want to diversify from their national currency. By providing an exposure to 85% of the world largest economies in just

a click, the Globcoin token will also be used by fiat currency holders. Our vision is to serve these two very different groups of potential users with the same objective: provide innovative, safe and best of breed solutions that bring new benefits to two different groups which was impossible before Blockchain technology.

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2. A UNIQUE SOLUTION FOR CRYPTOCURRENCY INVESTORS In managing their portfolios of cryptocurrencies, investors face 4 key issues: 2 Volatility and large swings in the value of the portfolio 2 Flexibility: There are times where investors need to be able to switch back to the fiat currency world either to lock in profits or at least some value of their holdings to face expenses denominated in fiat currencies. Today, they have very few solutions to do that while remaining in the crypto eco-system (except some gold-related ones and USD Tether).

2 The lack of liquid real assets backing the value of the portfolio 2 The custodianship of digital assets that do not correspond to current standards for new potential investors. Institutional money and family offices would be keen to allocate more money into the crypto world if they could use a custodian system that provides more comfort.

3. DIVERSIFYING “FIAT” HOLDERS FROM THEIR NATIONAL CURRENCY In a globalized world, national currencies do not really measure your wealth except in the sense it is handy for accounting or payment purposes. Increasing globalisation of trade and investments makes the “base currency concept” more and more outdated. Using a single currency as a reference for valuation is no longer desirable when no single currency is stable or resilient enough to preserve value.

Globalisation of the economy is widely recognised but not fully perceived as a threat to purchasing power. Today, the value of your cup of coffee, like your wealth, is sensitive to currency fluctuations. It is estimated that the value of the USD, still perceived as the main reserve currency, in the global economy has lost over 20% since 2000. As your home currency depreciates, so does your global purchasing power.

Currency baskets can provide a useful hedge for a depreciating home and this is probably the reason for the growing trend of Central Banks to build up currency baskets and/or to peg the national currency to a basket of currencies - often the exact structure of the basket is not disclosed to the public, for example China or Singapore. But that’s only really Central Banks, or global supranationals. The man in the street is unlikely to walk into his High Street Bank and ask to buy small amounts of multiple currencies, to diversify, or hedge, his domestic holdings.

which evolves as the world economy evolves.

These characteristics allow the GLOBCOIN to act as a global store of value, effectively creating the world’s first “reserve currency”.

The portfolio of the basket aims to capitalise on the market trend towards a globalised and multipolar world by leveraging smart algorithms using the GDP of each country adjusted by the Purchasing Power Parity. The currency allocation is well diversified and covers 85% of the world economy.

5. A DUAL BENEFIT Globcoin will be the first token to bridge the gap between cryptocurrencies and the world “real economies”. The benefits will be twofold: 2 For crypto currency holders it will be the first perfectly stable token for every investor willing to peg the value of some of his holdings to the real economy while remaining in the crypto ecosystem and not having to switch to the Fiat currency environment.

For the benefit of this large community Glob2 For people in our “Global Village” to divercoin will also be a major game changer as it sify easily from their national currency and will finally enable users from every country in avoid any negative effect of its potential dethe world to diversify part of their savings into preciation. a global currency.

6. THE PLATFORM WILL TAILOR 4. OUR SOLUTION: A TOKENIZED CURRENCY BASKET TOKENS FOR CURRENCY BASKET OF THE 15 LARGEST EVERYONE’S NEEDS WORLD ECONOMIES Our Group in Switzerland has been at the foreThe GLOBCOIN is a currency basket unit that front of innovation in currency management tracks the 15 largest global currencies and for over a decade, offering large clients (instigold. It follows an intuitive and unbiased aptutional investors and family offices) tailored proach based on Purchasing Power Parity currency baskets, or our specific GRCI® basket.

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Now, we want to provide the currency of the global village. Blockchain technology opens the door to a new world of safe, secure, swift payments. We can use Blockchain technology to provide our solution. The Globcoin Crypto Platform provides the infrastructure to build baskets of currencies corresponding to specific communities/users needs.

Token name

GCP

GCP created per 1 ether

100

Minimum ether to be collected (participants can claim a refund if this floor is not reached)

10,000

Maximum ether (the token sale end if this cap is reached)

150,000

Maximum number of tokens generated to crowdsale participants

15,850,000 (50%)

The first basket that will be launched on the Maximum number of tokens generated for future business development, and 9,510,000 (30%) platform will be our “flagship “i.e., GLOBmarket expansion COIN, (GRCI®) a basket based on the 15 largMaximum number of tokens generated to team, advisers and early backers 6,340,000 (20%) est currencies of the world and 5 % of Gold.

This is the basket we have run successfully Maximum number of GCP generated 31,700,000 (100%) for larger clients on a traditional foreign exchange forward market. This basket we have Approximate date of start (StartBlock) 15 November 2017 found corresponds to the needs of many users, Approximate date of end (EndBlock) 15 December 2017 by mirroring the global economy. On the GRC (Globcoin Crypto Platform) it will be 100% asWe are now working on integrating blockchain clients on currency allocation. It created the set backed. technology and Ethereum smart contracts to Global Reserve Currency as a tool to reflect the create a “largest economies” backed token and world economy.

Other currency baskets have been studied for specific clients in Asia, Africa and Western Eu- a scalable ecosystem.

Optiminvest, created in Geneva in 1998 as rope and our platform will be able to launch The token will be an ERC20 compliant token Overlay Asset Management, has ranked in the such dedicated baskets according to client based on the Ethereum blockchain. world top 5 of currency managers with over 23 needs provided that the constituents of the Billion US dollars under management. basket are tradable. The possibilities are enor8. THE TOKEN SALE mous.

The pre-sale is now open.

Globcoin Ltd is a successful London-based The start of the GCP initial token sale is 15 company offering multi-currency accounts 7. THE TOKEN: GCP The purpose of the Token sale (GCP) is to con- November 2017, finishing 15 December 2017. linked to a prepaid card (MasterCard®) targeting travelers, global nomads and “global thinktinue to provide the funds to enhance the plat- Full details are in the table. ing” people. form dedicated to launch the baskets, includ9. WHO ARE WE? ing platform development, product launch, This is a very established team of financial and THIS ISN’T JUST ANOTHER ICO customer acquisition and partnership protechnical professionals. RCS, based in Zug, This platform will launch for the first basgrammes. the Swiss “Crypto valley”, together with sister ket, the most stable crypto currency available companies Globcoin Ltd and Optiminvest Ge- on Earth, a cryptocurrency less volatile than Globcoin Platform is to provide to the public the Swiss Franc. This is your chance to help us a worldwide decentralised network that uses a neva, have been highly regarded for their innovative currency solutions for a worldwide grow Globcoin and raise the funds we need for Unit of Exchange which truly is a store of valrange of clients. ultimate success. Don’t miss the opportunity ue, and a stable and safe means of payment. to discuss it and participate.

Members of the community will be able to All questions to: info@globcoin.io save and make transactions in this “world cur- RCS is a company dedicated since 2012 to research on Reserve Currencies and to advise All information at: https://globcoin.io rency” with very low friction and cost.

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NOVEMBER 2017

The World Must Stop Fearing and Start Respecting the Blockchain Improvement and not imitation. Scalability and not limitation. Above all, true trustindependence and not just regulation.

by VIGNESH SUNDARESAN Project Lead

It is safe to say that crypto’s honeymoon period is over. Relentless hacks, failed ICOs and underperforming products have all cast an air of cynicism in an ecosystem that was known only for innovation and value. There are many experts in traditional systems who are now chanting ‘I told you so’ with a mixture of relief and surprise. Some hoped, but no one expected that an ecosystem built on such sound values as transparency, decentralization and trust independence would see such toxicity. However, there is one emotion which has remained a constant, coexisting with excitement - fear.

Established industries, particularly those providing financial services, fear the disruption that blockchain is capable of. The power of the blockchain - a decentralized, transparent, inviolable - is the complete opposite of what they are - centrally controlled, opaque by design, and full of vulnerabilities. As for the common man, he fears what he does not understand. The blockchain ecosystem has done very little to help

him understand what it is about, content with engaging with its own growing but closed community.

tems. However, they are still, at the end of the day, blockchain versions of what many believe is ‘the real thing’.

AT THE HEART OF THE FEAR There are three primary reasons at the heart of this current phase of mistrust and fear – 1. Innovation in Imitation Apart from the blockchain itself, most of what we see in the ecosystem are reflections, or imitations of concepts and business models from traditional economic or social systems. It must be noted that these blockchain-based systems offer superior efficiencies, benefits and ease when compared to traditional sys-

What effect does this have on perception? At first, it is viewed as a positive disruption, everything is another ‘Uber’. Then when they realize that this innovation is insulated from nearly all conventional stakeholders, with no indication of how or whether they could have a role to play, the fear sets in.

For an open protocol, it is ironic that communication about the blockchain tends to get confined to the community.

More dangerously, traditional channels of communication and news tend to reflect the views of traditional ‘experts’.

Sample this report, in which the JPMC boss says Bitcoin is fit to be used only by murderers and drug dealers. https://www.theguardian.com/technology/2017/sep/13/bitcoin-fraud-jp-morgan-cryptocurrency-drug-dealers

2. Insulated Communication ‘What goes on in the blockchain, stays in the blockchain’. For an open protocol, it is ironic that communication about the blockchain tends to get confined to the community. It is true that global media picks up some chatter and offers its own opinions and views of what happens in our sphere, but this reportage is incomplete and oftentimes skewed.

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(Oct 2016 to Sep 2017) and ETH loans have risen from $834,192 to $88.29 million (Oct 2016 to Sep 2017).

Despite the over 700 new cryptocurrencies on the blockchain and countless new business models, the communication is still closed – each enterprise speaking about their own venture and to their own small target audience.

The community ought to talk about the promise of the blockchain, to spend resources and airtime and native expertise to convey this to the rest of the world.

However, fund management today is an opaque, risky business. It can be described thus – 1. Totally Trust Dependent: An investor has no choice but to trust in the fund manager. Her assets are at his disposal, and transparency is low.

2. Centralized, Vulnerable: All fund management, whether traditionally or on the blockchain, is done through centralized exchanges. Any system where funds or assets are held by one entity, in one place, is vulnerable. Centralized things tend to get hacked, like this (http://fortune. com/2017/08/22/bitcoin-coinbase-hack/) or worse, like that (https://bravenewcoin. com/news/fourth-largest-bitcoin-exchangebithumb-hacked-for-billions-of-won).

3. Prohibitively Complex: Traditional fund management is complex, swathed in layers upon layers of bureaucracy and complex jargon, which puts off regular people who just want to invest in something profitable.

4. Limited scope on the Blockchain: On the blockchain, fund management is not only vulnerable, but rather sad in terms of scope. Currently, what an investor or a fund manager can do is to hold a position long. This means acquiring an asset and holding it (doing nothing with it) till its value increases.

4. Is symbiotic, wherein the benefit of one is dependent on the health of the ecosystem 5. Is trust independent, recognizing that trust Here is where Lendroid comes in. abounds only in an environment that does not depend on it What Does Lendroid Enable You to Do? In collaboration with partners like Radar, In other words, a model that ‘Can’t be Evil’.

0cean and the 0x protocol, Lendroid enables you to – This has been our founding philosophy for a 1. Leverage: On Lendroid, one can use assets project we began working on 10 months ago (say ETH, ETC, DGD, REP or MKR) as col3. Lack of Champion Projects – Lendroid, a cryptoeconomic model that atlateral, take a loan against it, and hold a poThe blockchain needs ‘Champion Projects’ to tempts to redefine the trading of assets. sition on leverage. This means borrowing rally behind. Projects that: money to buy digital assets whose value you 1. Are born and bred exclusively for the block- Let us scrutinize this project, dear reader, tobelieve will increase. This is Lendroid 101. chain, but have real world impact. gether.

2. Short Sell: If holding long is to make mon2. Don’t just improve upon existing business ey off your faith in the growth of an asset, models, but change the DNA of business.

What is Lendroid? short selling is where you monetize your 3. Take on the most complex and inaccessiLendroid, as we know it today, is a Non-Rentlack of faith! An investor (or fund manager) ble systems, and make them accessible and Seeking, Trust-Independent Open Protocan put up collateral, and borrow a token beneficial to the community. col for Decentralized Lending. It enables a that he feels will lose value in the future. range of trading applications for digital assets He sells it in the market. And shortly, when Such projects can finally break the wall beon the Ethereum blockchain. the token is indeed cheaper, he buys it back tween the two worlds, open up widespread and repays the loan participation on the blockchain and banish the Why Do We Need Lendroid?

3. Earn Interest: One could choose a lowmistrust.

Fund management or asset management is risk, low-friction means to make the asthe fastest growing gateway on to the blockset work – by lending it to borrowers lookWe’re still scratching the surface of the blockchain. Investors and traders want to make the ing for funds for their own trading relatchain, going for low-hanging fruit, when we most of their digital assets - ETH, ETC, DGD, ed activities. Say there’s some ether and the could do so much more. It takes sustained efREP or MKR, etc. – in a transparent and accesinvestor’s decision is to go long, he could fort and intense collaboration. sible manner. lend a portion of it out for an interest. This earns additional income for the portfolio, CAN’T BE EVIL – THE LENDROID EFFORT Consider this – with limited downside.

A truly powerful protocol is one that: On widely used exchanges such as Bitfinex or Pol1. Vests the power in the hands of the user oniex, digital assets are lent, and borrowed by Does it Have a Token? How Does It Help the 2. Bases the native token on utility rather margin traders. On Bitfinex alone, USD fundEcosystem? than volatility ing increased from $14.8 million to $168.5 milTo quote Ethereum Foundation advisor Wil3. Makes governance central, and not an add- lion (Oct 2016 to Oct 2017). BTC loans in USD liam Mougayar, “...there needs to be a specific on feature have gone from $6.12 million to $183 million linkage between user actions and the resulting 72

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effects of those actions on the overall value to the organization.”

Lendroid has a native token, called the Lendroid Support Token (LST). This ERC20-compatible native token of the protocol, has been envisioned for a three-fold objective – 1. To lubricate processes and drive utility on the protocol 2. To incentivize participation 3. To empower governance Participation on Lendroid requires a user to spend LSTs. Those that do not are incentivized to earn LSTs by engaging in activities that contribute to the health of the ecosystem.

The LST is a vehicle to enable Code upgrades, Network parameters, and Supported assets.

During the initial stages of the system, the code, terms and parameters will be set by the Lendroid foundation. These will subsequently become community-based processes. The vehicle for such governance will, however, be the LST. Will There be a Token Generation Event (TGE)? What About the Backlash?

Yes, there will be an ICO and no, we are not afraid.

We have published a comprehensive white paper detailing our philosophies, core concepts and structure of the protocol. It fulfils the trinity of design – technical feasibility, economic viability and market desirability.

As for the TGE itself, our principles and rationale for allocation are all described on the website (www.lendriod.com) The effort, as with every cluster of code on Lendroid, has been to maintain fairness and transparency.

Despite the over 700 new cryptocurrencies on the blockchain and countless new business models, the communication is still closed – each enterprise speaking about their own venture and to their own small target audience. The community ought to talk about the promise of the blockchain, to spend resources and airtime and native expertise to convey this to the rest of the world.

Lendroid is itself non-rent-seeking. It is non-partisan. For one, it makes us feel good about what we’re doing. But the larger implication here is that there is no drag on those who choose to build on this protocol, or integrate with it in any manner. If you need a de-facto lending protocol for digital assets, we’re here.

What Kind of Enterprise is Lendroid?

The Lendroid Foundation is a not-for-profit organization headquartered in Singapore, engaged in developing the non-rent-seeking, open protocol for Decentralized Lending and allied financial applications.

What Does Lendroid Hope to Achieve?

Imagine a truly trust-independent protocol, where lenders and borrowers can discover each other and speak a common language.

Where the interests of a Lender — the primary source of liquidity — are protected. Where the terms of the loan are inviolable, ‘on-chain’. A range of interesting applications and financial instruments based on lending can take root, take shape. And facilitating all of these exciting financial models would be, we hope, Lendroid.

Lendroid is itself non-rent-seeking. It is non-partisan. For one, it makes us feel good about what we’re doing. But the larger implication here is that there is no drag on those who choose to build on this protocol, or integrate with it in any manner. If you need a de-facto lending protocol for digital assets, we’re here.

The revolutionary bit about all this is the gradual creation of a shared, global lending pool.

For lending to be effective, it is imperative that liquidity is pooled in one place.

Lendroid would enable a universally accessible liquidity pool, not a centrally-controlled one.

The difference between the two is the key to true trust-independence.

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In July, 2017, simplyvital health launched ConnectingCare, a blockchain-based product that empowers providers to transition to value based care. It is already a revenue driving product that is being piloted with key clients. ConnectingCare is indisputable proof of the viability of Health Nexus and gives an exciting glimpse at what will be built on Health Nexus in future. ConnectingCare augments existing hospital care systems to extract data and create care pathway flexibility, prospectively tracks financials, maintains immutable records, and accurately monitors analytics. This frictionless, secure data exchange mitigates financial risk, creates business efficiencies and improves patient outcomes.

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According to fortunes top 34 leaders believe that the ConnectingCare platwho are changing healthcare Katherine form will allow us to better understand Kuzmeskas, MPH. “Healthcare is movour clinical and fiscal performance," ing toward value based care, which ties said David Skoczulek, VP Business Depayment to outcomes”. In the US alone, velopment at iCare. "This information it is estimated that in 2018 this marperiscope will enable us to be well-posiket will surpass $300 biltioned within post-acute care by lion.

To participate providers networks, risk bundles and JAMES SOWERS will need to work together other partnerships in acute like they never have before. care."

That's why we built ConnectingCare, our revenue genSimplyvital has also anerating healthcare applicanounced a partnership with tion that utilizes blockchain Hartford HealthCare Bone & “Healthcare is to create an immutable aumoving toward Joint Institute at Hartford dit trail, so providers can colHospital (BJI). Through its value based laborate. blockchain-based Connectcare, which ties ingCare platform, SVH will payment to Health Nexus aims to cremanage and analyse total hip ate a decentralized, open, and total knee joint replaceoutcomes”. and fully-compliant system ment patients from first apwhere healthcare providers pointment to final treatglobally can collaborate with each othment, helping to reduce costs and imer to manage the outcomes of their pa- prove patient recovery. tients.

Kat Kuzmeskas, CEO of SVH, knows Health Nexus will enable a decentralthe orthopaedic space well, having ized and secure exchange of informaspent nearly three years working with a tion, improve cross-provider care, and hospital-based orthopaedic department enable an open environment where ap- says. "What excites us the most about plication providers can build tomorthis opportunity is paralleling and suprow's healthcare applications. porting the work of the nurse navigators”. "This is an effective, proven methSimplyvital's Healthnexus has partod to improve care while controlling nered with iCare's signature Congescosts." She also states that "There are tive Heart Failure (CHF) rehabilitation a handful of companies making good program, part of the Trinity Health NE strides on patient data and this will bepost-acute care network and the Hoffcome a reality along with simple impleman Heart and Vascular Institute at mentations of smart contracts. I can Saint Francis Hospital and Medical also see a day when distributed data Center in Hartford, Connecticut. "We storage for health is provided by com-

NOVEMBER 2017

panies like us rather than by Amazon Web Services or Azure. The other key area that is ripe for change is the need for better data provenance and security. If you look at the scandal over the Veterans Affairs data breach, for example, this kind of bad behaviour must and will be stamped out by use of technologies like blockchain. In terms of incumbents, I don't believe that entire companies or groups of people will be replaced but blockchain solutions will help to augment existing technologies. The only possible exception to that is the Healthcare Information Exchanges, which are both expensive and inefficient. The transformation of healthcare by blockchain is happening but we need to look in specific places – and more at the micro than at the macro level".

Simplyvital health has also attracted Dr John D. Halamka and Jesse Scharff to its advisory board. These two additions bring with them a wealth of experience navigating the often-murky waters of the world of healthcare IT and are a welcome addition to the growing team of experts helping SimplyVital Health bring its blockchain ecosystem, Health Nexus, to an industry hungry for change.

Dr Halamka is the Chief Information Officer of Beth Israel Deaconess Medical Centre, Harvard Medical School's teaching hospital; Chairman of the New England Healthcare Exchange Network (NEHEN); Co-Chair of the HIT Standards Committee; Professor at Harvard Medical School; and a practicing Emergency Physician. Dr Halamka is a strong supporter of blockchain in healthcare, and is currently working with the Bill & Melinda Gates Foundation to implement a blockchain Electronic Medical Record solution in Africa, which will focus first on HIV and Tuberculosis care.

"Blockchain technologies are likely to be very important in healthcare," says Dr Halamka.

"Working with SimplyVital I hope we learn from each other."

veteran emerging technology specialist; Quintify, and Skyway Software. David Korn, MPA, FACHE Business Development Strategist Integrated Physicians Management Services, Bletchley Park Advisors, and Schwartz Heslin Group. Kenny Winn, Business There are a handful of Development Stratecompanies making good gist, Clinical Healthstrides on patient data care Administration, Yale New Haven Hosand this will become a pital, and MedStar reality along with simple Georgetown Universiimplementations of smart ty Hospital. Lori Dollard Business Develcontracts. opment Strategist, Transdermal Therapeutics, TAP Pharmaceuticals, and Owens and Minor.

Scharff, who serves as a Director of Strategic Accounts for The Advisory Board Company, brings his extensive background advising over one hundred healthcare companies small and large through a combination of consulting, research, and analytics-driven technology on ways to improve their performance. He brings a valuable perspective to SimplyVital Health's efforts to streamline healthcare data management and reduce the costs of bundled payments.

"I'm honoured and thrilled to be working with Kat's team using cutting edge technology to make healthcare better for patients and more affordable," says Scharff.

The team is rounded out with the CTO, co-founder and tech virtuoso Lucas Hendren Former Lead Blockchain Developer at Capital One; Award-winning full-stack developer and early blockchain adopter. Jake Dreier, MBA Director, Growth & Operations, Yale School of Management, Goldman Sachs, and Teach for America. David Akers Senior Advanced Blockchain Engineer. Blockchain researcher at Cubic;

The Health Nexus Presale is now open, combining the best of both worlds. A blockchain protocol with secure decentralized data storage, building an industry-adoptable, community-driven system that will bring liquidity to medical data and enable value-based healthcare. Join the healthcare revolution visit: tokensale.simplyvitalhealth.com And be part of the Health nexus family.

Disclosure The author is an advisor for the project.

Disclaimer This article is for informational purposes only and does not constitute investment advice or Advice to participate in any crowdsale.

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The GZR Token GZR represents an unlockable profile item in an "unknown" state. The user can unlock tokens at any time, resulting in a randomized profile item being unlocked that can be applied to a gamer's avatar.

The rarity and type of the item unlocked is completely random and decided only after the user decides to unlock it. Users can collect items to rank up and customize their avatars to gain prestige within the gaming community. Once certain sets of items are collected, the user is rewarded with exclusive items, rank boosts, and badges specific to their accolades.

GZR represents an unlockable profile item in an "unknown" state. The user can unlock tokens at any time, resulting in a randomized profile item being unlocked that can be applied to a gamer's avatar. The rarity and type of the item unlocked is completely random by JAMES SOWERS and decided only after the user decides to unlock it. Users can collect items to rank up and customize their avatars to gain prestige within the gaming community. Once certain sets of items are collected, the user is rewarded with exclusive items, rank boosts, and badges specific to their accolades.

Gizer's token issuance to its initial investors as well as to ICO participants will be done via a smart contract deployed on the Ethereum public network.

Gizer's GZR tokens will comply with the ERC20 standard, which is the de-facto standard for tokens issued on the Ethereum blockchain. They will also 76

be divisible, which will enable Gizer to charge fees or commissions using GZR tokens.

During the ICO period, participants will be able to send Ether to the smart contract and receive tokens at a fixed Ether/GZR rate. At the end of the ICO, any unsold tokens will go to the Gizer reserve account. Later on, Gizer will make the tokens transferable.

LINKING ETHEREUM ACCOUNTS TO GIZER ACCOUNTS Gizer users will be able to link an existing Ethereum account to their Gizer account. Although creating and funding an Ethereum account will be the responsibility of Gizer users, Gizer will provide guides and support documentation to help with opening such accounts.

Most game developers have begun incorporating eSports directly into their development strategies, focusing directly on the competitive gameplay within their titles.

Each user will be asked to prove that he or she actually controls the Ethereum wallet that is being attached to the Gizer account. To do that, Gizer will request users to send a small amount of ETH within a predetermined time period to prove control.

Once a user has linked an Ethereum wallet to his Gizer account, GZR tokens in that wallet can be redeemed for Gizer profile items.

TOKEN REDEMPTIONS Users who have linked an Ethereum account to their Gizer profile will be able to redeem GZR tokens and exchange them for Gizer profile items. They will do this simply by sending GZR tokens from their Ethereum wallet to a "Gizer redemption account". Gizer will monitor that account in near real-time for incoming GZR tokens. When an incoming token transfer is confirmed, Gizer will look up the Gizer profile that corresponds to the sending Ethereum wallet.

Based on the pseudo-random transaction hash of the token transfer, Gizer items will be added to the Gizer user's profile. These Gizer items will be assigned a unique hash on the Gizer backend, which can be unlocked by the user at any time, or transferred to another user.

GLOBAL IDENTITY • Accessory customization • Licensed items • User submitted designs • 3D modelled items • Statistics and data • API/Oracle access GAMING & ESPORTS TODAY In 2017, mobile gaming became the fastest growing segment of the gaming industry. With over 1 billion mobile gamers, game developers have taken notice and are creating more competitive mobile games. Popular titles like Supercell's Clash Royale bring in over 100 million daily active users.

NOVEMBER 2017

In many ways, eSports is beginning to rival major professional sports in economics, engagement, viewership, and competition. According to Macquarie, the eSports industry is expected to grow at a +37% CAGR, to $1.9 bn by 2018. Most game developers have begun incorporating eSports directly into their development strategies, focusing directly on the competitive gameplay within their titles. Further, mainstream media outlets like ESPN, Yahoo, and TBS have all dedicated coverage to gaming and eSports; a major step towards the adoption of eSports as mainstream entertainment.

The eSports marketplace is an attractive market opportunity for several reasons. Developers have devoted resources to promoting their eSports goals, with the hopes of generating sustainable revenue streams. Development giants Activision and EA both have entire eSports divisions, while competitors like Nintendo and Capcom have stated that their existing and new titles will be heavily embedded with eSports driven elements. Bolstered by the popularity of Twitch.TV, media outlets such as ESPN and Turner Networks have dedicated showtime slots for eSports, with Turner promoting a weekly eSports telecast. Technological advancements in areas like VR/AR and video game consoles could transform the gameplay experience and further drive industry growth.

TEAM Jack Lamar is Gizer's primary visionary who has been focused in the eSport event space for the past several years. Previously, he has worked in fintech trading, operations, and development. Jack is at the forefront of the Gizer mission: to create a global network that provides economic opportunity to each user type.

Gabe Steinberg head of Product Development Leveraging his experience in mobile gaming, advertising technology, and digital creative start-ups; Gabe is the driving force behind Gizer's platform development and marketing. As an avid gamer and driven entrepreneur, Gabe holds a strong background in event organization and external affairs.

Jonathan Kerstein is the head of Business Development, with a focus on developing strategic partnership initiatives as well as platform scalability.

Saad Malik is a Data Security and Backend Development professional, software engineer who has developed vital parts of the Gizer infrastructure. He excels in developing backend frameworks, building APIs, working in databases, and server maintenance and security.

Felix Dragoi specializes in optimizing data.

Felix is also working with machine learning to match users with counterparts on the Gizer network to foster mutually beneficial relationships.

AĚ bel Czupor has grown a popular game to a 33million user base from social and growth hacking techniques. He assists Gizer in running campaigns with a goal of achieving vitality.

in high-frequency algorithmic trading in equity markets, RenGen is one of the earliest investment firms to join the Crypto asset space and has been at the forefront of the evolution in blockchain capital markets. Suley is an advocate of proactive self-regulation and a vocal proponent of strong and efficient regulation of decentralized crowdfunding in the U.S. Bok "Bokky" Khoo is an actuary and quantitative software developer with three decades of experience in banking and finance. He has been working with Ethereum since 2015, with a focus on trustless exchanges, smart contracts and security audits. He also acts as advisor to several high- profile blockchain projects.

Austin Long is a founding member of Omnia Media and current VP of Gaming Partnerships and Strategy. At the age of 16 Austin founded talent agency SquareOne, which grew to $4.2M in gross revenue during its first year. By 17 he sold the business and moved onto further media projects. In his current position at Omnia, Austin oversees recruitment, channel growth, and franchise development for content creators and network partners. Omnia has over 300 creators on its roster and is currently producing gaming projects with Google, Facebook, Disney, and other global digital entities.

Akhmad Khoirudin has 7 years of UX and UI experience. He has worked on several large mobile and web applications in the past. He's currently is the creator and innovator behind much of Gizer's design and interface.

Checkout the crowdsale at: https://tokensale.gizer.io

Suleyman "Suley" Duyar is the Chief Investment Officer at RenGen LLC, a New York based blockchain centric investment and capital markets partnership. Leveraging its roots

Disclaimer This article is for informational purposes only and does not constitute investment advice or Advice to participate in any crowdsale.

Disclosure The author is an advisor for the project.

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An Introduction to the

Nanome Software Stack The San Diego-based Nanome Inc. wants to revolutionize the fields of science, technology, engineering and mathematics (STEM) with revolutionary new technologies like nanotechnology, virtual reality and blockchain. They’ve built products to achieve this.

by JUSTIN O’CONNELL

The Nanome technology stack has been largely influenced by cofounder and advisor Dr. Benjamin Bratton, author of The Stack: On Software and Sovereignty. The company was spun out of Dr. Bratton’s Design: Geopolitics Lab at UC San Diego.

The company’s ten full-time developers (and five part-time) focus primarily on drug design products for virtual reality. Under the experienced eyes of Chief Technology Officer Vincent Brunet, the team has brought to market a cohesive software suite consisting of Calcflow, Nano-Pro, nano-one, and more.

Nanome’s continued focus is on the intersection of blockchain and VR. The company is currently developing its blockchain-based collaboration platform, Matryx. Here’s a look at the Nanome software suite and how it works with Matryx.

CALCFLOW Have you ever seen and felt a double integral of a sinusoidal graph in 3D? A Mobius strip and it’s normal, and spherical coordinates? How about your own parametrized function and vector field?

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Calcflow allows you to do just this.

This VR graphing calculator helps mathematicians, engineers, and students to view, manipulate and understand mathematical concepts and equations in immersive three-dimensions. The tool’s various modules include a parameterized function grapher and vector field simulator. Calcflow is integrated into the curriculum of some of the world’s top mathematics universities, including at UC San Diego, where the company is headquartered. Nanome open-sourced Calcflow after two years of development. A consumer version of Calcflow is available now on the virtual reality marketplaces, SteamVR, HTC Vive and Oculus.

NANO-PRO Nano-Pro is Nanome’s VR-based drug discovery tool. It’s private beta is

This VR graphing calculator helps mathematicians, engineers, and students to view, manipulate and understand mathematical concepts and equations in immersive three-dimensions.

used in the world’s top pharmaceutical research and development labs.

Let’s say a pharmaceutical company has its own model of specific proteins. They can boot up Nano-Pro, import their own protein and then design different small molecules for interaction. Nano-Pro users can reach out and manipulate component atoms like Legos.

Nano-Pro is designed to become the premiere nano-engineering design tool (think: Photoshop, but for atoms).

It is the first visualization modeling tool which allows users to visualize and edit the building blocks of the universe. Researchers and scientists presently use the tool to discover new pharmaceutical compounds and visualize proteins and viruses in virtual reality.

Nanome designed ‘Nano Pro: Data Science’ for the multinational chemicals company Solvay. Based off Nano-Pro, ‘Data Science’ capacitates scientists to quite literally walk through three-dimensional data sets.

Solvay used ‘Data Science’ to plot chemicals in a three-dimensional environment and more rapidly identify relevant information. They were looking for soluble chemicals in a sea of materials.

NANO-ONE Nano-One, the lite version of Nano-Pro, is designed for students, educators and consumers. It currently includes Nano-Pro’s chemical-building

NOVEMBER 2017

A pharmaceutical company then manufactures the drug, puts it through clinical trials, and brings it to market. The pharma company and the solution poster share the revenue.

Nanome is currently working with UC San Diego to crowdsource research on Matryx in exchange for shared IP rights. UC San Diego’s Skaggs School of Pharmacy is helping Nanome optimize the platform.

For now, Nanome sees the ideal Matryx user as a university researcher. One day, instead of driving Uber for income, individuals might collaborate with major corporations, universities, and governments to find the next big cure.

tool, but not the protein visualizer. Just as in Nano-Pro, users can build molecules like Carbon, Oxygen, Nitrogen and Hydrogen.

Nano-one is available on the Steam, Oculus and HTC Vive marketplaces.

The users may post bounties for new discoveries, designs, or innovations. Many users may contribute to and collaborate on these bounties. They are then fairly compensated and attributed for good work.

MATRYX While STEM fields are growing exponentially, the infrastructure underpinning collaboration remains weak. In order to streamline scientific collaboration, Nanome is developing the blockchain-based collaboration platform, Matryx. Collaboration will be incentivized on the Matryx platform via an Ethereum-based crypto-token, ‘MTX’.

So as to streamline the use of blockchain technologies in virtual reality, Nanome partnered with bitcoin wallet platform Edge (formerly Airbitz). The integration of Edge software developer kit applications into virtual reality would allow for a more streamlined blockchain experience in VR.

The bounty system entails a user (pharma company/NIH/University) posting a bounThe idea is to incentivize small contributions, ty on Matryx. In VR, a user can find or be asas well as large ones, to STEM research. The signed such a bounty, and then design and Matryx platform will enable large institutions, submit a solution. The designer of the winbusinesses, individuals, enterprises, and the ning solution is then compensated immepublic sector to collaborate alongside each oth- diately in MTX at the end of a competier towards meaningful science. tion-style round.

The Matryx platform will also incorporate a digital marketplace with a game theory-based bounty system. Users may sell, purchase, or exchange existing STEM “goods” like datasets, journals, or designs.

CONCLUSION Nanome products all work together. In Calcflow, users can develop an equation for a complex 3D shape. They can pack the surface in Nano-Pro or nano-one with specific materials, like a protein, carbon or a mix. While Calcflow determines the shape of a design, Nano-Pro and nano-one determine the organic or inorganic materials.

The Nanome software stack currently has a user-base in the thousands, including drug designers at the big-three pharmaceutical companies, educators and students at prestigious research universities, as well as at-home STEM enthusiasts. Matryx is designed to bring all of these minds together. Blockchain technology makes that possible.

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NOVEMBER 2017

Opiria & PDATA Token Opiria is revolutionizing the data brokerage industry by creating a central marketplace for companies to buy personal data directly from consumers without a veiled middleman in a fully transparent and secure way. by ICO CROWD

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Companies worldwide desperately need to know their customer. They need fundamental human insights about their consumers to design innovative products and services that fuel desire, which leads to sales. Companies also need precise data from and about consumers to perfectly target marketing and sales activities. Now companies face an arms race in growing demand for consumer data as the world becomes more interconnected and new competitors

emerge. This is why data brokers – companies that collect consumers’ personal information and resell or share that information with others – collectively the data brokerage industry became a 250 billion USD per year business. The data brokerage industry grew on average 13.5% in the past 5 years and is estimated to keep on growing with at least that rate.

Consumers worldwide are becoming increasingly aware of these violations and have started to actively protect their data privacy. But this makes it increasingly difficult for data brokers to access good quality personal data.

As consumers get smarter, and for instance block cookies while browsing, data brokers´ can simply compare IP addresses. But that’s only one simple Unfortunately, data brokers operate be- and innocuous example. Data brokers hind a veil of secrecy and a good numcan engage in much more sophisticated ber are evidently stealing personal data, or veiled methods that are getting even packaging and reselling it as a commod- more questionable. In sum the current ity to companies worldwide. By doing system is opaque and uncontrollable, so data brokers are violating consumconsumer's privacy is violated and comers’ data privacy and what’s worse, not panies don´t get enough data to meet even compensating consumers. their quality requirements.

NOVEMBER 2017

Figure 1: visualization how the Opiria and PDATA ecosystem works Spend PDATA / Purchases

Earn PDATA / Payments (to)

• Buy consumer´s personal data from the da- • Consumers who give access to their pertabase sonal data • Request specific personal data • Consumers who provide specific personal data Table: PDATA Token usage This already leads to failed investments in the double-digit billions. In addition, the General Data Protection Regulation (GDPR) of the European Union becomes enforceable from 25 May 2018 and will make it even more complicated for data brokers to access personal data.

Opiria platform. If the consumer consents to providing their data, a smart contract between the consumer and the company is established.

On this basis the consumer is paid with PDATA tokens and the company receives the requested personal data.

It seems like we are in an accelerating downward spiral with no way to stop or reverse the trend. But the good news is that there is a solution for that serious problem!

Very importantly Opiria and PDATA enable companies to gather more and more specific personal data from consumers than they

There needs to be a fully transparent open marketplace that enables and ensures the following: • Consumers can control with whom they share which data • Consumers get proper compensation for the provided data • Data flows directly from consumers to companies with no middlemen And this is exactly what Opiria will be doing.

With the PDATA token and the blockchain based Opiria platform we plan to offer a central marketplace where companies can buy personal data directly from consumers without any middlemen. Consumer acquisition strategies include paying consumers to join or take surveys; and partnering with companies to invite consumers from their client databases. The PDATA token puts value in personal data and creates a currency that exactly expresses their value.

Consumers can create a profile on the Opiria platform by disclosing personal data and giving permission for that data to be collected via e.g. a browser plugin, a smartphone app, from wearables and smart devices or through surveys. They can decide which data they disclose to the Opiria database. The more they disclose the more valuable their profile becomes.

Companies can ask consumers for permission to access the disclosed personal data via the

“Personal data - the oil of the 21st century” The data brokerage industry grew on average 13.5% in the past 5 years and is estimated to keep on growing with at least that rate.

Consumers can create a profile on the Opiria platform by disclosing personal data and giving permission for that data to be collected via e.g. a browser plugin, a smartphone app, from wearables and smart devices or through surveys.

Companies can ask consumers for permission to access the disclosed personal data via the Opiria platform.

can get today from data brokers (e.g. tracking data from wearables, smartphone usage or eye tracking and browsing behavior on the web).

That´s a huge added value for companies!

Figure 1 shows how the blockchain-based Opiria ecosystem works, what personal data can be accessed and how consumers are compensated via PDATA Tokens for disclosing personal data.

Opiria and the PDATA token create an ecosystem for the secure trading of personal data while fully protecting the consumers´ data privacy, and granting consumers full control over direct payments for their personal data.

This fully transparent open marketplace will motivate consumers to provide data instead of fighting against surreptitious data brokers.

Companies get a quick and easy way to access more specific personal data of higher quality and will be able to make much better decisions when designing new innovative products and services, better target marketing techniques and sales activities.

In contrast to most ICOs who just sell ideas, Opiria already has a real product with real customers. Fortune 500 companies such as Intel, Volkswagen, BMW, Audi, Mercedes, Freightliner, Procter & Gamble, General Motors and Nissan are already using Opiria. Right now the Opiria consumer research platform is helping companies worldwide to understand consumer needs and requirements. Using the Opiria web-application and the Opiria smartphone app, companies have a direct line to consumers and can get their opinion and feedback, worldwide, 24/7 in real-time.

The blockchain-based Opiria & PDATA Token ecosystem builds on top of that already existing business with already existing revenue. We believe the addition of PDATA Token will disrupt the 250 billion USD per year data brokerage business and become the gold standard for companies to access consumers´ personal data. Furthermore, we expect a growth spurt of the whole business because of the easier and better availability of personal data due to PDATA and Opiria.

“Personal data - the oil of the 21st century” 81

NOVEMBER 2017

PERFOCOIN

PERFOCOIN facilitates the broad use of crypto currencies for companies to produce tokens to their employees and acts as a token of performance, token of appreciation for taking surveys, answering quizzes and also collaborative crowd funding to solve a problem or by SIVAKRISHNA support a cause.

VANGALA

PERFOCOIN has three modules in it to diversity the use of tokens and income generation for the coin to flourish. This helps the cryptocurrency and coins to be widely used as we are involving companies, employees and real day to day users.

COLLABORATIVE FUNDS GENERATION Collaborative Petitions is a concept of solving a community problem with companies and people coming together. A company or an individual can post an ongoing issue and share it on social media to gain the attention of the community. The most trending topic will attract industry solution experts and organizations that can support and formulate a solution for it.

In the end, a solution is formulated and posted on to the platform, where it gathers the support and funds need82

ed to reach the target and solve the issue at hand. The disbursement of funds will be displayed and distributed with the community leaders and organizations approval.

PERFORMANCE TOKEN SYSTEM Companies can complete the performance monitoring and scores on our system, to boost the interest, companies can award the tokens as appreciation. Employees can then redeem them in our product or service marketplace then exchange for cash, gift cards, Bitcoin, Ethereum or any other cryptocurrency we facilitate.

SURVEY AND QUIZ REWARDS Companies might have a customer satisfaction survey or a product review survey or employee surveys, but in this instance, they may choose to reward the participants with a fraction of a coin which can be limited within the

budget set by the company.

VALUE PROPOSITION OR COMPETITIVE ADVANTAGES Existing crowd funding platforms have a cost of around 5% and a transaction costs of 2.9% + .30 Cents per transaction which can be huge. Also, Survey/ performance platforms require monthly fees.

PERFOCOIN has already developed a solution where we reduced the platform cost by 3% for individuals and 2% for Charities with 2.9% as the transaction fees operating on fiat currency. We would like to reduce this transaction cost to 0.5% by adopting cryptocurrency. Also, we plan to design the system with no monthly fee for survey and performances except charging them in tokens on a per use basis. For example, companies will pay $1 or 1 token per survey when the survey cross-

NOVEMBER 2017

es 200+ responses and only if the company wants to view the results. We can do this for better adoptability of the product and increase the revenue as the tokens can be redeemed in our marketplace which shall serve as additional revenue.

ALREADY OPERATIONAL PLATFORM We already have the product platform to integrate our tokens or coins.

TRANSACTION FEES Platform fees for fund raising is 2% of the amount generated Redeeming the tokens and converting them in to cash or other tokens have a platform fee of 0.01% of the sale price.

PERFOCOIN MARKETPLACE We are going to design an innovative marketplace for vacation packages, products and services for redemption, with vendors who are going to accept crypto tokens with guaranteed price points.

TIMELINE

In the end, a solution is formulated and posted on to the platform, where it gathers the support and funds needed to reach the target and solve the issue at hand.

The disbursement of funds will be displayed and distributed with the community leaders and organizations approval.

TOKEN SALE Tokens will be built on the ERC23 standard.

Generation of token numbers and financials are still under discussion with potential investors and financial advisors.

Target to raise $ 50 Million LEGALITY OF PERFOCOIN TOKENS PERFOCOIN tokens are used to support the transactions of the platform. These token do not grant their holder any ownership or equity in the company or right to participate in the decision making or control of the company. Companies or individuals should do their due diligence and risk analysis before purchasing the tokens. No Promises with respect to the future performance or value of PERFOCOIN including continuing payments or guarantees is entertained. PERFOCOINS are nonrefundable.

PERFOCOIN is purely a utility token and does not act as an equity token and does not promise any guaranteed funds to its holders.

ABOUT OUR TEAM: Our team operates on a global level with two offices based in Atlanta, Georgia in the U.S, and another office in Hyderabad, India. We have carefully curated a talented group of 40+ Developers, HR, Marketers, and Testers, to build a solid foundation for our company, and take Perfocoin to unimaginable heights.

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Introducing Richard Ma, Co-founder of Quantstamp, the first scalable security-audit protocol designed to find vulnerabilities in Ethereum smart contracts Was it necessary to have a token?

The way that people validate the code is via a proof-of-audit protocol. The protocol is running via modified Ethereum nodes, so we needed a different type of token so that the value of the audit is based on value. Over time as we develby op the protocol, the dollar value of the AUGUSTA NYATEDZU token might change, but the value of one audit stays the same.

What is the Science behind Proof of Caring?

We take into consideration when people joined because our early supporters were here when we first started. We actually track a lot of metrics including how long someone reads the white paper. This is exclusive information!

When someone reads the whitepaper, they are sent to docsend. The reason why is because that allows us to track the emails and how long it took to read the white paper and how many pages were read. All that data goes through to the proof of caring.

What was the need for Proof of Caring?

Decentralisation is supposed to give value to the end user. It is supposed to be fair. So, having this existing world concept of having more money, hence more discount seems really unfair to me. That's why I designed proof of care.

I thought that it doesn't really matter how much money you have or information, because whales get more informa84

NOVEMBER 2017

tion, if you care more, we want you in. If you don't care and you're just throwing money at the project, we really don't value that because I really care about the community.

cause it's more important to me to have something that works well for its own platform than to have multiple platforms that don't work.

Have other companies contacted you about implementing Proof of Care?

Yes. I have about 15 different projects that contacted me. For me, I want to help great projects use it. It’s important to me that the concept is not abused in any way.

Automation vs Humans aspect?

There are only so many ways you can lock up a smart contract and only so many ways to secure funds. From a security perspective, that is what we are checking for. That is auditing.

The manual part is when sometimes there is not a straightforward way that the funds are stolen. It's more an error in the design and the intention.

We actually track a lot of metrics including how long someone reads the white paper. This is exclusive information! When someone reads the whitepaper, they are sent to docsend.

Who else are you auditing next?

The reason why is because that allows We are currently in the process of auditing us to track the emails and how long it WeTrust, a peer to peer lending platform. took to read the white paper and how There are about 25 other projects that have wanted to get audits done. I'm choosing which many pages were read. All that data goes ones I think are good projects. through to the proof of caring.

How is Game Theory used?

When there is a reward, and you can get a bigger reward if you wait, how do you make people not wait? The reward we give may be a $10k bounty but if they wait, it could be worth $30m at ICO. So, the gamification is to make them not wait and how do we do that? We open the competition to everyone. The really smart people know that other smart people are looking at it. So, they will take the $10k instead of waiting.

Are you considering other platforms as well As Ethereum?

We've been talking to a couple of projects like Wanchain. However, I think we will focus our energy on Ethereum at the start be-

I have about 15 different projects that contacted me. For me, I want to help great projects use it. It’s important to me that the concept is not abused in any way.

We’ve been talking to a couple of projects like Wanchain.

What vision do you have for Quantstamp in 2 years?

In 2 years, we can raise the level of security of Ethereum so that there is a standard. We can help a lot of projects and also do insurance on smart contracts.

How can developers get involved?

Developers can contribute in 3 ways. They can contribute to open source projects and get paid, they can run validator nodes and get paid and they can also look for bounties and get paid. I think it would be quite easy for a good developer to earn a full-time income and help other projects.

On a personal note, how do you schedule your time?

I work 24/7. I try to hire good people as it is not possible to do everything so, I'm always hiring good people. There's so much to do.

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NOVEMBER 2017

Sharing Economy and Blockchain Trends by MIKHAIL SIAREDZICH CEO, Co-founder of Rexpax

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People like to be trendy. They love trendy clothes, trendy foods, and trendy jobs. Whether we realize it or not, we all follow trendsetters. They tell us what to wear, what to eat, who to love, what to do, and where to go to be happy. We might not be trendsetters, but want to discuss how trends and technologies are connected and what impact this combination will exert in the near future. What is old is new again, so let’s go back, rewind a few years ago and explore some previous trends that haven’t yet fully un-

locked their potential. Let’s talk about the emergence of mutual consumption.

visit more than 200 countries staying with strangers, or that 15 million people would open their doors to rent out SHARING ECONOMY — THE WORLD their homes. Those investors who disTREND OF A DECENNIAL PERIOD tinguished the problem of idle assets in A Sharing Economy is the economy of the form of houses and rooms, just like mutual consumption. This trend popped those who saw potential in unused car into our lives through Airbnb, Uber, seats and created Uber that let people and Blablacar. The idea of Airbnb didn’t earn extra cash from just owning a car seem serious at first, it seemed craand having a few hours to spare. zy to everyone. Airbnb allowed people to open their homes to strangers and it Why were these ideas so hard to believe was a shock for the U.S. in 2008. Nobody in? The reason is hyperconsumption is could imagine that travel nuts would entrenched deeply into the societal val-

NOVEMBER 2017

ue system. Everybody wanted to get more for themselves. But times change, and so do people and their world view. One reason for this change is Generation Y, the Millennials or Digital Kids. They live and share everything: files, videogames, knowledge. They are less likely to buy houses, cars, and luxury items than their parents, they lead a minimalist lifestyle, and choose services that provide access to goods, relieving them from the necessity of owning them.

However, a sharing economy can’t embrace large spheres such as real estate and motor vehicles and deal with all the items and services around us. The reason for that is lack of trust between the people. You need more trust to lend a camera than you do when renting your flat. To solve this problem, an in-depth analysis of transactions’ transparency and safety is needed.

Now let’s move to the juicy stuff. This topic is discussed by everyone and their dog today.

BLOCKCHAIN — THE TREND OF TODAY Blockchain Technology developed simultaneously with the Sharing Economy. It was created to solve the problems of the Sharing Economy; and its task is to create trust in a distrustful environment. All transactions are stored on the blockchain and it stimulates the participants to be honest in their dealings. Today, if some online-platform developers are interested in reliability and transparency, they most likely introduce blockchain.

Trust is the “glue” of society as well as our project’s “glue”. We present Rexpax — the World’s First Home Online. Owing to technological development, the new mechanisms of trust are being created. Blockchain caused a revolution in the world of international transactions, and revolutionized trust’s global meaning as well.

You don’t need a lawyer, an underwriter, or the

government to witness, all you have to do is to trust the blockchain based platform. The concept makes us feel safer and more protected.

Nobody could imagine that travel nuts would visit more than 200 countries staying with strangers, or that 15 million people would open their doors to rent out their homes.

You need more trust to lend a camera than you do when renting your flat.

Blockchain Technology developed simultaneously with the Sharing Economy.

The combination of an international social network and a marketplace for sharing items’ is rather strong.

Technologies, however, will never replace human interaction and relationships. For example, if your neighbor asks to borrow an X-Box, refusing means regarding him as somebody less than trustworthy. Seeing them as trustworthy, means you can ask for their bike in exchange. In this case, you both win! Taking this as a base of reputation earned in one’s narrow circle, we can create new trust-based relationships with new neighbors worldwide. Rexpax can go one step further and allow people to share not only their cars and accommodations, but all their belongings and services.

Every several years a product that changes the whole industry is released. We see the problem in items’ idling and have suggested an incredible solution — a global bank of items. We have seen the market potential. Facebook has about 2 billion users each of them having at least 10 items to share. As for the latest research, 68% of people are ready or already do share their items and services. Imagine that 68% of Facebook is about 1.5 billion people! 1.5 billion people ready to share their 15 billion items!

This is an incredibly huge market.

The combination of an international social network and a marketplace for sharing items’ is rather strong. Add to that the principles of the sharing economy and blockchain technology and boom, we have the prfect mix. The Rexpax ecosystem opens up a portal to a new reality of industry: Home Online. Home online is a new world, a world without locks, and we are sure this is a product that can change the way we own items. Or, perhaps, it can change the world altogether! https://rexpax.com/ media@rexpax.com 87

NOVEMBER 2017

SwissBorg:

Join The Community To Shape Tomorrows Cyber Bank!

Throughout 2016 and 2017, ICOs of all shapes and sizes have repeatedly set new fundraising records. Bitcoin and Ethereum have definitely set the path for a new generation of innovative initiatives. by CYRUS FAZEL

The success of ICO’s have proved that the economy was desperately awaiting a new form of funding. The legitimate question is are we witnessing a bubble?

Bubbles can be productive sometimes.

They allocate capital rapidly to innovative ideas instead of incremental improvements to existing technologies. The dotcom bubble created a lot of failed companies, but it also created Amazon, Google, and many others, we should not forget that.

In the late nineties, the internet was a once in a lifetime investment opportunity. Back in the days, Yahoo’s revenues were out of hands; because of these stunning results, people invested in internet startups hoping to stumble across the next Yahoo. These startups then used the money to buy ads on Yahoo to get traffic, which caused yet more revenue growth for Yahoo and further convinced investors the Internet was worth investing in.

Something very similar has been happening in the Blockchain world. A lot

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of parallels can be drawn. For example, in 1995, the entire internet world was worth around $80bn. The entire cryptocurrency space right now is valued at around $170bn. In 1995, there were 24 million internet users, and there’s not even 20 million in crypto. The analogy is to say the least, compelling.

In today’s ICO framework, founders usually follow the template set by Ethereum: the project's vision is explained in a white paper that describes how the new network protocol will operate and how the underlying business is structured eventually. Most ICO’s today only accept BTC or ETH, so exterior investors, have to convert their fiats to one or both of these cryptos, hence increasing the demand and therefore their prices. You can today see Bitcoin or Ethereum as the key to enter the rest of the crypto world in a way.

Ether’s price doesn’t only rely on its high demand, but also on a general-purpose computing platform, as a lot of new tokens are built on top of the Ethereum blockchain, increasing their swarm and therefore the price of ETH. The result of all that is a powerful feedback loop. Most of the companies issuing tokens emphasize the success

of ETH to justify as evidence that token presales are a good investment and like Yahoo, which was taken as an example in the late 90’s, ICO activity boosts demand for ether (and Bitcoin), creating an even greater sense of momentum in the blockchain world as a whole. This feedback loop is likely one of the reasons the price of bitcoin and ether have soared over the last year.

That being said, we don’t see that as being only negative. Exuberance and abuses will bring with them scrutiny and regulations. The future for ICO’s and the token market is bright, but undoubtedly more regulated. The market maturing, more “off-chain” rules will mutate and adapt to try to mitigate and regulate the coin markets.

This will happen more quickly than most people think, authorities having at the same time the responsibility to legislate and the financial obligation to get a hand on this new market.

However in order to maintain the free spirit and be a self-regulated market several associations in the world are leading in this matter, such as Crypto valley in Switzerland or JBA in Japan. The idea is to classify the token’s nature and to determine the legal implications between Crypto assets. So far, most agree that there are 4 different use case: currency (J coin/ USDT),

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utility (ETH), security with dividends (TAAS) and membership (Storj). In the meantime, guidelines have been created, with the best practice and standards for companies willing to do an ICO. The idea again is to align stakeholders and to improve the volume and flow of capital incentives for ICOs from institutional-grade investors. Going forward, each project will have to comply with the protocol and set of rules.

Because of these stunning results, people invested in internet startups As shown on the graph above, for the cryphoping to stumble tocurrencies space to scale to the size of across the next the dot com bubble, widespread adoption will be needed. For retail investors to access Yahoo. These startups then used and invest in this new asset class, processes, standards and regulation need to become the money to buy more mainstream. This is in a way comfort- ads on Yahoo to ing, it gives us, actors of this new space the get traffic, which time to adjust and build robust and ethical caused yet more businesses. revenue growth for That’s why we have, since day one at SwissYahoo and further Borg decided to be one of the first ICO 2.0. convinced investors By opting for a Swiss Cooperative, the CHSB the Internet was holder (SwissBorg Token), to own a negotiable security registered in the cooperative reg- worth investing in. istry via the Smart contract System. If CHSB holder wishes to become a member of the SwissBorg Cooperative and wants to be more involved in the cooperative governance, it can become a member of the cooperative.

Most ICO’s today only accept BTC or ETH, so exterior investors, have As previously stated, knowing that regulato- to convert their ry agencies will sooner or later ask for com- fiats to one or both plete and stringent due diligence on token holders, we have deployed SwissBorg’s ICOs of these cryptos, a best of breed KYC/AML process combined hence increasing with a White List. Not only wanting to be the demand and compliant, but we have also dedicated ourtherefore their selves to building a robust business model, prices. generating revenues from day one, having well-thought out investment strategies and product offerings.

Ensuring that investment In the near future, ICO’s that will successfully services will raise money will adopt new standards. In the always be delivered context of SwissBorg, we are proud to have in accordance with set the path ahead: the community’s 1. Companies can’t only rely on a template best interests. website and a 20 page white paper. ToThat’s the spirit we day, in order to attract a community and believe will bring raise assets, companies will need an exICOs to the next isting business with revenues, leverage blockchain technology and its philosolevel and will allow phy through tokenization, encryption and amazing initiatives decentralisation. Companies will need to to emerge and provide a clear and adapted legal structure, accurate financials, a clear road-map spread. and expertise in the related business.

2. An International team should be a mix of experts in tech and business. The majority of ICO’s today being Application related, i.e. having a real underlying business, this implies having the right people in the right place. The human component being the most important one in a company, the team needs to be one of the main drivers of the credibility and the success of the company.

3. A high quality board of advisors and institutional investors is also an important factor. Companies being backed by well- known investors or endorsed, in a way, by eminent advisors in a related field to the business, offers them an edge compared to others.

The Guru effect, when relevant offers traction.

4. Community being at the core of blockchain philosophy, strong social media (telegram, GitHub) support as well as live interaction (through Meetups for example) is crucial. Organic community growth is a way of measuring the potential swarm and goodwill of a company.

5. The ICO process should be transparent and meet standards. Companies should provide potential investors with a clear road-map, relevant financials, an understandable and accurate legal structure, transparent token distribution explanation and clear funds usage. An exhaustive white paper explaining, not only the philosophy behind the project, but the project in detail, and outlining clearly who is in the team and what each of their

roles are, is also important. In the context of SwissBorg, two white papers have been produced.

6. Last but not least, tokens that fall under security definition, should provide an explicit link with the operating company. We believe that it’s a crucial step for the tokenization process to move to the next level and that’s the reason why SwissBorg token, the CHSB Token, is implementing a smart share protocol.

Finally, it is important to understand what will drive the token price on the market. This exercise requires an honest and unbiased, assessment of the project.

At SwissBorg, we aim to create a CyberBank made in Switzerland and entirely owned by its community members. Meritocracy and Swarm Intelligence are at the heart of SwissBorg’s ecosystem ensuring that investment services will always be delivered in accordance with the community’s best interests. That’s the spirit we believe will bring ICOs to the next level and will allow amazing initiatives to emerge and spread.

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NOVEMBER 2017

What is WELL Network?

The WELL mission is to make healthcare borderless by connecting patients and doctors via a decentralized marketplace enabled by blockchain.

by ILDAR FAZULYANOV Founder and CEO

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Exonum for our private blockchain, and ing doctors and patients to utilize the Bitcoin for securing our data.

WELL network. This also serves as a recruiting mechanism for doctors and Network effects are powerful, but very good will for our patients. difficult to build. It requires building We undertake this mission by utilizing an initial community and evangelists WELL’s goal is to take everything that the following three trends: (Harvard for Facebook, UCLA for Tinis not “care” out of healthcare. We acder), then continuous investment in complish this through: 1. Telemedicine is taking over healththe quality of its core product, acquisicare and becoming the gateway for tion of new customers and brand build- 1. Frictionless payment. Because all care. Reaching $113 Billion in ing. The WELL crowdsale is building WELL is a private blockchain poweight years from now. the WELL brand, WELL token holdered by Exonum, there is no gas exers become WELL’s best evangelists and penses. Credit risk and correspond2. Globalization is making borders a community members. Thus, the WELL ing 3% surcharge is avoided also, bepolitical formality, instantaneously crowdsale helps with the chicken and cause WELL utility tokens are beconnecting people via internet and egg problem of building networks and ing paid by patients, they are automobile technology. provides resources necessary to scaling matically transferred to a providthe WELL platform. er once all the smart contract provi3. Marketplaces are the future of the sions are met. WELL platform proglobal economy with Amazon, ApNetworks are only as valuable as their viders save on collections, invoicple, Google, Alibaba, and Uber domi- underlying liquidity and by commiting, billing and many other exacernating not just their country’s econ- ting to a philanthropic model described bating aspects of the payment proomies but the entire world’s. in our medium article, WELL platcess, such as non-payment, late payform doubles its liquidity and thus valments, etc. These constitute to 30% Our telehealth and secure communiue without committing additional reof total healthcare costs in the Unitcations platform is translated into five sources. The marginal cost of enabling ed State. languages. We have over 1,600 availaa visit for each paid visit are negligible ble clinicians and have conducted thou- thus making it economically feasible.

2. Establishment of trust. The Censands of patient visits. We are utilizWELL partners, such as Doctors withtralized nature of healthcare coning existing blockchain solutions i.e. out Borders and other charities, help do trolled by powerful insurance comEthereum for our ICO smart contract, the heavy lifting of finding and trainpanies and governments leaves pa-

NOVEMBER 2017

tients and healthcare providers reliant on 4. Security. By utilizing the custom consenthese bureaucratic entities to treat them sus algorithm of Exonum, WELL keeps data fairly. Claims are approved and then rousafe without the need to mine blocks even tinely denied creating a game of musiif a node is compromised, making it near cal chairs of who is going to be stuck with impossible to change history. This makes a non-payment patient or provider. Due WELL platform secure even if under attack by malicious actors. Unanchored prito this mistrust, insurance companies and vate blockchains can be hacked more easigovernment institutions such as Medi-Cal ly due to their smaller size. We leverage the and Medicaid pay higher prices than necesbitcoin security while allowing for the prisary for services. Providers often over-bill vacy required by HIPPA laws only possiinsurers to boost their margins and account ble in permissioned blockchain environfor these costs of mistrust. Please read my ments. Every 10 minutes WELL blockchain article on game theory dynamics of healthanchors to the Bitcoin blockchain. A “snapcare and how blockchain establishes a trust shot” of WELL platform state to a public outcome. source captures payment information to avoid the double-spend problem and othWELL healthcare blockchain acts as a kind er care-related de-authenticated patient of Magna Carta liberating subjects from the metadata both establishing trust, as disunfair rule of law or Constitution declaring cussed earlier, and insuring WELL’s indetheir independence from their rule. All parpendence, while keeping data private. The ties coming together on the WELL blockcryptographic hash reflects the state of chain agree to pre-determined immutable WELL blockchain in the Bitcoin blockchain. conditions of their relationship.

3. Eliminated overhead costs. The, if then nature, of smart contracts is perfect to eliminate all non-care related costs out of healthcare. These costs constitute approximately 50% of healthcare costs. This is going to be a gradual process with smart contracts gradually eating these costs away one by one. It is important to re-engineer and automate the simplest processes that account for the highest savings. This will minimize bugs in smart contracts and make adoption possible as software gradually replaces back office personnel.

The biggest risk for the patient is not knowing what to expect and potentially getting low quality, even life-threatening treatment.

If a majority of nodes are taken over by a bad actor, any changes to WELL blockchain would be noticeable and reversible.

Go-to-market strategy. By now you may get a sense that WELL is a sort of Ripple for healthcare. We don’t want to suffer from the same slow adoption Ripple has suffered from due to its reliance on central banks and large financial institutions (insurance companies and governments in healthcare).

Our initial go-to-market strategy is more Paypal, including the following niche markets: 1. Crypto community. Seamlessly converting BTC and ETH into WELL tokens to receive immediate care instead of current fiat conversion wait times and the time it takes to see a doctor of at least a week or sometimes months.

2. Repats and expats. This community is technologically savvy and requires access to healthcare in unfamiliar environments on the go thus creating a need for cross-border telehealth solutions offered by WELL. 3. Medical tourism. The biggest cost for hospitals and clinics is marketing and convincing potential patients about their quality of treatment. The biggest risk for the patient is not knowing what to expect and potentially getting low quality, even life-threatening treatment. WELL platform connects a patient and doctor prior to treatment and confirms commitment of time and money.

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NOVEMBER 2017

Proptech’s Next Game Changer:

ESTATECHAIN Real estate prices have been climbing over the last few years, yet it is becoming more and more difficult for millennials to get onto the property ladder.

What if everyone from all walks of life could come together to invest and benefit from ambitious new developments?

Estatechain is building the technology to make this possible. The pace of change has been accelerating in the real estate industry, with innovations like property by crowdfunding and blockchain-based tools ABHIMANYU DAYAL being piloted in Sweden and Estonia for tracking ownership records.

With a unique feature called “Crowd Construction Funds” (CCFs), Estatechain hopes to popularize the idea of an “ICO for the real world”- a participatory process for funding, owning and profiting from real estate developments.

Crowdfunding is a great way for ordinary investors to participate in large-scale building projects. The real estate crowdfunding industry is projected to be valued at more than $300 billion by 2025, which leaves a tremendous opportunity for blockchain to disrupt the space.

Estatechain is powered by Ethereum and allows retail investors to discover and have a stake in commercial properties.

The protocol uses smart contracts on the Ethereum blockchain to divide physical assets into “quotients" or quotes, giving investors a partial stake in the property.

gage that represents a large debt and a long-term financial commitment, and exposure. However, Estatechain’s solution provides risk reduction through diversification, low initial investment, high liquidity in real estate investment. This solution is both applicable to owner-occupied as well as new development opportunities.”

Philip Saunders, who recently left the EY Experience Lab in Paris to join EstatThe marketplace brings together various echain as CTO, made the following comment: real estate industry participants such as “Estatechain brings together a number brokers and surveyors for due diligence of cutting edge cryptofinance technoloand fund managers. The platform gives tools to fund managers or companies like gies. We chose to use the Bancor protocol to back up real estate assets listed on the REIT’s (Real Estate Investment Trusts) to build public portfolios. Users who may marketplace in order to provide liquidity not have specialized industry knowledge and exchange functionality - particularly vital for smaller listings. We use EVM can invest in these managed portfolios that have developed a proven track record contracts to run auctions, transfer ownfor profitably. A similar concept has been ership of deeds and to pay out dividends from real estate rentals. We plan to build implemented on sites like eToro. a trading API so our assets can be inteEstatechain’s CEO, Abhimanyu Dayal grated into other contexts without the said, “Owning a quality property in the risk of arbitrage, which was one of the current economic climate typically requires a time-consuming search and pur- early criticisms of Bancor we hope to address. We have also decided to use Bitchase process, a hefty deposit, a mort92

coin as the primary medium of exchange on the platform- developing a system we call “Bitstack” for securing and pegging Bitcoin into Ethereum tokens for interacting with smart contracts and Bancor.

Our own token, EST is used on the listing side to fund asset reserves. Investors can benefit from the security and stability of Bitcoin along with the versatility of Ethereum.”

Estatechain is currently preparing to launch an ICO for its token EST, which will be used primarily to lock in reserves.

EST is an ERC20 token which will include a funnelling algorithm to gradually reduce the supply by half over a number of years, integrating trace token sinks into trades. This will be taken from a small transaction fee, which is primarily how the company intends to become profitable. The strategy of using the token on the “listing" side instead of as a medium of exchange sets Estatechain apart from many other token-funded platforms.

If successful, Estatechain will be a game changer for the distributed ownership economy.

NOVEMBER 2017

ICOs and Blockchain Technology – an Introduction to

Frictional Quantum™ by MICHAEL ONGHAI CFA

Initial Coin Offerings and blockchain technology are some of the latest components creating new foundations and ways to fund and transact in global economic and social systems. They have the business and investment communities clamoring. Having created considerable wealth in a short time frame, ICOs and blockchain technology have drawn significant attention and interest. But as with many paradigm shifts, ICOs and blockchains have a mystique about them. Potential investors are challenged trying to understand how to effectively evaluate them.

As with the evaluation of any new business venture, one needs to consider traditional components like competition, target customer audience and the company’s people, product and processes amongst many other factors. But with ICO and blockchain, are there new elements one should consider? The answer is yes.

Snowy August has developed a proprietary measurement called Frictional Quantum™ that supports analyzing and comparative indexing of ICOs and blockchain technology and their associated cryptocurrency whether it’s a coin/altcoin like Bitcoin, a utility token to purchase service units or a tokenized security that’s purchasing business shares.

WHAT IS FRICTIONAL QUANTUM™?

So what is Frictional Quantum? Let’s first understand friction. What is friction? Friction is the resistance to mo-

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Frictional Quantum is Snowy August’s proprietary measurement that specifically focuses on transactional friction, the friction of a transactional element on a blockchain platform and the transactional friction of its cryptocurrency.

Friction affects work done and is a non-conservative force. In the presence of friction, some energy is always lost.

So conceptually, minimization of friction is desirable to preserve energy. And on a transactional platform, the goal is to minimize the level of transactional friction and maximize streamlining, where streamlining minimizes cost, time and effort needed for transactions. Frictional level is path dependent, and Frictional Quantum level is too. It examines the transactional friction specific to the blockchain’s transactional ruleset and its specific cryptocurrency.

THE FRICTIONAL QUANTUM™ SCALE The specifics of Snowy August's Frictional QuantumTM measurement fortion of one object moving relative to mulae to calculate frictional levels are another. Now turning to Quantum, proprietary, but can help evaluate platquantum can be defined as the smallform transactional friction by attributest possible discrete unit of any physing a quantified frictional level to platical property, such as energy or matform transactions and its chosen cryptoter or friction. Pairing them together currency. The Frictional Quantum levels in the ICO/blockchain context, it is the range on a scale from 10.0 to 50.0. With smallest unit of resistance encountered the lowest level of friction being optiwhen one body is moved in relationship mal, a rating of 10.0 is most desirable with another. and a rating of 50.0 is least desirable.

Frictional Quantum is Snowy August’s proprietary measurement that specifically focuses on transactional friction, the friction of a transactional element on a blockchain platform and the transactional friction of its cryptocurrency.

It demonstrates how effectively transactions are streamlined and cost, time and effort minimized by intermediary removal in the peer-to-peer collaborative network structure.

Those closer to the 10.0 end of the scale represent those with a “smoother” customer experience as it relates to buying, using, or selling tokens/coins and those nearer to 50.0, tend to have a more “rough” customer transactional experience.

For platforms requiring time to scale, and where scale significantly impacts transactional friction levels, a predict-

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ed transactional friction level is calculated and applied and it is called Postulated Frictional Quantum.

The Frictional Quantum level can be very valuable as a comparative index to look at the levels of transactional friction from one company or ICO to another. With a lower Frictional Quantum level being optimal, one can quickly differentiate levels within the same industry group or across industry segments to identify more or less transactionally optimal platforms/ICOs. ASSESSMENT WITH FRICTIONAL QUANTUM™ To answer the question of how effectively things are streamlined and its impact on cost, time and effort minimization, a number of questions surface depending on the company’s ICO token or blockchain technology usage. Some of these questions may include the following: 1. What impact has decentralization of both data and program logic had on the transactional friction?

2. What impact does the platform’s data storage and availability have on its frictional level?

3. Do the company transactions benefit from the highly networked and interdependence of blockchain infrastructure and are those benefits passed along to company customers efficiently and effectively?

4. What are the transactional frictional impacts of platform security and its protection of customer blockchain identity?

5. How does scale impact the frictional levels on the platform? This includes transactional cost impacts to platform users both at pre-scale and scale levels.

6. How does the speed to create and deploy rulesets to reach scale impact platform friction?

7. What transactional frictional levels are associated with buying, using, or selling of the cryptocurrency in place? This applies to coins, altcoins, and tokens and how they are offered and structured with the ICO or blockchain.

Answering these and other key questions can be vital in assessing a prospective ICO or blockchain technology effort.

Snowy August’s Frictional Quantum measurement addresses cost, time and effort streamlining components and also applies numerous

topics from Finance PhD, MBA and CFA curriculums to encapsulate and quantify the relevant transactional parameters in play.

HOW CAN FRICTIONAL QUANTUM BENEFIT YOU? Blockchain and ICOs are seemingly a key component in the forefront of new business and investments, but is getting in on blockchain technology and ICOs the right choice for you and your portfolio? And if you’re considering it, how will you go about evaluating a company's ICO or blockchain effort?

Frictional Quantum can be an evaluation resource for you to understand and compare ICOs and blockchain platforms. Through the simplicity of the 10.0 to 50.0 scale, you’ll be able to quickly identify and compare how well the blockchain is leveraging the value proposition of its technology as it relates to its platform’s transactions.

Frictional Quantum is ONLY available from Snowy August. To learn more about it or get a Frictional Quantum evaluation for an ICO or blockchain project, please contact Snowy August via the submission form on its website at http://www.snowyaugust.com/.

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NOVEMBER 2017

A Truly Smart World with Flaws by ICO CROWD

It's the year 2035.

As you slowly draw the curtains to let the morning sunlight come through your window, it illuminates the weather forecast for the rest of the day, suggesting specific outfits from your closet to coincide with the day’s climate.

As you brush your teeth, your bathroom mirror notifies you an order for toothpaste and soap has been automatically placed for pickup at your local grocery store, and displays a reminder that you have 6pm coffee date with a former colleague.

car’s AI asks you where you'd like to go, suggesting your favorite coffee shop as a pit stop before you reach work. The car begins to head toward your destination while you sit back and prepare for your 10am meeting.

As you enter the coffee shop, you're notified that money is being debited from your account; you reach the counter and Jenny hands you your favourite hazelnut latte, wishing you a nice day.

er than we might think. This vision of an intelligent, connected world with ubiquitous, trustless transparency is what we at Nucleus want to bring into the world.

Now, we know what you’re thinking.

How much personal data would be circulated in this kind of world? Would we have any privacy left? Who owns this data? Can we trust them?

This is where the blockchain comes in.

When you enter your work place, your office virtual assistant greets you, leading you to a conveyer belt that gently guides you to your desk, while you review meeting notes before you meet your colleagues.

BLOCKCHAIN THE FOUNDATION As you eat breakfast on the dining OF THE FUTURE room table, a VR screen appears on its Blockchain, in our opinion, will change surface, providing you with nutritional the very fabric of how the world is govinformation about the food you're eaterned today. Most people know the curing. At the same time, an automated as- As you get a few moments to yourself, rent and potential impact of cryptosistant reads out your tasks for today. you can't help but think, 'look how far currencies like Bitcoin and Ethereum. we've come.'

It has already begun to disrupt governAfter getting ready to start your day, ance in countries like Estonia and ICOs you enter your car; it has no driver con- With IoT, AI, and blockchain, such a re- are currently disrupting fundraising. trols whatsoever. As you buckle in, the ality might be within reach, much soon- The use cases are endless.

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The blockchain-based, decentralized approach to technological solutions is the answer to most of the problems that IoT systems face today. Security and data privacy issues are instantly removed from the equation since every information exchange is governed by the blockchain. IoT businesses will achieve a new level of transparency with blockchain, increasing trust among users.

The promise of an IoT + blockchain future is out there for everyone to see. As the world braces itself for this connected future, what if we told you that we have already leveraged this powerful technology couple of the future, and it is already operational today?

WELCOME TO THE WORLD OF NUCLEUS At Nucleus, we are already leveraging IoT and blockchain to revolutionize just about every brick-and-mortar institution in the world. We have developed a ubiquitous identification ecosystem that captures previously inaccessible data generated in brick-and-mortar businesses. This gives them the insight and intelligence needed to provide a rich and delightful customer experience, thereby helping them strengthen their business.

Through our work, we will disrupt marketing at brick-and-mortar stores. This is no small feat. However, the seeds of this dream were planted in the mind of a young boy in India, many years ago.

We are already live in 10 stores in India, with 19 of our proprietary sensors installed among them.

Over 33,000 walk-ins have been identified, of which close to 2,000 customers have authorized retailer access to their data. These customers were sent around 2,000 offers.

The result?

1533 of those offers were redeemed.

Our founder worked with his father at a retail shop, which sold plumbing equipment.

While at the store, he would spend most of his time speaking to customers, trying to sell them plumbing products. He always wished he knew more about his customers, which would have helped him sell more effectively. This thought, however, was soon forgotten when he soon joined the world of aviation and began climbing the corporate ladder.

While working on an idea at a startup accelerator, he realized that, at some level, the problem he faced as a child was something that retail owners still face. Not knowing enough about their walk-in clients dramatically reduces the efficiency of their marketing activities. In his own words, he learned more from speaking to mom and pop store owners than sitting in class at Harvard Business School, so he decided to drop out and work on building Nucleus full-time.

Soon enough, his enthusiasm about the problem he was solving caught the attention of marquee investors like Tim Draper and institutional funds like Reliance Capital, who were among the first to invest in our vision for Nucleus. Shortly thereafter, the 40 member Nucleus team was formed across India and USA, and a working product was deployed in the market.

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THE GRAND VISION Market reports estimate that the global retail market share is currently between USD $2528 trillion. Of this, 90% comes from brickand-mortar retail store sales. This is our addressable market. To give you an idea of the scale of this market, there are an estimated 91 million offline retail stores in the world, which see up to 2.6 trillion walk-ins each year.

With Nucleus, we want to connect every one of these walk-ins to brands and retailers in real-time. How’s that for scale?

In whichever industry we work, we will collaborate closely with our strong community of users, using their feedback and ideas to help expand into sectors beyond our current vision, wherever Nucleus’ technology can be a driving force of decentralization and disruption.

Over the course of the next few years, we want to also focus on the physical securities and IoT-based connected world industry. With respect to the physical securities industry, Nucleus’s smart IoT sensors can become an indispensable component of wider residential, commercial and industrial security systems by identifying potential threats and intruders, and securely transmitting this data to concerned authorities over our blockchain network. This information can be utilized both in real-time security, where premises can be monitored for unexpected persons, as well as after an incident, where our IoT sensors can be used to identify known attackers.

2 The customer walks into the store and is identified using our sensor - the ION Sensor.

2 The retailer can choose to access their information by requesting the user’s authorization via SMS 2 User can authenticate this request and, if they do, they are rewarded for it with our nCash tokens 2 Based on the information the user provides, retailers can send customized offers and promotions to the customer 2 The retailer can also run their loyalty program using the nCash token, which the customer can use across any retail store in the Nucleus network 2 The customer can also redeem these tokens across any cryptocurrency exchange for fiat currency

With regards to the connected world industry, Nucleus’s technology team has already begun putting together the frameworks for Nucleus Home, Nucleus Cars, Nucleus Health, Nucleus Agri, Nucleus City and Nucleus Air. We believe that the Nucleus platform has massive applications in smart communities/smart cities, agriculture, transportation, healthcare, and home monitoring.

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BUT, HOW DOES IT WORK TODAY? The use case of the Nucleus platform occurs in almost any brick-and-mortar business, but let’s take a closer look at its potential in retail:

The last point really demonstrates the need for a cryptocurrency-based loyalty and rewards program. Every year, billions of dollars worth of loyalty points are wasted because customers have no use for them. This would no longer

happen with cryptocurrency-based loyalty points. Furthermore, retailers don’t lose anything since these are points that they already issue.

We are already live in 10 stores in India, with 19 of our proprietary sensors installed among them. Over 33,000 walk-ins have been identified, of which close to 2,000 customers have authorized retailer access to their data. These customers were sent around 2,000 offers.

The result?

1533 of those offers were redeemed.

This is just the beginning. We’re running a token sale in December of this year. In the next 5 years we aim to install one million ION sensors across the globe to cater to the three industries detailed above. This will result in a projected revenue of USD $2.4 billion by 2022.

The first five years of Nucleus are our foundation years; we are laying the path that will launch us into the top 5 end-to-end IoT enablers within the next decade.

While these numbers look ambitious, they are very achievable. We’ve got a competent team that is working tirelessly on our products and platforms. We have the trust of a stellar group of investors and advisors who not only bring us capital, but also access to the businesses who will benefit from our product.

All that we need now is your support. Join the decentralization revolution. Be a part of our journey by signing up for updates on Nucleus.Vision.

NOVEMBER 2017

The first smart ICO pitch video amplification mobile app

We enable start-ups to launch their ICO campaigns from pitch to funding in 3 quick and easy steps by bringing the largest engaged audience to their fingertips!

Register today to at www.pitchico.com

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Blockchain and Energy Make Sense There is an inconvenient truth facing the traditional energy supply industry, that in the near future (sooner than we may think) peer-to-peer energy transfer markets, will offer more competitive pricing and transparency for energy consumers. In much of the developed world, self-generated power is already equal to or less than the cost of delivered energy.

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WHAT IS GREENEUM? Greeneum is a platform that uses the Ethereum blockchain to provide consumers with direct access to wholesale energy markets. Greeneum Network leverages blockchain technology, smart contracts and artificial intelligence (AI) by to incentivize and decentralise the enTOM BUDD ergy marketplace so that all stakeholders can reliably produce, trade and consume energy, specifically green energy, ultimately reducing the world’s carbon footprint and painting the world green.

The Greeneum platform provides proprietary real-time analytics around the production and/or consumption of electricity, which allows for best pricing and cost savings. The platform includes artificial intelligence and ma-

chine learning layers that help balance loads on the grid by controlling energy supplies intelligently. It can also leverage in-home energy storage solutions, like a Tesla Powerwall, to purchase energy when it’s cheap, then sell it when prices peak, providing dynamic demand response to save money on energy bills and reduce wastage.

WHAT ARE THE MAIN CHALLENGES CURRENTLY FACING THE RENEWABLE ENERGY TRADING MARKET? To start with, there are no liquid funds available for investment in renewable energy and green technology worldwide. There is also a lack of financial incentives to produce and consume renewable energy. Additionally, there

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are local problems that affect smart consumers. Bond holders could monetize their certificates.

Finally, Carbon Credit trade markets have failed because of the high international transaction costs compared to the Carbon Credit value.

WHAT MAKES GREENEUM UNIQUE? 2 Proof of Energy: Greeneum is pioneering a brand-new consensus algorithm called proof of green where digitalization, validation, verification and tracking is all accounted for on the blockchain.

2 Track record: Our experienced team is a part of SolarChange, the first global blockchain-based clean energy application. We have four US-registered patents and Proof of Concepts’ worldwide including the National Grid of Cyprus.

2 Green Certificates and Carbon Credits: Greeneum data systems incentivize green energy production with green certificates (GC) and carbon credits (CC).

2 AI + ML integration: tested and patent approved artificial intelligence and machine learning algorithms make Greeneum a hands-off profit generating solution for its users.

As more people create their own energy, a growing class of “prosumers” (Producers and Consumers) is emerging. These are people who both buy and sell energy, based on their own lifestyle choices. An investment property owner might offset some of his costs by using large portions of his rooftops for solar panels. It will eventually reach

Carbon Credit trade markets have failed because of the high international transaction costs compared to the Carbon Credit value.

a point where it becomes cheaper for them to invest in the hardware to have their own solar operation, while creating greater surpluses of energy at the same time. Currently, small independent producers have little negotiating leverage and are only able to sell surplus energy at whatever rate the grid is willing to pay.

Otherwise it gets wasted. Greeneum will give users increased options to sell that energy, for example to electric vehicle charging stations, batteries and even cryptocurrency miners, all of whom may have different use cases and needs.

To participate in the Green energy marketplaces, producers can acquire the GREEN token and immediately start trading.

GREEN TOKEN DISTRIBUTION DETAILS Greeneum’s presale starts on November 24th, in line with Black Friday, one of the biggest sale discount holidays across America. The ICO will commence on January 11th, 2018. With the team receiving just 15% of the total supply of funds, making Greeneum one of the most democratic platforms in the blockchain space. Solarcoin (SLR) holders will receive a preferential discount when purchasing Greeneum tokens.

CONNECT WITH US Greeneum redefines energy systems globally. Leveraging blockchain, smart contracts and advanced machine learning technologies, Greeneum provides a decentralized, efficient, and secure data network for a sustainable energy future.

Follow t.me/Greeneum to stay updated!

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Securing Connected Smart Objects:

Taking Blockchain to the Internet of Things The Internet of Things (IoT), the mammoth ecosystem of connected smart devices and people, may have had its beginnings in Ashton’s conceptual science fiction where the world was attached to the Internet via ubiquitous sensors.

But today, this constantly growing and consolidating network of smart objects has achieved physical reality less than 20 years after the idea was first coined.

Expressed chiefly by machine-to-machine (M2M) communication, it is predicted that up to 30 billion devices will by ICO CROWD form the base of IoT by 2020.

This year alone, research firm Gartner estimates that 8.4 billion connected things will be in use globally, with total spending on endpoints and services to reach almost $2 trillion.

Figure 1. Comparison of network structure between IoT connection and blockchain As unrelated objects and devices connect to the Internet to provide a variety of services, they share in existing threats and frightening vulnerabilities, such as those recently discovered in a wide range of IoT devices, including baby monitors, smart cars and even wearables.

From simple invasion of privacy to potentially life-threatening repercussions, it has become clear that IoT seAs the global economy enters the curity will need to be addressed, elimFourth Industrial Revolution, there is inating distrust and security threats much expectation on the core technolthat come with the convenience of ogies of ICBM (IoT, Cloud, Big Data and the Internet.

Mobile) to deliver. IoT’s key contribution to economic value is its perceived CAN BLOCKCHAIN INNOVATION efficiency and convenience to users, in PROVIDE THAT SAFETY? an M2M market that Machina Research For a “hyper-connected society” based believes will expand from $4.5 billion around the IoT, it is proposed that a in 2014 to $29 billion in 2024. trusted peer-to-peer (P2P) network system must exist, secured by trusted conIF EVERYTHING IS CONNECTED, tracts that govern operations between IS EVERYTHING ALSO THEN IoT devices.

VULNERABLE? Because of IoT’s simplicity in deployThe distributed nature of blockchain ment, security is often neglected, despite technology draws comparisons with the being a critical element of deployment. interconnected structure of IoT. 102

When merging blockchain capabilities with IoT, it will be easier to achieve confidentiality and integrity of information, critical to ensuring reliable connections and securing processes between devices. Blockchain’s more robust makeup allows the network to better guard against fabrication and modification attacks, while enhancing the trust between parties in communication.

The key is blockchain’s sophisticated cryptographic security, with highly-complex mathematical encryptions making it economically unviable to crack even with quantum computing. Its decentralized nature would also make it difficult for would-be hackers to pinpoint a target for attack, minimizing the impact of individual attacks on IoT devices.

HDAC AND TRANSACTION INNOVATION: BRINGING BLOCKCHAIN TO THE IOT Next-generation digital service platform Hdac is one of the forerunners in providing and merging blockchain in-

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novations with the IoT. The Hyundai-backed project is working on a practical application of this concept, in the shape of an ultra-advanced micro-payment system.

Partnering with other South Korean-based innovation start-ups including Doublechain, HyundaiPay, and DEXKO, Hdac is developing a new platform based on Multichain, capable of handling the scale and contract functionality required for an IoT platform, as well as bridges to the Bitcoin and Ethereum networks to facilitate payments.

Learning lessons from the blockchain industry, Hdac differentiates from other platforms in terms of efficiency, security, functionality and speed with modifications and optimizations featuring: - P2P and dispersion structure distributing targets. If distributed computing development is limited in private blockchains, the network can be solved through a “safe IP” tool.

- a trust-based network sharing transparent transaction details of participants and storing them reliably.

- immutability of information validated by each network participant, guaranteeing in-

The key is blockchain’s sophisticated cryptographic security, with highlycomplex mathematical encryptions making it economically unviable to crack even with quantum computing. Its decentralized nature would also make it difficult for would-be hackers to pinpoint a target for attack, minimizing the impact of individual attacks on IoT devices.

tegrity against counterfeit and falsification attacks.

- authentication and authorization procedures of principal IoT devices.

- decentralization, resulting in efficient allocation of resources and lowered construction costs A total currency issuance on the Hdac blockchain has been determined at 12 billion DAC, with a first block reward of 5,000 DAC before halving every 840,000 blocks. Block generation cycles are set at 3.5 minutes, resulting in an approximate halving time of 58 months.

10% of DAC generated has been set aside for participants contributing to the Hdac Foundation during a presale and Token Generation Event (TGE) launched recently.

If successful, Hdac will be a future-proof payment system connected to the IoT through a trust-based blockchain network, enabling IoT devices to make payments on behalf of humans. At the same time, IoT devices powered

by Hdac will mean more actionable data to improve human lives, businesses and governments.

Talk to the Hdac team in their Telegram channel at https://t.me/HDAC_TGE 103

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Three Things You Must Know When it Comes to the SEC and TGEs/ICOs by CHRISTIAN FERRI Board Member at Blockchain Compliance Alliance

If you are thinking about launching a Token Generation Event (“TGE”), which is also commonly referred to as an Initial Coin Offering (“ICO”) and you are either based in the U.S. or plan to offer your token to U.S. citizens, you need to be aware of the “Howey Test”. This test is used by the SEC to determine whether your token is a “security” (and here’s a hint—you do NOT want your token to be considered a security by the SEC unless it is properly registered as such).

The Howey Test gets its name from a 1946 U.S. Supreme Court decision in which the court established that a security “involves an investment of money in a common enterprise with profits to come solely from the efforts of others.”

Sec. & Exch. Comm'n v. W.J. Howey Co., 328 U.S. 293, 300 (1946). funding mechanism) is very close to what a security is. In order to avoid beAs with most legal decisions, the exing considered a security, a token must act definition of things like “common be used for something, e.g., the use of a enterprise” are left open to interpreproduct or access to a service (see point tation, and ultimately vary depending #1, above). When thinking of token on the nature of the enterprise in ques- utility, it is also important to think in tion. In the case of blockchain tokens, terms of “exclusive” utility. For examthere are three main things you want to ple, if your token is being used to access ask yourself before launching a TGE: a platform and engage with its content, the token should be the only option 1. Is my token an investment vehicle? given to users to access the platform. If, If the SEC views your TGE as an invest- on the other hand, you allow users to ment vehicle, i.e., one that is being pur- access your platform via tokens as well chased primarily by investors to make as via other means like FIAT currenmoney (or is at least being advertised cies, the utility is not exclusive, and the that way), it will almost certainly be SEC may simply see it as a tactic to circonsidered a security. As a result, you cumvent the requirements for issuing a should NEVER suggest that investors traditional security (which is often the can make money from your token. Fur- purpose of relying on TGEs/ICOs in the thermore, it is a good practice to avoid first place). using the term “ICO” as it implies investments. Always use “TGE” instead.

3. Is my TGE being used to access some2. Does my token have utility? Or even better, does it have exclusive utility?

From the SEC’s perspective, a token without an actual use (a use that is separate and independent from being a

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thing concrete?

Stated another way, is the TGE just being used to raise money for an idea, or is it being used to gain access to something that actually exists? If it is just an idea, your TGE is much more likely to be considered a security by the SEC. On the other hand, if your business is an actual platform with an Alpha version that users can sign up for and start using, a TGE that grants access to that platform is less likely to be considered a security by the SEC (note, however, that a simple demo version of the platform in question may not suffice, as there needs to be actual proof that the product is being used for its utility, which is covered in point #2, above).

Bottom line: If you feel that your token won’t pass these three points, don’t risk it. Either pivot to a new token model or consider converting the token to a security or filing for Reg D, Reg A or Reg A+ instead.

Christian is a big believer in the power of decentralization, and the remarkable impact it can have on our lives. He’s a consultant, advisor, investor, connector, writer and speaker in the space. Fortunate enough to have lived the transition, I bring two decades of traditional business experience coupled with the new decentralized frontier. You can request a consult here, and find me on my blog and LinkedIn.