Analysis of ICO Crystal Token
Crystal Token is a cryptocurrency token innovating the field of smart investments with the novel concept of Virtual Staking and different investment plans to satisfy the needs of all investors who desire a solid and constant passive income source. A trading as a service feature will allow investors to perform multi-currency automated trading exploiting an AI driven trading bot.
AI and machine learning will be involved in the system in three ways:
- Predictive models creation
- Consensus approach via Ensemble Learning
- Volume analysis and anomaly detection.
Long-term goal: to develop a marketplace, and later to distribute debit cards which would allow loyal users to spend their tokens directly in the offline shops.
A number of features is offered to create revenue streams for both project and users:
- The core business of the platform is the trading of crypto currencies, which is carried automatically via a dedicated trading bot, developed by company’s research team;
- Once the trading bot performances have been assessed, there will be an opportunity for customers to perform automatic multi-currency trading by investing Crystal Tokens to the platform at the cost of fees applied on the profits generated;
- Internal exchange will be also offered - each transaction falls within a time window, each of which is valid for 6 consecutive hours.
Users who sell their Crystal Tokens are charged a 5% transaction fee which will be used for rebuy initiatives in order to constantly sustain the value of a token.
There is a Virtual Staking Program with several options aimed at customer’s varied needs (full-benefits and short-term packages).
ICO will have several rounds, each round will last 3 days. Pre-sale was completed and 250 000 tokens were raised.
Marketing strategy will include the following activities:
- Allocate bounties to users who contribute with promotions and WP translations
- Reach YouTube promoters and video bloggers
- Design promotional materials (videos and GIFs) for social media platforms.
The team is active on Telegram and Twitter, numbers of followers are rather good.
There are no members of the team listed in WP or a website. WP states: “The current uncertain and geographically legislation in the field of cryptocurrencies obliges us to take a preventive step for which our identities are not revealed”. The team includes two AI/data science experts, web developers, economy consultants, professional traders, social media marketing specialists. There is no word on advisors.
The Vision of the Market
The project is aimed at cryptocurrency market, namely at lending services. The WP lists the following limitations which currently exists:
- Long-term capital release (3-8 months): beneficial for lending platforms, non-flexible for customers
- Non-sustainable business models
- Vertical management: no pre-approval from customers
- Single trading bot strategy
- Lack of stable customer rewards
- Limited opportunities to spend tokens.
Keeping this shortcomings in mind, the team behind Crystal Token plans to offer transparent, reliable and sustainable cryptocurrency.
Understanding of the Target Audience
Although the market research is rather thorough, there is no mention of target audience and its segmentation. Since the projects is aimed at cryptocurrency market, its participants are of interest for Crystal Token.
The WP mentions that the market is saturated already even though it’s still very young. The only platform listed is BitConnect. But there are MonetizeCoin, Davor Coin, Bit4G and LendConnect to name just a few lending platforms.
Main advantages of the Crystal Tokens are several business models which generate revenues, customer rewards and innovative features like pure reinvest and Virtual Staking Program. Decision making within a platform is based on community voting.
Strengths: Virtua Staking Program is launched. Successful Pre-Sale. Solutions answers real-life problems of the cryptocurrency market. Variety of options available for users (different packages of Virtual Staking Program).
Weaknesses: no financial plan/projections; no team members in the WP and on the website. Target audience segmentation is needed. Competitor analysis requires more precision and “face-to-face” comparison between major players. Social media activity should be more intensive and the company should be present on more platforms.