Expert Coin

Analysis of ICO Exmo Coin

03.05.2018

Product

EXMO is a cryptocurrency exchange platform, operating since 2013. There are over 1,400K registered international users. EXMO is launching a sale of its tokens (EXO) to develop capacities for adding Margin Loan service to the platform. Margin loans are used by traders with limited capital for short position trading.  This service will attract even more users to the platform.

Business Plan

The WP offers 5-year development plan with annual activities listings. Major milestones are:

  • 2018: to add margin loan service, to expand the number of traded fiat currencies, to implement complex orders for professional trading
  • 2019: to open representative offices in US and Japan, to add futures contracts, to implement Big Data and MAchine Learning to the platform
  • 2020: to become top-3 global exchanges
  • 2021: to open representative offices in China and Brazil, to exceed the volume of $1B/year in marginal loans
  • 2022: to reach $2B in revenue from marginal loans.

EXO token holders will receive 50% of margin loans revenue, which will be distributed in the form of dividends and on a monthly basis. Tokens will be released during main crowdsale only. When the amount of $200-300M investment will be raised, EXMO will acquire its competitors via M&A. This will increase the capitalization and scalability in the new markets. This will also lead to increase in profits from margin lending since EXO token will be listed on several exchanges at the same time.

Marketing Strategy

It stated that 10% of funds rated will be transferred to marketing. EXMO expansion will be reached by attracting new traders, retaining existing users, growing the platform reputation. Marketing activities will include:

  • Marketing support of the project after launching in the new market
  • Increasing of the budget for PPC, CPA, SEO, SMM and media buying
  • Creation of the video content for traders, promotion of YouTube channel
  • PR via participating in industry events and meetups.

EXMO exchange has already gained good media coverage in Business Insider, Nasdaq, Yahoo! Finance, TNW and others. The team is very active on social media platforms, especially on Telegram and Bitcointalk, where numbers of followers are rather high. Twitter and Facebook accounts were just recently launched.

Team

Team members have experiences in entrepreneurship, project launching, marketing and PR, web development and finance. Some members have previous work experience at Microsoft and Huawei. All members are claimed to be blockchain and crypto enthusiasts. Advisors add expertise in business and strategic consulting, legal field, cryptocurrency market, blockchain strategy, VC and ICO consulting.  

The Vision of the Market

The WP briefly mentions main stats about cryptocurrency exchange market. There is also an explanation of trends regarding margin loans service. EXMO operates in the industry 5 years and obviously collected data about state of the market and trends. This information is missing from the WP.

Understanding of the Target Audience

Target audience is segmented in an obvious way: new traders, professional traders and investors. The WP lists platform’s benefits for all parties involved.

Competitive Advantage

Cryptocurrency exchange market is already saturated and there is number of exchange platforms based on the blockchain. The WP offers a comparison analysis between EXMO and competitors offering margin loan service. There are 8 competitors mentioned; EXMO is different the following ways:    

  • It offers the service in 2 fiat currencies (USD and RUB)
  • It provides cashbacks from fees based in the trading volume
  • It makes it easy for newcomers to access the service
  • It offers Ex-code service.

Summary

Strengths: an exchange platform with 5 years of operating experience. 5-year development plan with clear goals. Very strong group of advisors with 20+ years of expertise.       

Weaknesses: team members profiles should be added to the WP. Social media activity should improve to reach more potential users, according to analysts from expert-coin rating. Vision of the market could be presented in a detailed way, since the company operates in the industry for 5 years and has data to share.