Expert Coin

Analysis of ICO Fluence

15.05.2018

Product

Fluence is a decentralized network of trustless nodes designed to handle structured data. Fluence will work in the following way. Miners, acting as data storage providers, provide storage space and computing resources, and customers can choose any suitable provider according to their goals. Currently, decentralized applications store data either in their blockchain or offline storages, synchronizing data with the blockchain from time to time. The Fluence project combines the advantages of centralized storage and processing of structured data and the advantages of a decentralized network of nodes. Data stored and processed in the Fluence network will have a high degree of security. All transactions taking place in the Fluence network will be recorded in the blockchain.

Fluence may prove to be a demanded product, but it should be noted that similar data storage and processing services for decentralized applications already exist on the market.

Business plan

According to the roadmap, the product prototype was finished in January 2018. Further step-by-step product development is planned until the end of 2019.

Hard cap and soft cap aren't set.

The economy of the Fluence network is built in this way. Miners provide space and computing resources. Customers enter into smart contracts for the use of nodes, and miners are rewarded. The revenue model of the Fluence network is not mentioned, but most likely, the network will earn on commissions from transactions.

FLU token is a utility token. It can be used to pay for data storage and processing, for operations validation.

The business plan looks more like a sketch.

Marketing Strategy

Marketing is completely missed. There is a feeling that the team of techies are not aware that the project needs to have marketing strategy.

Team

The project team has experience in software and blockchain development, platform building, cryptography, copywriting. The team includes 6 people. The team obviously lacks people experienced in marketing and entrepreneurship. This explains the lack of a clear business plan and marketing.

The Vision of the Market

The project team gives some figures regarding the data loss, cloud storage etc. But these incomprehensible figures are not accompanied by any comments.

Understanding of the Target Audience

Fluence is designed for consumers who use decentralized applications and need to store their data, and for developers of decentralized applications that need a lot of space and require high speed data processing.

It is not clear who the "consumers"are. It is unlikely that the product will be of interest to ordinary people.

Another part of the target audience is miners, who will provide space and computing resources.

According to experts of Expert-coin rating, the project team doesn't have a clear understanding of the target audience.

Competitive Advantage

Fluence compares itself with cloud and traditional centralized services for data storage and processing. The benefits of Fluence are as follows:

  • Data is stored in a distributed network that is always available
  • Storage space is unlimited
  • No need to store data in a blockchain that scales poorly
  • Data is protected against leaks better than in centralized networks.

But Fluence doesn't compare itself with similar services, so it is difficult to judge its advantages in comparison with competitors.

Summary

The Fluence project has a couple of advantages:

  • Detailed technical description of the project
  • Emerging market of decentralized networks for data storage and processing.

The disadvantages of the Fluence project are as follows:

  • Complete lack of market analysis and marketing strategy
  • Vague idea of the target audience
  • An unfinished business plan.