Analysis of ICO MEvU
meVu.bet is a decentralized P2P application for creating custom social bets or bets predicting the outcomes of popular sporting events using internal currency – MVU tokens.
Decentralization makes all the system more secured from hack attacks, government regulation of gambling, and organizational corruption.
Any event when two or mode bettors are disputing a result must be verified by Oracles – persons who hold MVU tokens acquired in the ITO. Payouts can be executed only after Oracles verification. MVU tokens owed by Oracles who made inaccurate reporting, will be lost.
Project was announced at September 2017, so there is only concept of it. Open beta is planned at June 2018, first launch – at September 2018.
Income model: 2% (0,25% to monthly lottery, 0,25% to Oracles’ reward, 1,5% to meVu) fee will charged from bet reward if both parties agreed with eventual outcome; 3% (0,25% to monthly lottery, 1,25% to Oracles’ reward, 1,5% to meVu) fee will charged if there were a dispute solved by Oracles.
Minimum bet amount is USD 10 for preventing spam activities. Average bets sum per one person per year is, according market researches, USD 3’220.
So, forecasted yearly meVu revenues will be from USD 48’000 (1000 users) to USD 483m (10m users).
meVu is planning to sale 60’000’000 MVUs during public ITO with maximum price 50 cents, so the hardcap is USD 30’000’000.
Funds received during public ITO will be used according these proportions:
- 60% Marketing and Sales
- 20% Development of platform
- 7% Administration and accounting
- 7% Consultants
- 6% Legal counsel
Also, meVu will create 14% of the tokens at the end of sale for internal use:
- 4% referral and ranking rewards
- 2% for bounties
- 6% advisers
- 2%for funding team during 18-month period
There is no information about monthly and yearly maintenance, administrative and development expenses during activity.
Marketing strategy is based on referral program. When a referred person played his/her first competitive match, both persons will receive a reward equal USD 5. Potential number of uses at first year from referral program is, according founder’s forecasts, 50’000 persons.
There are no more details about marketing & sales channels (despite of marketing budget) in whitepaper.
There are no clear information about a team members in whitepaper – only common words about membership in local Etherium community, and links to Linkedin profiles.
The Vision of the Market
Whitepaper contains detail information about profile of possible customer of product, volume of gambling market and sports betting as a part of it. Founders analyzed main competitors – traditional betting companies – and their strong and weak sides for comparing with project. Also, WP contains forecasts about growing trends on sports betting market.
Understanding of the Target Audience
There is deep knowledge of target audience in white paper. Based on open market researches, founder concluded that most interesting person is a male 18-34, married, with a household income USD 74 000 per year, living in suburbs.
Total volume of sports betting were estimated as USD 19,3 billion in 2013and has a tendency to increase.
Founder thinks that main competitors of project are traditional sports betting companies. Large of them has income from USD 0,52 billion (Unibet) to USD 2,37 billion (William Hill) in 2015. But founder believes that traditional companies has some problems which can be solved only using by product’s technologies:
- Licensing and regulations. Peer-to-peer network can be free from it
- Initial capital not less than USD 300’000 for supporting the bets
- Operational costs which can be minimized using token economics in product.
Because of this, fees in traditional companies are 10-15% from bet, and in product they are only 2-3%.
Project strong sides: detailed understanding of market, of customer profile and advantages of product to existing competitors
Project weak sides: there are no business plan, no clear marketing strategy, no MVP presented – there is existing only conception, not more. And no clear information about team members previous achievements.