Analysis of ICO Welltrado
Welltrado is a blockchain-based platform that enables investors to buy and sell loans from numerous loan providers across the world, invest to P2P lending funds and manage their portfolios. To address real-life issues of the market, Welltrado offers 3 products within its ecosystem:
- Loan aggregator: for investments diversification
- Portfolio management of loans: for monitoring all P2P loans via one account
- P2P fund: for P2P investments across borders and for cryptocurrencies investments.
An MVP of the project is fully functional, it has 100+ partner lending platforms connected and 1500 active users.
The platform could be used by Welltrado (WTL) token holders only. Different fees - for services, fund management etc - would be paid in WTL tokens. When a user gets return on investment, a 5% fee is taken from token holder's account and is burnt. The only time WTL tokens would be created is during the token launch. Therefore, the total supply of internal tokens is fixed.
Welltrado offers the following business-related benefits for investors:
- Up to 10 times higher returns, no geo boundaries
- Up to 7 times faster verification
- More than 10M loans at a single place.
Lending platform will get these benefits:
- Faster administration process for investors
- Diversified investments
- Numerous deposit options.
Development plan suggests that the platform will be fully functional in Europe in 2018, in Asia in 2019 and in South America in 2020.
The WP doesn’t have marketing plan. It is stated that 10% of funds raised will be allocated to marketing. The team participates in relevant events across the globe. The activity on social media platforms is high, especially on Bitcointalk and Telegram; Twitter and Facebook have low numbers of followers though.
Team members have experiences in business development, asset management, sales, design, strategy, web development and programming, marketing and investing. The board of advisors is very solid and has expertise in blockchain and ICO consulting, VC, finance, entrepreneurship.
The Vision of the Market
The WP has an extensive research on target markets. Welltrado operates in P2P lending market. Since the platform will work closely with cryptocurrencies, crypto market is also of interest. P2P lending industry reached $114B in 2017 and trends indicate the the growth will continue. The market is saturated (there are 4500+ P2P lending platforms globally, excluding China) and has three main problems:
- Issues in management and diversification of investments
- Transparency and reputation issues (problems of verification)
- Limitations of cryptocurrencies and assets mobility across borders.
Welltrado addresses this real-life problems with its three products, covered earlier by analysts from expert-coin rating.
Understanding of the Target Audience
The platform currently operates in the European market and its four segments: real estate financing, invoice financing, SME loans and personal loans. Further geo markets penetration is planned for 2019 and 2020. Target audience is divided in two groups: investors and lending platforms (current and potential partners of Welltrado). The WP clearly indicates problems of each group and solutions offered by the project.
As was already previously mentioned, there are 4500+ P2P lending platform globally and China alone has 4000+ its own platforms. Welltrado has partnerships with 100 platforms and 200 are waiting in line. Therefore, the main competitive advantage of Welltrado is in its core feature: the platform will aggregate lending opportunities from multiple sources, creating a hub for all participants of the market. Moreover, the platform houses three features - aggregator, P2P crypto fund and portfolio management - in one place. The WP has a table of 6 platform’s features compared to the Welltrado.
Strengths: an MVP of the project. Pre-sale target reached. 100+ P2P lending platforms connected to Welltrado already. Signed partnerships with Goldfish (a VC fund) and G&B Partners (investment management).
Weaknesses: there are no financial plan/projections, no marketing plan.