Pre-ICO: What Is It and Why Do It?

pre ico

ICO (initial coin offering) has recently become a quite popular and promising direction. This segment of the cryptocurrency market is developing at a tremendous speed. In this article we will talk about the most risky, but at the same time, the most profitable stage of investment in crypto startups- pre-ICO.

Contents:
(please, click the topic to scroll down to it)

  1. What is pre-ICO and why do it?
  2. Airdrop and bounty campaigns
  3. The main risks for investors and startups
  4. How to select projects correctly at the pre-ICO stage?
  5. Where can I find up-to-date information on current pre-ICOs?
  6. Conclusion

1. What is pre-ICO and why do it?

Every year, investments in crypto startups are getting more and more numerous, but competition in this segment of the market is also growing, for this reason ICO requires an impressive amount of investment. The following things are necessary to conduct a successful ICO:

  • MVP (minimum viable product) is a prototype of a future project that lacks much of the functionality. In this version, the product has only the most important features, without which there is no point in further development. MVP is designed to visually show the project idea to a wide audience.
  • Budget for advertising campaigns. This part of expenses is one of the most pricey ones.
  • Support of well-known experts in the industry. To do this, you need a budget for flights, meetings and conferences.

Not everyone willing to tokenize their startup has an initial capital, so many teams decide to conduct pre-ICO. This stage is necessary for young teams in order to introduce themselves, to find like-minded people and, most importantly, investors for a full-scale ICO. In order to attract investors, organizers make big discounts on their own tokens.

2. Airdrop and bounty campaigns

It is worth noting that you can get tokens at this stage not only for money – they can also be earned. As a rule, developers allocate a certain percentage of coins (5-10%) for airdrop and bounty programs.

What is it?

  • Airdrop means free distribution of tokens to all interested users who will spread information about the project in various ways (post in social networks, forums, comments, likes, etc.).
  • Bounty is also a distribution of coins for the work done, but unlike airdrop, assignments are much more difficult (writing articles, logo/site/app design, WP translation into different languages ​), and rewards for these tasks are obviously higher.

This is the best advertisement for ICO projects, and for users it is the opportunity to become investors without risking their own funds.

3. The main risks for investors and startups

The fact is that at the stage of pre-ico startups offer to purchase their tokens with large discounts. Besides long-term investors, this attracts speculators who are not interested in further development of the project. Their main goal is to earn money on the first increase in the exchange rate of coins, which can cause a collapse in the token value.

Investors, who buy coins before ICO, risk even more, since it is difficult to evaluate a particular project at this stage. There is a great chance of running into scammers that will simply flee with the collected funds or into an inexperienced team that overestimated their own capabilities.

We remind you:

Algorithm of Action for Victims of Scam ICO

4. How to select projects correctly at the pre-ICO stage?

Many investors are interested in the question: “How to participate in pre-ICO with minimal risks?”. Unfortunately, there are currently no methods that would give 100% project evaluation results. But, nevertheless, there are some moments which you need to pay special attention to:

  1. Jurisdiction. As a rule (but not always), serious projects are chosen by those countries for registration, where mechanisms for regulating cryptocurrency are developed, and not vice versa.
  2. Team. Despite the constant growth of the crypto community, there are not so many serious and active market participants. It is necessary to analyze the team members according to their former successes or failures. Investing in those projects which involve absolutely unknown people needs to be done with great caution.
  3. Whitepaper. The main document of the project, which should be studied properly, describes in detail the terms of purchase, freezing, withdrawal, issue of tokens, etc.

Unfortunately, the statistics are disappointing, as more than 90% of all crypto startups fail for one reason or another. Evaluating a project at early stages is a rather difficult task, which requires a deep immersion in the process and an understanding of the market. Therefore, starting investors should not to choose this direction, since it will rather remind a game in a casino than an investment portfolio.

 5. Where can I find up-to-date information on current pre-ICOs?

If you still want to try yourself in this field, the list of projects (pre-ICO list for 2018) can be found here:

https://thecoinshark.net/ico-calendar/

https://icobench.com/  

https://icotracker.net/  

6. Conclusion

Pre-ICO is a rather risky, but potentially profitable type of investment in the cryptocurrency market. For startups this is a chance to conduct a full-fledged ICO, during which you can potentially attract billions of dollars in investment. Investors, also potentially, can get a huge profit by investing in a promising project at the earliest stage. But this approach to investment requires a complete immersion in the process.

Subscribe to The Coin Shark news in Facebook: https://www.facebook.com/coinshark/

Top 10 Cryptocurrencies: All the Largest Cryptocurrencies to Invest in 2018

From the moment the first cryptocurrency has been launched into the net, nobody would ever believe that it will become the most attractive investment object. Even investors who earlier admitted the possibility to get profits only from IPO shifted their attention to ICO and other means of investment into digital coins.

Curiosity significantly increased in 2017, when cryptocurrency shocked the market by its capitalization, which grew from $ 18 billion to $ 800 billion. However, the phenomenal increase turned into a fatal fall of the market capitalization to the point of $ 254 billion. Now, it is the end of October 2018 and the world is anticipating another cryptocurrency growth.

That is why it is necessary to consider TOP 10 most attractive cryptocurrencies for investment in 2018.

1. Bitcoin (BTC)

It is the most popular cryptocurrency which does not require any introduction. Even those who have nothing to do with crypto industry and hardly distinguish blockchain from blockbuster know about it. The only thing is that many people have problems with the concept of Bitcoin, as a cryptocurrency and a platform.

So let’s sort it out. Bitcoin is a payment system that uses Bitcoin or, in brief, BTC cryptocurrency coins in order to account transactions. The peculiarity of the system lies in the objective to exclude centralized intermediaries such as banks, credit organizations and others. For example, you need to transfer 1 BTC and it is possible to make it through Bitcoin payment system without banks and other financial institutions. Bitcoin cryptocurrency is alternative to fiat currencies such as USD, RUB, JPY and others.

Bitcoin pros

The benefits of BTC can be discussed endlessly. After all, the largest cryptocurrency is the oldest one among all existing cryptocurrencies. It has the largest crypto community, which includes developers and investors who support the further development of Bitcoin currency.

BTC is easy to buy, as it is supported by all the well-known cryptocurrency exchanges and digital wallets. The world’s fundamental economy takes into account the world’s first cryptocurrency, and such well-known platforms as Bloomberg, Microsoft, Overstock.com, Expedia.com and others accept BTC crypto-money as the payment means for purchasing goods and services.

Bitcoin cons

It has annoyingly slow transaction speed that takes about 10 minutes. This is due to the capacity of the network which is able to process not more than 7 transactions per second.

Due to increasing competition inside the network, BTC mining has become extremely energy-consuming. Today, not everyone can afford a mining farm. As Bitcoin mining requires ultra-powerful computer equipment with corresponding cost. Beside that, it consumes a lot of electricity.

Bitcoin transfer fee is unreasonably high, which makes it less attractive for many people.

Historical performance

It is hard to believe, but in 2010 everyone could afford BTC, since the price for a one was about $ 1. Isn’t it nothing? But in December 2017, the price appeared to be not funny at all. One BTC was sold almost for the price of $ 18 thousand.

After such a rise the rapid fall has started. Now, BTC is experiencing recovery times, the crypto industry is anticipating a new wave. Even in the slack period, Bitcoin remains the first cryptocurrency in the world in terms of capitalization, which is 30% of cryptocurrency market.

2. Ethereum (Ether)

If you are not familiar yet, then let me introduce you the second cryptocurrency in the world, after Bitcoin, which is in great demand and interest of a wide audience which is not even directly dealing with digital coins.

The first Ethereum coin was created in 2015 by Vitaly Buterin. Many people believe that it is more than a cryptocurrency. Ether has the same situation as Bitcoin, as it is both a platform and a cryptocoin. As a platform, Ethereum is developed on blockchain technology for creation of decentralized services and smart contracts. ETH is an intra-platform currency which is used as a payment method for the services provided by the Ethereum platform.

Ethereum pros

It is the largest platform worldwide for creation of smart contracts. It provides a complete base for launching tokens and other projects on the basis of the blockchain technology. The transactions in the Ethereum system are completed just in few seconds, while Bitcoin keeps you waiting for 10 minutes.

Ethereum cons

When scaling, Ethereum faced many problems. The platform still checks the transactions that cause network overload on the Proof-of-Work mechanism. ETH mining requires high computational power, which can be provided only by ultra-powerful computer equipment. Not everyone can afford such equipment for mining, and the process of cryptocurrency mining consumes a lot of electricity. But now the developers are trying to solve the problem related to the demands towards electricity consumption and reduction of network competition.

Ethereum also supports only one programming language called Solidity. The world’s second cryptocurrency from time to time is faced with the competitive pressure of digital coins, such as NEO and Cardano, because they offer similar services via an improved technology.

Historical performance

2017 was the best year for ETH. Then the price of digital currency began to grow rapidly. The price increase lasted until January 15, 2018. Then the cost of one ETH was $ 1,390. Now, as of the end of October 2018, ETH is at the stage of degeneration.

3. Ripple (XRP)

This is a unique cryptocurrency, a platform that has an evolutionary mission such as the elimination of problems related to implementation of international payment transfers. Ripple platform, with its digital currency, was launched in 2012 in order to speed up and reduce cost of international transactions.

Ripple pros

Any international transfers last a week, while Ripple needs only a few seconds in order to complete this task. Also, the transfer fee is much less. Compared with traditional fee this is a very small amount of money. The platform partners are real financial institutions, including American Express and Santander. Many people think that making money with Ripple cryptocurrency is more than realistic.

Ripple cons

The platform contradicts a fundamental principle of cryptocurrencies such as decentralization. Due to the fact that half of the XRP belongs to the company for scalability, it follows that the management of the digital money flow of the Ripple platform centrally.

Historical performance

Ripple was launched in 2012, but it gained its success only in 2017. After a fantastic increase of crypto money prices, XRP has become the third largest digital currency in terms of capitalization. Ripple has surprised everyone because its price has grown almost from zero to $ 4.

4. Bitcoin Cash (BCH)

As you have guessed, Bitcoin cash is a fork cryptocurrency of the well-known Bitcoin, which was originally launched into the network in 2016. Fork appeared in the result of not taking a single decision by the Bitcoin developers regarding the system updates. In fact, Bitcoin Cash is an improved version of Bitcoin.

Bitcoin Cash pros

During the upgrade, the block size was increased to 8 MB, which significantly increased the speed of transactions. We remind that one Bitcoin block has a volume of 1 MB, which explains the slow speed of transactions.

Bitcoin Cash cons

It is suggested that Bitcoin cash becomes as decentralized as its parent company. However, now it remains doubtful.

BCH mining is a costly thing. Due to the network competition, it has become very difficult and energetically consuming to mine new blocks. Now, in order to mine Bitcoin Cash a huge computing power provided by the ultra-new computer equipment is required. The cost of such machines is sky-high. Competition in the network is constantly increasing, so mining will constantly require upgrade of computer equipment.

Historical performance

After the first launch of the network Bitcoin Cash very quickly reached the TOP cryptocurrencies. In July 2017, the currency price increased from $ 500 to $ 4 thousand. Anyone can compare Bitcoin and Bitcoin Cash charts. We recommend CoinMarketCap for monitoring. While comparing the charts, pay attention that the performance of the BCH price is very similar to BTC one.

5. EOS

It was launched by ICO in June 2017. The platform itself is considered to be a direct competitor to Ethereum and NEO. It was created by Dan Larimer, the founder of the cryptocurrency exchange Bitshares and Steemit. EOS is a platform for developers who are working on creation of decentralized management applications and improved smart contracts.

EOS pros

The platform will be much bigger and have a more global impact than the well-known Ethereum. Such forecasts are justified by an enhanced mechanism for monitoring transactions. Presumably, the developers will be able to accelerate the speed of transactions to 10 000-100 000 operations per second.

EOS supports several programming languages, including C ++. The names of the team members who have been working on the implementation of the concept, and are currently improving and launching their own platform, are known worldwide.

EOS cons

The only one and main disadvantage of EOS is that the platform is still in test mode. Therefore, all its advantages are only forecasts for the future.

Historical performance

Since its launch, the cost of the EOS token has increased significantly. At the same time, it is one of the few digital coins that has suffered heavily from the collapse of the cryptocurrency market, which occurred in early 2018. Despite the fact that currently, in October 2018, the cost of EOS cannot exceed $ 6, the cryptocurrency remains in the TOP 10.

6. Stellar (XLM)

This cryptocurrency is a Ripple fork. The founder of XRP and XLM is Jedo McCaleb, that is why it unites Stellar and Ripple. The introduced digital currency differs from the others, which are in the TOP, by the fact that the project it supports is not commercial.

Stellar pros

The XLM is much more decentralized than the Ripple. It is more trustworthy because it is non-commercial. More than 30 banks and financial organizations, such as Deloitte and IBM, cooperate with Stellar.

Stellar cons

There is a huge competition aimed at solving problems related to the international payments. Ripple is among the competitors.

Historical performance

Stellar currency exchange platform has been operating since 2014. The revolutionary solutions of developers that are integrated into the platform have helped XLM cryptocurrency to enter TOP 10 best digital currencies in the world to invest.

7. Litecoin (LTC)

A former Google employee, Charlie Lee, in 2011 created the Litecoin payment system, the cryptocurrency of which  is called LTC. The platform is developed on Bitcoin blockchain technology. This fact raises the question: “What is the difference between LTC and BTC?” as in fact, there is no difference. Litecoin hit the top ten due to the fact that it has passed the test of time.

Litecoin pros

Transactions with LTC take not more than 2.5 minutes, while Bitcoin keeps you waiting for about 10 minutes. The commission per transaction on average amounts to $ 0.179. This is undoubtedly an advantage, since Bitcoin`s average commission equals $ 1.8.

Litecoin cons

This digital currency can offer nothing but insignificant transaction speed. It is not substantially different from other cryptocurrencies. Litecoin is constantly facing the competition, which can make a much better offer, complemented by confidentiality, smart contracts, international money exchanges and others.

Litecoin currency can be mined. But this mining will be very costly due to high resource consumption such as computing power, electricity and other things.

Historical performance

Litecoin has been in the top 10 cryptocurrency leaders for 7 years. Its sidereal time was in December 2017, when the cost increased to $ 350 from $ 4. After the price increase a collapse occurred, which negatively affected the majority of cryptocurrencies.

8. Tether (USDT)

This cryptocurrency is connected to dollars, a fiat currency. It is called a crypto-fiat hybrid, because the cost is connected to a fiat currency: 1 USDT is always equal to $ 1. Dollars are not the only currency to which the USDT is pegged. The cryptocurrency also supports euro and yen.

Tether cons

There are no problems with the transfer of these coins to other currencies, as popular fiat currencies constitute a price benchmark. Although Tether currency is considered to be a hybrid one, it still retains the benefits of cryptocurrencies, such as decentralization, transparency and accessibility.

Tether pros

Perhaps, this cryptocurrency is one of the most scandalous. News portals daily break the news, where the well-known figures of the crypto industry criticize the hybrid currency. Tether may refuse to service the customers who do not meet the consumer’s conditions.

Historical performance

Tether was launched for the first time in 2015 by Tether Limited Company. For such a short time of its existence the cryptocurrency joined the TOP 10. From 2017 to 2018, the token issuing volume from $ 10 million increased  to $ 2.4 billion.

9. Cardano (ADA)

In 2017, Charles Hoskinson created Cardano. He worked on the development jointly with the co-founder of Ethereum. Cardano is a decentralized platform for creation of the similar applications and smart contracts. The idea is the same as in the Ethereum, but the difference is that Cardano is an improvement. At the moment, Cardano is the most modern generation of blockchain technology.

Cardano pros

The platform is supported by academic communities whose members are famous blockchain researchers and scientists. Cardano is much larger than Ethereum, and its throughput per second is 257 transactions.

Cardano cons

Many concepts which were presented before the launch of the platform have not been implemented up to this day as the final product. It has strong competitors – Ethereum, EOS, NEO, Fusion.

Historical performance

Despite the fact that Cardano a relatively new cryptocurrency, it already has managed to make its contribution into crypto-industry and get into the TOP companies. In the period of huge increase in cryptocurrency prices which occurred in 2018 год, ADA grew up from $0,2 to  $1,2. In March 2018 Cardano`s price significantly decreased, however now, by the end of the year it is coming back to life a little bit.

10. Monero (XMR)

This cryptocurrency is aimed at anonymous payments. Monero is issued via cryptograms and doesn’t have any relations to a fiat currency that is why the transfers are made via this platform without any banking interference.   

Monero pros

The given cryptocurrency doesn’t depend upon a fiat currency that is why it is indifferent towards inflation. XMR has its limited number which guarantees the permanent currency demand increase. Monero is considered to be one of the most reliable cryptocurrencies among the currently issued ones. More over, it guarantees complete anonymousness and its holder`s protection.  

Monero cons

Each transaction volume is approximately 8 times bigger than in the Bitcoin system. Despite the fact that Monero position itself as an anonymous cryptocurrency, some critics still extensively deny this peculiarity and put it under a huge doubt.

Historical performance

For crypto-industry Monero became more recognizable in the middle of 2016, when its price began to grow actively. In August 2016 one XMR coin was sold with the price of approximately $1,7, and in September the same year the first serious digital record recorded for Monero in the amount of $13. Nobody could ever think that new and more successful records will appear. March 2017 brought the good news with the mark of $22, August showed the number of $144 and December surprised a lot that XMR price reached $460. Do you think it was a limit? Of course, it was not. At the moment the maximum record Monera got in January 2018 with the price indicator of $494.

Thus, after huge rise the strong falling begins. The cryptocurrency today is sold approximately with the price of $100 per coin.

Subscribe to The Coin Shark news in Facebook: https://www.facebook.com/coinshark/

More Than a Dozen Fraud ICOs Were Shut Down by the SEC in 2018

The Securities and Exchange Commission has published a paper summing up their work in the fiscal year of 2018. This year has been abundant with illegal activities in the sphere of digital assets, including ICOs

According to the report:

As of the close of FY 2018, the SEC had brought over a dozen stand alone enforcement actions involving digital assets and ICOs.”

The Commission put a special emphasis on fraudulent ICOs promoted by celebrities and the so-called “decentralized banks” that tend to flee with the investors’ money.

We remind you:

The SEC Creates a Special Department to Keep an Eye Open for ICOs

Subscribe to The Coin Shark news in Facebook: https://www.facebook.com/coinshark/

The Main Myths Connected with Bitcoin: A Pyramid, A Bubble or A Valuable Asset?

There are a lot of different rumors, hearsays and myths about Bitcoin, so that its reputation is still uncertain. Most people take this asset as a financial pyramid in justifying that it isn’t proved physically. Let’s deal with it in more detail.

Contents
(please, click the topic to scroll down to it)

  1.     Is Bitcoin a pyramid scheme?
  2.     What is Bitcoin backed by?
  3.     Conclusion  

1. Is Bitcoin a pyramid scheme?

First, let’s discover what financial pyramid really means. Well, a financial pyramid implies profit received from membership fees of new users to earlier participants. You have a great possibility to gain money in such scheme if only you are a founder or a co-founder of this project. According to the law of large numbers, sooner or later the schemes like this are doomed to failure.

Now, let’s discuss the market value laws, due to which Bitcoin’s price forms. If demand exceeds supply, the Bitcoin’s price is grows, if conversely, and the quantity of sellers is more than buyers, the currency falls.The price of any asset works in this way . For example: natural resources, wheat, precious metals, stocks, etc. So, accordingly, we can surely say that Bitcoin is not a financial pyramid.

2. What is Bitcoin backed by?

To deal with this question, first we should understand what “backed up asset” means. Let’s draw an analogy with the most liquid asset in the world, now it’s the USD. This is a fiat currency of one of the most developed country in the world. Its emission is fully controlled by the US Central Bank. At the dawn of its history, the USD was supported by official reserve assets, but it wasn’t for a long time, from the 1950s, when dollar became an international economic currency, its linking to gold disappeared. Nowadays dollar is supported only by people’s faith in stability of American economy, but in no way by something physical.

The next example will help us to understand the pricing on physical objects, such as: gold, platinum, etc. So, what factors have the impact on the price of, for example, gold?

  • Production cost
  • Values from using
  • Limitation

Not for nothing, Bitcoin is often compared with gold, actually, these two assets have a lot in common.

1. Cryptocurrency also can be mined and this process has its own cost price. For mining one Bitcoin X kilowatts of electricity are required. Every year the difficulty of mining is growing, that leads to increase of prime cost of mining.

2. Bitcoin’s value is made up of easy storing and transfer of funds directly from one user to another without involvement of mediators. It’s impossible to close Bitcoin’s chain,to do it, all participants’ computers all around the world should be turned off.

3. Don’t forget that emission of the coins is strictly limited to 21 million, that’s why the popularization of Bitcoin may inevitably increase its rate.

But, most of all Bitcoin is supported by faith in it by a lot of people all over the world. Most cryptocurrency investors are sure that in the nearest 3-5-10 years the digital coins will become an integral part of world economy.

3. Conclusion

All innovative products, face with some skepticism at the beginning of their history. It’s absolutely normal, because general public can’t take changes immediately. If you understand Bitcoin’s price forming, it will be clear that it’s not a financial pyramid. If you spend five more minutes, it will be obvious that Bitcoin is supported not worse than USA dollar or gold.

Subscribe to The Coin Shark news in Facebook: https://www.facebook.com/coinshark/

TheFund.io: Investment Fund of the Future

Investments are an integral part of the modern financial world. They are the fuel that feed most businesses and enterprises. We need to invest into our future (education, business, health, real estate) in order for it to be happy and successful. However, besides its advantages, investments bring along multiple risks, and inexperienced investors can suffer massive financial losses. Proper investments require taking into consideration lots of different details and subtleties, full involvement into the process and, most importantly, a set of skills needed in a specific area of investment, especially when it comes to such new and unexplored industries as cryptocurrencies. Most people have neither the necessary knowledge, nor time to conduct successful investments, that is why they need a real professional to take up this responsibility.

What is TheFund.io?

TheFund.io is a perfect solution for those who are looking to make safe and profitable investments. It is a fund based on the blockchain technology which automatically makes it more secure and transparent than any other investment fund. The main objective of this project is building a strong connection between conventional businesses and crypto universe. In addition to helping the customers to receive stable income on the investments, TheFund.io also strives to promote and finance promising crypto projects and startups.

The structure of TheFund.io

The platform is divided into two big parts, and the users can choose where they want to participate.

  1. A perfect option for those who want to invest in a specific project and then let the money from the investment accumulate on their accounts, creating a passive source of income.
  2. A voting system where the participants choose the most interesting and promising projects. The influence of each vote directly depends on the number of tokens possessed by the voter.

ICO details

The project is currently at its pre-ICO phase which will last till the 4th of November, The main ICO starts immediately after, on the 5th of November, and will finish on the 28th of April of the next year. The platform’s currency, TFIO token, will cost 0.00125 ETH per coin. The soft cap of the project is $1 million, whereas the hard cap is $25 million. The currencies accepted include BTC, ETH, LTC, ZEC, TRX. TheFund.io offers bonuses and a bounty program for its investors.

If you need more info on this revolutionary project or its initial coin offering, feel free to visit its official website.

The Coin Shark does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products or other materials on this page. Readers should do their own research before taking any actions. The Coin Shark is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the article.

Subscribe to The Coin Shark news in Facebook: https://www.facebook.com/coinshark/

Decentralized Evaluation of Innovation Projects

Historically, a key advantage of successful people has been their insight. As a rule, such a skill is a gift received at birth and is developed throughout their life. For centuries using the opinions of astute people has been a common business practice – in modern times this relationship usually takes the form of hiring professional evaluators; contractors, real estate appraisers and so on.

Innovation projects have always been difficult to evaluate. In the last century, when making decisions regarding technology investments, we had access only to the opinions of local experts. But with the advent of the Information Age, evaluation periods for start-ups and scientific projects have been shortened and the quality of those evaluations have improved dramatically. As a consequence of these improvements, it became possible for the start-ups themselves to become more complex, and their numbers to grow geometrically. This unstoppable growth of innovation projects was fired by the global economy and the accessibility of resources, thanks to global networks.

The successful rise of crowdfunding platforms contributed to the birth of the ICO, which of course is a valuable instrument, despite the fact that 90% of them are doomed to failure, or are scams. In this regard I share the opinion of Andreas Antonopoulos in everything except the date of the revolution, which we hope to accelerate. Undoubtedly, given the abundance of innovation start-ups combined with the wish of the “crowd” to invest their savings into ventures, we need an instrument to conveniently analyze start-ups which are (as a rule) very complex and always unique. Personally, I often caught myself learning about other cryptocurrency projects just by skimming through them. It’s hard to estimate how many important details I may have missed among hundreds and thousands of phonies.

In my opinion, at the current state of development of internet society, we require * smart * organization of the increasing flow of information (something which Google, Facebook and others have been doing in their fields for a long time) and especially around business processes.

For the last two years, we have been working on the Scientificcoin project, which aims to change relationships in the financing of science. Since innovative IT start-ups are roughly comparable to applied science projects, I would like to touch upon the topic of assessing and rating ICOs, and describe the platforms that are available today. 😉

ICOBENCH, ICORATING and others (as far as I know there are at least 10 of them) are platforms for ICO rating. Most of them provide advertising services, which, by definition, contradict the tasks of their platforms. But unfortunately such services cannot exist on a non-commercial basis, and neither can media resources, nor can any service that creates the information background that surrounds us.

A few days ago I received an offer from a stranger through Telegram messenger offering to raise our rating on ICOBENCH to the maximum level for a fee of about $ 2000, all the details of the correspondence can be found here. But the Scientificcoin project is not an ICO, and this fact is described in most references to us. In addition, ironically, in several articles I have described the existing rating platforms as an evil  which would eventually be defeated by decentralization of the assessment process.

Every business is concerned with what comes up when Googling their own names. If you google “Scientificcoin”, then on the first page you will see two of our official sites and several rating sites. At the top of the list was ICObench, in which our project has a rating of 3.4 points out of 5 possible. Earlier, I did not pay attention to such assessments, since we are not looking for funding through crowdfunding and a low assessment cannot inconvenience us. This offer offended me with the notion that since there was a proposal, then there must be some demand for these services. Don’t their clients ask themselves on what basis and by whom was their project evaluated? Which investors will listen to this apparently unreliable evaluation?

As an experiment, I spent $ 400 (2 ETH) to raise our rating by 0.2 points.  My new friend did not deceive me, and I received laudatory comments from two experts and a rating of +0.2. Obviously, where there are tools for manipulation, there will be people who want to use them.

Both platform moderators and independent experts may succumb to such manipulative tactics, because there is no reliable algorithm for controlling them. The same problems exist on a larger scale in the assessment of state venture funds and grantors, where not only officials build corruption schemes, but also some scientists, knowing that their scientific work cannot be assessed or verified. Compared to the ICO rating, the scale of annual financial losses due to science fraud, especially at the state level, is simply enormous.

Returning to the problem of evaluating scientific projects, it is important to note that money is not always the cause of inefficiency in the existing model. Unfortunately, in the closed scientific community, the opinion of a famous scientist can put an end to the development of a new technology. Fearing to oppose a better-known scientist, the bosses and advisors of young talents may hack at the roots of his venture. People unfamiliar with the scientific community believe that most promising projects should have support and be implemented, but unfortunately science is performed by people subject to the same sins as the rest of us.

For example, the vanity of a famous scientist is often the cause of influence on the creations of young minds. Driven by the power of fame and recognition, many good people do not notice that their actions disallow young people to surpass their own works, and since scientific activities are difficult to assess and the number of experts is limited, there is simply no one to condemn their actions.

We use blockchain technology to create and ensure impartial conditions that will contribute to the development of scientific research. Due to the mathematical algorithm and decentralized expert evaluation, each scientific development will be provided with an unbiased, fair rating.

Capitalizing on the benefits of Internet culture, decentralized evaluation will significantly modify current relationships within the scientific community and their connections to venture businesses. These conditions will guarantee an honest rating to venture investors, on which they can rely when choosing a project for investment. The experts will be academics with academic degrees, some of which can work anonymously, as well as representatives of various professions whose expert opinion can be significant only in large numbers, creating the so-called “wisdom of the crowd”.

Using blockchain technology, we will create a database without the possibility of centralized moderation; each user’s comment will be recorded permanently. Not only popular but also appropriate comments will be ranked for users to view. Today, the largest forum about blockchain technology and its derivatives https://bitcointalk.org/ has collided with this crisis, where any commercial project announcement won’t last even 15 minutes on the first page of the forum without the services of expensive PUMPERS to keep it there.

Comments from active users with the status of an expert in a certain scientific area will be displayed in a separate block in order to separate the opinions of professionals from ordinary users. Going to that user’s profile will allow you to read all their comments and view the history of their ratings.

While the user of the platform is reading comments, their typical actions and projects viewed will be recorded by the AI, which in the future will allow the user to receive relevant and interesting topics for him first and foremost. It’s no secret that such technologies are already being used by Google and others, and will continue to be developed, but certainly the decentralization implanted in our algorithms will introduce an element of trust.

The work of improving the algorithm will be endless, and for this we have provided a *blockchain vote* where every holder of Scientificcoin will be able to vote and check the results; it’s a pity that such a system will not soon be available to citizens when choosing their own government!

(c) CEO Scientificcoin Maxim Dvedenidov

The Coin Shark does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products or other materials on this page. Readers should do their own research before taking any actions. The Coin Shark is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the article.

Subscribe to The Coin Shark news in Facebook: https://www.facebook.com/coinshark/

Interview with FlyMining: “I believe we are still the only cloud mining service that actually allows to pay electricity fees with USD or EUR!”

Would you like to mine and not pay huge bills for electricity? We are sure that yes. Therefore, we present FlyMining – a new solution that provides customers with the best equipment and the fastest computing power. Dmitriy Elisov, CEO of the project, shared with the editors of The Coin Shark the details of creating the project, as well as plans for its implementation in the future.

Dmitriy, why did you decide to create a project in the field of mining? What goals did you set for yourself?

I got into Bitcoin mining just when the turmoil was building up – around August 2017. Once I got a call from the man that I knew was going to invest in some IT business, but we never had business together. This man knew that I was a specialist in computer science and just casually asked me what I thought about Bitcoin. What did I know about Bitcoin? Well, I thought that it was some kind of ponzi scheme, to say the least. And that was what I answered.

But you do not get calls from prospective investors every day, so I started my own investigation. And oh my, I found that actually Bitcoin is not a ponzi! It had enormous amount of software, services and businesses build around it. Not a single ponzi can brag having so much infrastructure around it. So then I knew this thing is serious and we need to get into it.

Once we were planning to mine for our own, and we still do it. Now our goal with cloud mining is to attract more investment sooner, build more facilities and have better conditions for ourselves and our clients.

Tell us about the advantages of FlyMining for users. How will they save on electricity payments with your project?

It is very easy to explain, but not easy to obtain if you are not a large farm. Not a single homeowner can have electricity as cheap as a large electricity-consuming facility. Simply because we take electricity at higher voltage, 10 kilovolts instead of 220 volts, we pay 20% less per kWh. And that we did not even negotiate! We also negotiate a lot because of stable consuming (usually businesses have spikes in daytime and lows during nighttimes, so we are an ideal consumer for an electricity company).

Our farm now is in Russia because of cheap electricity and climate, but it is not the final destination. We are looking into Mongolia or Kyrgyzstan where we can get great temperatures and excellent electricity prices. People are very friendly and honest there, which is also a great bonus.

I get a lot of questions why we have containers instead of buildings.  Because we are mining in containers, we can easily move the farm to a better place. Not so for businesses who invested a lot in their buildings!

What currencies will you be able to pay with for electricity from your mining revenue?

I believe we are still the only cloud mining service that actually allows to pay electricity fees with USD or EUR!

It is easy to understand why nobody else does that – it is actually a huge slice of pie for cloud mining companies. That create their own exchange rate for your Bitcoins when they deduct for electricity. Just 2% of those payments is a pretty large sum that they get every day!

They have to do that because their electricity price is not as low as ours. If we were located in USA or Europe, we also would have to do some tricks, but our electricity is very cheap, so we can go ahead and create unique propositions without and dark schemes.

If to speak in more detail, with a help of which functions a user can be sure that the equipment for which he or she paid works?

That’s one of the most important questions, I think. How do our customers know that we will be on the same place where we are today?

First of all, our company is based in Europe with its strict laws. This is a huge guarantee that we will not do anything that is not written in T&C!

As of checking that equipment works – it is easy. We have our cloud mining farm webcams that are looking at $1.5m worth of equipment 24/7. This farm is decorated with a large logo of Flymining, so you know that it is our farm and we are not streaming somebody else’s picture.

And last but not least – you can just withdraw every day. We have the lowest withdrawal fee we have ever seen, so that should not be a problem. You will not find a single comment in the whole internet that the payout was declined or postponed.

Dmitriy, is the price for tariffs in the service already set?

We are still pivoting a lot, as we are still in the startup phase.  Please just check our “Pricing” page for the current pricing!

When is the FlyMining team planning to fully implement their idea?

When at least 1% of human population will be involved in Bitcoin mining and will be controlling on which pool they are mining to avoid centralization.

Right now even 1% KNOWS about Bitcoin! That’s how much work we still have to do.

How to join your project?

That’s easy! Visit https://flymining.cloud and sign up!

The Coin Shark does not endorse and is not responsible for or liable for any content, accuracy, quality, advertising, products or other materials on this page. Readers should do their own research before taking any actions. The Coin Shark is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the article.

Subscribe to The Coin Shark news in Facebook: https://www.facebook.com/coinshark/