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Cryptos

A random number led me to this next random cryptocurrency. Humaniq posits that they will bring Banking 4.0 to the 2 billion people who are lacking access to a banking institution. The premise is that people who do not have access to these institutions have access to technology. Specifically, mobile phone technology. Let us continue this random walk with – Humaniq (HMQ).

Electronic Banking for the Third World

In modern finance, one can walk into any bank and with proper identification, open a bank account. The bank can also provide financial services, either providing loans or credit, depending upon the person’s credit rating. This can also be done electronically. For many who live, having proper identification is hard enough. Also, local economy may not support a physical bank to provide financial services. Also, many times, the “un-banked” people live in rural areas. It may not be viable to offer physical banking services to the rural communities. Humaniq may provide be able to provide the platform that will allow people in these regions access to financial services through their mobile phones. However, the phones will require a front-facing camera. Smartphone technology may be accessible enough for a considerable amount of people in the third world, but I suspect it will be a lot less than the 2 billion target.

Micro-lending was a very popular topic many years ago. The effects of micro-lending has been reported to have positive effects in the rural community. Humaniq has noble intentions to service the people without banking services. Using facial recognition technology and voice identification, this will allow a person to open an account and earn HMQ. There will be a maximum of 860 HMQ can be earned per person.

Here are some stats on HMQ (as of 6/14/17)
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HMQ is built on the Ethereum blockchain, using smart contracts.
HMQ was started in December of 2016
HMQ pre- ICO - December 2016 : ~99 BTC and ~3122 ETH collected, ~28 million HMQ supply
ICO April 6-26, 2017 : 11,860 participants, $5.163 million raised (?over 8000 BTC collected?)
HMQ in circulation - 145 million
HMQ total supply - 184 million (?max supply 921 million?)
HMQ market cap of HMQ in circulation (@$0.18) - $26 million
HMQ to limit the "amount of coins that one person can mint" using proof of face (POF)
HMQ supported by Liqui and Bittrex exchange

Interesting Notes

These coins are integer based, cannot be subdivided below 1. This was done for simplification, but seems counter-intuitive. What if the economy is in hyperinflation? Sure, then HMQ becomes more valuable as the local currency inflates. Let us say 1 HMQ equals 10 “dollars” in local currency. Unless one buys a product in multiples of 10 “dollars”, how would a person purchase a product that is 25 “dollars” or less than 10 “dollars”?

Scale may be an issue. If the max supply is about 921 million and each person signed up with bio-identification will receive 100 HMQ. If more than 10 million people sign up, then more than 1 billion coins would have to be minted.

It would interesting to see which facial and voice recognition technology will be used and integrated. It would have to be simple for anyone to use, but how will it handle twins? Also, what is the usability of this biometrics in the field?

A very large team: 3 senior management, 16 advisory board, 8 team members, 9 ambassadors. It seems they are outsourcing all the development.

Warning

This article covers a token or element in the cryptosphere. The cryptosphere is new and exciting, but changes rapidly and often in ways that do not benefit users. By the time this article is published, changes may have already occurred. Most tokens in the cryptosphere are complete scams that are get-rich-quick-schemes for insiders. Often, we cannot know this beforehand and only later discover this. A person should only trade with money that they’re willing to lose because losses are guaranteed. If you choose to participate in purchasing a token in the cryptosphere, you should do so with the full expectation of a loss and you should also expect it to change in a manner that does not benefit you. There are very few good ideas in the cryptosphere. Finally, by reading this post, you agree that you’ve read our disclosure.


SteemIt. Besides writing the most accurate article on the platform SteemIt, the platform has evolved in ways that we expected in that post. At the time, people didn’t understand the platform, its economic model, or details and jumped on board. As we wrote later, SteemIt has evolved since then and one big question – since it aims to be a social media platform – is can SteemIt attract advertisers? When we consider the appeal of SteemIt from a perspective of where it may offer the most value in the future, advertising and marketing are two ways in which SteemIt can evolve to the next level.

Review

As mentioned in the above linked post, SteemIt changed its economic model which has led to a bottoming effect in the past six months with an expected rebound. Overall, the platform has improved drastically with users like @furion creating SteemSports and also a video player that will be built on SteemIt. The user @jesta has built an experimental forum on top of Steem’s blockchain as well – an experiment that may integrate well with SteemIt, especially if it answers popular questions for new users.

Overall, some users have attempted to help new members and we can see growth in the past month that may be more sustainable, provided that new users feel welcome and feel that their questions can be answered. One positive surprise I’ve also seen is some maturity in SteemIt’s tags: one would not expect to visit Reddit and see the top 10 tags all about Reddit. On social media, I expect to see mature tags like life, photography, art, food, travel, etc as these interest people the most, not the platform itself. Most people on Facebook do not talk about the value of Facebook; this is understood since it’s being used.

SteemIt has evolved and is becoming a more mature platform. If SteemIt can appeal to marketing and advertising by offering a platform that adds value, SteemIt may become a serious social media contender.

Marketing: Let’s Start With A Test

Look at the below images from FashionMia and answer this question as it relates to SteemIt: using these images and a short post, would SteemIt be an effective advertising platform?

How would a site like FashionMia sell its apparel on SteemIt?

Think Like An Advertiser

Suppose that you were offered the chance to advertise a platform where people received rewards to upvote content without reading it or looking at it. When you looked at the content, you saw that more people upvote content than read it and in some cases, no one reads the content, they simply upvote it! As bizarre as it sounds, there is no incentive to write posts or produce content that receives views; it’s the number of votes and the rewards that matter. In fact, you can make a lot of rewards with few reads and many upvotes.

Think about that for a second. Then, think about that same fact as an advertiser. The two images above this rely on people seeing something they want, clicking on it, and investigating the product. If people are able to upvote on content, receive rewards for curating it, and the advertiser receives funds for the post, but not a sell, this creates a perverse incentive structure. The goal of apparel is to sell apparel, not posts.

In other words, SteemIt does not offer most advertisers a strong platform because the reward structure is not based on attention, and attention is the currency of marketing. The irony here is that a platform which does not pay its users is more likely to offer advertisers a better platform since the lack of a reward means a person’s attention is legitimate. You can see most comments on posts as proof of this; they add next to nothing in value.

Can the Rewards Change?

If SteemIt wants to attract advertisers in the long run, one change it can make is the reward structure for writers and curators on the basis of views rather than votes. Curator voting can be useful for who voted when, but the views determining a payout is much more appealing to an advertiser than the votes. Consider these two scenarios:

  1. You write a post to sell a product and receive a 50 Steem reward for the post, but only 2 views.
  2. You write a post to sell a product and receive 0.50 Steem reward for the post and 1281 views.

People with extensive marketing experience will prefer the latter because in the world of marketing, 3-5% of views equal closes (relative to how good you are at closing sales).

In theory, this wouldn’t be a problem except that the current reward structure does not benefit views, rather votes. This means that SteemIt lacks strong utility for advertisers and marketers with its current model and like we’ve highlighted in the past, this can change in future versions of SteemIt.

Final Thoughts

Consider that advertising may not be a long term goal. SteemIt operates as a fun gaming platform and game developers could easily integrate Steem with their games. Advertising will add a significant amount of value to SteemIt, if they can attract it. Still, SteemIt may not choose this route and this post serves as a reminder that attention is the ultimate incentive in advertising.

Warning

The following article covers a token or element in the cryptosphere. The cryptosphere is new and exciting, but changes rapidly and often in ways that do not benefit users. By the time this article is published, changes may have already occurred. Most tokens in the cryptosphere are complete scams that are get-rich-quick-schemes for insiders. Often, we cannot know this beforehand and only later discover this. A person should only trade with money that they’re willing to lose because losses are guaranteed. If you choose to participate in purchasing a token in the cryptosphere, you should do so with the full expectation of a loss and you should also expect it to change in a manner that does not benefit you. There are very few good ideas in the cryptosphere. Finally, by reading this post, you agree that you’ve read our disclosure.


There are hundreds of cryptocurrencies right now and more are being created every month. Just like penny stocks in the OTC and pink sheets of the stock market. The technology is not easily accessible to a regular consumer, but developments will make it a reality. Then mass adoption would create even more cryptocurrencies in the cryptosphere. Does it make sense to learn about all the small cryptocurrencies out there besides Bitcoin and Ethereum? Yes, we think we do. There will be some great opportunities, but most will be duds. Again, this is just some information researched on a random cryptocurrency. This is not a recommendation to buy or sell.

Is the Holy Grail of SaluS a Myth?

SaluS or SLS is described as an experiment by its sole developer. There is not much detail available on the SaluS Coin website. It is merely a landing site with a graphic background and “SaluS Coin” title centered on the webpage. No other links or information is provided there. Considering it was launched in January of 2016, with an ICO around June 2016, not much progress has been presented.

There are hints of further developments to come, including the “Holy Grail.” There was discussion about a Kickstarter campaign, tie-ins with affiliate programs, mining and multipools, cloud staking, and transaction fees. However, it has been over a year since the ICO, whereas github had no further updates or pushes in the repository since January of 2016. Lack of further development may be symptomatic of having a single developer behind a project. Kinda reminds us of “Indiana Jones and the Last Crusade.”

via GIPHY

Here are some stats on SLS (as of 6/2/17)
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SLS looks to be based on Scrypt cryptography, cannot be mined, proof of stake only
ICO of 1.0 million SLS, estimate 61.114 Bitcoin - $36,668 USD (at $600 USD per BTC - estimate in 2016)
SLS in circulation - 1.003 million
SLS total supply - unknown, inflation rate of 1%
SLS premined - 1 million
SLS market cap of SLS in circulation (@$7.97) - $7.998 million
SLS minimum to stake - 50
SLS fund transaction fee - 0.001
SLS supported by Bittrex and YoBit exchanges

Interesting Notes

  • No recent discussion regarding the “Holy Grail” financial instrument.
  • Since the inflation is 1% of the stake, only 3,000 new SLS coins have been created through proof of stake. It seems like only around 300,000 SLS have been staked and the rest are just being traded/held on the exchanges.
  • If proceeds from the ICO (about 61.114 BTC) was held through this year, the ICO proceeds would be valued at $134.4 thousand USD today (using $2200 USD per Bitcoin) versus $36 thousand USD collected.
How Would We Trade SaluS?
Contact us to buy our report on SaluS about how we would trade this project or any other project. For our past predictions, see FinTekNeeks accuracy.

Warning

This article covers a token or element in the cryptosphere. The cryptosphere is new and exciting, but changes rapidly and often in ways that do not benefit users. By the time this article is published, changes may have already occurred. Most tokens in the cryptosphere are complete scams that are get-rich-quick-schemes for insiders. Often, we cannot know this beforehand and only later discover this. A person should only trade with money that they’re willing to lose because losses are guaranteed. If you choose to participate in purchasing a token in the cryptosphere, you should do so with the full expectation of a loss and you should also expect it to change in a manner that does not benefit you. There are very few good ideas in the cryptosphere. Finally, by reading this post, you agree that you’ve read our disclosure.


There are literally hundreds of cryptocurrencies right now and more are being created every month. Just like penny stocks in the OTC and pink sheets of the stock market. The technology is not easily accessible to a regular consumer, but developments will make it a reality. Then mass adoption would create even more cryptocurrencies in the cryptosphere. Does it make sense to learn about all the small cryptocurrencies out there besides Bitcoin and Ethereum? Yes, we think we do. There will be some great opportunities, but most will be duds.

Virtual Coin for Virtual Reality

Voxels is the cryptocurrency that is being used on the Voxelus platform. We definitely want to differentiate the Voxels from Voxelus. From here on out, I will refer to the crypto-token as VOX. VOX was introduced in April of 2016, with an initial coin offering (ICO) of 1.2 million VOX, for 1,022 Bitcoin. This was priced as $350,000 USD at the time of the ICO. Those who bought at the ICO spent about $0.29 per VOX. Currently, VOX is trading about $0.05, which is about 82% drop from the ICO price.

Virtual reality (VR) and augmented reality (AR) are really hot trends in software development right now. Serious money is being spent in this tech space, like Facebook buying Oculus and recent acquisition of VR startup, Owlchemy Labs, by Google. Voxelus has been developing a platform that allows users to build worlds and objects for VR. Supposedly, people without coding experience can build in VR. This reminds me of MineCraft. The platform allows people to create and sell their creations in a marketplace in $USD or VOX. Recently, they have released their beta version on Google Daydream and they seem to be making some progress on their platform. In addition, some hardware companies like Samsung have jumped into providing VR through phones or other tools, showing the interest in this field on the hardware side.

Here are some stats on VOX (as of 5/24/17)
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VOX is based on Scrypt cryptography, forked from Litecoin
ICO of 1.2 million VOX, 1,022 Bitcoin - $350,000 USD (at time of ICO)
VOX in circulation - 31.5 million (15% of total supply)
VOX total supply - 210 million
VOX premined - 210 million
VOX market cap of VOX in circulation (@$0.05) - $1.575 million
VOX to release in 20 year spans, 15% of total supply, at discretion of Voxelus and Uphold
VOX supported by Livecoin, Bittrex, Brave Newcoin exchanges

Interesting Notes

Poloniex abruptly discontinued support for VOX in their exchange recently. Voxelus even admitted the sudden change without any communication with the change. This impacted the price of VOX drastically.

Since VOX is premined, Voxelux controls 85% of the supply that is not in circulation. This can cause significant shocks, if they choose to release supply of VOX that is not aligned to their original intention.

Concern is that there is no need for further proof of work nodes. There is no indication of proof of stake nodes to decentralize VOX and trade VOX among users. The advantage of Bitcoin was decentralization, even though blockchain consensus is not efficient and waste of resources in exchange for transparency.

We have not played around with the platform yet. There will definitely be fierce competition as various software groups tackle VR, AR, and possibly eXtended Reality (XR).

If Voxelus held onto the 1,022 Bitcoin, the ICO proceeds would be valued at $2.555 million USD today (using $2500 USD per Bitcoin) versus $350K USD collected.

How Would We Trade Voxels?
Contact us to buy our report on Voxels about how we would trade this project. For our past predictions, see FinTekNeeks accuracy.

Warning

This article covers a token or element in the cryptosphere. The cryptosphere is new and exciting, but changes rapidly and often in ways that do not benefit users. By the time this article is published, changes may have already occurred. Most tokens in the cryptosphere are complete scams that are get-rich-quick-schemes for insiders. Often, we cannot know this beforehand and only later discover this. A person should only trade with money that they’re willing to lose because losses are guaranteed. If you choose to participate in purchasing a token in the cryptosphere, you should do so with the full expectation of a loss and you should also expect it to change in a manner that does not benefit you. There are very few good ideas in the cryptosphere. Finally, by reading this post, you agree that you’ve read our disclosure.


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