Õpet Has Successfully Hit Their 10,000 ETH Softcap
Congratulations are in order.
Earlier in the year, we started working with Õpet as we realized its potential to unlock educational philanthropy through AI and blockchain technologies. In June, by working together with Õpet on the token economics behind the OPET token and it’s utilities, we published a 32 paged in-depth report on Õpet and its OPET token which can be accessed here.
We believe that the OPET token has the potential to reach US$9.2 by FY2021 driven by a large unmet underlying demand for cost-efficient intelligent education aids and secure tamper-proof systems for the management of confidential student data. This is subject to management achieving strong revenue projections as we outline in our model, and the token achieving the assumed velocity in the market with a 12-month lockup policy for the tokens Õpet receives from users.
Since we published our in-depth report, Õpet’s management has made significant progress for the listing of their OPET token. These developments include:
· Successfully hitting their 10,000 ETH softcap goal
· Securing US$2.0m in funding from Pecunio
· Securing US$1.5m in funding from Genesis on Digital
· Securing 1,000 ETH in funding from United Nations Blockchain Foundation
· Acceptance into Gibraltar Blockchain Exchange (GBX) Grid
· Acceptance into LATOKEN Exchange
· Strategic partnership with World Capacity Builders
· Being awarded CIO Advisor’s “Top 10 Machine Learning Solution Providers of 2018”
These developments bring the Company one step closer to successfully executing its token generation event and launching their educational AI chatbot. We discuss each of these in greater detail below.
Pecunio, Genesis on Digital and United Nations Blockchain Foundation Bring Strategic Value
Õpet has successfully raised its softcap goal of 10,000ETH with capital from cornerstone investors that will enable the Company to more easily attract investors in its public token sale.
Pecunio, a leading fintech company in the UAE, invested US$2.0m into Õpet with a follow-up offer to purchase all remaining allocation of OPET tokens (up to another US$2.0m) by the end of the token sale window.
Ecosystem of Blockchain Partners
As Pecunio had one of the most successful ICOs in 2018, Õpet gains with more than just financial support — the Company also gains access to Pecunio’s ecosystem of blockchain partners which could help management scale their educational platform more effectively in the future.
Genesis on Digital, a Malaysia-based blockchain investment and advisory firm, also funded Õpet US$1.5m. Similar to Pecunio, the investment features the option to top-up an additional US$1.5m before the token sale window closes.
Just recently, Õpet secured yet another investment of 1,000 ETH from United Nations Blockchain Foundation (UNBF). UNBF is founded by World Blockchain Organization (WBO), which is governed by International Information development organization-DevNet, a United Nations-registered NGO with Special Consultative Status with the Economic and Social Council (ECOSOC).
UNBF is in the process of creating a special drawing rights in crypto, namely Crypto Special Drawing Rights (C-SDR). Similar to the Special Drawing Rights (SDR) created by the International Monetary Fund, C-SDR will comprise a basket of anchor cryptocurrencies that would help make digital currencies go truly global in the near future. OPET will form part of the basket, indicating its importance.
Votes of Confidence
We believe that the investments received from these institutional investors represent a “vote of confidence”, but more importantly provide upcoming token investors a sense of security as significant due diligence on Õpet has already been performed by these two firms.
GBX Grid and LATOKEN Provide Access to Prime Investors
Earlier in July, Õpet’s management announced their admittance into the GBX Grid and LATOKEN Exchange — setting up the Company for its Token Generation Event in October this year.
Gibraltar Blockchain Exchange (GBX) is a subsidiary of Gibraltar Stock Exchange, underpinned by the regulatory framework of the Government of Gibraltar which is supportive of distributed ledger technology. As GBX allows fiat onboarding and trading, it is expected to provide Õpet access to a large pool of high-quality investors that have already been vetted to be compliant with Anti Money Laundering (AML) and Know Your Customer (KYC) regulations. GBX is also famed for its stringent compliance and due diligence exercise on the tokens — With Õpet being successfully approved, it provides another “vote of confidence”.
This is further compounded by Õpet’s admittance into the LATOKEN Exchange, which will aid the Company in tapping liquidity for its OPET tokens. We note that LATOKEN Exchange is currently among the top 50 token exchanges in the world by trading volume.
In our view, Õpet is achieving all the necessary milestones to successfully launch its ICO later this year. With the Company’s admittance into these exchanges, in conjunction with the strong performance of its private token sale, we see no reason why the Company can’t meet its ICO goals.
Other Major Developments
Beyond Õpet’s capital raising and exchange listing developments, we note that significant progress is also being made on its AI chatbot product development.
Strategic Partnership with World Capacity Builders
World Capacity Builders is a Canadian impact investing group that works with notable individuals and relevant companies to develop and integrate technology and education content deliverables quickly and efficiently to the world’s poorest and most underserved communities. It recognizes Õpet’s potential contribution to create equality of opportunities by providing affordable access to education. With WCB’s connection with heads of states around the world, the partnership will be strategic in opening a pathway for Õpet to ‘Uber-ize’ its global expansion.
Machine Learning Award and Expanding Engineering Team
Õpet was recently ranked by CIO Advisor as one of the “Top 10 APAC Machine Learning Solution Providers of 2018”. The recognition by an established crypto publication provides investors yet another vote of confidence in the Company which further elevates Õpet’s standing within the blockchain space.
We note that management has also expanded technical capability with additional 4 full-time IT engineers coming on board in the India office, which is solely focused on the development of Õpet educational platform and its flagship machine learning chatbot.
Token Sale Price ~35% Cheaper as ETH Drops but Our Target is Unchanged
We note that in USD terms, OPET’s token sale price is now cheaper at US$0.06 due to ETH’s ~35% drop over the past month. This represents a cheaper entry point and greater upside for new investors who wish to benefit from the rising adoption of blockchain-enabled educational aids.
We remain optimistic about OPET’s potential to reach US$9.2 by FY2021 in light of the positive developments outlined above.