Where are the crypto markets going to now
Crypto markets are passing through the ‘ideal storm’. Is it a correction — will we see the recovery soon? On the other hand, is it ‘an epic failure’ of the basic cornerstones of crypto-economy?
Was it wise for Fund Platform to launch its ICO in the midst of the market turmoil?
Hope we know the answer. We have developed our concept of ‘mirror’ business models quite some time ago. The ‘mirror’ business model addresses the basics. It takes the real market need that has existed for decades and implements it in the most cost-efficient way that blockchain technology can bring. Fund Platform ’mirrors’ the proven retail marketplace concept first developed by E-bay in 1995.
Many of our team members are younger than E-bay. To complement it, we have a team from a reputable top-tier international strategy consultancy of MBB caliber that provides ongoing strategic and operational support to the management. There were the seed and VC investors who provided the initial funding for our pre-ICO in 2017 and deployed this team.
“I remember vividly that day in April 2000 when the dotcom bubble went burst,” recalls a managing partner who is in charge of the consulting team, adding that he had just received his bonus for 1999 and was thinking about where to invest.
The second half of the 1990s was a time of dotcom bonanza. Between 1995 and 2000, the Nasdaq Composite stock market index rose 400%.
In 1999, shares of many tech companies skyrocketed. For instance, the stock of the semiconductor and telecom company Qualcomm rose 2,619%, and a dozen other dotcoms saw growth exceeding 1,000%.
The dotcom craze brought in billions of dollars in venture capital and private investment to companies that turned out to have little to offer in terms of a viable business model or long-term strategy. Nobody thought at that time about the ‘mirroring’ concept. Everyone was keen to be ‘disruptive’.
E-bay’s business model, just like the one of another marketplace, Amazon, turned out to be viable, allowing it to survive the dotcom collapse. E-bay’s strength was that it created a platform on which companies and individuals could sell various items on a global scale. They just ‘mirrored’ the flea market concept that existed for centuries world-wide.
E-bay offered a workable interface between everyday life and the internet, which turned out to be an unfailingly profitable business model.
Fund Platform’s strategic consultants often look at E-bay’s experience to chart the Fund Platform strategic path. Interestingly, Huobi, a major global diversified crypto-asset management group with 1 trln USD under management, supports the notion that crypto-marketplaces perform fairly well in the current turbulent times.
According to Mr. Lan Jianzhong, vice-president of Huobi ‘crypto-platforms’ is the only class of ICOs that grew in value in the beginning of 2018. In his recent speech at the blockchain conference in Eastern Europe Mr. Lan made a forecast that ‘platforms’ will perform well going forward.\
The losers according to Mr. Lan of Huobi shall be crypto-currencies and applications.
The picture of the future of the ICO world drawn by Huobi is so much similar to what our strategic consultants have charted in the beginning of 2018. We have the new tools for protecting the value of investments that will be made into Fund Platform in the course of the ICO (launched April 3, 2018).
