What Is Blue Swan Grading? Everything You Need to Know About Our Crypto Analytics Platform
The blockchain is set to transform our daily lives, with the technology promising to bring a wave of radical transformation to multiple industries and businesses.
A study conducted by PwC concluded that 84% of organizations are actively involved with blockchain technology, with the technology set to generate over $3 trillion in business value by 2030.
To make the adoption of blockchain tech easier and faster, we must build the foundational tools and applications for investors to support the development of cryptocurrency markets.
Blue Swan Grading, a business intelligence service to better understand crypto-assets, is one such tool, with the platform set to change how investors access important crypto data across five key areas to help them make better trading decisions.
What is Blue Swan Grading?
Blue Swan Grading is a cryptoasset grading platform that helps investors and fund managers make better trading decisions through the in-depth analysis of five key factors that drive cryptoasset values.
Our crypto analytics framework pulls crypto data from an extensive list of sources — including market sentiment and regulatory landscapes — to offer the most complete and unbiased market overview in the cryptocurrency industry.
One of Blue Swan’s main goals is to deliver empirical, unbiased market insights and classifications for crypto assets as a solution to today’s highly fragmented crypto research data space.
Blue Swan achieves this goal by offering several industry-leading features including:
- Daily crypto asset metrics assessed and calculated from a rich list of sources.
- 24/7 crypto market data (e.g. daily volume, price movements) aggregated from over 80 exchanges.
- Project development data streams and team updates.
- Daily sentiment analysis based on factors like mainstream cryptocurrency news, alternative media coverage, and social media channels.
- Project community and team member analysis.
- Important global regulatory updates.
The Problem with Crypto Research Data
The number one problem with crypto research data is that it’s highly fragmented. To understand the true value of a cryptoasset, a trader has to go through multiple channels and sources just to collect relevant information.
The info gathered is not guaranteed to be complete, as a good portion of blockchain companies do not have a standard procedure for storing and sharing business data — some don’t even bother to share any data at all!
Even when business data is made transparent, it is mostly limited to market data and financial performance. Other relevant information like development data and community metrics are severely underreported, which makes it hard for token holders to keep up with projects, as they have no idea of what’s going on internally.
This issue has become concerning with the rising popularity of cryptoasset data providers. That said, most data providers are simply mirroring third-party data without performing any sort of analysis to evaluate assets. Data aggregation is useful, but it does little to help investors comprehend cryptoassets beyond financial metrics.
There is no definitive procedure for cryptoasset analysis among data providers, making the research process even harder. Also, the info provided by crypto rating sites can be influenced by paid advertisements and sponsorships that give investors a false perception of an asset’s true value.
These challenges impact investor performance since they don’t have easy access to unbiased, complete market data. This problem must be solved, as it hampers the growth of cryptocurrency markets and the blockchain industry.
How the Blue Swan Grading Platform Works
Our proprietary methodology combines the best of fundamental and technical analysis to evaluate cryptoassets, which is known as the quantimental approach. The quantimental approach has already been utilized to great success in traditional financial markets, but it’s barely used in cryptocurrency markets — we’re paving the way for this to change with Blue Swan Grading.
The grading platform pulls vital data points from various sources daily, which are transformed and cleaned before the analysis stage. The computed data is then used to classify cryptoassets (through an intuitive visual interface) based on four components:
- Market
- Development
- Sentiment
- Community
How these factors work together to classify assets are explained below.
Asset Classification
The Grading platform classifies and rates assets by calculating a multi-faceted weighted average for each of the four above-mentioned components. The quintile classification method is utilized for time series and most data sets, with different distributions used (e.g. normal, logarithmic) depending on the type of data assessed.
Grading
Assets in Blue Swan Grading are graded from A-E. Projects with no market volume (i.e. projects that are in the pre-ICO stage) are automatically classified as F until they are traded on exchanges. Similarly, projects with no info or lacking development are given an F grade.
For normal distributions, assets are classed and graded based on quintiles as shown below:
Grade A: Q1 (above 80%) i.e. the top 20 assets
Grade B: Q2 (60–80%)
Grade C: Q3 (40–60%)
Grade D: Q4 (20–40%)
Grade E: Q5 (below 20%)
As mentioned earlier, our platform gathers crypto market data daily from exchanges to calculate the trade volumes of blockchain projects. We also analyze project development updates and the teams behind projects (e.g. is the team delivering on its roadmap?), keep track of regulatory updates, assess the activity of project communities, and follow media updates to inform the grading process.
These factors are analyzed and computed daily for every asset on the grading platform. This ensures that users are always updated on important data such as government policies and major project updates, allowing them to act faster in capitalizing on potential price changes.
The Key Benefits of Blue Swan Grading
- Gain a significant edge in the market with deep market insights and sentiment not available elsewhere.
- Keep up with the latest market news and updates to react quickly to price changes.
- Cryptoasset research and analysis is done for investors, freeing up time and making trading more hassle-free.
- Extended access to market data leads to more successful diversification strategies due to greater asset discovery.
Ready to Gain an Edge in the Market with Blue Swan Grading?
For investors, nothing is more important than keeping up with the latest updates and crypto insights. This is where the right crypto market intelligence system comes in handy. A professional-grade, multi-channel big data platform like Blue Swan gives investors everything they need to know about the latest cryptocurrency news and analyses in the industry to make informed trading decisions.
Blue Swan Grading benefits investors immensely by offering a comprehensive crypto analytical framework that aggregates and analyzes essential data from a diversity of sources, offering a comprehensive market overview.
Blue Swan does everything from analyzing news and media coverage to assessing project development status. The platform also takes into account the skills and reputations of the teams behind crypto projects while keeping up with their regulatory compliance (or lack thereof). In short, the platform offers unbiased market analysis and project ratings and classifications that investors need, allowing them to make faster and smarter trading decisions.
Blue Swan Grading also offers API tools and customizable features for developers to make full use of the platform.
Be one of the first to benefit from Blue Swan Grading by signing up for our free 7-day trial.
