a token? Most of the ICOs use it to raise funds, and then afterwards there’s really no
real use case for the token itself. So, naturally I like a project more when there is a real
use case for the token. Everex tokens will be used on the platform to verify and track
various activities such as:
A
fter a brief understanding about what Everex is and what they are trying to accomplish, now we will start the “Quantitative” part of our analysis.$EVX is currently trading around $1 price level. Coin Market Cap website shows that the price as of December 13 2017 is $1.16 - 0.00007087 BTC. The ATH was $2.84 – 0.00049 BTC. Seems like the project is having hard time especially holding that BTC value since then. The market cap is low, but this is why we chose this project. $19,173,825 market cap puts Everex at number 251 over 1343 projects. There are 16,500,000 EVX in circulation and the total supply is 25,000,000 EVX. It is an ERC- 20 token on the Ethereum Network.
24 Hour Volume is around $1,621,800. Currently more than 70% of the volume is coming from Binance. It is traded
on only a handful of exchanges and liquidity might be a problem in the short run. If another big exchange like Bittrex adds Everex, we might see a small price pump. As I mentioned before, Everex has plans to buy back coins from the public and this may be a SEC violation
and exchanges like Bittrex may have a problem with this. I will research a little bit more about this subject.
With a little bit of research on BitcoinTalk I found their ICO (Token Sale Event) document. The rate determined for the ICO was $1 = 1 EVX or 1 ETH = 250 EVX (whichever was higher). No tokens were pre-issued before the ICO completion. They raised $400k during their Seed Round (early investors).$3.5 M in Pre-sale round (with 20% bonus offered). The main round was open till August 31st 2017, and they raised almost $26 Million in total.
The funds will be divided and used for 25% Lending Capital, 10% Working Capital for Cryptocash/Tokencash* Exchangers, 25% Marketing (very important in their case), 10% Business Development, Partnerships
with Banks (also very important for adoption), 10% Liquidity Providers, and 30% System development, IT.
When you do your own analysis, you always have to check the coin distribution / rich list. This gives you an opportunity to see if there is a possibility for a coin dump from early investors when the price is right for them. For most of the projects, you can simply go to Coin Market Cap website and click on the “Explorer” links. For Everex it seems like the 3 largest wallets hold more than 52% of all tokens. We can assume the
largest wallet is Everex’s own wallet and some of the funds in this wallet are vested in 1 year with no selling rights. Top 100 addresses hold almost 77%. The ratio seems not as fair as some other projects
out there but it is almost identical to OmiseGO’s distribution. Most people consider OmiseGO as a direct competitor to Everex (in my opinion they are very different) and have a market cap over $1.1 Billion right now (They also had an ICO and raised $25M). I will double check the distribution every once in a while. I believe we will see a better distribution when market cap is a little higher.
N
ow it is time for some Qualitative analysis. We already covered some of it before the Quantitative part. If the Everex Team can increase the trading of their token through marketing and increasing awareness, it means more transactions, more EVX token usage and naturally a valueincrease. Developers are an important aspect of any project, but in Everex’s case let’s assume the product is fully functional, but their marketing and business efforts are not enough for mass adoption. What would happen?
Their team must consist of key people to achieve their mission. I believe Everex has an experienced group capable of completing this mission. Check out the team on their website and dig a little deeper. Go to their social media accounts (like Linkedin…) and try to learn about their accomplishments. This team wants you to see who they are, and they are mostly transparent. They have experts with several years of combined experience in the cryptocurrency / blockchain space (don’t forget their products like Ethplorer, Chainy…) They also have experts focusing on banking relations, marketing, risk management and country representation. They found key/experienced advisors to help them achieve their mission.
There is no information about core developers on the website, but CEO Alexi Lane commented on a Reddit post about it. He clearly stated that they don’t want people to bug developers every day about updates. When you look at their product line so far, I believe they have the necessary skills, but it would be good for investors
to have this information.
Also, always go and read the “Whitepaper”. Even if you don’t understand the whole technology and language, it may give you clues about the project that is vital. You can fi nd Everex’s Whitepaper on their website under the “EVX Token” tab. This part on the Whitepaper really caught my attention: “The main-component that enables the Everex capital transfer system is Cryptocash/Tokencash, a fi at-
pegged fully reserved stablecoin issued by a decentralized and federated network of cash custodians and underwriters.
Cryptocurrencies pegged by fi at currencies, such as Everex’s Cryptocash/Tokencash, are commonly referred
to as stable-coins.” I came across the term “Cryptocash/ Tokencash” while reading about how they will divide the ICO funds, and didn’t understand what it was back then. After reading the whitepaper I found an answer to my question. Cryptocash/ Tokencash, in my understanding, is a representation of fi at currencies on the Ethereum Network as a standard ERC-20 token. Cryptocash/Tokencash can be sent almost instantly anywhere in the world and confi rmed by Ethereum miners.
Basically, you will walk into a partner bank, authorized agents offi ce or a currency exchange offi ce and exchange your fi at currency to
Cryptocash/Tokencash. At fi rst sight it sounds a lot like “Tether”. I asked about the differences between Tether and Cryptocash/Tokencash to CEO Alexi Lane and he explained the biggest difference is that Tether is not fungible, but has a working product. Still being in the early stages, Cryptocash/Tokencash is fungible and can also be used outside of exchanges, unlike Tether. You can read more about it on their blog.
When you search the roadmap for Everex, it is hard to fi nd anything not on their website. I found an old roadmap during my research and decided to ask the team directly about it. They have a Telegram channel with over 4000 members, and it was really easy to reach Alexi Lane (CEO) from there. He was kind enough to answer my questions.
According to Alexi, they are working on a roadmap update right now. They also
commented on a similar roadmap question on Reddit and said it will hopefully be on the website after the meeting event in Bangkok on Dec 14th, 2017. I took my note to check it out again after this meeting and it worked like a charm. On Dec 16th they released the highlights of this meeting and announced working on the offi cial new roadmap.
According to the highlights, they added 3 key marketing positions to the team including Chief Marketing Offi ces and China-Thailand Marketing Specialists. They also focus on another pilot with the partner Holley Group to gather
more data and metrics. Holley Group, a Chinese multinational manufacturing group, invested $500,000 in Everex this year. The team also will work on EVX token economy to add additional utility to the current use cases. On the old roadmap
they had plans to expand operations to Middle East and Europe in 2018. Hopefully this step is still going to be on the new roadmap.
They also have a Twitter
account with over 8000 followers, and they are on Reddit with 1400 subscribers. The community, in general, seems to have
faith in Everex’s future, and communicates with the team members easily.
Everex also announced preliminary agreements with Bloom. You can fi nd the details of the agreement on their blog. Bloom is a
decentralized credit scoring application based on Ethereum and IPFS. Everex addressed concerns about how they will evaluate the credit scores of underbanked individuals on BitcoinTalk many times ( I strongly suggest you go over their ANN post ) and this agreement will also enable them to integrate Bloom’s credit scoring algorithm.
Regarding competition, according to Alexi Lane their main opposition is other fi nancial
institutions and central banks working on their own blockchain versions of fi at currencies. Since they already have their own customer base, they might become strong competitors, but Everex’s target market is the people who have little or no access to the banks.
As I mentioned before, a lot of people also consider OmiseGo as competition because of their similar target market, but I believe you can’t compare them since Everex’s largest focus is micro-lending and credit scoring. They combine transfers, payments, fx and lending/credit scoring in one wallet product, which is based on digitized fi at currencies on blockchain. There are other projects like Salt Lending and Humaniq but they only address one part of the problem.
Overall Everex seems like they are here to stay. They have an ambitious mission and a great team with different successful projects on Ethereum under their belt. They don’t rush things, and proceed slowly but strongly. They already had a pilot and tested the market for some of the features. They address a real world problem and have some good uses cases for the token itself.
I hope we are going to hear a lot about them in the future. There is a lot more information about the project out there, but we have limited space here. I suggest you always do your own research and never rely on others.