CryptoAds Basic Review
|Start ICO||16 Jun 2018|
|End ICO||16 Jul 2018|
Ticker symbol: CRAD
Project type: Blockchain service
Extended Company Description: CryptoAds is a decentralized advertising platform based on the Ethereum blockchain.
Company: CryptoAds Marketplace
Public ICO start date: June 16th, 2018
Public ICO end date: July 15th, 2018
Token sale duration (weeks): 3.1
Token type ERC-20
Tokens to be sold (pre-sale + public ICO): 28,000,000 Purposes of fundraising:
Price: 1 CRAD = 1 USD
Accepted currencies: Bitcoin, Bitcoin Cash, Ethereum, Litecoin
Bounty program: active
Token functionality: utility
Team size: 7
Number of advisors and partners: 3
CryptoAds is a decentralized advertising platform based on the Ethereum blockchain. CryptoAds will enable advertisers to place ads (native videos, commercial videos, 360 ads, “in the round”, vertical video, in-app, and walls) in diverse advertising spaces.
The CFC project (CallsFreeCalls, another project from CryptoAds’ developers) will be the platform’s first client.
The platform will provide the following services:
- for advertisers:
- ad placement
- advertising agency ratings
- for users:
- information on users’ activity
- the facility to offer advertising campaigns
- reputation tracking
- Igor Ryabenkiy (https://www.linkedin.com/in/iryabenkiy/) – investor. Igor is a Managing Partner of Altair Capital Management. He is also the Director of Platterz and Driveway Software. Igor was a Business Angel and Director LinguaLeo and Eruditor Group.
- AltaIR Capital Management (https://www.linkedin.com/company/9291712/) - a venture capital firm that invests in tech companies, mainly in the online and mobile industries.
- Kostiantyn Bravo (https://www.linkedin.com/in/costa-bravo-5315a152/) has more than 20 years of experience in real estate, securities, investment and business development. He founded GGHB. Kostiantyn is the CCO of New Sigma Development, and was the CCO of NEST Developer.
- Alex Shifrin (https://www.linkedin.com/in/alexshifrin/) – Managing Partner of LP/AD (creative and advertising agency that specializes in brand launching, re-launching or repositioning). Alex is an advertising expert with extensive entrepreneurship and international experience. He was the Head of Saatchi & Saatchi for Russia. He also founded and was CEO of TCF (another advertising agency) bought by Saatchi&Saatchi in 2012.
- Dmitry Kuplevatsky (https://www.linkedin.com/in/kuplevatsky/) – internet entrepreneur. Dmitry has extensive experience in launching and developing innovative projects as well as the automation and advancement of online marketing technologies. Dmitry founded GrandMobi Ltd (a mobile advertising company). He also co-founded CFC and Binary Media LTD (affiliate network).
- Grandmobi - a company specialising in mobile advertising. It provides full scope services for brands and agencies who want to execute advertising campaigns employing the most up-to-date technologies.
- IXC Global Inc. is a telecoms company with an integrated IP-based global network.
It provides services for convergence of voice and data.
- Tapjoy is an advertising network and marketing automation network.
- TATA is an Indian transnational enterprise with headquarters in Mumbai. It is one of the largest companies in India in term of capitalization and revenues. The company provides services in telecommunications and IT, engineering, manufacturing, tertiary industry, energy production, consumer products, and chemicals.
- Vungle is a leading company in the mobile video advertising industry. It has developed an infrastructure for placement of in-app video commercials.
- IXC is a Ukrainian telecoms company that develops information systems and technologies for the communications industry.
- Digital Ocean is a USA-based provider of cloud solutions. It is headquartered in New York and has data processing centers worldwide.
- Altair Capital is a venture capital firm investing in tech startups in the online and mobile industries.
- AdColony is a mobile ad and video marketing platform. It has more than 1.4 billion users worldwide.
- CFC - an app enabling users to call and text for free.
- Fyber is an international tech company designing platforms for the monetization of mobile publishing.
- ICOBOX - a blockchain consultant.
- ICOBuffer is an ICO rating and review service.
Attracted funds: 400 BTC: Altair VC and Igor Ryabenkiy
At the heart of this project is a platform that facilitates the placement of advertising in diverse advertising spaces.
- a rapidly developing market.
- initial investment already attracted.
- the market is highly competitive.
- it has a questionable reputation in the blockchain community (BitcoinTalk). - absence of MVP. the project team has not disclosed the scaling strategy or methods for attracting users, which may negatively affect the number of users on the platform.
According to data provided by Statista, spending on digital advertising is projected to reach $335,48 billion by 2020. Expected CAGR is 18%.
Juniper Research anticipate digital advertising revenues reaching $285 billion by 2020.
According to the project team’s analysis, in 2018 global digital advertising spending will amount to 44% ($269.85 billion) of total ad spending. This will increase to $335.48 billion by 2020.
The CryptoAds marketplace is intended for the B2B segment of the native online advertising market.
Comment: The online advertising market is rapidly developing and there is much competition. Information on competitors is provided below.
According to our research, the project has the following competitors:
- Ab-Chain is an advertising platform enabling advertisers to pay for ad space in cryptocurrency (including its own ABC tokens).
- Qchain is a digital blockchain-based platform employing smart contracts.
- AdEx - a blockchain-based advertising exchange also using smart contracts.
There are many more advertising platforms in the market:
Conclusion: There are currently many advertising platforms in the market. Existing solutions already have a clientele and investment history. We think there is a risk that the product fails to claim a significant market share.
The platform is based on blockchain and employs smart contracts. The team envisages a proprietary fraud prevention system that eliminates the bot traffic problem.
The platform operates as follows:
- Advertisers create ad content and media resources.
- They then pay publishers in tokens for ad placements.
- If the publisher agrees to place an ad, the parties specify the content placement terms and payment amount.
Publishers can specify criteria for the ads they are willing to place, inter alia costs per click or per impression, ad type and genre, price range, duration of display time, etc.
Comments: The project employs current technologies that have proven effective.
The team are planning to further develop the technologies, collect the required data and subsequently implement the following solutions: - August 2018: platform development - January 2019: platform launch.
Comment: The team have provided a plan for the platform’s launch.
Comment: Despite the fact that the team have provided a GitHub link, it is impossible to access the smart contract. All modules in the repository belong to another team’s project (CFC).
We have analyzed the CryptoAds site and documentation to determine whether they provide sufficient and consistent information for an investment decision to be made.
Project information can be found in the White Paper. The document is available in English and Russian and provides a description of the project. Specific attention is paid to advantages of both the platform and of blockchain. However, the document does not provide sufficient information on the platform’s technology or functionality.
The website provides information on the project, roadmap, ICO, FAQ, team, advisors and partners. The site is available in English and Russian. Information on the team in the Russian version is different to that in the English version.
Conclusion: The documentation helps to gain an overview of the project. However, we think that it should include a more detailed description of the platform’s technical parameters. Moreover, there is no information on how CryptoAds and CFC will interact.
Percentage of tokens issued for sale: 28%
Public ICO start date: June 16th, 2018
Token type ERC-20
Accepted payment: Bitcoin, Bitcoin Cash, Ethereum, Litecoin
1 CRAD = 1 USD
Crowdsale duration: 4 weeks (ends on July 15th, 2018)
The CRAD token will be used as means of payment for ad space and placement.
Token limitation: 100,000,000
Token holders’ perks: the utility tokens can be used to access platform services or be sold on exchanges.
Additional token emission: none
The token sale will take place in two stages: - Pre-sale: May 15th, 2018 – June 15th, 2018; - Sale: June 16th, 2018 – July 15th 2018.
Hard Cap: $40 million
Comments: Tokens will be transferred to users’ accounts after the ICO completes.
Bounty link: https://bitcointalk.org/index.php?topic=3288218.0 Total tokens allocated to the bounty program: 2,000,000 ($2 million or 2% оf total supply). The program encompasses the following options:
- Signature campaign (40%)
- Facebook campaign (10%)
- Twitter campaign (10%)
- Content campaign (10%)
- Youtube campaign (10%)
- Telegram campaign (10%)
- Telegram group campaign (10%)
Conclusion: The project’s bounty program offers plenty of options. All conditions are available at the link shown above.
Token and Funds Allocation
Tokens and funds will be allocated as follows:
Conclusion: Tokens do not affect the company’s allotment of shares. 60% of tokens will be used to expand the network and reward publishers and users for service purchases. The incentive program encourages early purchasing of tokens.
- April 2019: acquiring ad space and searching for partners, expansion.
Conclusion: According to the white paper, the expansion strategy will be based on ad space purchase and recruitment of partners.
The team includes 7 members and 3 advisors. LinkedIn profiles of the key members provide the following information:
- Oleksii Vinogradov (https://www.linkedin.com/in/oleksiivinogradov/) – Co-founder and CEO. Oleksii is an entrepreneur and investor with 25 years of experience. He is the founder and CEO of CFC.io and Heartln Inc. and is also president and owner of IXC Softswitch.
- Valeriia Zaraniants (https://www.linkedin.com/in/valeriiazaraniants/) - Co-founder. Valeriia holds the CEO position at IXC Global Inc.
Conclusion: 4 out of 7 team members confirm participation in the project. Most team members come from Ukraine (Kiev). The team also has the following specialists: An android developer, a mobile app developer, lead developer and a CSO (executive director).
Information on the project is available via major services such as Twitter, Telegram, Github, and Bitcointalk. The project has an active bounty program.
The team is running a social network marketing campaign. Their Telegram newsfeed is regularly updated. The majority of articles are reviews of the project and have been written to order.
Comment: Users are starting to show interest in the project. The marketing campaign is mainly developed via Telegram.
Conclusion: Available information shows that the team have recently started their marketing campaign and are developing it primarily via Telegram.
There is no traffic data since the project’s site has only recently been set up.
The information contained in the document is for informational purposes only. The views expressed in this document are solely personal stance of the ICOrating Team, based on data from open access and information that developers provided to the team through Skype, email or other means of communication.
Our goal is to increase the transparency and reliability of the young ICO market and to minimize the risk of fraud.
We appreciate feedback with constructive comments, suggestions and ideas on how to make the analysis more comprehensive and informative.