Opportunities:
Already have a functioning district since January 2017 – it is one of the more advanced ICO projects out there. This lends a lot of credibility compared to most ICOs as it shows that the project is run by capable people.
There are two ways to make money from DNT – from appreciation in DNT or from staking the right district. If you stake a district that is very profitable, the potential profit sharing can be significant.
There is potential for district0x to become the go-to place for creating DAOs. Lots of districts can be created, as long as they use any of these functions: posting and listings, search and filtering, ranking and reputation, and payments and invoicing. This is great for the Ethereum ecosystem.
Concerns:
It is unclear how much easier it is to create DAOs on the district0x platform. If the cost and time savings are not significant, then there may not be many districts to be created on the district0x platform.
If you stake an unprofitable district, you will not be able to receive distributions from it.
The hard cap of $50 million is on the high side.
Conclusion:
Overall, I like this ICO for its long-term potential. With this token, you only need one or several districts to be successful in order for DNT to appreciate in value. This is different from other ICOs where they only have one project and token value hinges entirely on the success of that one project. It is going to mitigate the risks compared to most of the other ICOs.
Our thoughts of the tokens for short term and long term are as follows:
For short-term holding:
Neutral. On one hand, it already has a functioning district which brings a lot of credibility to the ICO, but on the other hand, the hard cap of $50 million is rather high.
I don’t think it has problems raising the hard cap amount, but once the tokens hit exchanges, there may be a lot of selling pressure since there will be many DNT holders.
For long-term holding:
Good. As mentioned above, there is a lot of potential for DNT value because even if only a few districts become successful, DNT value should appreciate substantially.
