Opportunities:
The hard cap of US$15 million is relatively low for a solid project, allowing limited downside.
Multiple institutional investors have already invested in Cindicator, meaning that the company has already passed due diligence of those investors.
The project is two years in the making and has a mobile app released with over 10,000 users. Cindicator also announced that two funds decided to contribute to the crowdsale in addition to being clients of Cindicator.
Emotions and speculation currently drives a large part of the cryptocurrency market. With Cindicator’s platform, investors can easily understand what the crowd thinks in real time and act accordingly based upon the information.
The token system makes sense because it provides an incentive for forecasters to actively participate and provide accurate predictions.
Concerns:
Cindicator is targeting both the traditional financial market and crypto market. Since the two markets are quite different in terms of infrastructure (data sources, news flow, etc), Cindicator may have trouble focusing on the two markets at the same time.
There are a number of competitors in the artificial intelligence and finance space – Numerai, Enigma, and other crypto data providers such as Santiment and Coindash.
All of those projects have a market cap in the $25 to $50 million range. It may be difficult for Cindicator to trade at a market cap significantly higher than that of competitors.
Conclusion:
Overall, I like this ICO, both for short-term as well as its long-term potential. Our thoughts of the tokens for short term and long term are as follows:
For short-term holding
Good. The project is solid with the team, advisers, investors, press coverage, fundraising limit, and awareness in the crypto community all being above average.
For long-term holding
Good. The financial data industry is large and the crypto subset is just getting started. With a working platform that has good reception and usage, I believe Cindicator has a good chance to succeed.
