Note: ICONOMI ICO is ongoing
ICONOMI is generating a lot of buzz, but sometimes the true value proposition gets hidden under all the spam that you see on Twitter and Bitcointalk (to their credit, the ICONOMI team is really serious about not rewarding spam, and I commend them for that). So here’s the value proposition of ICONOMI for investors. Please remember that any ICO investment is risky, and you absolutely should not invest more than you can afford to lose.
Real Business Proposition
ICONOMI isn’t yet another altcoin. It has a real business behind it. Real businesses make profits, have earnings and revenues. Altcoins don’t. Therefore ICONOMI, even though it is a token on a blockchain, is much more than just an altcoin.
Therefore, investing in ICONOMI is very different from investing in all these other ICOs that are going on. You will own a piece of a business that generates profits.
There are no cryptocurrencies today that give regular dividends to holders. The first time this was really put forward was with Augur. However, Augur isn’t launched yet. ICONOMI is doing the same with its token – giving monthly dividends to investors. This can be quite variable I know but it is a pretty good value proposition.
If you make a stock market analogy, you get both dividends and capital appreciation (increase in share price). Over the long-term, dividends can be a very important component of returns. In fact, for stocks, they have been the dominant source of returns over >50 year holding period.
Disrupting a Stodgy, Old Industry
ICONOMI is in the fund management business. That’s a multi-trillion dollar industry right there. It is also old and stodgy and hasn’t seen innovation in decades. It is ripe for disruption by a startup. The existing players sit on a gold-mine, and investors are forced to use the existing systems because there is no competition.
ICONOMI has come out of the blue, and is sure to kick the incumbents into action. However, it will likely be too late for them by the time they realize its potential. Fund management is huge. Even if ICONOMI is able to obtain a very small piece of this pie, like 0.01%, it will end up being very large, in the order of billions of dollars. That’s a huge opportunity right there.
This is a less-often discussed aspect of ICONOMI, but is a powerful tailwind going forward. In addition to the 2 funds – INDEX and PERFORMANCE, ICONOMI will also launch a fund management platform. This will allow other crypto investors and traders to offer their own funds to their clients. It is like a platform that allows anyone, even with $0 in their bank account, to start a hedge fund. Let that sink in for a moment.
We have seen how tech companies that build platform economies can be massively successful. Uber is a $60 billion company. Airbnb is a $25 billion company. Even if ICONOMI becomes a $1 billion company, it will be a huge part of the crypto ecosystem.
So there you have it. These are some of the value propositions for ICONOMI. What other killer features did I miss? Let me know in the comments.
Bounty claim code: ICO3T68g7bnfDVOnqbjlk7ZqdXYnP7fPYNHICONOMI
Photo Credit: Chicago Man
One thought on “The Value Proposition of ICONOMI”
If you have invested yourself into Bitcoin, it’s important to understand digital currency in its entirety while making smart investment decisions about what the “next” big digital currency may be, and what it will offer to become the “next” Bitcoin! Like any “traditional” investment portfolio, diversification is a must and safeguards us in several ways, including protection against the fall of one single asset. When it comes to digital currency (like Bitcoin), the very same concept applies, and if you are a smart investor, you would diversify by investing in that next big alternative digital currency we touched on earlier. With literally thousands of alternative digital currencies out there, picking that “next” big one doesn’t just appear on our computer screens – we all must do our due diligence when it comes to this very volatile world! But I come bearing good news..
New digital currencies will offer an ICO (Initial Coin Offering), just like any other business would do if they wanted to offer equity of their company in the form of shares to the public – otherwise known as an IPO, or Initial Public Offering. An emerging new digital currency, which will bring exciting new technology and concepts with it, has already surpassed their initial $5 Million (US Dollar) goal, having raised $5,019,198.07 at the time this article was written. With the crowdfunding campaign ending on September 29, 2016 20.00 UTC (just ten short days from time of writing), my advice would be for you to do your due diligence, as this is my TOP digital currency pick!
They are calling themselves ICONOMI, offering ICONOMI Tokens (ICN) for those wishing to invest. ICONOMI is also bringing some very unique and promising tools to back it, and this brief summary is directly from their website:
“ICONOMI provides an opportunity for investors looking for high profits, not possible in the old economy. With newly developed financial instruments, ICONOMI will drive new investors and fresh capital into decentralised economy.”
You still have time to invest, and can do so by visiting their website at www. ico.iconomi.net/