SWOT analysis of ICO (ITO) project

Assessment of strengths and weaknesses, opportunities and threats to the external environment

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Project concept
3.5
Business model
4.0
The tech
3.5
Team
5.7
Tokens
5.0
Project support
4.0
Media Environment
4.5
Jurisprudence
4.9

Average score

4.4 / 7.0
Democratizing AI for the Global Consumer
Soft cap
5,000,000 USD
Hard cap
15,000,000 USD
Tech giants and dozens of startups create an environment for the cultivation of artificial intelligence (AI), Koios does the same.

Koios is a platform for AI democratization, where developers can create and monetize their AI models. The Koios project implements 3 key products: the AI Lab for collaborative development, the Titan Protocol – distributed computing network and the trading platform with AI NeuralNet content. All products are at an early stage of development. Koios will launch Neural Net in Q3 2019, the launch timing of other products is unknown.

The project offers its AI Lab platform for developing AI, but the market already has such solutions from Google, OpenAI, Microsoft, Intel and other tech companies. An alternative to the Titan Protocol network is the free computational capacities by Kaggle, Google Colaboratory. In addition, the capacity deficit is eliminated by DeepBrain Chain, Nebula AI, Effect.AI platforms.

Singularity.net, DeepBrain Chain and Effect.AI have already launched their trading platforms by analogy with Neural Net. AI developers also have open access to the libraries of TensorFlow, XGBoost, etc. Moreover, the lack of qualified AI developers problem is solved with the help of hackathons, contests and training programs.

Let's look at the competitors’ results:

Singularity.net - $36 million were raised for 1 minute during the ICO in December 2017, the project's capitalization is $ 94 million (2.6x) as of May 12, 2018.
DeepBrain Chain - $11.7 million were raised during the ICO in December 2017, the project's capitalization is $128 million (8.5x) as of May 12, 2018.
Nebula AI has manage to attract $ 6 million at the end of April 2018, NBAI trades on the exchanges are almost non-existent and the token price has not changed.
Effect.AI - $13.6 million were raised at the end of March 2018, the price of EFX decreased by 18% and project capitalization is $ 11.2 million (0.81x) as of May 12, 2018.

The lack of a finished platform and unknown release dates of two out of three main products - Titan Protocol and AI Lab - increase investment risks. The development, and most importantly, the introduction of such a product requires much more competence and experience, despite the presence of specialists from Nvidia, Google Cloud and Amazon among the team. The purchase of KOI tokens can only be considered after launch and tests of all three products’ beta versions.

Strengths

Blockchain technology is necessary for the project
There is a clear roadmap
The issuance of tokens is limited
The project is popular on social networks and in thematic communities
The founders and leaders of the project are recognized professionals in their fields and in the blockchain industry
The project team has extensive experience and a strong track record
The project has a strong advisory board
The project founders have experience of implementing a successful business in the project field

Weaknesses

The competitive landscape and the project's competitive advantages are not sufficiently defined
There is no detailed description of the business model of the project
The legal structure of the company is not transparent enough
The project is not widely discussed on blockchain news resources
There are no well-known large companies among the project's partners
The team does not have a working product
The working code of the project (for example: smart contract, platform protocol) is not published on GitHub

Opportunities

Expansion of the market / Creating a new market niche
Increased demand for tokens from ecosystem participants
Activities in the legal field of contractual relations
The project activities are carried out with the fulfillment of the requirements for the processing and storage of personal data
AML Activities
Activities in the legal field of entrepreneurship and tax payments

Threats

Low product and project competitiveness

Recommendations for the project

High-priority tasks

  • Describe the competitive landscape and the project's competitive advantages in detail
  • Describe in detail the business model of the project
  • Reorganize the legal framework to increase the transparency of the business
  • Initiate marketing on blockchain news resources
  • Establish partnerships with large and well-known companies
  • Submit a product prototype
  • Publish the project code (for example: smart contract, platform protocol) on GitHub
  • Increase the competitive ability of the product and project

More information is required

  • about the financial plan
  • about the regulation of fund dispersal and usage of tools (for example, the use of an escrow) that would guarantee the return of investments if the stated usage of funds is not followed
  • about the potential demand for the product
  • about the mechanism for protecting tokens against devaluation
  • about compliance with the legislation requirements of the securities market and on the taking preventive measures
  • about large VC investors in the project
  • about the safety audit of the smart contract

Medium-priority tasks

  • Finalize the roadmap
  • Attract more specialists with extensive experience and competencies to the team, that are not present among other team members
  • Attract more consultants with extensive experience and competencies to the advisory board, that are not present among other advisory board members
  • Cooperate with additional experts with experience in implementing a successful business in the project field
  • Identify additional problems and market needs
  • Introduce additional tools of motivation for owning the tokens in the ecosystem
  • Eliminate minor violations of the legislation in financial regulation and AML
The results of SWOT analysis express the views of DigRate and does not constitute a statement of fact or recommendation to buy, hold, or sell these or any other assets, or make investment decisions. This information may be distributed without the prior consent of DigRate, but must contain links to www.digrate.com