QUANT QNT Presentation Blockfyre

Transcript

1. SENTIVATE REPORT BY BLOCKFYRE | PAGE ‹#› BLOCKFYRE
2. Executive Summary • Quant Network aims to solve one of the most critical issues, blockchain technology will have to overcome in order to provide viable use cases for businesses and organizations: The lack of Interoperability. • Quant presents an all-in-one solution that provides simplicity for the end user, which is what is needed to enable mass adoption of blockchain technology. • Quant developed “the world’s first blockchain operating system. “ Highlights Risk & Concerns • Investors need to be aware that this type of project will take time to mature and provide returns, as BaaS (Blockchain as a Service) providers such as Quant, are highly dependent on overall Blockchain adoption. • We need to stress, again, this is a long term hold. Investors should be keeping a close eye on the project's progress over the next few months in terms of clients and partnerships. Ticker QNT Price $9,09USD Pre-Sale Price $0.50 USD Market Cap $88.8 Million Circulating Supply 14,612,493 QNT Total Supply 14,612,493 QNT Token Type ERC20 Mainnet No Website quant.network Q u a n t d e v e l o p e d a s y s t e m c a l l e d OverLedger, which is acting as an Operating System to run on top of blockchains with the goal of breaking the single-ledger dependency, one of the significant issues of current Blockchain technology. Overview Source: Blockfyre Research | QUANT Network website, Coingecko
3. What problem does it solve? Fundamental Problem: Lack of interoperability • Currently, there are over 30 different blockchains on the market, and each of them has its own pros and cons. While all of them represent mostly closed systems, that don’t allow for interoperability. • While we are experiencing a growing number of use cases for Distributed ledger technology and blockchain, and although these new environments and applications provide many benefits, they still lack seamless interoperability, internally among ledgers, and externally with existing networks. This dependence on one single blockchain causes several problems for businesses and users: • Increased difficulty to choose the appropriate system. • Meeting technical and business requirements when considering different blockchains for decentralized applications. • The dependency slows down adoption and scalability of new applications and features. • From a business perspective, a single-ledger application increases the amount of risk, complexity, and effort needed to adopt multiple distributed ledger technologies, in many cases, even duplicating resources and investments. Different structures, mechanisms, and technologies make it hard to build a standard interface, although this is precisely what blockchain technology and its applications need. • All challenges listed above, limit widespread adoption of blockchain applications and a foreclose the potential of reaching critical mass in terms of users and use cases. x Source: Blockfyre Research | QUANT Network website
4. Quant’s solution Solution • The main project of Quant Network is OverLedger, which is not a new Blockchain but rather an Operating System to facilitate MAPPS (Multi chain Dapps) to benefit from blockchain interoperability. Overledger is the rails infrastructure to facilitate the creation of these applications, aiming to break down single-ledger dependency. • Quant Network essentially has 3 main goals, which all work hand-in-hand to further the mission of a strongly connected network. The network’s first goal is to develop an interface to connect different blockchains and systems to each other. The second goal involves bridging existing networks in industries like financial services to blockchains. Finally, they plan on having OverLedger allow developers to create multi-chain applications while connecting the Internet to Blockchain ecosystems. • Scalability is not a concern when it comes to OverLedger, as the limiting factor of speed lies within the underlying DLT, not OverLedger itself. For example the team has close ties with the Australian data scienece research network Data61 and intends to integrate Red Belly Blockchain, which is documented at reaching up to 800k tx/s. x Comments • OverLedger is where we see Quant's main advantage and USP. Organizations can keep their existing infrastructure while connecting to Blockchain where it's needed and where the value will be added through decentralized technology. Quant allows for this old infrastructure to be connected directly to OverLedger, which takes care of everything from there. • Big companies want a solution that doesn't force them to change everything about their current workflow in order to go "decentralized." Source: Blockfyre Research | QUANT Network website
5. Quant’s solution Technological Approach • Where OverLedger differs from existing Blockchain Interoperability platforms is that it decouples the message layer from the transactional layer of the underlying Blockchain technology, providing flexibility to move to different ledgers, backward compatibility, and simplicity. • OverLedger is being positioned as the world’s first blockchain operating system. It does not only connects blockchains to one another but also allows existing networks to leverage benefits of blockchain technology by enabling the creation of internet scale multi-chain applications, otherwise known as mApps. The applications will be available in the Quant App Store. • So far Quant has connected HyperLedger, Ripple, Ethereum, Corda, and Quorum to OverLedger and Bitcouin x Source: Blockfyre Research | QUANT Network website Key features of OverLedger • Flexibility: The option and ability to move to different ledgers if the underlying DLT becomes obsolete or transaction fees are too high, ensuring availability and saving you money • Backward Compatibility: The ability to connect data sources or external APIs to Blockchain networks, taking advantage of key aspects of the technology • Simplicity: Easy to use Blockchain Programming Interface (BPI) and Overledger Software Development Kit (SDK) to produce both cross ledger and standard applications, reducing time to market and democratizing development.
6. Quant’s solution The four layers of OverLedger • Transaction Layer: This is where transactions and all the relevant components for the blockchain to reach consensus, are stored. Each ledger is isolated. x Source: Blockfyre Research | QUANT Network website • Application layer: takes the messages from the filtering and ordering layer and updates its state. It also defines the rules for how the other layers interact with blockchains. • Messaging layer: This layer takes the transaction info from the transactions in the transactions layer and places them into the messaging layer (which is shared). • Filtering and ordering layer: This layer takes the messages from the messaging layer, filters them based on predefined rules and orders them into virtual blocks called a verification block (distributes the hash to all the blockchains involved) Transaction Layer Transaction Layer Protocol Layer Messaging Layer Filtering and Ordering Layer Filtering and Ordering Layer Messaging Layer Application Layer
7. Industries and Use cases x Financial Services Source: Blockfyre Research | QUANT Network website Healthcare Goal: Increasing the security, privacy and interoperability of health data and health information exchanges (HIE) on a global level. Individuals Goal: Providing individuals with a level of access and control of their personal information while increasing usability of dApps. Supply-Chain Goal: Allowing for interconnectivity and seamless interaction of global, blockchain based supply chain management applications and data. Government Goal: providing Solutions that minimize the bureaucracy but enhance transparency and collaboration between governments, business and citizens. Goal: Empowering businesses with flexibility, allowing them to connect their network to blockchains without being locked into an existing technology or vendor. Quant will develop sector-specific technology, middleware products and enterprise solutions.
8. QNT x SIA partnership x • SIA is one of the leading companies in the European payment and technological infrastructure sector • Serving banks and trading venues in more than 50 different countries, SIA managed 51.7 billion financial transactions and carried 1,204 terabytes of data on their network in 2018 • SIAchain by SIA is a private infrastructure that allows SIA’s clients to create their own Business Networks on different private blockchains such as Corda, Hyperledger or permissioned versions of Ethereum. Within these Business Networks, they can then run dApps for their specific needs Source: Blockfyre Research | QUANT Network website Interoperability for Europe’s financial industry • SIAchain is currently used by 570 supernodes, all consisting of SIA clients such as Banks, Trading Venues and Stock Exchanges • However, different banks are tackling that by different approaches on different blockchains, so there is a big demand for blockchain interoperability in the financial sector • SIA and Quant Network have officially signed a strategic partnership agreement, in order to solve this interoperability issue by applying Overledger to all of SIA’s 570 supernodes
9. Other Products x • GoVerify tackles Cybercrime attempts and protects its users from impersonation frauds online. GoVerify is an existing working product and is currently being migrated to use Overledger as a MAPP. • GoVerify allows people to verify and check that any email, SMS, letter, or phone call received is legitimate and actually from the company they appear to be from. • It validates that the correspondence is really from a trusted organization and is genuine without making users to disclose any personal information. • Enabling people to verify communications would save companies hundreds of billions of dollars a year through fraud prevention. • Atlas is enabling cross border Open Banking. Open Banking is a secure way for consumers and businesses to share bank information, allowing an ecosystem for companies to offer fast and secure payment methods and innovative banking products. Source: Blockfyre Research | QUANT Network website
10. Competition Analysis Competition x Project Overledger Aion (AION) Polkadot (DOT) Cosmos (ATOM) Interledger Purpose Providing a meta-gateway to connect different blockchains to blockchains and legacy networks Solve Blockchain isolation problem Transfer assets and data (smart contract) Overcome Blockchain limits and transfer assets Payments across different payment systems based on DLT Layer of communication Over the transaction level Protocol based Protocol based Protocol based Over the transaction level Connection Speed Protocol (flexible) time depended Protocol time depended Protocol time depended Proportional to the validator number Notaries / Entity consensus Scalability Ledger’s readability and/or writability Aion - compatible Should implement the Polkadot security consensus Should implement IBF to talk with The Hub Ledgers allow connectors to run nodes Valuation • AION • DOT • ATOM • Interleger • QUANT $45.526.771 $1.2 bil (after fundraising) $1.29 bil N/A $76.559.082 • The idea of a multi-chain development platform is not entirely new. There are numerous competitors, trying to achieve similar goals. Quant Network operates itself through two main aspects in a competitive sense: • No other interoperability platform is doing MAPPs / Treaty contracts, allowing developers to deploy a single, smart contract to be used across multiple blockchains • Quant is Connecting the Internet to the Blockchain, while also connecting to permissioned and permissionless blockchains and DAGs as well as connecting and providing interoperability between legacy networks, all while operating at a layer above the blockchains. This makes Quant "future proof" as it can be adapted to every new Blockchain in the future. Comments Source: Blockfyre Research | QUANT Network website
11. Quant’s Business Model x Business Model • The company is utilizing 4 major revenue streams. First, they will have the Quant App Store, where developers will be able to build MApps and sell them to users. QNT will be the fuel for MApps, so even if an application is promoted as free by its developer, he will pay the txs fees for frictionless user experience. • The second revenue stream is SaaS products that are targeted towards specific industries (financial services, supply chain management, government services, and healthcare). These are all areas where interchain operability will be a necessity due to the legacy systems, we expect this to become the mainstream of income in the future. • On top of that, Quant offers enterprise and middleware products that would target certain industries that have a higher need for connectivity and bridging between networks. Finally, Quant Network aims to license a lot of its intellectual property (IP) to blockchain companies and Internet providers. Partnerships and Clients • Quant has been able to acquire several vital partnerships with over 187 organizations. In our view, this is crucial for success in terms of implementation and real-world use cases. Quant is operating in a highly competitive space, getting a foot in the door of these big companies is essential. • One of the recent Partners is SIA, the leading European hi-tech company in the payment services and infrastructures sector. Source: Blockfyre Research | QUANT Network website
12. Tokenomics - QNT Token Information Symbol QNT Decimals 18 Contract Address 0x4a220e6096b25eadb88358cb44068a3248254675 Type ERC20 Network Ethereum Token Swap none, will stay ERC20 Supply 11.047.267 3.565.225 Locked in team wallets Public x Source: Blockfyre Research | QUANT Business paper 0 % 25 % 50 % 75 % 100 % R&D Marketing Facilities Business Development Legal/IP Tech. Infrastructure Administration Allocation of Funds Total Supply 14.612.493 QNT
13. Tokenomics - QNT Utility For Developers: • Developers will be able to obtain an annual license to develop applications on OverLedger through the purchase of QNT tokens equivalent to a fixed FIAT amount. These tokens will be locked and hence decrease the circ supply. • The license will expire annually and thus must be renewed using only QNT. • Consumption fees for reading and writing to OverLedger will also need to be made in QNT based on a FIAT value. (This also applies to Enterprise users) • Developers may choose to monetize their applications and will have the options to use a payment processor to charge a subscription, a recurring price, a one off price, or an in-app fee. This can be charged in FIAT or digital currencies. x For Enterprises: • Enterprises will be able to obtain an annual license to develop applications on OverLedger. Enterprise license fees will be determined on the basis of: - number of users
 - number of employees
 - types and number of applications
 - volume of OverLedger transactions • Quant Network is working on the pricing model and strategy which is expected to be finalized by Q3/Q4 2019. • In addition to the license fee, a platform fee calculated as a percentage of the license fee in QNT will be payable. Source: Blockfyre Research | QUANT Network website • Quant Network’s business model encourages growth to the platform which drives the demand and the need for QNT tokens. This is part of the product strategy targeted to developers and businesses, as well as the consulting approach to help businesses use the platform. The more customers, MApps, and users on the platform, the more demand for tokens. • Annual licenses will be locked, which will lead to a reduction in the circulating supply. Comments
14. Tokenomics - Wallet Analysis QNT ownership Circulating supply • The circulating supply is around ~9.7 million QNT • The ownership of QNT is evenly spread out over a large number of wallets. x Source: Blockfyre Research | Etherscan, Exchange websites • The total supply of QNT is distributed over 3.826 addresses • The address with the most QNT holds ~21% of the supply. However this is the token contract, so the funds are effectively out of circulation and can’t be accessed. • The second biggest wallet is holding ~5%, followed by only 4 other wallets holding more than 1%
15. Exchange listings x Type DEX Trading against ETH Fees - Withdrawal Based on set Gas - Trade (maker) 0.1% - Trade (taker) 0.2% Website idex.market IDEX • QNT is traded on 6 exchanges • Daily trading volume for QNT is < 1M USD • The two major exchanges for QNT are FatBTC and Hotbit. However, we have to make clear, that the trading volume on these exchanges is mostly fake and the Token was listed withouth the Team's permission, therefore we will focus on IDEX and Bittrex for this analysis. • The team confirmed that discussions are taking pace with Tier 1 exchanges, as well as some upcoming exchanges. • The wallet analysis in combination with the low trading volume indicate that QNT is mainly held by a relatively larger number of long term investors. Type CEX Trading against BTC Fees - Withdrawal 0.5 QNT - Trade (maker) 0.1% - Trade (taker) 0.1% Website bittrex.com Bittrex Comments Source: Blockfyre Research | Coinmarketcap, Exchange websites 34% 66% Reported 24h volume (04.07.2019) < 1 Million USD
16. Price analysis • Over the last year, QNT has shown some fairly steady growth. • Since its ICO, QNT has increased 3.98x in USD, 3.69x in BTC and 9.01x in ETH, which is, compared to a lot of other projects which have been around for such a long time, still a relatively low ROI. • The daily volatility (measured over the last month) has been ranging around 5-11% during the previous month of trading, before spiking up to 15% shortly before the price hit its yearly high. Comments x Source: Blockfyre Research | QUANT Network website, Coincodex
17. Team Description • Before Quant Network, the team members have been working together on mutual projects. However, Quant has been around sine 2016. • Safe to say that a project with such a large scale of potential applications requires a strong Team, Quant definitely has a very experienced team, both inside and outside the blockchain space. • The team has strong links to Government Bodies, National Agencies, and various industries. • Colin Paterson & Gilbert Verdian have a common past, they have been in a business partnership for over 12 years (Trudera Ltd.) Gilbert Verdian Paolo Tasca • Co-founder & Chief Strategist • Head of the Centre for Blockchain Technologies at University College London • Digital Economist with an economics background in central banks. • He now acts as an advisor to the team. Colin Paterson • Co-founder & CEO • Has been working in Cybersecurity for 20 years, in various industries • Founder of the Blockchain ISO Standard TC307 • Founder of Trudera Ltd, working on bringing intelligent AI to Enterprise • Co-founder & CTO • 20-year background in Information and Cybersecurity • Experience in Financial Services for Deutsche Bank, Nationwide, BT, CSC, NHS, QCDA x Source: Blockfyre Research | QUANT Network website • Gilbert Verdian is the chairman for the ISO TC 307 Working Group for Interoperability of blockchain and distributed ledger technology systems. The ISO TC 307 is for blockchain as a whole not just specifically Interoperability. • Quants Advisory board includes: Chris Adelsbach, London-based entrepreneur, FinTech investor, advisor, and mentor. He is a Managing Director at Barclays Bank accelerator Techstars. • Renier Janse van Rensburg, who has Over 20 years of management experience in governance and compliance.
18. Quant Rating Product 10/15 Community 11/15 Traction 8/9 Team 3/3 Trading 9/12 Network 10/15 Whitepaper Competition Speed Value Roadmap Website Social Media Communication Advisors Influencers Development Status Number of txs Partnerships Background Team Profit (1 month) Profit (1 year) Exchanges Token distribution Google Trends News Mentions Twitter Follower Telegram Follower Reddit Follower Total score: 51 / 69 = good investment opportunity x
19. Conclusion x General opinion about Quant Other interoperability project forces clients to use at least one particular blockchain, Quant has virtually no limitations in this regard. Flexibility and fast implementation are fundamental aspects for big businesss, and Quant definitely emphasizes their ability to potentially cut out the need for the development of new systems or perform complete overhauls of existing networks. High upside potential If the team successfully solves the single-ledger dependency problem, there will be enormous use for the OverLedger, as multi-ledger applications are built and used on top of the OverLedger technology. The Token economics and wide-ranging business models are perfectly alined, in our opinion. Long-term investment Over the long term, Quant has the chance to become the standard for blockchain interoperability. Therefore, Quant is highly depended on the success and rate of Blockchain adoption in general. This process will take time. One thing we have noticed is the vast community support behind this Project, which is always a significant factor when evaluating long term Investments. Risk & Concerns Although the market potential seems to be huge, we still expect the interoperability space to be in a make or break situation, where one big player will become the go-to solution. Quant seems to be positioned very well for this task, but unpredictable factors are playing a significant role here. Quant remains a high risk/high reward investment. This is not a huge concern but Quant is missing an updated roadmap.
20. Technical Analysis (June 27 2019) x • Price has breached the uptrend today which isn’t the best sign but there is still plenty of chance that we see a higher low as sell volume continues to decrease. Failing a higher low, I’ll be watching for support to hold strong at around 41,000 sats. Breaching this support would invalidate the set up but it’s advised to watch out for a stop hunt before rushing to sell your position or write off an entry. • If price does bounce at 41,000 then first target for me would be resistance at 70,000 and breaking this level could see further upside to another key level at 80,000. Please keep in mind that this is on the daily timeframe and won’t happen over night! • This is my unprofessional opinion of $QNT and should not be considered as financial advice. @crypt_malone • Quant has shown great strength throughout the month of June despite Bitcoin showing complete dominance over alt coins. Price has respected key levels and I’m hoping this continues.
21. Blockfyre Jonathan Habicht Simon Dedic Disclaimer We are currently holding QNT. We have not been in contact with the team If you like this review, don't forget to share it! Follow Blockfyre x