FUNDYOURSELFNOW (FYN tokens, Kickstarter blockchain competitor
Today I would like to present to you FUNDYOURSELFNOW project, which, due to its poor advertising, didn’t get much attention from the cryptocommunity. At the moment, there are not many people who heard about this project, but I want to fill the void with my review. I have put some effort into it and I hope you will find it helpful and enjoyable.
First of all, we need to get acquainted with the team of FYN project.
The team consists of Singaporean blockchain and software developers with a bag of experience.
So, Jack is the founder of Pinnacle One Consultancy, a Singaporean based web design and solutions provider.
He has 10 years of management consulting experience and won the “Consultant of the year” Award given by the Singapore Business Advisor & Consultants Council.
Kenneth is the COO of Pinnacle One Consultancy. He has over 10 years of experience in software development. He started off with at Accenture, working on large scale ERP projects. At Pinnacle One Consultancy, he was responsible for delivery of IT projects to over 100 different clients.
Junyi has 7 years of experience in the vetting and development of cryptographic solutions, with experience in static analysis and code coverage for both software and hardware implementions of mission-critical algorithms. He started off mining ethereum and has developed on smart contracts for business applications.
With over 25 years of experience in IT industry, Venkat Krishnan has worked on domains ranging across different industries.
Mr. Carlos Luis Salas Porras was formerly the CEO of Success Dragon, a listed company in Hong Kong Stock Exchange. Carlos also serves as the CEO for Nogle Pte Ltd, a leading Asian venture studio firm.
Basically, FYN is aiming at becoming the biggest crowdfunding platform with cryptocurrency financing/contributions. It wants to solve the problem of economic inefficiencies, responsibility problems, and high fees of such crowdfunding platforms as Kickstarter and Indiegogo. At the moment, there are not a lot of players in Ethereum ecosystem who are trying to push cryptocurrency crowdfunding to mainstream. But let’s first look at the details of how FYN will work.
FYN wants to become a crowdfunding platform where it will be extremely easy to launch your ICO, where investors will be able to vote whether or not to release another portion of funds to the projects, and where you will have a huge community that will help you out with different project needs.
The main idea of FYN is to standardize ICOs and popularize this method of raising funds in the current crowdfunding communities of Kickstarter, Indiegogo, etc.
The developers will create a standardized bounty engine, so that projects that may need support from the members of FYN will get what they need.
Creation of ERC-20 tokens will be standardized and will depend from project to project.
In order to ensure safety of at least part of the contributors’ funds, there will be a possibility of creating projects with milestone-based funds release mechanism. I am 100% for this feature in every project that comes to ICO stage. I am sure that a lot of projects’ future will be known before the release of the next tranche of funds to the founders.
In order to be inclusive and to widen audience, the project will integrate web wallets to their site, this way they will be able to gain more contributors and project creators. Also, they will introduce their own exchange of digital assets on their site, so that anybody can exchange their project tokens to ETH or BTC.
FYN’s market is a fast growing one. Which is it?
Of course, it is crowdfunding. Kickstarter and Indiegogo are the two largest competitors on the scene. But also we shouldn’t forget that the developers of FYN are planning to cover the market of ICOs, too. Meaning that they will allow the creation of profit-sharing tokens and dividend mechanisms.
Here is the crowdfunding market graph. IF you want to get deeper into understanding the market, there are couple of links at the bottom of the slide. Well, if you want general information, the market is truly enormous and about to double by 2020, reaching $100 bln.
If you have seen my previous videos, you may already know what one of the competitors on cryptoscene of FYN is Wings DAO, but if you look closer at the project, you will see that, actually, FYN is willing to compete with Kickstarter and Indiegogo. The founders want to do the same things as Kickstarter but with cryptocurrency and smart contracts. This way they can be much more efficient.
The whole industry is expected to grow 26% annually until 2020.
At the moment, the valuation of crowdfunding is more than $50 bln, and as I said earlier, this number is expected to double by 2020.
In my opinion, cryptocurrency and smart contracts could really revolutionize the whole industry, so I am hopeful that FYN will achieve its goals. Let’s now move to the most interesting part, the investment attractiveness of the FYN project.
Here I will answer the question why investors should invest into this project. Let’s start.
The value comes from listing successful projects on the platform. Tokenholders will receive benefits each time there is a successful crowdfunding campaign.
There is going to be 5% listing fee for the projects, meaning that 5% of collected money will be transferred to the investors and FYN development team.
In order to be competitive, there is going to be no other fees, like Kickstarter has. By doing this, they will improve their attractiveness in comparison to Kickstarter by at least 44% (usually, Kickstarter and Paypal, by the means of transaction fees, together take 9% of all crowdfunded money)
20% of the 5% fee revenue will be distributed to tokenholders of FYN.
Other 80% and later 95% will be used to reinvest into company. Why 95%? I’ll explain.
FYN is willing to become a billion-dollar company, so they expect that later even 1% of their revenue will be a huge number.
By the end of 6 year and onwards, the investor revenue share will decrease to 5%.
As you can see ,this is the table the FYN provides as an example of possible revenues for investors and for the platform. Observing current ICO market I see those numbers as quite conservative. As you can see, after 6th year, the tokenholders will receive only 5% of revenue. If we assume that the FYN becomes successful, even that share can be beneficial for the investors. But if FYN is not able to reach needed popularity then, there may be a problem. Here everything depends on how professional the FYN team is, and how ready will be the market for their product. Judge yourself.
Let’s now see what is up with their crowdsale.
First, generally, they are more generous than other projects in terms of tokens distributed to investors. From the other side, 20% and then 5% revenue sharing, in my humble opinion, is quite low. It would be much better if they left the revenue sharing at 20% throughout the existence of the project, but they make decisions and not me, so …
ICO will start on 2nd JUNE 2017 at 14:00 UTC+8.
It will distribute 80% of all tokens to investors, ICO is capped at ~80 000 ETH at current prices. They want to collect about $12.8 mln
1ETH will equal 120 FYNs for the first period, then they will decrease this number to 100 FYNs for 1 ETH.
Founders, advisors, and bounties will get 20% of all FYN tokens.
Allocation is mainly based on business development and marketing, then R&D takes 25%, and Legal & Operations take another 25%.
Let’s now compare the advantages and disadvantages of FYN.
First, as I mentioned before, it is extremely good when projects have working prototypes before the ICO, and FYN has the working prototype. I recommend everyone to try it out if the project got you interested!
Then I can see that team has vast experience in software development and consulting services. I am sure that it will be useful for them while building their platform and making it popular. Also, it is very important that they have open identities.
Another advantage is the competition. There is almost none in the sphere of cryptocurrency crowdfunding platforms. If they are able to deliver the easy to use, comfortable, and nice-looking product, I think they may become successful.
If FYN becomes popular faster than we expect, there may be a very lucrative stream of dividends to tokenholders. Especially important is that their ICO is capped at approximately 80 000 ETHERS, so that there is not going to be huge dilution of tokens.
Disadvantages: UI/IX in my opinion needs quite a lot of work, they certainly need to work more on their brand and design.
Current platforms for ICOs, such as WINGS DAO, can be a threat to FYN in future. Even though, FYN wants to concentrate more on the audiences of Kickstarter, WINGS DAO can become a platform which will be better than FYN.
Another big disadvantage is the gradual decrease in revenue share for investors. I really would like them to leave this 20% alone and not decrease it to 5% by 6th year.
Maybe crypto crowdfunding will not become popular, who knows. Anything can happen, right, guys?