Signals Network (SGN) ICO Analysis: A Smart Marketplace with Trading Strategies

in blockchain •  3 months ago

Executive Summary

Project Description

By the end of the 20th century, the financial and trading industries were transformed when the traditional auction-to-computer transaction model was replaced with the new and vastly-improved algorithmic trading systems. The machines came with some notable advantages over the old human-based model: they could process huge datasets and they ran 24/7. In a sense, with the cryptocurrency markets, we are seeing a repeat of that. The market is becoming increasingly popular and lots of people want to invest actively and become crypto-traders. However, these people may not have the technical support they need, forcing them to rely on nothing but their instincts.

Signals want to provide crypto-traders with technical support, and they aim to do this by connecting the traders with data science developers. They plan to develop a user-friendly platform for building, training and monetizing crypto trading strategies.

The Signals platform will allegedly have various marketplaces, with users having the option to choose between various data, trading indicators and strategy inputs. The trading indicators are expected to range from technical analysis to crowd wisdom insights, and strategies may be combined with indicators and other data sets to form an automated trading strategy using the Signals Strategy Builder. The project claims that reports highlighting performance and statistics will be generated for each strategy and made available to users on the Signals platform. Strategies that are known to work — with a high percentage of success — may be listed for copy trading and made available to other users on the Signals Strategies Marketplace. A third-party bot will allow these users trade on the Signals platform using the strategies and the service will cost a fee.

Signals will also reportedly provide a cloud-based solution that will connect strategies made using the Signals Strategy Builder to a crypto exchange of the users’ choice. To improve security, Signals are also expected to provide an open-source desktop app that can make automated trades in the background.

Their token, SGN, will be ERC20 compliant and it is expected to facilitate payments for all features on the Signals platform. Signals’ business model has 2 major revenue streams: the first is from purchases made by users in their marketplace. The other is a subscription model that users have to pay for to deploy their strategies; there will be several tiers depending on how many strategies the user deploys.

Existing Product

An alpha version of the Signals Strategy Marketplace is currently available.

Hard Cap and Valuation

There will be a total of 185 million SGN tokens and the project aims to raise $18.5 million for 50% of the token total. The remaining 50% will be shared thus: 20% will be used to develop the Signals platform, 18% will go into reserve (10% will be locked for 2 years and 5% will be locked for a year), 10% will be shared among advisors and collaborators, and the final 2% will be distributed in a Bounty Reward Program.

During their presale, there was a 30% and Signals were able to raise $500,000.

Price Per Token

1 SGN is valued at $0.36 (without discount).

At the beginning of the token sale, there will be a 15% discount. This figure will gradually reduce and the last token will be sold without discount. Furthermore, there is a minimum limit of 0.1 ETH during the crowdsale.

During SGN presale, 1 SGN was priced at $0.253874.

Important Dates

SGN token sale is expected to start by 14:00 UTC on the 12th on March, and it will end either when the hard cap is reached or 4 weeks after it started.

Marketing Power

As at the time this post was published, Signals network had almost 30,500 members on Telegram, over 15,400 followers on Twitter, over 10,600 followers on Facebook, 580+ subscribers on Medium, and over 370 Reddit readers.

Prominent Advisors

Benn Godenzi, Blockchain Entrepreneur

  • Marketing Advisor at Wanchain.
  • Director of Marketing at Aion Network.
  • Strategic Partner at ShipChain, WePower and Xtrade.io.
  • Co-Founder of Interoperability Alliance (Aion, Icon and Wanchain).

Samuel McCulloch

  • Founder at SmartICOInvestor.com
  • Advisor to various projects.

Team Members’ Areas of Expertise

Business experts

No team member has notable business expertise. However, some of their advisors have significant business experience and they are listed below:

Josef Jelacic, Smart Contract Developer

  • Co-founder & Business Developer at Educasoft — provider of learning management solutions on CEE markets — for over 5 years.

Philip Staehelin, Entrepreneur and Investor

Milan Pasek, Founder & CEO at Quantasoft

  • Founder & CEO of Quantasoft, a web and data hosting provider, for 14 years.
  • Founder & CEO of Serveromat, a Digital Gaming Hosting provider, for 2 years.

Target market experts

Pavel Nemec, Co-Founder & CEO

  • Co-Founder & Backend developer at Famely — a mobile app that uses advanced search and decision algorithms to scoop content from social networks — for a year.

Jan Budik, Algorithmic Trading Expert

  • Derivatives Trader at NATLAND Group for over a year.
  • Portfolio Manager and algorithmic trading systems developer at Grant Capital for almost 2 years.
  • Algorithmic trading strategies developer and trader at Brisk Capital for over a year.

Zdenka Sedenka, Data Scientist

  • Data Scientist at Gauss Algorithmic — a data mining and machine learning organization — for 2 years.

Michael Krajnansky, Machine Learning specialist

  • Master’s degree in Artificial Intelligence and Natural Language Processing.
  • Developer at Semantic Visions — big data collection and programming automatic analysis of textual information — for over 3 years.

Partnerships with iExec, Foxconn (SafeDX) and STOX

  • iExec is a blockchain based cloud computing platform
  • SafeDX provides IT operations outsourcing services and offers cloud services from its own data centers.
  • STOX is a blockchain prediction markets platform.

Marketing experts

Matous Roskovec, Head of Growth Marketing

  • Creative Lead in the marketing team of Avocode — open, share and inspect Photoshop and Sketch designs — for almost 2 years.

Benn Godenzi, Blockchain Entrepreneur

Legal experts

No team member with legal expertise.

Software engineering experts

Pavel Nemec, Co-Founder & CEO

  • ASP.NET developer at several firms, including IReSoft, SDE and Moravia.
  • Co-Founder & Backend developer at Famely (see above).

Pavel Volek, Co-Founder & CTO

  • Front-End Developer at Lusk, a recruitment app, for over a year.
  • Software Architect at Netmail — implementation of cloud solutions — for almost a year.
  • Software Architect at Famely (see above) for almost one year.
  • Full Stack Developer at the Czech and Slovak Packaging Association for 9 years.

Michael Krajnansky, Machine Learning specialist

  • Developer at Konica Minolta Laboratory and Semantic Visions.
  • .NET-Programmer at Kinalisoft, a R&D company that provides ideas and solutions for international companies, for a year.

Martin Solarik, Backend Developer

Blockchain development experts

No team member with blockchain development expertise.

Token sale structure experts

No team member with prior experience of conducting a token sale. However, Benn Godenzi has advised and participated in numerous token launches before and has considerable experience to share with the team.

Token economics experts

Same as above.


Disclaimers:

  • Nothing written in this article is a legal or an investment advice.
  • Information is provided on a best-effort basis and is subject to change without prior notice. Be sure to verify everything you read with a project team.

The analysis was produced by Research Center team members: Alexander Hinz, Mark Jedd, Eugene Tartakovsky.

We are constantly working on improving our work and welcome all constructive feedback. Let us know what you think.

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Sounds like an interesting project. Quite some projects aim to support the investors/traders better. For me it is difficult to determine who will be the winners.

The team looks good although a bit more blockchain experience would have been nice :-)