Countinghouse - Business Analysis

adekogbe (53)in #blockchain • 6 years ago (edited)

In this piece, I will be performing a business analysis of countinghouse using the SWOT analysis business tool. Swot analysis stands for Strength, Weakness, Opportunity, and Threat, these represent the internal and external factors that may play a role in the success or failure of the platform.

SWOT Analysis

Strengths

Better Than The Competition: The competitors in the market countinghouse is going to be operating are majorly individual traders either experienced or not countinghouse will be providing its investors with an edge over this competitors with its depth of resources experience and a team of seasoned and experienced traders combined with a successful algorithm which can always be improved upon to ensure more profitable trades.

Already Successful Methods: A lot of crypto projects claim to have working prototypes but only a few have prototypes that have actually worked successfully over time in different market conditions. What most projects have is a platform that may be successful but is largely untested. Countinghouse is not one of such projects and the methods and practices the project will be applying on trades for investors have actually worked successfully in the foreign exchange market and has been tested in the cryptocurrency market over a period of a year with even bigger results.

Weaknesses

In the blockchain and cryptocurrency space, true decentralization is a value that people follow and everyone wants to be in total control of their money. This is the same reason why people do not leave their money in exchanges even DEXs.

With countinghouse, investors will have to forfeit this control for the period the funds are still trading and although they will have full transparency of the process, not everyone may be willing to forfeit control of their money. Considering some exchanges have fallen victims of scam hacks in the past and people are more skeptical about leaving their funds with any platform, this could be a big challenge for countinghouse.

Opportunities

Countinghouse is entering into the cryptocurrency trading market that sees over $20 billion in daily trade volumes on low days with the top 10 exchanges having over $200 million In daily trade volumes and the very top 4 surpassing $1 billion daily trades. This is a market with enormous opportunities.

However, counting house is not an exchange but offers something different something more which is a fund. A platform that does not require traders to be stuck on their screens daily in order to execute profitable trades. Countinghouse offers a chance for investors to make money on autopilot which is bigger than what any current exchange offers.

Considering countinghouse algorithm thrives on highly volatile conditions, the crypto market has that in abundance and instead of people making panic decisions in the times of market volatility, they can be rest assured countinghouse will manage their investments.

The opportunities for this project is huge and it has the technology and team to reach its set goals.

Threats

The threats crypto projects encounter mostly comes in the form of competition, and while countinghouse may provide a better platform and technology to most potential competitors of crypto startups, there is no telling the kind of competition the major hedge fund institutions will provide.

The crypto space is still subject to a lot of regulations and with encouraging news and positive regulating laws will come more attention from the institutional funds which may decide to laugh their own blockchain based initiative. This will pose a big threat for countinghouse as the platform wouldn't be competing with individual traders anymore but bigger institutional funds.

Conclusion

Based on current analysis, the positives outweigh the negatives as the threats most especially are subject to ifs and maybes. The strengths, however, provide a solution to existing problems and the project has an entry opportunity into a largely unrivaled market.