Fundamental Pick : Astronaut Capital
Problem to solve
Since early 2017, the ICO market has grown exponentially as entrepreneurs begun to realise the potential of a new funding mechanism that could raise millions of dollars in a matter of minutes. For example, the ICO for a web browser, developed by the creator of Javascript managed to raise over $35 million dollars in under 30 seconds. Such an efficient funding vehicle had never been seen before, even in the world of venture capital. Both institutional and retail investors were invited to participate, finally allowing mom and pop to get in on the ground floor of what could be some of the most innovative blue-chip firms one shall see in their lifetime.
However, although many ICOs have genuinely good intentions and wish to use their funding to create innovative new products on the Blockchain, some saw this as an opportunity to quickly exploit individuals with a false promise and exit the market quickly. Hence, navigating this vast new ecosystem successfully and profiting from your findings is no easy feat for the average layman.
Additionally, the process of registering and applying for ICO crowd sales is tedious and time-consuming, with cumbersome KYC barriers often putting potential consumers off. Despite this, even if they do decide to make the purchase, management of numerous assets after the fact can become a difficult procedure, with many wallets only offering limited functionality for ICO coins.
Finally, although ICOs promise to accessible to all, whether this is actually the case is highly debatable. Prospective consumers must jump through hoops to find exactly where and how to buy the tokens until their funds are needed. This is often the result of a large majority of such assets being sold to large investors prior to them reaching the public market
Solution
Astronaut aims to address the trust, accessibility and management issues of Initial Coin Offerings by providing their own ICO index fund token (ASTRO). Essentially, this allows investors to gain exposure to a varied basket of ICOs without needing to undergo the rigorous due diligence needed in order to profit from this emerging market. The index is carefully balanced by industry experts to ensure maximum profits can be acquired at any given time.
First, to address the point of trust, Astronaut works under the umbrella company Picolo Research. A well-respected cryptocurrency analysis firm with over 10,000 monthly subscribers. They strive to find the most appealing ICO offerings through in-depth fundamental analysis of notable up and coming firms by a team of highly trained professionals. Their articles are clear and concise as possible to help investors understand why a certain ICO has been added to their weighted index portfolio.
Second, in regards to accessibility, ASTRO breaks down industry barriers by buying in bulk from ICOs they wish to add to the index, allowing them to access pre ICO prices and most importantly having the contacts and information to successfully purchase popular projects. This takes the onus off the retail investor and places it in the hands of the well-versed Astronaut team. One merely has to purchase the ASTRO token to gain access to a well researched varied ICO portfolio that is weighted according to market conditions. This universal exposure is often what consumers desire yet simply do not have the time or the resources to pursue.
Finally, on the subject of asset management, Astronaut actively monitor their positions and are not afraid to exit them where a particular ICO has not met their projected expectations. This takes the need for investors to continuously monitor their positions out of the equation, which may be of particular interest to long-term holders or newbie investors who are simply not equipped to tackle this extremely volatile emerging market. Being able to quietly participate in a market using an index allows one to gain exposure to a clearly booming sector without all the associated risks.
Read the full analysis here: https://www.bbod.io/bbod-blog/fundamental-analysis-astro