Update: Cove Identity have delayed their ICO, see: https://medium.com/coveidentity/we-are-delaying-our-ico-e85120997cdf
Cove Identity published it’s white paper this week and their token pre-sale kicks off on September 21st.
Cove Identity looks after your identity by providing a secure store for your digitised documents and a scheme to provide verification both of their integrity and validity.
What seems unusual about this project, in theses heady days of ICO pick and pack, is that the app, at least the MVP (minimum viable product), is already available for both Apple iOS and Android. You can install and start using it right now – it’s straightforward, I’ve tried it. At the moment it is just a store for you to store scans of your documents securely.
The team (founders and advisors) look strong with lots of tech startup experience on both the technical and business side (often missing).
The tokens utility is in their use for the verification processes of which there are several: Offline/Traditional; Peer-To-Peer; Digital; Video; Automated; agents and Business Partners and Document Issuers (the highest level of verification). The process allows for cross verification too.
The system offers a granular sharing system so you choose how much you share and allows tracked sharing and the ability to retract a shared document after it has be validated. Also the ability to sign up to services without sharing your data.
The Token Sale
Interesting that the split between development and marketing in use of funds is about the same (39%/33%) which shows a realistic outlook.
There will be 1 billion tokens (Shells). Up to 100m (soft cap 5m) will be available in the pre-sale with discounts of up to 40% and 410m available in the Crowdsale – no details yet, but terms won’t be as good as the pre-sale – and this may be limited and some held for a further crowd sale in 2018. Team and advisors get 200m (20%) with a 2 year lock in and phased release after that. There is 1% set aside for bounties.
The remaining 280m are set aside for the Eco Fund: “This fund can be used by Cove team for incentivising new participants and token holders, early participants, running developers hackathons, and other contests required for marketing purposes”.
The target they are looking at raising is $10-$15m in this sale, although the crowdsale hardcap is $41m, which maybe a little ambitious in the current climate. However, holding some back (or not selling all of them) and going for a further round in 2018 with a market related price, after the product has had more proving and some of the verification deals are in place, maybe a successful approach.
The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.