ICO Analysis: ONZ Coin

ONZ Coin strives to be the blockchain for social networks; the ONZ team strongly believes the sense of actual belonging is a fundamental human need, our need to connect and interact with each other to live. ONZ Coin is trying to use blockchain technology to share positive interactions across social networks to impact people offline. The ONZ Coin is a blockchain project to break down social barriers to provide people a sense of belonging and self-worth.  The organizations states their mission as the following:

“ONZ team strongly believes that the sense of true belonging is the fundamental human need, our need to connect and interact with each other to live. But nowadays, we face a crisis of separation arising from a split of lotus in politics and ideology. When people turn against from each other distrust and rage, that are lonely, untethered and scared. ONZ team reckons that with technology the team may be able to do something about it.”

ONZ poses the question, has social media made us more isolated? In some aspects, people are losing their in-person communication skills, and are continuously glued to their phones. However, social networks have amplified individual’s reach and ability to connect with like-minded individuals across the globe. ONZ is building a token-based social platform to try and bridge the gap between social and real-world interaction. According to the ONZ white paper, the project has completed some test development on their testnet with a development stack built on DPOS blockchain technology, providing an efficienr and flexible model. The ONZ team also claims it launched a few internal proof of concept projects via an POW/POS altcoin platform on social media smart contracts. ONZ is a fork of LISK, which is a public blockchain platform that provides decentralized blockchain apps. As a forked cryptocurrency, ONZ runs independently as an individual blockchain network.

Token

Deemed as a social value coin, ONZ Coin provides a mechanism for appreciation spreading across various social media platforms. The coin aims to model the weighting of an individual in social media, based on their Activity, Recognition, Influence and Assets. This sounds very similar to a Klout Score or other social media influencer weighting systems. The whitepaper lists the coin value of ONZ Coin at a fixed price of 0.0000037 BTC. 

For all its ambition, the organization fails to show real-world application of the coin or a business case use for the application of the ONZ Coin. The lack of use cases makes it difficult to valuate ONZ favorably. 

Team

I was unable to find any information about any team member associated with ONZ Coin. There are no team members listed in the whitepaper, while LinkedIn and the company social accounts are days old with no person associated with them. The lack of executive presence in the whitepaper is cause for concern from an investor standpoint and from a blockchain community who values transparency. This is a major red flag for prospective investors attracted to this project. 

Verdict

The ONZ Coin project is vague. The whitepaper is riddled with spelling and grammatical mistakes. The company does not provide any revenue roadmap, there is no target customer base mentioned for customer acquisition strategy or team members listed who are behind the project. The concept of social media interoperability is promising, but this project reads like a sociology experiment rather than a business to invest in.    

Risks

  • The whitepaper clearly lacks support of individuals who stand behind the project; there is no visible team in the whitepaper or anywhere online including the company website. –3
  • The primary mission of this project is very fluffy; there is not a leg to stand on from a business case perspective, and if you remove the word blockchain from this project, the idea falls well short of any investor benchmark. -4
  • If this organization does get funded, there are still significant barriers to use that will depend on existing social media networks adopting the integration of their social media adopter technology as well as gaining user adoption. –1

Growth Potential

  • The description of the technology stack looks succulent for fast, inexpensive transactions; with the increased price of bitcoin transactions as well as Etherium network volatility, faster and efficient blockchains will be sought after in the very near future. + 2  

Disposition

Based on the above analysis, we arrive at a score of -6 out of 10 for ONZ. Run for the hills; this is not a viable project. There are no validated team members listed, no valid business case use for the ONZ Coin.  The idea lacks key elements from a business perspective, including but not limited to how it will attract customers, how it will service those customers, how it will facilitate product adoption, what partnerships will be required for business success and what the ICO funding will accomplish. The blatant lack of transparency (i.e. Whois lookup, private listing with GoDaddy) is another major red flag. Project like this give ICOs a lousy reputation.

Investment Details

  • Type: Crowdsale
  • Symbol: ONZ
  • Token Sale: Jan. 22, 2018
  • Platform: ONZ individual blockchain
  • Tokens Available Via ICO: 135,000,000 ONZ

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