In this ICO review we take a closer look on the CoinMetro ICO. You can read our findings and our thoughts based on their communication, white paper and the market. We at One2Crypto do the research for you, so you can save time. This ICO came to our attention after we posted the Top 4 February ICO. Nevertheless this ambitious concept deserves a proper review.
What is CoinMetro?
Target Market: Financial Services, Trading, Asset management all-in one for mass market
Development Fase: concept is based on experience of key investor forex broker FX-PIG, broker license, some partnerships, ready to build the platform
HQ location: CoinMetro ITO takes place from Hong Kong. CoinMetro operations is located in Georgia. CoinMetro is backed by Vanuatu-licensed Forex broker FXPIG (close to Australia)
Community interaction: High
“Mass adoption of cryptocurrencies needs a marketplace that is accessible to all.”
CoinMetro provides an avenue for both newcomers, as well as professional and experienced currency traders to begin trading in cryptocurrency in a complete and supportive financial platform,. Through a tokenized ecosystem, the trading platform supports investment options such as professional asset management and ETFs. It will also allow users to invest in up-and-coming Initial Coin Offerings (ICOs). The idea of the CoinMetro platform comes from an experienced regulated Forex broker named FXPIG. This company, originally licensed in New-Sealand, sees an major need of incorporating the cryptocurrency market in the broker market:
CoinMetro Revenue Model
- TAM – Tokenized Asset Management based on a successful managed account model we created at FXPIG, TAM is designed to let anyone partner with a pro trader to grow their portfolio.
- ECTFs : Electronically Traded Crypto Funds
CoinMetro aims to build a financial platform with broker-features. Doing so by focussing on four elements and a lively ecosystem with its own token, named COIN (XCM). For the use of one of the elements CoinMetro will charge per operation 0.1% as its revenue fee. This is on all exchange operations, all TAM token purchases or sale, on all ETCF purchases or sales, on all ICO Express token purchases, etc.
All platform fees are charged in the base currency of the underlying operation but converted, on our exchange, and paid to us in our COIN (XCM) token, thus increasing demand for the token as platform usage accelerates.
CoinMetro vs Competitors
As more projects begin to explore tokenization of assets and services, CoinMetro is positioned to emerge as a forerunner in the financial services sector. CoinMetro plans to offer new ICO’s an interface for easy token issuance through our ICO Express platform, as well as bring liquidity to the ERC-20 space through our exchange and ETCF Platform.
As CoinMetro states it wants to set it self apart by integrating many relevant services. When pulling this of they will not only leave the traditional market way behind, the platform will be able to compete with the current cryptocurrency trading platforms. Have a look on the comparison between CoinMetro & Binance:
The many extras CoinMetro aims to provide are important to differentiate form the competitors. But on the other hand the many elements to create and maintain could be a tricky job.
CoinMetro & Technology
On date of writing this review CoinMetro has a clear concept of what it wants to offer and how it wants to realise this. Some elements are even connected to wished for or signed external parties, like BitGo. Nevertheless a working minimal product is still to be made, but the working platform of founding investor FXPIG gives confident. Each of the 4 elements the platform should contain has it’s own technology requirements. In short:
CoinMetro’s cryptocurrency wallet system will allow clients to hold, deposit and withdraw in the five largest digital currencies by market capitalization (~80%):
-Bitcoin Cash (BCH)
CoinMetro plans to incorporate support for additional wallet platforms, adding more and more assets over time. Including ERC20 tokens, which will form the base for its EFTC platform.
CoinMetro will handle cryptocurrency deposits by generating temporary “receive wallet” addresses. Behind the scenes, assets from these temporary wallets will move to “cold storage wallets” constantly. By partnering with BitGo, the industry leader in multi-signature, multi-currency wallets, CoinMetro plans to offer clients convenient and secure services through BitGo’s multi-signature technology.
Generally, cryptocurrency exchanges are at least “semi-centralized,” given that assets are often held by the exchange on behalf of its client base. The move toward fully decentralized exchange mechanisms has begun, and CoinMetro plans to take a proactive approach to this technology. The CoinMetro team sees technology like Polkadot, Cosmos, and Aion approaching, and understands that atomic swaps and cross chain communication will be extremely significant going forward. CoinMetro intends to offer atomic swap-like ‘peer-2-peer secure exchanges’ using time locked smart contracts where no third party intervention is needed to complete the transaction.
CoinMetro Lending Services
CoinMetro plans to offer BTC, LTC, and ETH lending options.
CoinMetro will be developing its tools based on the NEM blockchain. A private NEM blockchain is used for storing sensitive information, ensuring data immutability. Even in the event of a compromised database, a full NEM backup will exist containing a 100% in-tact blockchain record of all pertinent data and user verification statuses.
Who is behind CoinMetro?
“Our platform has the potential to bring stability to the blockchain market, helping smooth out the frenetic highs and lows the currencies experienced in late 2017 and deliver a more stable and predictable marketplace more akin to that of fiat currencies.”
Integral to CoinMetro is the relationship with FXPIG. A crossover of team members, technology and revenue from FXPIG enables CoinMetro to bring industry experience, technology, and proven models into the CoinMetro platform.
FXPIG was the first FX Broker to push transparency, the first to really focus on their client’s profitability, to align their goals with their client’s goals, and FXPIG, unlike most, invested in technology that actually works. CoinMetro looks to bring these attributes into the crypto space.
CoinMetro Community & Contact
I have checked the CoinMetro Telegram, Facebook, Twitter & LinkedIn accounts. On every channel there is activity to be found. The team members are to be found and the communities have active admins who are supportive in answering all kind of questions. Check them out yourselves:
Telegram Group: https://t.me/CoinMetro
What is the CoinMetro development plan?
CoinMetro will be progressive when it comes to regulation. Looking to acquire Crypto specific licenses and licenses where we feel regulators will package crypto in the near future, speculating that the same thing that happened in the FX markets in the early 2000’s will happen in the Crypto Space.
As you can see the core platform will be launched just after the ICO. At the same time the company still has to realise the fact of getting broader licensed. With all the developments in each country on regulations this could be an interesting, hard journey. The god thing is that CoinMetro is already in progress to gain some important go-to-market licenses in several parts of the world:
Hong Kong – The base of our token sale and future Asia hub for the CoinMetro Group of Companies.
Georgia – TbilisThe parent company. Awaiting approval of an eMoney registration with the National Bank of Georgia. No tax in GE on reinvested profits.
Estonia – TallinThe EU arm and base for the exchange. Currently awaiting approval on an Alternative Payment License as well as a Fiat to Crypto Exchange license. Our gateway to EU bank relationships.
The CoinMetro team has done a great job on providing tons of information on its website. Including several movies, a pitch deck and a very detailed white paper (see image with index)(. Easy to read, containing all elements and congruent with all information shared earlier.
>> Read the CoinMetro white paper.
What is the CoinMetro ICO/ITO about?
CoinMetro launches an ICO to fund the development of its financial platform / ecosystem. The founding company FXPIG lends CoinMetro an 7.5 million $ to initiate the ICO. This happened end 2017 and will be paid back by CoinMetro in the coming years via a buy back program.
CoinMetro COIN (XCM)
Token supply: total 500.000.000 COIN
Hard cap: $35.000.000
CoinMetro introduces COIN (XCM) token; a unique digital asset that powers CoinMetro, a one-size-fits-all fintech platform fueling the future of blockchain innovation. The token can only be used within the to be launched Exchange platform of CointMetro. It won’t be listed on other exchanges. CoinMetro intends that holders of COIN tokens will be offered discounts on fees on platform services based on their overall COIN holdings. The more COIN they own, the higher the discount will be. This will likely incentivize clients to buy and hold COIN, further reducing the available supply. As you can see in this image the tokens can be Bought or Sold for the mentioned platform elements:
In order to create a strong long term value proposition for COIN, we intend that 1%, 5%,
10% or 33% of each fee payment will be burned. As usage of the platform accelerates, the availability of the COIN token will diminish, thus decreasing supply and helping to maintain a competitive economic model for COIN.
CoinMetro ICO process
Public sale: February 21st 2018 at 21:00:00 UTC 300.000.000 COIN (XCM)
Pre-sale: December 2017 50.000.000 COIN (XCM)
Payment methods: ETH, BTC, LTC, BCH,
>> Extra: CoinMetro use Flash Sales to hype it’s token sales. Next flash sale is on 14 February. Register here. <<
Vesting Rules for Certain Pre-Token Sale Participants
COIN token purchased at 0.03 and 0.05 EUR will be subject to a special vesting schedule to support a stable pricing environment when the token is distributed and tradable in April, 2018.Participants buying in at 0.03 EUR will have access to 20% of their total purchase after an initial vesting period of 90 days following distribution. The other 80% will be vested for an additional 90 days. Participants buying in at 0.05 EUR will have access to 33% of their total purchase after an initial vesting period of 90 days following distribution. The other 67% will be vested for an additional 90 days. NOTE: the vesting period commences on the date of distribution not on the date of purchase.
Distribution is scheduled for April of 2018.
How to participate in the CoinMetro ICO?
We are currently creating a guide on how to participate on the CoinMetro ICO. A step by step guide to get in and transfer crypto’s to CoinMetro for COIN XCM tokens.