Team: Dr. Ben Goertzel of SingularityNet, as an advisor. The rest of the team have the skills and expertise to manage this project.
Concept: It's referred to as a stablecoin, but technically speaking, I would qualify it as a stablegrowth token. It is not meant to be pegged on US currency, but rather a specific index of a cause, and that part is a bit fuzy, for example it could be pegged on an indice related to SDG goals related to progress toward sustainable environment. I would say depending on the index, it could prove to be difficult to generate enough ROI to be fully collateralized, but some other index grow slowly, so in these case, if they have proper asset manager generating the necessary returns to be over-collateralized should be achievable. Their concept is different than my own project on stablegrowth token, but it is a decent solution and deserve a review.
The important of a stablegrowth token to the crypto-industry and non-crypto industry is massive. In regards to the crypto-industry, most token pairs on DEX and CEX are stablecoins such as USDT, USDC, DAI, etc. all pegged on US currency that lose value every year due to inflation and constant money printing of the US government. This is not going to change, so if your liquidity pool of your token is paired with USDT, that means if your token grows by ~10% per year in comparison to USD, then technically speaking you did not increase your purchasing power, because the devaluation of US dollars is around 10% per year (yes, it is greater than the disclosed CPI, and I won't go in details here, but the CPI is not a perfect metric of true inflation rate). So, this means crypto projects that have millions of dollars of USDT in their liquidity pool paired with their own token, are bleeding purchasing power every year... not ideal. Meanwhile, for non-crypto industry, there is $180T currently held in banks worldwide that belong to businesses treasury. The crypto-industry would be vastly larger if those businesses would transition their cash reserve into crypto, however there is no incentive to do it at the moment. If they held their reserve in BTC or ETH, they could massively suffer when there is a downturn of the market, which would put them at risk if they can't pay their employees/suppliers. Meanwhile, if they come just to use stablecoins, the financial incentive is the same as sticking to the traditional banking system. So, a stablegrowth token that shield these businesses against inflation will eventually become the way to transition them into DeFi as oppose to traditional banking. That's the biggest opportunity for the crypto industry.
Obviously, such tokens won't be a pump and dump scheme, but it would be more like investing into real estate in terms of risk/reward ratio I would think.
Risk: is picking an appropriate indices that grow decently and stably and having asset managers that are able to generate enough yield without excessive risks/mistakes. Show Less
