What is the obvious success of RusGas (are there virtually no doubts about the future success of the project)?
– Today, the chronology of the crypto-currency market can be already written. The period of mistrust to the crypto-currencies was replaced by a rapid growth and euphoria in 2017 when “hot money” of small and institutional investors poured into the crypto-currency markets and contributed to exponential growth of the assets. The views of most speculative investors on the possibilities of blockchain technologies and smart contracts have changed little in comparison with the price of crypto-currencies similarly to cases of mass euphoria or panic in the new obscure market segments.
However, the third trend has also emerged on the background of appearance and disappearance of bubbles promising to become an era in the history of crypto currencies: without paying attention to speculative fluctuations, some market players are committed to long-term investments in the reorganization of various sectors of the economy with the help of blockchain technology. This fundamental structural approach is the result of coordination of efforts taken by crypto-currency traders, programmers and specialists in various branches of the economy.
It should be noted that, currently, investors are not only looking for alternatives to traditional markets in crypto-currencies but are also focusing on diversification of the portfolio within the crypto-currency market by investing in assets tokenization.
RusGas start-up is worth to be highlighted on the background of already implemented projects in the energy sector for a number of reasons.
First, the most of the world’s energy projects are implemented in the renewable, clean energy sectors (hydro and solar energy). RusGas is absolutely specific: it is focused on the development and implementation of scientific developments in the infrastructure of small and medium-sized fields in Eastern Siberia, for a number of reasons that are not of interest to industry giants. Despite of different wording in WhitePaper, you can’t hide the obvious – sponsors of the project conducted official negotiations regarding investments with the owners of deposits and gas processing enterprisesbased upon the level of knowledge the problems in the region. Probably, specific names will be known immediately after ICO.
Due to specific climatic and infrastructure conditions, gasification of certain areas of the region is a more realistic project than an attempt to saturate it from renewable energy sources. Thus, RusGas does not aspire to attract investors exclusively by fashion trends in the industry. In addition, investments in the sector are expected based on existing material and technical base even if it requires a re-equipment. It means, RusGas plans to be engaged in “assets tokenization” in the full sense of the word – investors can be calm: their tokens will somehow be provided with real assets.
Secondly, most projects propose to investors the following: different methods of consumed energy savings, immediate sale of its insignificant surplus in local markets, in particular – options of speculative trading. At this, projects are declared as creation of specific “community economies” locally targeted at the needs on the basis of blockchain technology.
RusGas is an example of deeper locally oriented consolidation. Why? Let’s imagine a vertically integrated chain: gas field, gas pipeline, gas storage facility, gas processing enterprise and polymer sales base. In case of RusGas platform, the owner of a crypto currency will be able to determine the directions for his investments depending on the subjectively chosen factors, i.e.: to finance the extraction of a specific gas volume for immediate sale to energy consumers or to finance the whole chain from the deposit to the sale of polymers produced at a neighboring gas processing plant by increasing the period and the percentage of return on investments.
Thirdly, RusGas, allegedly, plans to create a powerful trade and consulting department similarly to large investment banks and companies working with commodity assets which will help investors to choose a strategy.Creation of a trading department looks like a timely step: firstly, futures for bit coins have already been launched; secondly, creation of a crypto-currency ETF begins. In the near future, it is highly likely that the activities of these ETFs will simultaneously spread to tokenized assets and traditional commodity futures. In case of correct approach, RusGas crypto currency should be strengthened in this situation due to emergence of more market-based mechanisms for assessment of “commodity crypto-currencies”.
Creation of locally oriented, cyclical, energy-based economy is one of the most promising (the most prospective?) trends in the crypto-currency market. This is proved, in particular, by the project “Jouliette at de Ceuvel” launched in the Netherlands by Spectral and Alliander in the field of renewable energy. The idea is that tokens are provided with their own energy within the local community.
Fourthly, the practical interest and likely participation of institutional investors in the project is possible.
There is a point of view that success of ICO depends on the number of “small checks” – massive participation of small investors in the project. This is convincingly proved by the project sponsors of crypto-currency bank Crypterium. However, the gas industry is not a bank. Creation of new mechanisms of work is possible only if there are ready elements of the future infrastructure and they provide the interest of institutional investors.
Finally, ICO passes the moment when the autumn-winter speculative bubble bursts in the market and investors do not need to worry that new crypto currency will inevitably collapse under the laws of assets correlation after bit coins and ripple.
Undoubtedly, the forecasts of Power Ledger bitcoin projects or the aforementioned Jouliette at de Ceuvel regarding the growth of investments in renewable sources of clean energy by 2040 up to 7-8 trillion. USD are impressive. However, everything is known in comparison. Due to careful assessment, good prospects for the growth of traditional energy markets are obvious. Frankly speaking, we recognize that investors are primarily interested in the financial aspect of environmentally oriented markets
In this regard, RusGas wins against its competitors engaged in clean energy. Investors will be able to earn on the implementation of scientific solutions for cleaning gas energy reducing gas volumes that are not effectively burnt in torches.
5. Pay attention to Australian project “PowerLeger”. This project gathered 17 mln. USD for 72 hours in September 2017 and its ICO gathered 24 mln. USD since October 2017. At the end of March 2018, capitalization of Power Legermade up 105, 19 mln. USD; “coin” costs 50 cents and in autumn 2017 – it was only 5 cents. Impulse to growth was the agreement with the Australian government which invested about 8 million USD in the project.
The development of small and medium-sized fields in Eastern Siberia is one of the priority areas regarding all the options of Russian energy strategies. At the same time, there is an obvious shortage of resources and scientific developments. Therefore, similar steps taken by the Russian government are quite expected.
Yes, the Power Ledger capitalization grew strongly in January-February 2018 and significantly decreased by the present day. This means that the market has moved to a more equitable estimate after the disappearance of speculative bubbles around the crypto-currencies.We have meant exactly this fact when wrote that ICO RusGas looks justified precisely in the spring of 2018 from the point of view of speculative fluctuations of the crypto-currency market: investors should not be afraid of a sharp drop in the value of the new currency due to the collapse of the entire market.
We will not conduct a detailed comparative analysis of RusGas project and other ICOs in the field of energy. Concerned parties will be able to compare it with Power Ledger, WePower, Swiss project Energy Premier, Hive Power, HydroCoin.
On the other hand, potential investors should compare the profitability prospects of this project with those in other areas which meet the needs of different industries as sensitively as RusGas. E.g., the Populous project (the platform allows any investor in the world to pay for any invoice issued by the seller) increased its capitalization by 6800% after collection of 10 million USD for ICO in June 2017.
Comparative estimates suggest that the goals outlined in HardCap – the collection of 60 million USD – should be achieved while the level of 25-30 million USD looks more than realistic.