Amoveo

• Researcher:  Demi Yilmaz
• Score:  3
• Date:  May 15, 2018

Analysis

• is not on any exchange, did not do ico
• Founder (zack) implemented Augur & Aeternity which stil have not launched. Amoveo has launched in Mar’18
• Zack is a solo founder, doesn’t have a team, needs a business/marketing guy to make this project grow faster
• Has managed to attract good developers & built a strong early community
• Naval & Nick Szabo follows him on twitter
• They do everything from github, there is no website or anything like that.
• Mcap is at $6M but it has only been mined for 2 months. Thus a lot of the coins have not been created.
• This means that the market cap will increase dramatically but not the coin price. Also there is an in built governance system where people decide how many coins are going to be generated.
• Which means miners will capture most of the value not investors.
• They create a prediction market where people bet on predictions and the results are concluded with oracles.
• Uses pow (nakamoto consensus)
• In their mission statement they say Amoveo is for derivatives: https://github.com/zack-bitcoin/amoveo/blob/master/docs/mission_statement.md
• Derivative markets are highly developed in developed countries so their target market is southeast asia & africa
• They have 2 way channels & also lightning network for multi people trades
• Smart contracts are in channels
• Amoveo has derivatives not subcurrencies where you can exchance euro, lira, bitcoin, wheat, coffee, oil etc. which are the same price as real market
• Nash equilibrium makes sure people are hones in oracles, when people are dishonest forks people who think the right way will just move to the right fork, miners will defend the right fork for more capial gain
• Zack has lived with Jae Kwon creator of tendermint for a couple months.

Questions

1. does game theory work?
2. How many txps does prediction market needs? How many does Amoveo do?
3. Current inflation rate per year?
4. Why does Zack want to create ASIC?

Answers

1. In theory, game theory should work: https://github.com/zack-bitcoin/amoveo/blob/master/docs/design/oracle_motivations.md
2. Prediction market needs 1tx per person per month. With big blocks and sharding it can scale up to 10B Tx per month. It is not the best solution but a solution that would work: https://github.com/zack-bitcoin/amoveo/blob/master/docs/design/scalability.md
3. Inflation rate will be near optimal: https://www.reddit.com/r/Amoveo/comments/8kqhwn/what_is_the_estimated_inflation_rate_of_amoveo/
4. He wants miners to only be able to mine Amoveo. Asked if why https://www.reddit.com/r/Amoveo/comments/8kqk1n/why_does_amoveo_want_asics/

Risks

1. Futarchy system may decide to mine 2-3-5-10 veo per block at some point and buying tokens may not be profitable as much. (highly unlikely from what I’ve researched)
2. Attacks may break the coin completely. (they couldn’t yet)
3. Some basic fundamental thing could be wrong so the system doesn’t work.
4. Someone else (like Aeternity, Augur, etc.) might fork the coin and use their marketing power to take over oracle space leaving Amoveo in dust.
5. Zack may get bored and stop working on it. (highly unlikely and even so we’ve got a new developer Mr Flintstone)

Conclusion

Tech seems to be strong but the path to market domination is not clear. Zack(founder) has some ideas here: https://www.reddit.com/r/Amoveo/comments/8j91ik/good_tech_but_what_is_the_path_to_market/ so we need to watch & see how it evolves. I believe it will increase in price as people discover this gem. Could easily get to top 100 and probably top 30 on coinmarketcap.com.