Blockchain Investor Analysis

Augur

REP
Current Price $12.93 (+1.7%)
Augur (REP) is a decentralized, blockchain-powered prediction market that enables anyone across the globe to bet on the outcomes of events. REP is an ERC-20 token used to engage with the platform.

Our Rating:

Market

Problem that it solves

Augur is an

Customers

Individuals interested in Augur will primarily be gamblers or people interested in forecasting the outcome for certain events.

Value creation

For individuals interested in betting on outcomes of decentralized prediction markets, REP token adds value as it is used on the Augur platform. Otherwise, there isn't much value in this token.

Market structure

The market for it composed of individuals interested in the wisdom of the crowd and people who want to bet on the outcomes of a wide range of different events.

Market size

There is very large potential within the gambling industry, which easily exceeds $100 million on an annual basis.

Regulatory risks

Due to the gambling aspect of the Augur platform, the REP token faces regulatory risk.

Average Market Score

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Competitive Advantage

Technology/blockchain platform

REP is an ERC-20 token built-on the Ethereum blockchain.

Lead time advantage

Augur is the leading decentralized, blockchain-powered prediction market and benefit from a strong lead time advantage.

Contacts and networks

Augur's founder, Joey Krug, is acquainted with Ethereum's creator, Vitalik Buterin, and has a strong backing from the Ethereum community. It should have no trouble accessing key players in the digital asset market.

Average Competitive Advantage Score

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Management Team

Entrepreneurial Team

Jack Peterson and Joey Krug are two well-known players in the market and bring a track record of success to the project.

Industry/technical experience

Augur launched in 2015, which means its team meets the 10,000 hours requirement.

Integrity

There have been reports of internal conflicts with the Augur project, but nothing that would suggest the project itself is dishonest.

Average Management Team Score

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Token Mechanics

Token required

REP is a utility token used to interact with the Augur betting platform.

Value added

For the most part, Augur is used only on the platform itself, which means it doesn't offer much value outside of its own blockchain.

Decentralized

Since Augur predictions are made by users around the world, the platform is quite decentralized.

Token supply

REP has a total coin supply of 11 million tokens.

Public exchange

Augur tokens are available on many exchanges, including Binance, CoinEx, Coinbase Pro, and others.

MVP

The Augur platform has been live for two years.

Average Token Mechanics Score

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User Adoption

Technical difficulty

Understanding the Augur project can be challenging even for those comfortable with blockchain.

Halo Effect

The project has Vitalik Buterin as an advisor, so it's safe to say it has close ties with a well-regarded project.

Buzz

Augur received a lot of buzz when it launched but that has died down since.

Average User Adoption Score

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Overall Score

Weighted Average of the five section scores above

Blockchain Investor Analysis

Augur refers to itself as "the world's most accessible, no-limit betting exchange." Anyone in the world with an internet connection can access the platform, purchase Reputation (REP) tokens, place bets, and take part in the decision-making process using their REP tokens.

Outside of the Augur ecosystem, however, REP has little to no value. Its value is, therefore, closely tied to the success (or failure) of the Augur platform. Should decentralized betting on the Ethereum platform take off, so could the REP token, provided Augur can maintain its market-leading position.

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