BMJ Score: 3
Quick Summary17 Investors read this
CommentaryAgricultural land will always be the ultimate source of value, and the agriculture market is a $10 trillion industry. While cryptocurrencies have faced scrutiny for lacking intrinsic value, land property is something that is in constant demand, is limited, and can be widely adopted. Before the blockchain, land has been hard to trade, but with this technology, it is possible to create a new instrument of transaction based on land property trades. This is where Fieldcoin comes in by offering a way for individuals to preserve wealth and make a sustainable profit with agricultural land.The Fieldcoin ecosystem strives to transform the land property and agriculture industries while solving issues of liquidity, transaction speed, accessibility, ownership security, and visibility. Essentially, it is a way for individuals to preserve wealth and make a sustainable profit with agricultural land. The platform itself will have three modules. The first will provide a land acquisition and the platform itself will enable valorization and exchange. Second, there will be a peer-to-peer exchange between users on the platform to trade the land. Third, there will be a crowdfunding e-marketplace for users to get funding for agricultural projects. We think blockchain is an excellent use case for removing the high barriers to entry for land real estate. While there are several ICOs dedicated to real estate on the blockchain, Fieldcoin is one of the only projects devoted to agricultural land. Fieldcoin’s whitepaper has a section devoted to competitive landscape that highlights that Fieldcoin is the only project to offer the tokenization of real estate, fractional ownership, a non-fungible token, data collection, and crowdfunding, Additionally, the market is huge, but disparate. In the UK, less than 1% of the population owns 70% of the land, and Fieldcoin will solve this disparity. The one area where Fieldcoin is behind their competitors is its platform release; the beta is scheduled for Q1 of 2019 but the blockchain land registry system is not scheduled until Q4 of 2019. The project also has not specified on which exchanges the token will be available. The token model for Fieldcoin is interesting; it is a utility token but revolves around a trade-back guarantee and price inflation mechanism. When the price of the Fieldcoin token rises, a small percentage of the increase will be minted and sold on exchanges against the USD or EUR, and those fiat currencies will be used to buy more land. In the event of a bear market, the token will not drop terribly and the market cap will remain relatively stable. The Fieldcoin team has members and advisors with diverse backgrounds including agricultural engineers, legal advisors, and blockchain experts to ensure the success of the project. One area in which we would like to see more development is the project’s strategic partnerships. We really like the idea of putting land ownership on the blockchain, and Fieldcoin seems to be a first mover for this market. We encourage the team to expand its partnerships and ensure its MVP gets off the ground to maintain its lead time advantage. We look forward to seeing what the project can bring to the market!
- How to invest: Interested investors can register on the main site to be eligible to participate in the pre-ICO.
- Discount: 100% bonus throughout presale
- Eligibility: United States and China may not participate.
- Token Price: 1 FLC = 0.05 USD
- Jurisdiction: United Kingdom
- Accepted currencies: ETH, BTC, USD
- Minimum investment: $100 USD
- Problem addressed/solved: Fieldcoin has identified the high barriers to access land real estate as a real problem in society, especially in the UK. High transaction fees, national regulations, property information, taxes, and land management are discouraging factors for motivated buyers. In the UK, less the .5% of the people own 65% of the land.
- Target customers/customer/ segments/verticals: The target market for Fieldcoin is lower income individuals who have enough funds to own land but find it difficult to own real estate in the current climate. Fieldcoin wants to open the doors for the middle class and below so that they too may own property.
- Value creation: Fieldcoin will remove the high barriers to entry in land ownership and provide hopeful property owners access to tokenized physical land. Fieldcoin’s decentralized autonomous communities have access to physical properties in the form of tokens that represent a share of the company equivalent to the value of the property. Owning the property tokens means you have full control over the land and can decide to manage the properties or let Fieldcoin Ltd. do it for you.
- Competition: Many other real estate blockchain projects want to tokenize land. The focus for most of the competition has been high value properties in places like NYC and Dubai, while Fieldcoin wants to focus on agricultural land. Since the project is hitting a niche market, Fieldcoin may avoid major competitors, which could allow the team to focus on agricultural land versus the expensive properties that other projects want to tokenize.
- Market size/potential: The market for this project is massive but scarce. In most OECD countries, less than 5% of the population owns land. A whopping 71% of land in developing countries is uncultivated and/or unregistered. The gross value generated by agriculture has increased worldwide from $0.7 trillion to $2.0 trillion over the past decades. Cash flows from land ownership will forever represent sound investments in the modern world, so giving access to everyone in the form of tokens gives everyone the opportunity to participate.
- Regulatory risks: Risks here stem from government regulations on land and real estate; certain markets and jurisdictions may not allow land to be backed by crypto assets. The success of this project is contingent on government approval to leverage crypto in this capacity.
- Investor value: The ERC20 tokens will be available to trade on exchanges much like other utility tokens while the ERC721 token will simply represent plots of land. The ERC20 token will therefore achieve value as more people join the platform and transact in FLC.
- Disclosures: Fieldcoin has a jam-packed whitepaper, but it’s relatively unorganized and has information written in large paragraphs verus succinct bullet points. The project also has a sad attempt at a road map. Each time slot is by quarter and the project only had a few words describing the plans every quarter. It’s a terrible way to represent the future plans of the project. There is an additional pitch deck and lite paper to further present the project to investors.
- Token distribution: 60% ICO, 17% Token Bonus, 10% Token Reserve, 2% Bounty, 9% Team, and 2% Private Sale.
- Use of proceeds: 60% physical land, 15% agribusiness development, 10% IT, 7% legal administration, 6% marketing, 1% reserve fund, and 1% social and rural development.
- Caps: Soft cap: $3 million USD; Hard cap: $31 million USD
- Ecosystem Asset Relocation: 85% Land recapitalization, 9% business operations, 5% IT development, and 1% participation in communities.
- Track record: Fieldcoin has a rather unique team structure, dividing the group into three teams labeled “core team”, “assistance team”, and “contributors”. The core team will handle the majority of business operations while the contributors and assistants appear to provide advisory services in their respective fields. Marc Couzic, CEO, has an incredible LinkedIn presence with over 13,000 followers. He’s a serial entrepreneur who’s focused his attention toward blockchain over the last five years, working on numerous projects that vary from crypto-trading to applying blockchain to business processes. Fun fact: Marc speaks six languages. Couzic clearly dove into this project, but many of his contributors don’t represent Fieldcoin well on their web profiles. Fieldcoin should look to acquire passionate employees who are invested in the project because disinterested “contributors” could lead to low level work.
- Integrity: The CEO might have enough charisma, qualifications, and notoriety to put investor worry to rest. He represents Fieldcoin extremely well and clearly has a real passion for blockchain. The only note of worry would be the employee structure of the project. Having so many advisors/contributor roles could lead to serious dysfunction down the line.
- Marc Couzic, Founder & CEO (LinkedIn)
- Alexandre Palubniak, Web Project Manager (LinkedIn)
- Jeremie Joncas, Chief Operating Officer (LinkedIn)
- MVP: According to the roadmap, the beta release of the platform will occur in Q1 of 2019. No further details have been provided on the site or whitepaper.
- Token use case: Fieldcoin plans to implement a two token protocol for the platform. One token will be the familiar, fungible ERC20 token. It will be the token used to crowdfund the project (ICO) and will facilitate transactions of agricultural land agro-business projects on the platform. The other token, an ERC721, will be a non-fungible token that will be used to buy land and represent one land property, guaranteeing full property rights to the holder.
- Value-added: Fieldcoin’s two-token system will, in theory, guarantee an 80% ratio on the value of your token to the assets in the Ecosystem and allow for the possibility of claiming physical property at a rate below the market price. It’s a very technical process. For further details, visit section 3 of the whitepaper. The ERC721 token also creates simplicity within the platform since all assets (property) can be represented as tokens on the blockchain.
- Decentralization: Fieldcoin seeks to create the first global decentralized land property management marketplace.
- Token Supply: Max supply of 1 billion FLC.
- Technical difficulty/investment expertise needed: Fieldcoin is based around a peer-to-peer decentralized platform where landowners can buy, sell, or trade land. Fieldcoin’s mission is to bring the blockchain technology to land property transactions and agricultural crowdfunding projects. Understanding the full scope of the Fieldcoin project does not require a technical background but rather attention to detail when reading the whitepaper.
- Halo effect: Fieldcoin does not list any partnerships nor do the project appear to have plans to acquire partners.
- Buzz: Fieldcoin has approximately 4,000 followers on both the Twitter and Facebook accounts. The engagement, however, doesn’t correlate with the amount of followers the project has acquired, which may signify that the project bought the majority of its followers. The project has also been listed on a few crypto news sites like ICO Examiner, Cryptocoin Spy, and Token Develop.