BMJ Score: 3.6
Market
Transparency
Team
Token
Adoption
Quick Summary
229 crypto investors read thisCommentary
Data is rapidly becoming one of the most valuable assets, but those who produce it are seldom rewarded. Through Madana, data producers can securely monetize and maintain control over their data. Madana provides a function in which data can be handed over to analysts for a reward, and in turn, the analysts can build algorithms to extract information of value from the data without being able to access the data’s identity or privacy details. Once the data has been analyzed, it can be sold to parties interested in the data insights. We are incredibly impressed with the patented technology, and while the Madana team is small, we like that they have a strong partnership with Lisk as well as several universities including Columbia. Since there is not yet a working MVP, we would like to learn more about which partners they plan to work with for the analysis plug-in providers. If their whitepaper come to fruition, Madana will truly be the first platform that is able to provide data sets without actually owning any of the data. This is the Holy Grail for Big Data Analytics. We are excited to see how Madana further develops, as well as what their impact will be for both the data market as well as the development of the Lisk platform.
Investment Information:
- How to invest: Follow the link to register for the Madana presale
- Discount: 50% throughout presale
- Eligibility: Restricted countries include US, Canada, China Mainland, Afghanistan, Algeria, Bolivia, Burundi, Cambodia, Crimea, Cuba, Ecuador, El Salvador, Eritrea, Ethiopia, Guinea-Bissau, Iran, Iraq, North Korea, Kosovo, Kyrgyzstan, Laos, Libya, Malawi, Mali, Mozambique, Serbia, Somalia, Sri Lanka, Sudan, South Sudan, Syria, Tajikistan, Tanzania, Timor-Leste, Trinidad and Tobago, Tunisia, Uganda, Uzbekistan, Vanuatu, Venezuela, Yemen, and Zimbabwe.
- Token Price: 0.50 Euros/ PAX (discount included)
- Jurisdiction: Germany
- Minimum investment: 100 EUR. Additional PAX are reserved as a 10% bonus for contributions made with LSK.
- Accepted currencies: BTC, LSK, and ETH
Market: 4
- Problem addressed/solved: MADANA is tackling the problems of modern digital society in the area of personal data control and privacy. More specifically, MADANA addresses the related discrepancy of fair revenue generation and distribution of the created data for the data producer. In addition, the heavily monopolized data market lacks open platform alternatives that provide data analysis specialists with a way to offer and monetize their knowledge to a broader pool of parties interested in data analysis insights.
- Target customers/customer/ segments/verticals: Many participants will exist on the Madana platform (see page 5 of the tokenomics doc), but the most important users or “target market” are data producers, data analysis buyers, and plug-in providers. Each participant has certain incentives that only exist when they use the Madana platform.
- Value creation: MADANA enables you to use your data for good. MADANA is a platform where you can take advantage of today's data analysis potential, while still getting a fair reward for contributing your data, all without actually giving it away. MADANA provides an ecosystem that is accessible, scalable, and easy to use. The data is encrypted on the side of the data producer, which enables full data control. MADANA shares insights with others, never raw data.
- Competition: Madana will encounter competitors who, generally speaking, also want to implement blockchain data solutions for businesses or individuals looking to buy/sell data. BMJ recently reviewed Dataeum, a direct competitor to the mission of Madana. It’s likely that more blockchain projects will attack the data market in the near future.
- Market size/potential: Revenue from Big Data and Data Analytics has jumped tremendously over the past decade. It currently generates $165 billion USD in revenue and is expected to reach $210 billion by 2020. The growth is directly connected with the world’s data size expansion and with dynamic digital market growth. According to E-marketer, the global value will rise to over USD 375 billion by 2021.
- Regulatory risks: The platform actually helps make projects GDPR-compliant for data processing with its data protection layer. Based out of Germany, the project has approval from the federal financial supervisory authority.
Transparency: 3.5
- Investor value: Investors in the Madana ICO could see their coins achieve greater value as the platform becomes populated with those who provide the data and those seeking to buy/analyze said data. The PAX token serves as a basic utility token, meaning its value stems from its usage.
- Disclosures: Madana utilizes a very interactive roadmap with pictures as examples of the work they done thus far. They have an excellent 59-page whitepaper with plenty of usage examples, technology descriptions, and business model illustrations. They also provide an additional tokenomics paper along with a document of their U.S patent.
- Token distribution: Investor and Community 55%, Partnerships & System Development 15%, Long-Term Stabilization 15%, and Team and Advisors 15%.
- Use of proceeds: Development and Operations 65%, Marketing and PR 20%, Legal 10%, and Security Bounty Program 5%.
Team: 3.5
- Track record: Many of the Madana team members met at RWTH Aachen University, one of the most famous universities for Computer Science and Entrepreneurship in Germany. Although many might think this to be an unimportant detail, it’s actually very promising to see the team take their bio photos for the website in the same Madana shirt (each member also has their LinkedIn and Twitter profile attached). Their blog indicates that the team travels to various conferences and shows to meet people and inform them of their project. Typically we would discuss the experience of a few executive team members, but the fact of the matter is that the Madana team is very young. The CEO and COO both graduated from university in 2016 and 2015 respectively. Their professional experience revolves around internship and assistant positions.
- Integrity: Although the core team for Madana proves very young and rather inexperienced, their set of advisors has the opposite trend. Their top advisory talent includes the CEO of Lisk and VP at Capgemini. Hopefully the advisors’ knowledge and network can help Madana build credibility for both their project and team.
- Christian Junger, CEO & Co-Founder (LinkedIn)
- Dieter Schule, COO & Co-Founder: (LinkedIn)
- J-Fabian Wenisch, CTO & Co-Founder (LinkedIn)
Team Members
Token Mechanics: 3.5
- MVP: According to the Madana roadmap, the first alpha version of Madana won’t be tested until 2019. Having said that, they’ve filed for a patent on the tech they plan to implement.
- Token use case: PAX is the only cryptocurrency that executes the smart contracts on the MADANA platform. It is used as the main payment vehicle in the ecosystem as well as to vote on data models. In the future, however, there could be other utilities such as the regulation of APEs, the registration of plug-ins, and a vehicle for reputation systems.
- Value-added: The PAX token enables anyone to buy data analysis results from a decentralized pool of information while rewarding data producers and plug-in providers for their contribution. To provide trust and process transparency and to handle rewards for the contributions, the MADANA platform will be running on the PAX token through smart contracts.
- Decentralization: Madana’s vision is to create a decentralized pool of information to benefit users.
- Token Supply: 100 million total tokens
User Adoption: 3
- Technical difficulty/investment expertise needed: Madana has a specific tab on their website called “Understanding Madana”. It’s a unique page that walks through the project step-by-step so that everyone can comprehend the full scope of Madana. They also have a YouTube video that adds to a user- friendly introduction of the project.
- Halo effect: Other than a solid partnership with Lisk and Capgemini, Madana talks a lot about acquiring developer and big four consulting partnerships, but they have yet to confirm a huge partnership. However, they do have investments/partnerships with a few VC firms and strategic relationships with crypto advisory services.
- Buzz: Madana definitely fails to impress with their social media following. They only have 1,700 Twitter and 600 Facebook followers, along with a 935-member Telegram account. They list media mentions on their website, but it’s mostly lower level outlets that have a small, niche following.
