BMJ Score: 3.4
Market
Transparency
Team
Token
Adoption
Quick Summary
67 crypto investors read thisCommentary
The cybersecurity market is a $3.5 trillion industry, and while the sector is booming, there is a significant skills and solution shortage. That being said, the competition is steep. We like that Uncloak has a clear market lead with incorporating AI, and their solution is the perfect application for blockchain because a decentralized platform would help their bug-hunting solution scale and stay regulated. The team has strong experience in IT and the cyber realm, but we are concerned that only the CEO seems to list Uncloak as his full-time job. The other members of the team are working on many different projects, and we worry that their focus might be split. Furthermore, while we are impressed with the Uncloak vulnerability scanner demo, their platform will not be released until late 2018. When it comes to press and buzz, Uncloak has a huge following and support from many influencers in the crypto space. While we think there is a need to help companies prioritize security, we are unsure if the market is ready to adopt a blockchain solution at this time. The market for security threat detection is new and rapidly evolving and it might be hard to get individuals on board with this platform right away. This might be an ICO best suited for a long-term hold if the technology comes to fruition.
Investment Information:
- How to invest: Register for the Uncloak token sale at the following link.
- Discount: Token Bonus from 10% to 30% dependent on token contribution.
- Eligibility: It is a participant’s sole responsibility to determine if they are prohibited or restricted from participating in the Token Sale, or if such participation constitutes a breach of the laws or regulations of their jurisdiction.
- Token Price: 1 UNC = $0.01 USD
- Jurisdiction: United Kingdom
- Minimum purchase: 10,000 UNC tokens equivalent to $100.
Market: 3.5
- Problem addressed/solved: The main problem, in a nutshell, is the increase of cyber security threats. Some of the world’s largest corporations, critical national infrastructure, small local enterprises, and individuals have been hacked. Trends suggest this will continue, particularly as evolving programs such as Internet of Things (IoT), smart cities, and mass digitization become the reality of life. Currently, there is a shortage of cyber security solutions that are proactive in identifying new threats and allowing end users to shut them out or close them down.
- Target customers/customer/ segments/verticals: Uncloak is a service that will be applicable for any business operating on the web or in a digital manner.
- Value creation: Uncloak seeks to create a decentralized, scalable, blockchain-powered cyber security management solution that places an emphasis on the strength of the wider community to contribute to finding vulnerabilities through a blockchain-based mechanism. Uncloak will harness knowledge and expertise, aggregate it into a platform, and transform it into a service for end users to purchase. They will bring a new level of security to the world of cyberspace. The solution scans client devices for threats via a detection database, offers immediate triage ability in the event of a breach, and rewards hunters with tokens via a bug bounty program.
- Competition: Cyber security will undoubtedly be an industry transformed once blockchain comes into the mainstream. Online security ranks as one of the most applicable use cases for blockchain, and many projects have already entered the market. Uncloak will need to oust the competition in order to build an effective user base.
- Market size/potential: Cyber-crime is predicted to cost $6 trillion annually by 2021. It affects corporations from the startup level onto the top 10 corporations in the world. Cyber security is an industry that has developed heavily in the 2000s and will continue to do so in the future as more things become digitized.
- Regulatory risks: There are many security risks to keep in mind here including prepping businesses for GDPR, abiding by HIPAA, SOX, and PCI. As a cyber company, Uncloak should be aware of all of these and tackling them head on.
Transparency: 3.5
- Investor value: The UNC token value could increase as more consumers either purchase or subscribe to Uncloak services. They can also increase in value as more validators become active on the platform.
- Disclosures: Uncloak hits all the key metrics in having a well-organized lite paper, informative whitepaper, and structured website. Uncloak also boasts a first place finish from the Crypto World Tour London Hot Pitch. Lastly, they have a couple of user-friendly YouTube videos that include an intro video and Q&A session with Jae Chung.
- Token distribution: 50% Token Sale, 15% Early Backers, Equity Investors & Advisors, 15% Founding Team, 10% Retained by Uncloak for Bug Bounty program, and 10% Developer Fund.
- Use of proceeds: 55% used to continuously develop the product and grow the team globally; 10% initial capital needed to incentivize the community and drive membership for bug bounty; 20% grass-roots marketing to start and expand to webinars, conferences, sponsorships, advertising, and PR; 10% general overhead and administrative costs for running the business on a global scale; 5% legal, compliance, and accounting.
- Caps: Soft cap: $6,000,000 USD; Hard cap: $21,000,000 USD
Team: 3.5
- Track record: The Uncloak website has each team member/advisor listed with short bios, but they do not have the associated LinkedIn accounts attached. After further research, it’s clear the team still has a strong presence on LinkedIn, especially Tayo Dada (CEO), who has a deep background in new technology and blockchain. The rest of the team have either decent or below average LinkedIn resumes. Having said that, the team is extensive and has experts in a multitude of specialist areas.
- Integrity: The Uncloak team has a lot to prove in this project since Uncloak is not a branch of a prior company that has an established reputation. A few team members have questionable qualifications and must prove their worth throughout the course of this project. That, combined with the factor that most of the team appears to be involved in other projects as well, gives us pause.
- Tayo Dada Founder, CEO and Cyber Security Expert (LinkedIn)
- Phil Jackson, CTO and Cyber Security Expert (LinkedIn)
- Nicholas Topham, COO and CFO (LinkedIn)
Team Members
Token Mechanics: 3.5
- MVP: Uncloak has already spent one year developing an MVP (a Minimum Viable Product), which is available as a demo on the website. You must first register an account before testing out the demo version.
- Token use case: The Uncloak project will have two tokens: UNC and UCC. The UCC tokens will be used internally on platform for rewarding hunters/validators for finding vulnerabilities. The UCC tokens can then be converted (1:1 basis) into UNC tokens. The UNC tokens are externally tradeable and can be used, along with fiat currency, to purchase and subscribe to the Uncloak platform. In short, the UNC token is necessary for rewarding the hunters/validators once they’ve earned their UCC tokens. The two-token model is necessary for Uncloak to keep security and validity at the top of their priorities.
- Value-added: The UNC token adds more value to the validators/hunters than to anyone else, considering that businesses can use fiat to purchase and subscribe to the Uncloak platform. The system functions with the UCC and UNC token model so as to keep the system in check and unhackable. If only one token was being used, then multiple problems could occur (too many of one token dilutes the value, open for hacking threat, etc.)
- Decentralization: Uncloak seeks to create a decentralized, blockchain-powered cyber security solution.
- Token Supply: 4,200,000,000 UNC
User Adoption: 3
- Technical difficulty/investment expertise needed: The Uncloak project has some technical aspects that most people won’t understand since the majority of their efforts revolve around computer systems and cyber threats. Having said that, they provide an introductory video for more clarification.
- Halo effect: Uncloak formed a strategic partnership with Adecco, the world’s largest human resources firm, to provide cyber security consultancy to public/private sector clients. Other than that, they have no other significant partnerships.
- Buzz: The social media following for Uncloak is both average and subpar. They have a decent Telegram (27,000) and Twitter (6,700) following, but their Facebook page only has 650 members. They’ve been featured in a few web articles, namely a Forbes piece that’s amassed over 1,500 views on the site.
