BMJ Score: 4.1
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Should you invest in ICON, the blockchain platform that aims to "connect crypto to the real world?" Here's what Bitcoin Market Journal analysts have to say about investing in ICON and the ICX token.
What Is ICON?
ICON's main goal is to create a unifying fabric for all blockchains. It wants to make it easy for any type of organization or community to build a decentralized application on any blockchain. In this way, the project hopes to speed real-world adoption of blockchain technology.
Potential use cases for ICON include tasks like allowing a university to register the identity of its students on a blockchain so that other organizations could then identify students easily and offer them discounts. The project is eying a number of other use cases, too, in industries like health care and insurance.
Market, Advantage, and Economics
ICON aims to solve a real and important problem. The blockchain ecosystem is currently stratified; it includes a variety of distinct blockchains that are difficult to integrate together, and most vendors in the space focus on solving specific problems rather than building broad platforms that cater to a range of use cases.
By building a platform that unites the various blockchains and supports a wide variety of use cases, ICON promises to deliver real value. For this reason, ICON receives strong ratings from our analysts for its market focus.
On the other hand, ICON is not the only project pursuing this sort of goal. It faces stiff competition from platforms like ARK, which has been around longer and has a larger "fan base."
In addition, in order to support many of the use cases that its developers are targeting in industries like healthcare, ICON will need to contend with a fair amount of regulatory red tape, because these are highly regulated industries. This challenge also detracts from ICON's economic potential somewhat.
Overall, while our analysts give ICON an above-average rating for its market position, that analysis is counterbalanced by their economic analysis of ICON, whose potential for economic growth and mass adoption is clouded by competition.
If ICON achieves mass adoption faster than its competitors, it will likely be due to some technical factors that make ICON different from similar platforms.
Those factors include ICON's integration of DAVinCI AI technology, as well as its use of a "loopchain" consensus mechanism instead of Proof-of-Work or Proof-of-Stake.
In addition, ICON enjoys a strong competitive advantage in South Korea, where it has established strong roots.
Because of ICON's special technical features and strength in South Korea, Bitcoin Market Journal analysts give it a very high rating for competitive advantage.
ICON also receives a strong rating for its management team.
The project's management team includes several well-known names, and the project has 30 members monitoring product development.
In addition, ICON has been aggressive about engaging with the blockchain community over social media. This effort demonstrates integrity and transparency.
ICON's token, ICX, receives a strong overall rating from our analysts, too.
Although our analysts express some concern over ICX token inflation because of the ICON management team's ability to release more tokens whenever it chooses, they note that ICON's token is well integrated into the platform, where it can be used both for transactions and for building and running decentralized apps.
Overall, ICON receives an above-average rating from Bitcoin Market Journal analysts for both short-term and long-term potential.
So far, ICON has proven itself to be a well-managed project with a clear vision and value proposition. Our analysts' only major concern is whether ICON can break out of its current niche in South Korea to compete on a global scale with similar platforms, like ARK.
The bottom line: investing in ICON and ICX may be a wise choice, although long-term payoff hinges on ICON's ability to overcome competition.
Bitcoin Market Journal analyst briefing for ICON.
Questions and Answers
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