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DISCLAIMER: This is not financial advice! None of the members of ICOPools.io are licensed financial advisors, hence you are urged to do your own due diligence and take your own decisions. (read more)

Bitmax

Bitmax

Active Pools Min cap Bonus Commission Raised Rating Language Access Created

Активный Пул

Min cap

5 ETH

Bonus

-

Commission

-

Raised

No data

1443

Rating

5

Language

EN

Access

Created

09.03.18

Last ICO deals

Min cap

40 ETH

Bonus

-

Commission

3.25%

Raised

400 / 2584 ETH

Active

16.07.2018

Finished unsuccessfully

16.07.2018

Min cap

2.1 ETH

Bonus

-

Commission

5.5%

Raised

4 / 106 ETH

Active

27.07.2018

Only 12 hours to contribute!

Finished successfully

17.08.2018

Min cap

5 ETH

Bonus

-

Commission

-

Raised

5 / 110 ETH

Active

07.10.2018

Finished unsuccessfully

10.10.2018

Min cap

0.15 ETH

Bonus

-

Commission

4.5%

Raised

37 / 523 ETH

Active

16.07.2018

Finished unsuccessfully

17.07.2018

Analytics

Category: DEX                                                                                                        Country: Singapore   Date: 16.08.2018

 

 

INTRO

BitMax - is a decentralized cryptocurrency exchange powered by combined PoW and PoS consensus.

 

NOTE:

  • Project in the stealth-mode and there is no much information about team, advisors, partners, deep tech details, etc. (or information is not confirmed);
  • There was a huge FUD chat in the Telegram (now it’s cleared, but screenshots can be found in the text);

Diddy Carter personally got into the chat to showed the support of the team;

 

 

 

TOKENOMICS

Metrics

  • Private sale (no ICO): no current dates (but already closed)
  • Token: BMAX
  • Token type: ERC-20
  • Hard cap: $13.1M (28,000 ETH)
  • Price: 25,000 BMAX/eth
  • Minimum investment: No data
  • Bonus: up to 15%
  • Bounty: no
  • Accepting: ETH
  • Сan't participate: No data

 

 

Tokens distribution

Token distribution:

  • 49% of total issuance is set aside for pre-distribution (5% - investor, 4% - strategic partner, 12% - team and platform, 18% - foundation, 9% - private sales,1% - marketing and operating)
  • 51% would be released and returned to users daily through transaction mining, total BMAX in circulation = daily mining production of BMAX / 51.
  • 10% of the private sale portion (which is 9% of total issuance) would be released prior to the rest of 49%, hence designated as the pre-release amount (0.9% of total issuance).

 

Protective measures against the tokens depreciation

From the whitepaper:

  • Unlocking Mechanism: The number of tokens issued as part of pre-distribution (49% of total issuance) would be unlocked daily by applying 49:51 to the daily mining production output;
  • Unlocking Priority: 10% of the private sales portion (Pre-release) would be unlocked as the first priority. The rest of pre-distribution will be subject to the Unlocking Mechanism described as above on the pro-rata base.

 

From the telegram support:

Vesting period: 10% release on exchange launch with the remaining 90% distributed monthly up to a year as the BMAX are mined in real time

 

The team will buy tokens from users and destroy them to increase the price of the token.

 

 

 

PRODUCT

The relevance of market problems solved by the project

The relevance of market problems solved by the project:

  • The main failings of existing centralization cryptocurrency exchanges (CEX):
  • lack of protection and an insufficient level of security (fraud, theft of cryptocurrency from wallets, theft of personal data);
  • insufficient liquidity, especially across low-liquidity instruments;
  • lack of rapid, connection-friendly APIs;
  • low capacity and substantial delays in completing operations in the bidding system;
  • lack of formal transparency, in particular, public and liaison protocols for interacting with clients in the event of any issues arising;
  • malfunctioning due to limited productivity;
  • lack of mobile applications,
  • incomplete set of tools for graphical and technical analysis,
  • the non-user-friendly and poorly customizable user interface
  • slow processing of deposits/withdrawals, limited means of such deposits/withdrawals;

 

The main failings of existing decentralization cryptocurrency (DEX) exchanges:

  • The Problem of Speed;
  • The Problem of the Matching Algorithm;
  • The Problem of Automated Operations: as a rule, there aren’t APIs or protocols for connecting algorithmic systems.

 

 

The description of key products and project technology

To solve this, BitMax is building DEX powered by combined PoW and PoS consensus mechanisms (it’s not disclosed how technically this will work).

 

TPS speed on the start of the platform is estimated at 200k.

 

  • Users will be rewarded with BMAX for trading (if the price of BMAX is 1 yuan, and you generated 1 mln transaction fee today - you will get 1 mln BMAX);
  • A regular individual user who holds BMAX is eligible for the distribution of 80% platform fee revenue as a dividend. The principle of dividends is based on the platform revenue income. For example, if the platform fee revenue is 100BTC, 500ETH, BMAX holders are eligible for the distribution of 80BTC, 400ETH. Users who participate in the management and construction of the mining pool would receive greater benefits;
  • All community members will have voting rights on listing;
  • Priorities and decision-making right within the community will be determined by the number of BMAX the users are holding;
  • BMAX can be used as rewards for the governance of the mining pool and the recognition of individual miner’s contribution;
  • BMAX token holders can use a certain amount of BMAX for additional benefits such as membership upgrade, temporary promotion on dividend quota, etc. Once the tokens are used/ consumed, they will be destructed, housing gradually reducing the total number of tokens outstanding;
  • The interface will support professional transaction types such as high-frequency, GTT, GTC, FOK, and ICO and provides trading support for quant funds;
  • The platform will support financial derivatives such as currency trading, late leveraged trading, and currency lending;
  • The project will have advanced in-memory matching algorithm;
  • There will be a stabilization mechanism for the token price.

 

The BitMax platform would initially support the spot trading model. The latter release would seek to support margin trading, lending, and other account balance management

services. When the platform liquidity reaches a certain level, an anonymous transaction function like ShapeShift would be introduced to further establish a decentralized trading platform and support the liquidity from our own trading platform.

 

On the start, there will be support of the following currencies: BTC, ETH, and BMAX.

 

Full-platform client support would include:

  • Web browser;
  • Android and iOS client;
  • HTML5 Mobile and Desktop client;
  • WeChat.

 

Token BMAX would run natively on the Ethererum blockchain (ERC-20). BMAX can be used as the basis for the platform's fee distribution rights, voting decision rights and voting right.

 

Huge rewards with BMAX and high dividends are the subjects for the questioning.

 

 

The stage progress and milestones of the project development (Roadmap)

The roadmap does not disclose deep details on the development, but it’s not time-stretched.


There is no Github, but Chinese beta of the site has launched on July 16, 2018 (English version expected to be launched in few days). Acces to the beta can be given by the request. After 7 hours of waiting code wasn’t sent and invitation already closed.

 

 

The importance of blockchain in the project

Token BMAX would run natively on the Ethererum blockchain (ERC-20). BMAX can be used as the basis for the platform's fee distribution rights, voting decision rights and voting right.

 

 

 

TEAM AND PARTNERS

Experience and the team achievements

In the Whitepaper team does not disclose.

 

George Cao –  According to this information, he graduated from the University of Science and Technology of China and the University of Chicago. After earning a Ph.D. in Computer Science, George has been working on quantitative trading and venture capital as Portfolio Manager at Wall Street Knight Capital (2 yrs) and Barclays Bank (2 yrs 4 mths). Later, George established the quantitative trading fund Delpha Capital Management (5 yrs 2 mths) in New York and personally served as CEO, successfully investing and incubating several blockchain projects. Founding Partner at Whitestone investment fund (2 yrs 4 mths). He has no experience in the blockchain development.

 

Participation of the next members is non confirmed:

 

Ariel Ling - He has 18 years of senior management experience in management consulting and finance, specializing in strategic planning, business development, budgeting, investment analysis, project management, and company operational efficiency. He has an in-depth understanding of capital market products (stocks, fixed income, foreign exchange) in financial services and the development of international banking strategic trends (M&A, market structure, regulatory reforms and their impact). Worked With KPMG, Raymond Brothers Investment Bank, Barclays Investment Bank, etc.

 

Han Liu - Former Vice President of Execution Engineering, the world's top hedge fund portfolio, led the team to rebuild automated portfolio construction and rebalancing systems, managing over $200 billion in AOM across stocks, fixed income, commodities, foreign exchange, interest rates and options. Prior to this, he served as Vice President of the CFM System, the world's top financial services company.

 

Press release on some sites marked as “promotion”.


It’s strange that so high profiled team couldn’t make an html site without errors and couldn’t translate it to english properly (many words are still on Chinese).

 

 

Advisory board

The team has disclosed on their site as advisers Jeffrey Wernick, Niall Boland, and Eric Hess, but didn’t share a link to their profile pages, so it’s hard to identify who they were referring to. Admins on the public chat confirmed only Jeffrey Wernick (but the is no confirmation to it outside the telegram group, and currently from his side).


Jeffrey Wernick – With 40 years of experience includes investments in Uber and Airbnb, after which he turned his focus to bank transactions, lending platforms, and the blockchain industry. Was an advisor to Qtum.

 

 

Strategic partners

Bitmain, but there is no confirmation to it from the Bitmain side. Can be formal.

 

 

Large investors and investment funds

Bitmain, FBG Capital, GBIC, Bit China, Jingwei China, Palm Drive Capital, Perseverance Capital, and Matrix Partners. But there is no confirmation to that from their side. Also, there is no confirmation to it on the CrunchBase. But it can be found on the Cbinsights.

 

Confirmation to this can be found on the Chinese news sites but on some of them press release marked as “promotion” (which at the same time is ok for the press release).  

 

Some user on the telegram shared doubt that Matrix Partners have invested in the project.

 

Investment from the Danhua Capital is confirmed.

 

 

 

MARKET

Competitive environment

A very competitive space with well funded and strong cryptocurrency advocates, influencers, and dev teams already working on decentralized exchange projects.

 

There are both large centralized players and projects with blockchain:

Crypto Exchanges - 100+ (Binance, Bitfinex, Bithumb

Bittrex, Coincheck, etc)

DEX - 10+ (Etherdelta, BitShares, OpenLEdger, Bancor Network, DDEX, Waves DEX, etc)

Fiat Exchanges - 30+ (Bitstamp, Cex.io, Coinbase, Kraken, OKEx, etc)

 

 

The project advantages

  • High rewards for trading with BMAX tokens (but this is the subject of the doubt);
  • High dividends for holding tokens (but this is the subject of the doubt);
  • High TPS speed;
  • All community members will have voting rights on listing;
  • Priorities and decision-making right within the community will be determined by the number of BMAX the users are holding;
  • BMAX can be used as rewards for the governance of the mining pool and the recognition of individual miner’s contribution;
  • Good strategic partners and investors (although they not confirmed);
  • Good team members (although most of them are not confirmed);
  • The interface will support professional transaction types such as high-frequency, GTT, GTC, FOK, and ICO and provides trading support for quant funds;
  • The platform will support financial derivatives such as currency trading, late leveraged trading, and currency lending;
  • The project will have advanced in-memory matching algorithm;

There will be a stabilisation mechanism for the token price.

 

 

 

SOCIAL ACTIVITY

The project popularity in the social networks and discussion forums

The project is not detected on the radar of influencers.

 

Twitter: 186 followers, average number of likes per post is 3, average number of retweets per post is 1, average number of comments under the post is 0, user activity is low.

Reddit: 0 followers, average number of comments under the post 0, user activity is low.

WeChat: 453 members, user activity is high.

Telegram: 2,9 members, admins on the Telegram-channel are responding quickly, user activity is high. At the same time, admins are not answering all questions, trying to run the project stealthy. Questions of some users were not answered at all. Some users were sharing criticism about the sale and their messages were deleted. My questions about how combined mining will work on the platform were not answered, deleted and account blocked. I was asking again from another account, but there is still no clear answer. Right now all critical messages on the telegram cleaned out. Diddy Carter got into the chat and showed support to the team. CEO apologized for the communication issue and promised a good product.

 

The main site is poorly translated into English. Many sections (like Team) have no links to them and have a blank pages.

 

Also, it’s strange that the project aims to operate with the name very similar to exchange BitMex ($3,5 bln 24 hours trade volume).

 

 

 

Fraud risk - medium. Community interest - high. 

Product - 7.8
Team and partners - 5.7
Market - 7.8
Average score - 6.8

DISCLAIMER: This is not financial advice! None of the members of ICOPools.io are licensed financial advisors, hence you are urged to do your own due diligence and take your own decisions. (read more)