Blockchain is one technology that has completely caught me by the balls over the past few months. In fact I have been so involved in learning about it that I’ve already digested a handful of books, tons of tutorials, videos and numerous blog posts on the subject. Blockchain as a technology is incredible, to say the least, and I personally believe that this is disruptive technology that will create a financial revolution in the days to come.
Given that cryptocurrency (virtual or digital currency), as of now, is the most common application of blockchain technology, it is no surprise that there is a lot of interest in this space. Unless you were living under a rock, you would have heard of a certain cryptocurrency sometime too – something called ‘Bitcoin’
Bitcoin was just the beginning and while it got the ball rolling, there are many more currencies running on the blockchain today that are worth having a look into.
Over the past month, I have also been carefully building a portfolio of coins (akin to a stock portfolio stock market investors make) and trying to pick some great cryptocurrencies that seem to have ticked all the right boxes. There are well over a thousand different cryptocurrencies in the market today – starting with the gold standard called Bitcoin and its almost equally well known second-in-line, Ether (sometimes simply called Ethereum – the platform on which the Ether coin exists).
However, of the vast number of coins in the market, the majority are just worthless scams – they are coins created by a wily group of people out to make a quick buck by building coins on the open source platforms available, and then offering them for sale via what is called an Initial Coin Offering (a.k.a ICO).
Scammers create enough hype to run up the price of their coin and then once prices hit the ceiling, sell off their hoarding and strike it rich while the gullible buyers of these coins are left scratching their heads wondering where they went wrong.
Duh! If that gives you a sense of déjà vu, it’s because the whole ‘pump and dump’ scheme (as it is called) isn’t very different from the various scams running in stock markets world over with ‘penny stocks’.
Nevertheless, amidst that vast pile of rubbish lie some great coins (or tokens), that belong to companies that actually create ‘value’ in the market.
Investors in the stock market are always out to find ‘value picks’ – stocks that belong to companies that are underpriced and that have excellent potential to grow and yield rich dividends to its investors in good time. Likewise, the growing tribe of cryptocurrency investors too keeps looking out for companies that are genuinely creating value for its customers. They may not be easy to find but there are quite a few out there.
As part of my personal goal, I tried narrowed down on 10 currencies I wanted to invest into for the long haul and one of the names that frequently came up was that of TenX.
So what’s TenX and what makes it different
TenX is a Singapore based company that came up with a viable solution for one of the biggest questions facing the cryptocurrency space- how to use cryptocurrencies in the real world.
When Bitcoin kept gaining popularity these past few years, there was one nagging issue it faced. Despite all its positives and its adoption among the geek crowd that swears by it, and despite the fact that Bitcoin turned out to be an excellent alternative to currency notes, you couldn’t simply walk into your local coffee shop (or most of them at least) and pay in Bitcoin. If the virtual currency that occupies 70% of the market capital has limited takers in the real word, what chances did other currencies have?
TenX came up with this great idea – how about a debit card that allows a user to pay for anything using cryptocurrency instead of USD/Euro or whatever Fiat currency is used locally?
There were other cards that had come up with ways to spend their cypto currencies (Monero came up with a card for spending their tokens), but TenX was unique in the fact that they provided an option for cross-currency spending – that meant irrespective of whether you held Bitcoin, Ether, Ripple, Litecoin or practically any kind of cryptocurrency, you could use them for actual spending in the real world using one simple debit card – realtime!
Different coins could be on different platforms and interlinking them would be a nightmare but TenX made this possible by integrating their product with the Commit network – a solution for inter-blockchain linking.
Also, while most of these new upcoming companies of the Crypto-Era work on their solution after raising funds via an ICO, TenX went ahead and had a working product by the time the ICO for their token (named ‘PAY’) was up and ready. The company gathered a lot of interest along and got the backing of heavy weight venture capitalists firms and its ICO got a lot of publicity.
In fact the interest in the ICO was so huge that the ICO sold out in 7 minutes flat (and ostensibly even crashed a few servers)! Phew – to draw an analogy think about an IPO in a stock market that gets fully subscribed in 7 minutes – that’s quite a feat!
Anyway, to cut a long story short, TenX has been continuously gathering more followers and the card has slowly been gaining traction – in recent news, the card which was available only in a limited number of countries, also made their foray into Europe – a breakthrough that opens doors to far more users.
In brief here are my top points that ostensibly make TenX a great investment opportunity for the future:
- A valuable working product that leverages Crypto currencies– There are many videos excited TenX users have posted on YouTube showing how they purchased coffee/burgers and whatnot using their TenX cards. The product is already available across Europe and South East Asia and poised to move into more markets soon.
- Competitive Rates for their Flagship product – The card’s fees are extremely low and this gives it distinct advantage over traditional credit cards, which in turn makes the card likely for mass adoption once the momentum takes it beyond its tipping point.
- An Excellent Team with good backing– the company’s impressive team (with some proven winners) is backed by heavyweight investors (including the founder of Ethereum, often seen as the Mark Zuckerburg of the Crypto World – Vitalik Buterin). The company is also among the first three startups to graduate Paypal’s Singapore incubator.
- Early Mover and Excellent market leader potential – Even if other players come into this space, TenX, with a product already in place, it has a first mover advantage, which it is very unlikely to squander, given that the team is working hard to capitalize on that advantage.
So what makes TenX a value-pick now?
As most people who are active in this space would know, crypto currency is still considered to be its infancy stage (ironically the market capital of this infancy stage is a staggering $147 Billion the time I’m writing this) and, therefore, is only poised to grow further from here.
There are many who are confident that cryptocurrency and Bitcoin is here to stay (including people like Bill Gates and Richard Branson, who are vocally supportive of crytocurrency) but the vast amount of speculation surrounding the space makes it currently very volatile too – movements of 10-15% within a day in the crypto world is still commonplace.
While TenX has shown potential to b a game-changer for the future, TenX Pay (its own token) has taken some heavy beating since its ICO days.
TenX currently more than 85% down (against Bitcoin) from its price on July 7th this year (this is shown in the chart taken from the Bittrex exchange). At its highest price, 1 TenX Pay token equaled 350,000 Satoshis (1 Bitcoin = 100 Million Satoshis), while today it is trading in the range of just 51,000 Satoshis, at a discount of more than 85% from its highs. TenX had briefly scaled up to 156000 Satoshis (at that time approximately $5.8) in mid-August and significantly corrected after that – that means it is at a whopping 65% discount from its recent highs.
At the level of 51,000 Satoshis or $2.17 (prices at which it is trading currently), TenX looks a great pick for any long term investor who is willing to hold it for the long term given the company’s potential and it seems only a matter of time before it surges far above the current levels.
With these views in mind, I am looking forward to going all in now since it looks unlikely there will be much further downside from this point – if you’re a believer in the future of crypto– this might be your chance too, to pick a winner for tomorrow.
Disclaimer: Views expressed are that of the author and should not be taken as investment advice. Readers must do their own research before investing in any cryptocurrencies.
PS: Also posted on the author’s Steemit Blog