XYO Network (XYO) Review & Analysis – XYO Network Coin Review

XYO Network

The People-Powered Location Network

About XYO Network
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ERC20 Token

Self-driving vehicles, package-delivering drones and smart cities. All of these will not be possible unless we solve the biggest shortcoming of location data today: trust.

The technologies of tomorrow will require location data you will trust with your life. Yet how can we have this level of trust in location data? Not through large companies or governments, that’s for sure. They get hacked daily. Rather, the answer comes from securing it through mathematical principles of cryptography.

Meet the XYO Network (‘XYO’). We’re building the world’s first people-powered location network built on blockchain technology. The technology we’re building today will power the world of tomorrow. And the gas used to power it is the cryptocurrency called ‘XYO’.

The XYO Network has four primary components, Sentinels, Bridges, Archivists, and Diviners. These four components enable geo-focused, consensus-building and trustless verification of location data.

Sentinels – Sentinel components are heuristic witnesses. They observe heuristics and vouch for the certainty and accuracy of the heuristic by producing temporal ledgers. The most important aspect of a Sentinel is that it produces ledgers that Diviners can be certain came from the same source by adding Proof of Origin to them.
Bridges – Bridges are heuristic transcribers. They securely relay heuristic ledgers from Sentinels to Diviners. The most important aspect of a Bridge is that a Diviner can be sure that the heuristic ledgers that are received from a Bridge has not been altered in any way. The second most important aspect of a Bridge is that they add an additional Proof of Origin.
Archivists – Archivist components store heuristics in a decentralized form with the goal of having all historical ledgers stored, but without that requirement. Even if some data is lost or becomes temporarily unavailable, the system continues to function, but just with reduced accuracy.
Diviners – A Diviner answers a given question by analyzing historical data that has been stored by the XYO Network. To accomplish this, heuristics stored in the XYO Network must have a high level of Proof of Origin to measure the validity and accuracy of the heuristic by judging the witness based on its Proof of Origin. Given that the XYO Network is a trustless system, Diviners must be incentivized to provide honest analysis of heuristics. Unlike Sentinels and Bridges, Diviners use Proof of Work to add answers to the blockchain.

“With over 1 million location verifying beacons already built, and hundreds of thousands ready to be enabled, blockchain’s first cryptographic location network has arrived. Join us in connecting blockchain dApps to the real world.”

Positives

In our opinion, traceability and origin-verification products will be some of the first adopted in the crypto/blockchain space. We’ve seen various projects in this space partner with big names such as the United Nations, Auchain, Deloitte, etc. They’re powering ahead and show no signs of slowing down. XYO Network takes the traceability idea a bit further by providing a sort of GPS-like network designed to allow for real-time tracking of products/objects at the request of a client/user. While we have our concerns about just how ambitious a project like XYO Network is (right now), it’s an innovative idea that could be useful to certain industry applications in the future. It’s an Internet of Things (IoT) project aiming for huge heights.
We won’t go into the technical, inner workings of XYO Network, we’re not here to recite their Whitepaper. What we can say is that the idea behind having Oracles provide real, accurate information is one that has gotten a lot of attention over the past year. With Smart Contracts being reliant on accurate information being fed to them in order for the execution of an action, it’s important for the information source to be secure and tamper-proof. Oracles stand in as a middleman to verify the data before it reaches the contract. In XYO Networks case, there are several layers that information passes through before it can influence a result. Read more on how XYO Network Oracles work here. A lot of supply chain projects out there aren’t utilizing this technology and it opens up whole other avenue of use-cases that might surprise you.
The Team behind XYO Network is seriously impressive and is where (in our opinion) the project has the most strength/s. The Team page consists of 35 Team Members and a strong advisory board comprised of well known figures such as Charlie Shrem (Founder of the Bitcoin Foundation). Many of the members have been with XYO Networks parent company XY for a long time and given XYs previous success with products such as XY Findables, it’s clear they’re competent in building, deploying and marketing commercial products. Speaking on their Marketing for a moment; It’s some of the best we’ve seen. We heard all about XYO Network leading up to their ICO and we continue to see them saturate social networks such as Reddit and Twitter with their extremely strong community base. If there’s a project that knows how to communicate a vision in a way that is easy for the average investor to understand, XYO Network is way up there.
Taking a look at the XYO Network Roadmap we can see that the next few quarters are heavily focused towards on-boarding developers who will carry XYO Network forward into real world applications. XYO Networks’ first big product “XY-Stick” is expected to drop somewhere in Q4 2018/Q1 2019 which will provide Retailers the ability to track any item they ship through their eCommerce stores. There are some pretty substantial milestones to come over the next 12 months. There’s an argument to be made that there’s a bit “too” much going on in that time but given the Team working on the project, it’s not out of reach.
While we do have our concerns about XYO Network looking to claim or invade the territory of a lot of established, well known projects that have very specific use-cases in mind, this could go both ways. If XYO Network is really as revolutionary as the marketing (and the Whitepaper) makes it out to be, it could do extremely well. The IoT space has a lot of room to grow and while there are some clear leaders in several categories such as Food Traceability and Logistics Tracking. There are so many other avenues that are yet to be explored and this is where we think XYO Network will find it’s footing.

Concerns

XYO Network is an extremely ambitious project. If you’ve researched any IoT (Internet of Things) based project such as IOTA or IoTeX for instance you’ll notice that the whole idea behind these projects is still developing. Yes, XY (the company behind XYO) has manufactured and released traditional tracking/location type devices before with great success, but XYO Network is a whole other level. Long term investors will no doubt be rewarded in the future if all goes to plan but they should understand that these types of solutions will take time to evolve and grow to suit the changing needs of the various industries the project is targeting. Don’t jump into XYO Network thinking it will change the world in 1-2 years time. Think long term.
The use-cases for XYO Network are all there in writing but taking a look at the language used in some of XYO Networks marketing, these use-cases are all under the assumption that XYO Network is adopted on a worldwide scale. A be all and end all solution with no competition. This simply won’t be the case with competition in the IoT space already being pretty fierce. Yes, there’s potential for XYO Network to be utilized in tracking solutions for various industries but it’s hard to believe there is already an all-in-one solution, given that this particular space is so new. We could list countless projects here that directly compete with several of the use-cases XYO Network brings to the table but a simple Google of “supply chain crypto” will suffice. There WILL be competition in this space and although XYO Network is very complex and perhaps will be more technically advanced than other projects, it all comes down to who can do “X” best. Will XYO Network be the #1 option over all the big players in this space? It’s worth your time to do your own research on this.
We aren’t here to analyse the technicalities of XYO Network in great depth but while we’ve mentioned the complexity of the project in terms of it’s proposed inner-workings, this is a double edged sword for some projects. At what point do things become so advanced and “fancy” that a simpler, more straight forward solution is a better choice for clients? We aren’t sure, but this is something that we’ll find out as the “supply chain / origin verification / tracking space” develops. There’s just so many industries that XYO Network is aiming to disrupt that it can almost seem too much at times. They’re looking to cover a lot of bases while the other Teams are standing on them (hey that’s a cool analogy).

Price Predictions

Please note: This Price Prediction section was a section voted on by our community on Twitter. We do not stand by any of the following statements, we are merely speculating. We have been known to be pretty bullish on most projects we review, so take our predictions and DYOR.
As always, we like to take a step back and look at projects from a purely investment based perspective. XYO will no doubt see a ton of organic price growth through exchange listings and planned marketing in the future. At the time of writing (December 2018) XYO Network is only available on smaller exchanges such as IDEX and LATOKEN but that hasn’t stopped XYO from shooting up in value from $0.0017 in late November 2018 to a recent high of $0.0058 in early December 2018. Any investments now would have a pretty good chance of appreciating from future catalysts although it should be noted that at the time of writing, XYO has seen a very strong run up in price, so pick your entry carefully as things inevitably cool down (December 9th 2018). Now sitting at around a $25m Market Cap after an impressive run from a $10m Market Cap in such a short period of time, XYO still has a fair amount of growth potential in the long term based on fundamentals if all goes to plan. Once we see IoT projects invade traditional industries, it’s all go for projects like XYO Network and from then on we’ll see who garners significant adoption and who trails behind. It’s also important to note that with any new concept/space, there’s a fair amount of risk involved. Always DYOR and pay attention to development in this space.
Short term (< 3 Months) We think XYO could be sitting anywhere from a stable $0.003 to $0.006 taking the current market conditions into consideration and allowing for some gradual profit taking from the recent run up. (December 2018)
Mid Term (6 – 12 Months) we think XYO could be a stable $0.01 to $0.02, especially if the market turns around in the next few months.
Anywhere past 12 months would be impossible to accurately speculate on but we’d be confident on a $0.02 to $0.04+ XYO in 1+ years if their Roadmap progresses forward without a hitch.
The current circulating XYO supply is just under 5,550,000,000 (5.55 Billion) (December 2018), so a $0.04 XYO would see a $220m+ valuation. Is this a high prediction? Absolutely. This all depends on how successful XYO Network is on securing a position in some of the key industries they’re looking to disrupt.
As with any investment, you absolutely must do your own research. We are by no means providing financial advice. Be smart!