Credits (CS) ICO review

Review

Who is Credits?

CREDITS is a public blockchain platform with autonomous smart contracts and an internal cryptocurrency. The platform is designed to create services for blockchain systems using self-executing smart contracts and a public data registry.

The platform can execute more than 1,000,000 transactions per second at a execution speed of 0.01 seconds. Because transaction fees are minimal, high-volume applications are possible in a way that no other available blockchain (today) can match.

What problems does Credits solve?

Users and developers themselves face significant shortcomings in current blockchain operations. Current blockchains are characterised by slow transactions as well as high transaction fees. This is due to the fact that individual nodes (computers that perform verification and data transfers) are forced to process one transaction across the entire network. Because of this, current blockchains use a lot of electricity, the current bitcoin blockchain is said to consume the same amount of electricity as a country like Danmark. This leads to the need to charge unreasonably high transaction fees.

These problems are a huge obstacle to the development of Bitcoin and Ethereum in a number of industries. Ethereum is currently being updated in order retain the leading position of blockchain network ranking. But until that time, other players may appear that will seriously compete with Ethereum. The CREDITS Blockchain aims to fill that void by implementing a new algorithm for reaching consensus. They reach consensus by combining PoW (Proof of Work) and Pos (Proof of Stake), using a modified FA consensus algorithm.

CREDITS project advantage is the independence from mining (there is none) and the DPoS (Delegated Proof-of-Stake) principle based operation. These modifications lead to the following technical characteristics of the CREDITS platform:

• up to 1 million transactions per second;
• interval between blocks is reduced to 3 seconds;
• very low transaction costs
• autonomous smart contracts

 

What are CREDITS characteristics?

New algorithm: The CREDITS Blockchain implements a new algorithm for reaching consensus. They reach consensus by combining PoW (Proof of Work) and Pos (Proof of Stake), using a modified FA consensus algorithm.

No Mining: The project advantage is the independence from mining (there is none) and the DPoS (Delegated Proof-of-Stake) principle based operation. Transactions are transferred centralized for processing to the main node, where they are processed and written to the registry. This reduces transaction processing time.

Higher throughput: Because they do not rely on mining for consensus CREDITS is able to process transactions up to up to 1 million T/Sec with a blockinterval of 3 sec.

Low transaction costs: The higher throughput in return means that they are able to keep transaction costs as low as $ 0.001

Autonomous Smart Contracts: Ethereum has limited smart contract facilities and cannot implement everything a developer may want to implement. For example, you cannot adjust regular debit payments or a fixed debiting date. The CREDITS platform is a full-scale and autonomous system that is able to perform all of these operations.

CREDITS comparison vs Bitcoin and Ethereum:

CREDITS Product Roadmap:

The CREDITS concept was developed in 2016 and received first investments by the end of that year. The CREDITS team started developing the CREDITS platform in January, 2017. CREDITS will release their Alpha release within a few days from now (10-12-2018).   We will now only focus on their future milestones:

Team

CREDITS is currently a team of 38 people, with extensive expierence in their respective fields, we will now only name the 3 most important ones: 

Igor Chugunov – CEO & Founder CREDITS blockchain Platform
Russian State University – Bachelors Banking, Phd Strategic Planning
Entrepreneur in FINTECH startups, projects in the banking area, blockchain & cryptocurrency. Igor is a highly motivated senior manager with a proven record of delivering value-driven, business strategy led technology projects, especially in the financial industry

Evgeniy Butyaev – CTO at CREDITS blockchain Platform
Application Developer, Database Administrator, and Project Manager in a wide variety of business applications. Particularly interested in client/server and relational database design using Oracle, MS-SQL Server. Programming languages: C#, ASP.NET, С/С ++, Delphi, Php, VBA, and solidity.

Arjan Eikelenboom – Strategic Partnerships CREDITS
Producer of Cryptocurrency & Blockchain Technology Events throughout Europe.
He is the founder and CEO of Dutch Finance Educational Platform ’Trading Seminars’. Arjan has more than 10 years of experience in private banking, asset & wealth management and investments in disruptive technologies.

The team is supported by an advisory board with extensive experience in fintech and startups.

 

Token Sale Details:
ICO date:                                 Start 15 February till 28 February 2018
Token distribution date:      within 1 week after end of ICO
Token standard:                    Ethereum ERC20
Tickersymbol:                         CS
Token Amount:                       1,000,000,000
Token Sale Target:                $ 20,000,000 (hard cap)
Token Price                             5,000 CS for 1 ETH (based on exchange rate per start of ICO)
Vesting Schedule team:       1 year

 

Token distribution:

Category                                 Percentage CS                     Total CS

Bounty                                    2%                                        20,000,000
Bug Bounty                            2%                                        20,000,000
Founders                               15%                                      150,000,000
Operations:                           20%                                      200,000,000
Advisors                                 1%                                        10,000,000
Crowdsale                             60%                                      600,000,000

How are CREDITS tokens used?

The system uses the CREDITS currency, which serves:

• As an internal means of payment for the system usage;
• To exchange different currencies within the system;
• To exchange various values within the system;
• Tocreate and process operations under smart contracts;
• To purchase information from third-party sources for services within the system.

Opportunities

• There are no vaiable solutions to solve the scalability and latency issues yet, although Ethereum is switching the network from PoW (Proof of Work) to Pos (Proof of Stake) and there there are some ongoing projects like EOS, Radix and Dragonchain that are trying to solve these issues, none of these have materialized yet. The project that goes live first and proves to be able to handle a large throughput will have a big advantage.
• Working product: They have a working product with Alpha release expected within a few days from now (10-2-2018)
• Team: They have a dedicated and experienced team that has vast knowledge about Crypto and Blockchain technologies.
• Smart Contract: Developers may code smart contracts in Java, whichmeans access to a huge developer community, besides that, their smart contracts are more advanced than that of Ethereum.

Concerns:

There are some key technology risks that are basicly the same for all blockchain related projects, here are the most important ones:

• Lack of Market Penetration: This project depends on attracting users and/or third parties providing hosting services to CREDITS at the intended level or at a level sufficient to become or remain useful or viable. Their strong point of not using mining can be their weak point as well as incentives to run servers for their blockchain are less than running a Bitcoin or Ethereum Node. Any such lack of use or interest could negatively affect the development of CREDITS.
• Competition: They face heavy competition, not only from other blockchain based companies, but also from the likes of Microsoft and IBM.
• Need to pay for every transaction: Users need to pay for all computations on their network, exept for reading operations, which makes their platform less suitable for commercial dApps which are often based on monthly payment subscriptions.
• Regulatory Risks: Their regulatory status is unclear or unsettled in many jurisdictions. It is not known if, when, or to what degree different jurisdictions will interpret existing laws and regulations or adopt new laws and regulations that could adversely affect them.

Conclusion:

We think that CREDITS will be a good investment. If they manage to go live with their mainnet before the competition does, they will have a huge potential. Their product addresses some of the most pressing issues plaguing blockchains today. Their smart contract code is more advanced than that of Ethereum and they have the benefit that they where able to design their blockchain from scratch.

Our Rating based on our pointing system in excel was as follows:

CREDITS gets a rating of 89%

We are investing in this ICO!

This is not investing advice, we merely show you in what ICO we are investing. As always do your own research!