ICO Soundeon project review

Name: SOUNDEON

Token Symbol: AXIS

Web: https://​soundeon​.com/

GitHub: https://​github​.com/​s​o​u​n​d​eon

Documentation: WhitePaper

ICO status : processing

• pre sale: August 30‐ September 29 2018, completed, $1.6 million has collected
• public sale round A: 1 October — 30 October 2018
• public sale round В: approximately the second half of 2019

SOUNDEON is utility‐token of ERC‐20 format, which is based on the Ethereum. 1 billion coins will be issued, 650 million of them will be sold. Tokens are issued after completion of the ICO. If hardcap is not closed, tokens will be issued less. The price is $0.056923 + 7% bonus. The minimum limit for investors is $70. They accept BTC, ETH, LTC, BCH. There is a lock‐period for the team, advisors and early investors (6 — 12 months). All investors could participate in the token‐sale after KYC, residents of the United States are exception. Softcap — $3 million, hardcap — $37 million (total) and $16 million (for round A). The company is registered in Estonia.

Project Summary

Soundeon is a decentralized platform for musicians and music lovers. The platform allows you to create and license music, sell rights to musical assets, organize concerts and sell tickets, manage rights to royalties. Soundeon also gives you the opportunity to issue your own tokens and conduct ICO.

Soundeon is going to unite the music industry on the one platform, remove unnecessary intermediaries, solve the problem of piracy, give performers the opportunity to create and earn in an honest and transparent ecosystem. The platform offers a multi‐level system of monetization and copyright management through smart contracts.

The project is based on copyright agreements Creative Smart Contract (CSC). The technological base of the platform is the Etherium blockchain. The developers of Soundeon Platform submit a patent application for CSC in the United States Patent and Trademark Office in April of 2018. The platform is focused on the global market, initially it focuses on Western Europe and Asia (South Korea, Japan).

The music market is estimated at 66 trillion dollars a year, but in the coming years this number may rise to 274 trillion (as the team claim with reference to studies by IFPI, PWC, Nielsen, Music Business Worldwide). The problem that the project is trying to solve is real: we previously published an article, in which we detaily describe the complexities of the music industry. The White Paper provides an analysis of competitors, from which it follows that, unlike other projects in this area, Soundeon covers all parts of the music industry.

Where Does Blockchain Come in?

Transfer to musical compositions, calculation of royalties, data on the sale of tickets for concerts are recorded in the blockchain, after which they can not be changed. Due to this, musicians and clients of the platform can interact honestly and openly, trusting to each other.

Project Team

CEO Vadim Kurochkin and CVO Vladimir Avdeev are presented as co‐founders and managing partners of the Hedge Fund Zilliard Capital. There is no data about the team on the Fund’s website, and Vadim Kurochkin and Vladimir Avdeev are mentioned in networks only as the founders of Soundeon. It is reported that Vladimir has been a member of the team of the Bolshoi Theater for 10 years, but evidence of this could not be found.

The rest of the team is mostly Russian‐speaking and quite young. The famous musician, composer, leader of the group «mummy Troll» Ilya Lagutenko stands among the advisors. The team reports that Ilya Lagutenko advises the project in terms of working with young musicians. Between the Soundeon project and the festival VROX, which is organized by Lagutenko, signed a coöperation agreement.

Overall, the Soundeon team doesn’t seem strong enough for such an ambitious project.

It is reported that in December 2017 the company attracted an investment of $ 600 million from the Singapore venture Fund (the team expressed readiness to provide confirmation after the verification procedure) and entered into partnerships with major players in the music industry, such as the music label Fondamenta, VROX festival. The road map is written until 2020.

Friendliness to the Investors

The site is available in several languages. There are 24,000 people in the Telegram chat , the team responds to questions in detail.

Positive Indicators

1. The viable idea and blockchain is used reasonably
2. There is an MVP (the beta version of Music Token Sale is launched).
3. Quite detailed and reasonably White paper with analysis of market, competitors, business model of the project.
4. They promised listing on one of the TOP 10 exchanges in November, the name of the exchange has not been disclosed.
5. Friendliness tointestors.
6. There are preconditions for creation of a deficit of the token ( Lock‐period for the part of the tokens; only tokens, which were sold on ICO, will issue). This reduces the risk of a massive sell‐off and price collapse, if something goes wrong.

Negative Indicators

1. There is a not enough strong team.
2. There is no Yellow Paper.
3. The team reports that legal expertise was conducted by Hedman Partners (http://​www​.hedman​.ee/​ru/), but the reference to the results they ready to provide only to verified contractors.
4. The big hardcap, which probably won’t be able to close. It means that the project won’t be able to realize all the possibilities. As follows from the White Paper, only 2 features from 6 will be realize in the case of collection the $3 – 8 million on the platform (Music Token Sale and analytical resource Soundeon Monitor), in the case of collection $8 – 16 million — another (Soundeon Exchange). They realize all items of the roadmap only if they could collect $32 – 37 million.

Summing Up

The project belongs to the category of startups that declare global goals, which may not be within the power of their team. Bearing in mind the fact that $ 1.6 million has been collected so far, investors do not have much interest in the project. In the short term, it is possible to increase the exchange rate if the tokens are listed on a large exchange in November, in the long term — only if the platform is launched with the implementation of all the declared opportunities. While there are doubts that Soundeon will collect hardcap, and if this does not happen — they don’t have enough money to implement all plans and become a global music platform on the blockchain. We put 6 out of 10.

More our reviews you could read here.