Orbeon Protocol analyzed
Let's talk about the recent wave of promotional articles regarding the new Orbeon project, which aims to use blockchain technology to safeguard small investors from fraud and to revolutionize the fundamentals of digital crowdfunding.
Having a large number of sponsored or partnership articles alone shouldn't raise suspicions. In fact, it's common for 99% of new products, including digital startups, to begin their market entry with advertising campaigns.
However, to determine any potential risks of the project, we need to analyze data from open sources.
Who is behind the Orbeon project?
The official website of Orbeon provides very little information about its founders, which is not a good sign. Projects that enter the market with transparent founder profiles, including their work history, tend to inspire more confidence than those that are anonymous.
Google knows everything.
We managed to discover that Orbeon Protocol's CEO is a crypto investor known as Lyubomyr Koval, a crypto investor and a graduate of the National Technical University of Ukraine. Interestingly, Koval spent ten months writing code for the Сrypto.com platform.
Over the past 8 years, Lyubomyr has invested in several projects, including:
- Bitcoin Inc.;
- Ethereum;
- Cardano;
- Solana Labs.
It's possible that Lyubomyr is simply listing the assets he has traded on the exchange, but we can't confirm this.
One of the co-founders is Andrii Korchun, who presents himself as a blockchain expert. He is also a graduate of the Sikorsky Kyiv Polytechnic Institute. After graduation, he worked at Chainlink Labs for less than a year.
Anna Dubyna, a marketer and graduate of Karazin Kharkiv National University, is the third member of the team. She has no prior experience in the crypto market.
All the project’s founders currently reside in the UK.
The team also includes:
- Jenny Butler, a marketer from Pennsylvania who works for an air purification company.
- Mark Chen, a developer. There is no other information available about him.
- Asim Rahman, a developer with empty social media profiles.
It seems likely that the creators of Orbeon Protocol have less than two years of experience in the cryptocurrency space.
The project's social media presence isn't very active:
- There is only one short introductory video and 106 subscribers on YouTube;
- The project amassed 17,000 followers on Twitter, their tweets usually receive no more than 10-30 likes, and even fewer comments;
- The activity on Telegram is minimal.
We can conclude that the project hasn't formed a full-fledged community yet, which is usually present behind successful crypto projects. It seems like the marketers aren't putting in much effort to inspire confidence in users.
Orbeon Protocol Tokenomics
ORBN is a native token of the project. It will be used to pay fees, reward early adopters, and provide access to the platform's advanced features. This is a standard setup that all crypto projects offer. The only concern with Orbeon is that the creators don't explain what exactly "platform's advanced features" means. Without a detailed explanation, it's just a vague phrase.
The Orbeon protocol is currently built on Ethereum, with plans to connect to several chains, including Polygon, Solana, and Binance Smart Chain. This means the ORBN token has an ERC-20 format.
The supply of ORBN is limited to 888,000,000 tokens. According to the Etherscan resource, the smart contract for this amount was activated on October 24, 2022. 10% of the tokens are reserved for the development team.
The presale started on October 31, 2022, and will last until March 31, 2023. During this time, the asset can be purchased for $0.004 per token. A total of 470,640,000 ORBN tokens have been released for circulation. At the time of writing, 13,766,706 tokens have been sold.
Two days after the end of the presale, the ORBN token will be listed on UniSwap.
The official launch of the project will be announced on April 4, 2023. The founders promise that the minimum launch price will be $0.0921, meaning that the token price is expected to increase 23 times. However, it is unclear which calculations were used to determine this price.
The minimum investment required for Orbeon is $50, with a maximum investment limit of $250,000. However, as of the time of writing, which is just one week before the launch, the project roadmap appears to be unconvincing. It seems evident that the developers are struggling to keep up, even with the first phase of the project, or perhaps changes are not being adequately communicated on the official website.
Source: orbeonprotocol
Orbeon Protocol project’s goals
The Orbeon project aims to bridge the gap between early crypto investors and promising blockchain projects. According to their official website, it's a decentralized platform with multiple functions.
Unfortunately, it's not entirely clear how they plan to achieve this from their official website.
According to various promotional articles about the project, the Orbeon Protocol will employ blockchain technology to tokenize capital in NFTs. These NFTs will be fractionalized and sold to interested investors around the world.
Real companies and crypto startups will be able to launch funding rounds on the Orbeon Protocol investment platform, issuing NFTs based on rewards or shares. The platform will use a "Fill or Kill" mechanism, meaning that all funds will be automatically returned to investors' balances if the startup fails to raise the stated investment amount.
In addition, the project offers a range of benefits for investors and startups:
- Any startup, regardless of its size, will be able to use Orbeon Protocol, with a minimum deposit set at $1.
- By fractionalizing NFTs and buying small shares, investors can participate in crowdfunding for several projects, even with a small starting capital.
- Startups will no longer have to deal with the lengthy wait times and additional fees associated with traditional fundraising methods.
- Smart contracts of the Orbeon Protocol make the process easier and guarantee secure and transparent transactions.
How will NFT fractionalization work?
How will this process be implemented on the blockchain?
How will ownership rights to shares of the non-fungible token be preserved?
It would be helpful if the developers of the protocol could answer these questions. However, they do not seem to be making any effort to make the project transparent and understandable to retail investors. The project’s white paper contains only general statements such as "we are here to challenge and disrupt the traditional VC model."
In addition, the creators promise a host of perks:
- the Orbeon crypto wallet;
- an NFT marketplace;
- native tokens’ staking;
- perpetual passive income from the ORBN trading activity;
- a starter panel for creating the Orbiverse metaverse;
- 24/7 customer support.
And an invitation to become a crypto unicorn with the help of the Orbeon Protocol.
Conclusion
We admire ambitious people and bold ventures, but we are wary of projects that offer nothing but blind faith in a bright future, vague roadmaps, and tokens that need to be purchased right now, with no guarantee of ever reaping any profits from them.
Moreover, even if you purchase these tokens right now, you won't receive them immediately. The white paper states that presale tokens holders will receive 10% of their token each week for a period of 10 weeks.
Are you willing to take such a risk?
