The concept behind the Accounting Blockchain ICO is indeed a tangible solution to various issues faced by business, particularly smaller businesses that face substantial administrative costs in maintaining their records in order.
The success of the proposition will highly depend on the uptake of the technology by businesses. In a world where the majority is on block chain this proposition would be the ideal one. However, there is still a lot of scepticism in the market on similar applications. If this technology is taken up by for example the Inland Revenue Department in Malta, then it may be the case that many will follow in order to ensure correct tax entries. A lot of time is being consumed as Commissioner for Revenue wrongly accounts transactions and consequently there is a lot of reconciliations and possibly litigation with the Inland Revenue. Such a software would certainly address such matters. One needs to see whether the proactive approach taken so far by Government of Malta will actually lead in it also take the lead in implementation.
Unless there is a major event that will make a lot of businesses embrace this technology it may be bound to remain a nice ideal concept which most of us have dreamt of for a number of years. On the other hand, one must say that it idea is commendable.
As in other ICOs, the legal structure is not clear, and neither are the Ultimate Beneficiary Owners of this proposition. Given the involvement of persons linked with Ellul and Shranz Group it may be the case that they are directly investing as well. It is important that the promoters communicate who will put in the seed capital.
The white paper presents a team of people that seem to be known in the industry particularly in their profession and since they are endorsing it they are also endorsing the risk of getting it wrong with high personal reputational risk in their respective professions. From an investors perspective this does put some assurance since professionals with warrants at stake are taking such a risk. The whitepaper also envisages KYC procedures will be mandatory for all participants which also shows that the promoters do understand the risks of launching an ICO.
The timeline being proposed seems also a reasonable one and gives the impression that the team knows what it’s doing. Indeed, there is a three-year plan which started in August 2016 and will end in June 2019. The plan also provides indirectly a strategic marketing plan. This must have been communicated better as the distribution of the software which is fundamental as explained above does not come out immediately clear from the white paper.
Also, it is not clear how the bonus token will work and perhaps the promoters should communicate this better to put the investors mind at rest.
One will need to see whether the team will continue to enforce its message of trust by obtaining a licence from the Malta Financial Services Authority come October 2018.