Origin Protocol ICO Review: A Decentralized Sharing Economy Marketplace

Origin Protocol ICO Review

Origin Protocol wants to create an open source, decentralized, peer-to-peer sharing economy marketplace. Continue reading our Origin Protocol ICO review and learn everything you need to know.

The target is to allow buyers and sellers of goods and services transact on their platform. By using Ethereum Smart Contracts and Interplanetary File System (IPFS) they plan to create a sharing economy without intermediaries.

        Market Overview

The last decade has seen a huge growth of online marketplaces. Major platforms such as Uber, Airbnb and Freelancer have connected millions of buyers with sellers, generating billions of transactions between them.

With an astonishing platform revenue of $18.6 billion in 2017 and a projected growth of $40.2 billion by 2022, sharing economy is a growing market showing a lot of promise for the future.

Origin Protocol Market Overview

Like with most centralized organizations, despite their success they still have a lot of shortcomings. The most obvious being the fees collected from the users. This results in buyers paying more and sellers gaining less.

Let's take Airbnb for example, a major fractional goods centralized marketplace. When a host rents his house for $200 per night, he or she will get a profit of $190 while the buyer will pay almost $270.

Another major shortcoming is the user’s personal data storage and usage. Big centralized companies keep track of their user’s personal data as well as transaction history and use it as they wish. Take the Facebook–Cambridge Analytica data scandal for instance.

Other less obvious problems are changes to privacy policies without users being notified, and a lack of innovation that tends to happen to most monopolistic markets.

​The Origin Protocol Solution

Origin Protocol aims to create an online platform where sellers can create listings to sell or rent their goods, while buyers can browse through these listings and make purchases.

They also empower businesses. Third party developers build their own marketplaces on the protocol and charge fees for their services.

The Origin Protocol Solution

Standard marketplace features like reviews and ratings will be a part of Origin Protocol’s ecosystem.

The creators of origin protocol believe that all marketplaces share standard features and they can create a platform that can offer them all.

Let’s see how it would work.

The Origin protocol is broken down into 3 major segments:

  • ​Origin decentralized app
  • ​Origin developer libraries
  • ​Origin protocols
Origin Protocol

Origin decentralized app

This is the consumer marketplace in which buyers and sellers interact with each other. Sellers create listings and offer their goods or services. Buyers browse through them.

Users are able to use the Origin DApp by using their Ethereum wallet and pass a verification when required.

The Origin DApp is a client on the rest of the platform while the front end is distributed and hosted on the IPFS network.

Since the project is open source its functionality should improve over time as people contribute by creating APIs and DApps.

Origin developer libraries

Origin wants to promote the creation of third party DApps on their platform. They will create Origin developer libraries to help developers with no experience in Solidity.

These libraries will be JavaScript libraries at first, but mobile libraries will be added in the future.

Origin protocols

These protocols include marketplace data like users’ identities, transactions and listings. They are public and shared on Ethereum and IPFS and accessible to everyone. This will create a trustworthy environment for both buyers and sellers.

​Origin Protocol Tokens

Origin Token (ORIGIN) is an ERC-20 token with all the benefits of an ERC token.

It is a utility token designed to be used for the governance of the network.

There are three major functions that the token will serve.

Governance

For all big upgrades and updates the community will create one or more proposals for voting.

Before the voting process every token-holder will receive an equivalent amount of tokens for each proposal.

These tokens are designed for one-time use. Their sole purpose is to vote on the proposals.

During the voting the tokens are sent to smart contracts for each proposal to show their support. All unused tokens are burned.

Ensures platform health and security

Deposit-Challenge-Vote: If a user wants to create a listing, make a dispute etc. he is required to deposit some tokens to an escrow account. If everything goes smoothly and the depositor is valid the tokens are return to him. If he is spamming or fraudulent the tokens are confiscated.

Referrals: As mentioned above, Origin protocol has invested in community engagement. Major contributions and code improvements are rewarded with tokens.

Third party DApps creators have the right to charge user fees paid with tokens.

Transactions on the platform

ORIGIN tokens are used for all transactions on the origin platform.

Team

There are 6 core team members.

headshot-josh

        Josh Fraser
        Co-Founder

Josh Fraser has a BS in computer science and is a serial entrepreneur.

He has co- founded a multitude of successes:

- EventVue, a social network for conference attendees

- Torbit, a company selling optimization and performance measurement tools (later acquired by Walmart Labs)

- Forage, in the food industry

headshot-matt

     Matthew Liu
     Co-Founder

​Matthew Liu has an Ms in Management Science and Engineering from Stanford University.

- Vice President and Product Creator for Qwiki. A company creating automated tools for interactive media (Later acquired by Yahoo)

- Vice President for Bonobos, an e-commerce innovation company (acquired by Walmart)

- Cofounder at Unicycle labs and PriceSlash.

headshot-stan

     ​Stan James
     ​Lead Blockchain Engineer

Stan James has a BS in Computer Science and a MS in Cognitive Science.

Stan has many years software engineering experience and is the founder of Lijit Networks (acquired by Federated Media).

The rest of the team consists of several high profile Engineers, R&D, Partnerships advisors, and Community Managers. They have years of experience in Fortune 500 companies such as YouTube, Google and Airbnb.

Despite the co-founder's impressive entrepreneurial background and the team's experience, we believe they are missing a key ingredient: A strong background in sharing economy platform.

Partnerships

This is one of the areas Origin protocol does well and one of the strongest reasons to invest.

They already have more than 45 partners. The Origin team claims that all these partners will build their DApps on the Origin Platform. However, there is not a lot of information about the nature of the partnerships and we can't be sure how many will stick.

No matter the result of these partnerships we take this as a strong sign that the team is working hard in all fields developing the platform.

Some of the partnerships include: Bee, HireGo, We Trust, Hire Match, Snag Ride, Block Lancer, WiFiCoin, Propy.

Origin Protocol Partnerships

Tokenomics

Hard Cap: $35.000.000

Total Token Supply: 1.000.000.000

Type: ERC-20

With no official information on their website and private sale running, his is all the info we could find online.

We wait for more official information to update this post.

Origin Protocol Strengths

As previously mentioned, partnerships are one of the strongest areas of Origin Protocol. It shows that they are here to stay and plan on becoming a central player of the decentralized sharing economy marketplace already forming alliances with projects in their niche.

Unlike other projects that have no reason to build their projects on blockchain, this one gives real value.

People have adopted the sharing economy marketplace across the world and demand keeps growing. The profits of the sharing economy marketplace in 2017 were $18.6 billion. It is estimated that it will more than double by 2022. It is time to shift to blockchain thereby cutting out the middleman and democratizing goods and services. If you think about it this way, the sharing economy is a peer-to-peer concept.

Origin is funded by Pantera Capital one of the biggest blockchain investment agencies. They have invested in projects like Bitcoin, Bit Stamp, Augur, Enigma and Ethereum.

The project has been ongoing for almost a year. The team has already released a demo with some listings on the testnet.

There is already a big hype about this project within a large community. They already count almost 38.000 members on Telegram and 11.000 followers on Twitter.

Origin Protocol Weaknesses

The team is experienced and talented and has a strong entrepreneurial background, but they lack experience in the sharing economy marketplace.

Fees are unclear. We don’t know anything about the costs of using the platform yet if the developers themselves set the fees for the DApps.

We also have some concerns about the Deposit- Challenge-Vote system that they will use as an arbitration system . Is it gonna be fair or people with lots of tokens will be able to force their opinion?

The roadmap is too vague there are no details on the execution of the project.

Summary

We believe origin protocol is a promising project and could be a good long-term investment.

On the one hand, sharing economy is a thriving market. It shows great potential and no other major competitors in the crypto space.

On the other hand, the team’s lack of experience in the field combined with the missing information on the tokenomics is something that holds us back.

We think that Origin Protocol is a long-term project. We'll hold off investing and wait to see how the partnerships progress, learn more about their tokenomics and see how they handle arbitration and fees from third party developers.

Origin Protocol is a really promising project but also very hard to execute.

We will track its progress and if our concerns are resolved we will invest, even after it hits the exchanges.

​Final Score

75.8%
​Final Score
​8​0%
​Idea
​80%
​Market
​​70%
​Team
​​80%
​Hype
​​0%
​Tokenomics
​​85%
​Competition
​60%
​Progress

George

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