The cloud computing space is currently a two hundred and fifty-billion-dollar industry that has been predicted to reach five hundred-billion dollars by two thousand and twenty-five (2025). Decentralized blockchain platforms are working to empower small payers in the space, so they can compete with big names such as Amazon Web Space (AWS), Microsoft and Google. A prime example of this is Unchainet. Unchainet is an entity in the market who is respecting the need for regulation in the crypto sphere, and running both, Security Token Offering and Initial Coin Offering. Unchainet provides a double chain stack, where the base platform known as Quality of Service (QoS), grades and classifies nodes as per their reliability, speed and performance to qualify for the second tier which is the Unchainet platform. Users of Unchainet will be using UNET tokens to access and provide cloud computing services. Unchainet provides security to investors that they are a legitimate business which is adhering to the American SEC regulations.
Joey Jones, is the Chief Revenue Officer, who has over twenty years of experience in sales and marketing and business development across many industries such as tech, agriculture and even beer. The Chief Executive Officer, Roman Mandryk, is a business and tech professional in software development with more than a decade of experience dealing in cloud and blockchain technology. Coinedict had the opportunity to speak with Joey and Roman to better understand Unchainet and what it provides.
- Coinedict: ‘Roman Mandryk revolutionizes cloud and hosting services by creating Airbnb like a platform for renting computing resources.’ Your LinkedIn description draws a comparison to Airbnb in the way your business model is set up.. How much of your business model is a reflection of the model initiated by companies such as Uber and Airbnb and have you modified or built open their model/structure?
Roman: Every project needs a simple elevator pitch and while it’s hard to describe a full business model in one sentence, “Airbnb” is probably the nearest thing people can relate to. Just replace houses and apartments with servers, data centres and mining rigs and it’s very similar. It’s important to point out thought that Airbnb is a private company while Unchainet is driven by all network participants – token holders, cloud consumers, providers and developers.
- Coinedict: What privilege do UNET token holders get?
Roman: Token holders can buy computing resources, that’s the first usage and main usage of UNET tokens, the first UNET token holders can also exclusively sell them to cloud consumers who need them to run the workloads, you don’t need to buy UNET tokens just to run workloads, you can buy tokens now and sell them when there is a larger demand for them once we have more and more consumers.
Joey: One other benefit a UNET token holder gets different than ICOs of 2017, is a security token offering and the reason that we are doing that is because of the extreme amount fraud that occurred during the ICO process with various companies. We wanted to give the potential purchaser of UNET token the security of knowing that we are a real company with real aspirations and we are not going to take the money and run if you will. It does fall under SEC guidelines within the US for credited investors. So, before they even get started they can know we are a real company, with real goals and ambitions.
Coinedict: What is the difference between an ICO and STO periods?
Joey: A big difference between the ICO versus the STO it is the regulatory aspect, there is a lot of people in the crypto currency space that want to stay away from regulation, and honestly, I don’t think that is a realistic expectation, the more appropriate thing to do would be to manage the regulation not just sit back and let it happen but be an integral part of creating it. So, a security token means we are looking at what the SEC has done we are looking at what they have said, and they have said that they believe that coins are not security, bitcoin is not a security, but they say that all utility tokens like the UNET is a security. We are taking the stance to be on the safe side, and not put our company at risk by later the SEC coming back and saying you did this, this and this and that violates these guidelines, so we are telling you to cease and desist, you can’t operate as a business anymore, you can’t do these things, you got to get your money back or whatever it is they decide to do, we are avoiding all of that and giving the end users security of knowing that we’ve followed federal guidelines we have done all the compliance that is required by the SEC, so that they know we’re not going to scam them or be fraudulent in any way, this is a real investment with real potential in the long run, what that potential will be obviously no one knows, but what we do know is that we have an excellent business model that can compete very quickly in the space, so from a business perspective if we are talking about fundamentals in investing, we’ve got extremely strong fundamentals from a company perspective, which bids well for possibility of the UNET token.
Coinedict: What is the classification method you use to grade nodes? What makes a node approved for good quality?
Roman: Our goal is to run a network where there are high quality nodes, consumers can use the exact quality they like, either pay a bit more for high quality or pay less. They need to know what they are doing, so to classify nodes we look for reliability, high internet speed and a long-term commitment of providers. These are the biggest score items in our QOS sheet scoring algorithm and it basically incentivizes providers to run their nodes long term and have that node dedicated. Our network is designed to expect some failures from a hardware perspective or because we run a bidding platform where people can actually bid how much they want to use the network, we expect that you can lose workload to a higher bidder as well. To recap basically the more reliable and higher quality network, the more there is the better, we incentivize people to run fast servers and run them in dedicated data centers rather than run them at home on ADSL on slow speeds and so on.
Coinedict: How do the QoS and UNET chain differ?
Roman: We have two chains in our technology stack, first chain the QoS is a mega chain, our first layer is responsible to score all the nodes, all the providers and it allows the selected nodes to participate in the UNET chain consensus, by selecting only high-quality nodes. UNET chain serves as actual execution contracts layer between providers and consumers and this is necessary for transacting on the platform. The native UNET token is based on the UNET chain while QoS is the guard layer which protects the higher layer chain. The UNET chain has the UNET token on it. QoS does not have any token on it, it is simply just a blockchain which has different features, it still stores the immutable history of all the quality scores of all providers, QoS as a single source of proof for all quality information for all providers over time.
Coinedict: Why should someone invest in Unchainet?
Roman: The cloud industries clearly one of the largest and fastest growing industries at the moment and I think it will just continue to accelerate. Now investors have a limited opportunity to be at the beginning of decentralized cloud platforms which will become an essential counter to existing processes. Unchainet is currently developing one of the first decentralized cloud platforms of its kind and this will enable us to be one of fastest companies to market in the decentralized cloud space.
Joey: One of the big reasons to invest in Unchainet is that we are one of the few companies that is following regulatory guidelines and ensuring that people can be confident in their investment in unchained by doing the security token offering. Not only do we have a good business model that is going to get us to market faster than anyone else currently in the cloud computing space. But we have a solid a model and we have got the registration with the things that we need, the paper work done to make sure we have dotted all the i’s and crossed all the t’s so to speak so people don’t have to be concerned about is this real or is this not real. Whether people invest in us or not we will be a successful company. We talked a little about the overall space, talking about cloud computing as a whole, it is currently a two hundred and fifty-billion-dollar industry and that number is expected to double by 2025. Even if all we do is talk about today, just two hundred fifty-billion-dollars. All we have to do as a company is get one half of one percent and it makes us a one point two five-billion-dollar company, that is a big company. And it just takes one half of one percent that is not a very big market share to be successful, so if we can actually have an impact like we expect to in this overall market place, really the clouds are the limit.
Coinedict: What are the market conditions for investment at the moment?
Joey: I spent sixteen years as a registered investment advisor. I retired from that business in 2008 and I spent that entire time teaching people how to understand overall investments so they can make better decisions for themselves for their retirement, for their future, for their children for all those kinds of things. One of the things that I find interesting in the crypto space is that people aren’t for the most part using standard fundamentals to monitor the market, they are just looking at what is the latest news and having a knee-jerk reaction to whatever somebody has to say whether they really know what they are talking about or not that’s not really relevant. I think that is one of the benefits of moving into the security token space is that you deal more with institutional types of investors. Although I say that and we see its traditional investors doing the same type of things. The space is maturing and as it matures people are going to find the fundamentals more. I think the opportunity right now is great so if we were looking at the market from a fundamental stand point we would say ok the market is down right now, well in investments most people have heard buy low and sell high, doesn’t matter what it is, whether you’re buying a house, whether you’re buying a stock whether you’re buying a car, it doesn’t matter whatever it is you buy low and you sell high. The same thing holds true for the cryptocurrency market, right now the markets fairly low the only question is, is the market going to go completely away and the answer to that is no it’s not going to completely go away, will some of the players go away? Well sure but you can use fundamentals to look at those and see what companies you really believe can survive and what companies can’t. Take Litecoin for instance, Litecoin’s been around for a long time it is one of the competitors of Bitcoins but from a fundamental perspective, I own Litecoin, I probably won’t for much longer, Litecoin no longer has any support the guy that started Litecoin has sold all of his Litecoin shares the foundation that supports Litecoin doesn’t have any more money and they are not doing anything for development. The only reason it has any value is because the market says it has value, so at some point it’s not going to have value any more so it is probably something to consider if you own it, may be should know that, but fundamentals tell you that so if you are following just commonsense things, can a management team really pull of what they’re doing or if it’s just a bunch of kids that have a really great idea but don’t know how to run a business and they don’t have advisors who are going to help them run a business so they are not going to survive from a business perspective, are these people that can really run a business? Fundamentals will tell you which ones to invest in and which ones not to invest in, we just have to use them, it is a great opportunity right now for the market.
Coinedict: Joey with your priceless and huge experience, what else do you think is needed to make Unchainet successful?
Joey: There are lot things that will help Unchainet be successful we need to obviously build a community of cloud providers, and I will tell you as the person who talks to these providers that it’s a pretty easy conversation. I know that you’ve got servers that are currently consuming energy and are not making you any money, how would you like to have a conversation about turning that into a revenue source instead of an expenditure. I haven’t had any one say I don’t want to talk about that yet. Everybody wants to talk about that, so finding providers isn’t a difficult challenge but it is still something we have to do. We have to get out there and prove ourselves, we have to prove that we have the security, we have the reliability and we have the things to be competitive in the cloud market place, so that users will use us. I have talked to large enterprise organizations and even though AWS came out in 2002 it’s really just now starting to be adopted by big organizations, sixteen years later. These organizations have been doing a piece meal by department instead of by an organizational level, a lot of these organizations are trying to get a grip on where are we spending money who are we using and for most of them they are using everybody which is not effective. Having a conversation about, let’s talk about reducing your expenditures by fifty as much as ninety percent that again is a pretty easy conversation to have, but we still have to build that community of users and then the average consumer who will get on use it and do those kinds of things as well. These are not hard things to do but they are things we have to do to be successful. We’ve got to get out there and have those conversations and shake those hands and do the things that we do, and get out there. The market is so big we just have to have a little bitty small piece to be a really big company. We are not trying to be like the ICO of 2017, more like an IPO of the 1940’s when this started becoming a thing and was being regulated and there was great opportunity, there still is great opportunity. If people look at our fundamentals I think they will find that the investment is a solid investment.