"I cited figures from which it was possible to see that in Russia, mainly state-owned companies, their subsidiaries, as well as numerous budget institutions, which together control 70% of the Russian economy. They are mainly a source of replenishment of the budget of the Russian Federation. Individuals in the Russian Federation form approximately 10% of the budget, while in the US this share is approximately 64%.
Below we will see how the capitalization of the most expensive Russian companies:
| Company | Share controlled by the state, % | Owners | Change in capitalization in $ per, % | Change in capitalization in $ from 2014 to 2017 , % | Capitalization at the end of 2017, $ million | ||
|---|---|---|---|---|---|---|---|
| 2017 | 2016 | 2015 | |||||
| Sberbank | 50% + 1 share | *Central Bank of the Russian Federation - 50% + 1 share; * other shareholders are more than 8273 legal entities and individuals ( individuals- 2.84%, foreign investors - more than 45%) | 37,9 | 104,1 | 44,9 | 307,83 | 84 311 |
| Gazprom | over 50% | * Federal Property Management Agency - 38.37%; * OJSC Rosneftegaz* -10.97%; * OJSC Rosgazifikatsiya* -0.89%; *ADR holders - 25.20%; *other registered persons -24.57% | -11 | 35,4 | -20 | -3,60 | 53 349 |
| Rosneft | 50% | *JSC Rosneftegaz - 50%, *British BP - 19.75%, *Swiss-Qatari consortium QHG Oil Ventures - 19.5% | -23,7 | 87,7 | 1,2 | 44,93 | 53 304 |
| Lukoil | h | 1,9 | 75,1 | -18,1 | 46,13 | 48 933 | |
| NOVATEK | h | -9,4 | 58,1 | 5,4 | 50,97 | 35 543 | |
| Norilsk Nickel | h | 12,6 | 31,5 | -13,2 | 28,52 | 29 511 | |
| Gazprom Neft | 95.68% Gazprom | *Gazprom - 95.68%; *in free float - 4.32% | 19,4 | 68,9 | -15,8 | 69,80 | 20 165 |
| Tatneft | h* | 18,8 | 58,4 | 6,2 | 99,85 | 17 959 | |
| Surgutneftegaz | h | -5,6 | 8,8 | 10,7 | 13,70 | 17 191 | |
| NLMK | h | 35,8 | 119 | -25,5 | 121,56 | 15 349 | |
| Severstal | h | 1,2 | 82,5 | -5,1 | 75,27 | 12 985 | |
| Yandex | h | 64,7 | 48,7 | -9,5 | 121,64 | 10 669 | |
| RUSAL | h | 62,7 | 41,2 | -54,4 | 4,76 | 10 569 | |
| VTB Bank | 60,90% | * Federal Property Management Agency - 60.9%; *The rest of the shares are distributed among GDR holders and minority shareholders - individuals and legal entities. | -33,1 | 12,4 | -7,4 | -30,37 | 10 595 |
| Pole | h | -25 | 84,5 | 123,9 | 209,82 | 10 482 | |
| Magnet | h | -38,9 | 17,8 | -12,8 | -37,24 | 10 382 | |
| X5 Retail Group | h | 16,4 | 71,2 | 51,6 | 202,10 | 10 256 | |
| ALROSA | 33% | *in free circulation - 34%; * RF - 33%. | -18,3 | 106,7 | -30,3 | 17,71 | 9 584 |
| MTS | h | 13,1 | 41,7 | -5,2 | 51,93 | 9 578 | |
| MMK | h | 34,7 | 115,2 | 35,8 | 293,65 | 8 210 | |
| En+ Group | h | - | 7 771 | ||||
| VEON | h | -1,2 | 17,4 | -21,5 | -8,95 | 6 685 | |
| Mail.ru Group | h | 57,5 | -13,9 | 37,7 | 86,73 | 6 360 | |
| Inter RAO | *PJSC FGC UES - 9.24%; * JSC Inter RAO Capital (quasi-treasury shares) - 29.39%; | *Rosneftegaz Group - 27.63%; *PJSC FGC UES - 9.24%; * JSC Inter RAO Capital (quasi-treasury shares) - 29.39%; *in free circulation - 33.74%. | -7 | 317,8 | n.a. | 6 079 | |
| Uralkali | h | -25,4 | 11,4 | 5,7 | -12,16 | 5 966 | |
| Bashneft | Rosneft | The main shareholder is Rosneft | -33,8 | 117,2 | 24,1 | 78,44 | 5 793 |
| PhosAgro | h | 0,5 | 10,1 | 31,6 | 45,62 | 5 555 | |
| Megaphone | h | -6,9 | -18,7 | -21,5 | -40,58 | 5 503 | |
| EVRAZ | h | 41,4 | 152,8 | -54,8 | 61,57 | 5 470 | |
| RusHydro | 60.6%, VTB Bank (13.3%) | *Rosimushchestvo - 60.6%; *VTB Bank - 13.3%; *LLC "Aviatrans" - 6% | -8,5 | 66 | -2 | 48,85 | 5 373 |
| Polymetal | h | 17,1 | 25,4 | -3,8 | 41,26 | 5 298 | |
| UAC | 90,30% | *Rosimushchestvo - 90.3%; *Vnesheconombank - 5.6%; *private shareholders - 4.1% | 42,6 | 128,1 | 324 | 1279,15 | 4 899 |
| Moscow Exchange | Central Bank of the Russian Federation (11.779%), Sberbank (10.002%), Vnesheconombank (8.404%), RDIF Investment Management-6 (5.003%) | *Central Bank of the Russian Federation - 11.779%; *Sberbank - 10.002%; *Vnesheconombank - 8.404%; *EBRD - 6.069%; * RDIF Investment Management-6 - 5.003%; * in free circulation - 57% | -7,6 | 61,1 | 17,8 | 75,35 | 4 315 |
| PIK Group | h | 13,2 | 62,7 | -10,2 | 65,39 | 3 654 | |
| FGC UES | 80.13% Rosseti | *PJSC Rosseti - 80.13%; *Rosimuschestvo-0.59%; *minority shareholders -19.28% | -15,4 | 313,4 | 3 | 260,23 | 3 591 |
| Tinkoff Bank | h | 78,7 | 245,9 | -4,4 | 490,93 | 3 443 | |
| VSMPO-Avisma Corporation | h | 29,5 | 33,7 | 14 | 97,38 | 3 375 | |
| NK "Russneft" | h | 15 | - | 3 118 | |||
| Rostelecom | Previously: 48.71%, Vnesheconombank (4.29%) | *Rosimushchestvo - 45.04%; *Vnesheconombank - 3.96%; *Mobitel LLC (subsidiary of Rostelecom) - 12.01% | -20,2 | 10,4 | -20,6 | -30,05 | 2 840 |
| "Rosseti" | 88,89% | * Federal Property Management Agency - 88.89% | -23,1 | 261,7 | -15,8 | 134,20 | 2 839 |
| RIBBON | h | -29 | 21,5 | 12,9 | -2,61 | 2 835 | |
| Unipro | h | -6,8 | - | 9,5 | 2 795 | ||
| Akron Group | h | 14,7 | 14,3 | 56,4 | 105,04 | 2 733 | |
| "Aeroflot - Russian Airlines" | 61,17% | *Rosimushchestvo - 61.17%; *legal entities (including the subsidiary LLC Aeroflot-Finance - 5.13158%) - 34.04%; *individuals - 4.79%; *in free float (ticker AFLT on the Moscow Exchange) - part of the shares. | -4,3 | 227,6 | 36,1 | 326,69 | 2 681 |
| Novorossiysk Commercial Sea Port | Previously: 50.1% stake - Novoport Holding Ltd. (JV Transneft and Summa Group), 20% owned by the Federal Property Management Agency | *PJSC Transneft - 62%; *Rosimushchestvo-20%; * structures of Russian Railways - 5%; *free circulation on the Moscow and London stock exchanges-13% | 26,7 | 112 | 155,3 | 585,75 | 2 642 |
| state | -6,17 | 134,67 | 29,31 | 207,18 | 255 819 | ||
| private | 13,62 | 54,47 | 5,24 | 85,09 | 310 407 | ||
| public-private | 0,27 | 93,27 | 47,60 | 226,27 | 16 541 | ||
*h-private company
I included ALROSA, the Moscow Exchange, the Novorossiysk Commercial Sea Port as public-private companies.
As can be seen from the table, from 2014 to 2017 capitalization state companies in $ increased by an average of 207.18%, and private by 85.09%.
1. KLA - 1279.15%
2. Novorossiysk Commercial Seaport - 585.75%
3. Tinkoff Bank - 490.93%
4. "Aeroflot - Russian Airlines" - 326.69%
5. Sberbank - 307.83%
6. MMK - 293.65%
7. FGC UES - 260.23%
8. Pole - 209.82%
9. X5 Retail Group - 202.10%
10. Rosseti - 134.20%
11. Yandex - 121.64%
12. NLMK - 121.56%
13. Akron Group - 105.04%
14. Tatneft - 99.85%
15. VSMPO-Avisma Corporation - 97.38%
16. Mail.ru Group - 86.73%
17. Bashneft - 78.44%
18. Moscow Exchange - 75.35%
19. Severstal - 75.27%
20. Gazprom Neft - 69.80%
21. PIK Group - 65.39%
22. EVRAZ - 61.57%
23. MTS - 51.93%
24. NOVATEK - 50.97%
25. RusHydro - 48.85%
26. Lukoil - 46.13%
27. PhosAgro - 45.62%
28. Rosneft - 44.93%
29. Polymetal 41.26%
30. Norilsk Nickel - 28.52%
31. ALROSA - 17.71%
32. Surgutneftegaz - 13.70%
33. RUSAL - 4.76%
UAC became the fastest growing company. Apparently this was facilitated by the introduction of advanced technologies industrial production. For example, in the United aircraft corporation(UAC) implemented the concept of a virtual design bureau, when engineers from several design bureaus and production sites work on designing an aircraft model in a single digital environment.
Apple shares are up 70% since the start of 2019. This is the most significant percentage increase among similar companies. Capitalization has grown strongly, despite the decline in iPhone sales
Market price Apple exceeded the combined capitalization of all US oil and gas companies. At the time of writing, Apple is worth $1.19 trillion. companies included in the S&P 500 Energy index is $1.1 trillion.
The S&P 500 Energy index includes 28 US oil and gas companies, including Apache, ConocoPhillips, Exxon Mobil, Chevron, Schlumberger and many others.
Since the beginning of the year, Apple quotes have added 70%. The company was the leader in terms of growth among the participants of the Dow Jones Industrial Average. At the same time, the smartphone manufacturer managed to overtake Microsoft: in 2019, Bill Gates' company has risen in price by 50%, being in second place.
Apple's capitalization for the first time exceeded $1 trillion on August 2, 2018. On that day, the shares of the iPhone manufacturer rose to $207.39. Apple managed to gain a foothold above $ 1 trillion recently - in September 2019.
In 2020, we should expect further growth in Apple shares, analysts are sure. In their opinion, the slowdown in iPhone sales growth will not greatly affect the company's results: instead, quotes will support the new revenue models that Apple has come up with. First of all, we are talking about services.
Apple has already managed to get iPhone owners to pay for services like Apple Music and Apple TV+. In the most recent quarter, services revenue at Apple rose 18% while device sales declined. Now revenues in this area account for just under 20% of Apple's total sales.
Judging by the comments of profile experts, expectations for the segment of iPhone smartphones are low. "Apple will continue to focus on services and installed base growth," said Citigroup analyst Jim Suva.
Citigroup has a price target for Apple shares from $250 to $300 a share. AT financial company recommend to buy securities. According to Jim Suva, AirPods wireless headphones and Apple Watch smartwatches will provide Apple with strong sales and profits during the holiday season. JP Morgan predicts that over the year's horizon, Apple shares will rise by 11% to $296 per share.
“We believe that the consensus underestimates the demand for Apple Watch and Apple AirPods,” Jim Suva explained his expectations. Wearables sales are likely to top $10 billion this quarter, Citi predicted.
Not all experts are as positive about the future of Apple. Maxim Group analyst Nehal Chokshi doubts that the tech giant will be able to receive further high income from services. In his opinion, buyers may prefer Android, abandoning the iPhone due to a growing portfolio of paid services.
Plans to switch to Android were reported by 9% of people who were surveyed this year in the Maxim Group. In 2017, 5% answered yes to a similar question. Perhaps this is not so much. But, according to Choksha, this is enough to refute the optimists' argument that the iPhone user will remain an iPhone user for the foreseeable future, and a growing portfolio of services will boost sales.
The analyst's target price for Apple is $190 per share, one of the lowest on the market. It assumes a reduction in the price of shares by 29% in the coming year. Some subject matter experts included in the Refinitiv consensus seem to agree with Maxim Group's arguments.
The consensus forecast is for Apple shares to decline by 2% over the year horizon, to $261.63 per share. 26 people surveyed by Refinitiv recommend buying the tech giant's stock. Another 13 respondents believe that the paper is worth holding, four are advised to sell.
You can right now on RBC Quote. The project was implemented jointly with VTB Bank.
The notional value of a publicly traded company. Capitalization is equal to the price of shares multiplied by their number. Often used to evaluate the effectiveness of investments in securities.Participants in exchange trading who sell securities to make a profit when quotations decrease. In other words, the "bears" seek to make a profit using a short position.The Russian concern displaced the American corporation ExxonMobil, which headed this rating for 12 years. In addition to "Gazprom" in the top 10 S&P rating got another Russian company - (6th place). became 14th, Rosneft was put in 22nd place.
On the websites and almost simultaneously, materials with headings were published: “What are the sanctions? Gazprom ousted ExxonMobil. The author of the note in Forbes notes that the first place of the Russian gas concern testifies to the ability of its management to withstand low prices for hydrocarbons and the ban on obtaining cheap loans in the West, and at the same time maintain a leading position in the European gas market, where American companies are unsuccessfully trying to gain a foothold .
Recall that the United States recently passed a law on new sanctions against Russia. The term for financing Russian energy companies will be reduced from 90 to 60 days. The maximum financing period for Russian banks subject to sanctions will be reduced from 30 to 14 days.
A separate line was announced on opposition to the construction of the Nord Stream-2 gas pipeline, which is being carried out by Gazprom.
At the end of September, he announced November 28 as the date for the introduction of new restrictions on the financing of banks and companies in the Russian oil and gas sector, specified in this law.
But there is one significant detail that overshadows the joy of the success of the "national treasure", which is unaffected by sanctions. Gazprom is a cheap asset. Evgeny Koryukhin, an analyst at Alor Broker, compared the capitalization of companies from the top ten in the S&P Global Platts rating for Gazeta.Ru.
In this top ten, Gazprom occupies only 5th place in terms of capitalization. Moreover, the ExxonMobil corporation costs almost 7 times more than Gazprom, and occupies only 9th place in the rating.
The French company closes the top ten, but its capitalization exceeds Gazprom's by 2.6 times, the Chinese China Petroleum is 2 times more expensive, and the Indian Reliance Industries is 1.5 times more expensive.
Evgeny Koryukhin notes that Gazprom's proven gas reserves are worth more than $10 trillion (with average price for gas $200 per 1,000 cubic meters). For comparison, the proven hydrocarbon reserves of Exxon Mobil (the world's largest oil company) are valued at just over $1.2 trillion (with an average oil price of $50 per barrel).
“Russian companies have been valued lower than their counterparts from developed countries for a long time. Even at the household level, we are used to what it costs like eighteen Gazproms. But at the same time, Gazprom's EBITDA is only 1.5 times lower. Compare - it costs 18 times cheaper, and EBITDA is only 1.5 times lower, ”
says Deputy CEO development retail business IC "Veles Capital".
It is worth emphasizing that, of course, not only Gazprom is underestimated, but also domestic companies from other sectors.
If we talk about the Russian market, then according to many fundamental and technical factors, it looks underestimated, the Alfa Capital analyst agrees.
“If we compare the dynamics of Russian stock indices with developed and developing countries, then Russian, in to a large extent, behind. But there are practically no prerequisites for this, since unemployment in Russia is one of the lowest in the world, GDP growth is more than 2%, and, importantly, company profits are growing,” he notes.
At the same time, if you look at the financial performance of Gazprom and compare them with those of its competitors, then Gazprom obviously wins. The Russian company has a high dividend yield of 6.5%, with an average dividend yield of foreign analogues at 3.5%. If we talk about the P/E multiplier (price/earnings ratio - capitalization/net profit), then Gazprom has one of the lowest, 3.9, which indicates a strong underestimation of the company's market value relative to current profit.
For example, this figure is 30 for Exxon, 29 for Exxon, and even 22 for capital. The return on capital is significantly higher than foreign counterparts and is about 5.9% against the industry average of 3%. The same can be said about the return on invested capital.
At the same time, Evgeny Koryukhin recalls that before the global financial crisis, in June 2008, Gazprom was worth $360 billion. And its capitalization lagged behind the capitalization of Exxon Mobil not so much - the gap was only about $50 billion. At that moment, the company's management predicted the growth of its capitalization to $1 trillion.
These plans were never destined to come true - oil and gas prices fell, bubbles in the financial markets collapsed, speculative money left Russian assets. And they never returned.
Today, analysts say that underestimation Russian market is chronic and it is unlikely that the situation will be able to change much in the near future. There are several reasons for this. These include poor working conditions for foreign investors, an underdeveloped financial market, relatively low efficiency operating activities companies themselves, as well as instability course national currency.
“Investors are scared off by the total state control over the industry, economic sanctions, the far from always obvious investment policy of companies and the quality corporate governance", - says Artem Kopylov.
But, perhaps, the main factor is political problems. The confrontation with the West leaves practically no chance that Gazprom or anyone else has become a leader in terms of capitalization.
“I think that Western investors should become more inclined to buy our shares if the political situation improves significantly,” says Alexei Bushuev.
In order for investors to massively buy securities of Russian companies, it is necessary that they believe that there will be no devaluation of the local currency, that Russia will not get involved in geopolitical conflicts in other countries, thereby incurring a wave of sanctions, that the government will be able to create conditions under which the economy will reach GDP growth rates above 3% per year, Evgeny Koryukhin lists.
Russian companies need to improve their operating and investment efficiency in order to increase their capitalization, analysts say. Quotes can support programs for companies to buy back their own shares, increase dividends, as well as a stable ruble exchange rate.
The chief analyst believes that a 20-25% increase in Gazprom's shares is quite possible. Firstly, due to the fact that the shares remain fundamentally undervalued, and secondly, due to the expected increase in selling export prices in the European direction this autumn and an increase in purchases.
But globally, for Russian assets, the situation is unlikely to change in the near future, sums up Alexei Bushuev.
The study presents data on the dynamics of the cryptocurrency market and the ICO market in 2017.
1. General analysis of the market of cryptocurrencies and assets (per quarter, year). Market dynamics in 2017
1.1. General analysis of the cryptocurrency and asset market
Tab. 1.1. Quarterly dynamics of the crypto market and top 10 cryptocurrencies by capitalization from 01/01/2017 to 01/01/2018
Over the past 2017, the total market capitalization of cryptocurrencies (Total Market Capitalization) increased by almost 600 billion US dollars, from 17.7 to 612.9 billion US dollars, i.e. 34.6 times (as of January 01, 2018 00:00 UTC; see Table 1.1). On fig. 1 shows the evolution of the crypto market in 2017.
The most intensive growth in the capitalization of the crypto market was in November-December 2017, and on December 21, the capitalization exceeded 650 billion US dollars, followed by a slight correction. The overall increase was mainly due to an increase in the capitalization of Bitcoin by about $220 billion, from $15.5 to $236.7 billion, in addition, the capitalization of altcoins increased by $374 billion, from $2.2 to $376.2 billion. US dollars. At the same time, the total number of types of cryptocurrencies and crypto assets on the exchange increased from 617 to 1,335 units over the year (according to coinmarketcap.com), i.e. more than 2 times. Due to the emergence of a large number of competing altcoins, the share of the main cryptocurrency, Bitcoin, in the market decreased quite significantly over the year - from 87.5% to 38.6%. On fig. 2 and 3 show the structure of the crypto market in terms of capitalization (USDbillion) and dominance (%) at the beginning of 2017 and 2018.
The structure of the crypto market changed intensively during 2017, although Bitcoin has always been the leader in terms of capitalization. The second, third and fourth places were most often occupied by the main altcoins: Ethereum, Ripple and Bitcoin Cash, which appeared as a result of the Bitcoin hard fork on August 1. Thus, the share of the Ethereum cryptocurrency, which was 3.9% at the beginning of 2017, reached 27.3 by July 1 %, but decreased to 11.9% by the end of the year, as a result of which Ripple took the second place in terms of capitalization, the rate of which increased significantly in 2017 (Fig. 6).
In turn, the Bitcoin exchange rate in 2017 increased by more than 14 times, from $964 to $14,112. 4 shows the dynamics of this growth.
On fig. Figure 4 shows how actively the crypto market reacted to the news about the start of trading in Bitcoin futures on the Cboe Global Markets (December 10, 2017) and CME Group (December 18, 2017) exchanges. Immediately before the start of trading in Cboe futures, the Bitcoin exchange rate exceeded several thresholds at once. In just two weeks (from November 26 to December 08, 2017), it doubled, from $9,000 to $18,000. However, in the next two days, there was a correction, and by the beginning of trading on Cboe (12/10/2017), the rate fell up to $13,300 - 15,500.
Similarly, prior to the start of futures trading on the world's largest commodities exchange, CME Group, the price of Bitcoin recovered in a week and exceeded $20,000 (12/17/2017), but just a day before the start of trading, by 12/18/2017, there was again a small correction to $18,500-19,000. After the launch of CME Group trading in Bitcoin futures, its rate fell even to $12,000 in four days (December 22, 2017), but gradually recovered and until the end of December, BTC traded in the range from $12,300 to $16 800.
It can be assumed that immediately before the start of trading in Bitcoin futures (one to two weeks), a sufficiently large amount of cryptocurrency was bought up to ensure that its exchange rate could be adjusted in the future. Obviously, the fact that Bitcoin was recognized as a valuable financial asset and the emergence of futures had a positive impact on the crypto market in general and attracted additional attention to this currency, and, consequently, caused additional demand for it.
The above data indicates the high liquidity of the crypto market and the readiness of traders to extract additional profits due to short-term changes in rates. At the same time, there are many individual traders and few large institutional players on the crypto market. However, if such players arrive, the economy of the crypto market may undergo significant changes associated with the emergence of new risk hedging mechanisms (futures contracts), the emergence of high-frequency robots that make transactions in microseconds based on developed trading algorithms, and an increase in the influence of financial funds. As you know, Goldman Sachs, one of the largest financial and investment companies, is already helping its clients buy and sell Bitcoin futures contracts. In the future, the number of financial derivatives on the crypto market will increase, which will attract large funds and require the introduction of clearer rules for its regulation.
To analyze the activity of trading on crypto exchanges in 2017, below is the quarterly dynamics of the rates of cryptocurrencies included in the top 10 in terms of capitalization (Fig. 5).
On fig. 5 shows that the fourth quarter of 2017 was the most successful for the crypto market and significantly influenced the rates of the main cryptocurrencies. Especially noticeable in the period from October 1, 2017 to January 1, 2018, the rate of the following cryptocurrencies increased:
- Cardano - from $0.022 to $0.72 (more than 32 times)
- Stellar - from $0.0135 to $0.36 (more than 25 times)
- Ripple - from $0.198 to $2.30 (more than 10 times)
In table. Table 1.2 shows the results of calculations of the quarterly dynamics of the crypto market and the top 10 cryptocurrencies by capitalization from 01/01/2017 to 01/01/2018 in percent. The values in USD from Table 1 are taken as a basis. 1.1.
Tab. 1.2. Quarterly dynamics of the crypto market and top 10 cryptocurrencies by capitalization from 01/01/2017 to 01/01/2018 (in %)
Many media outlets have repeatedly called 2017 the year of cryptocurrencies. And, indeed, the growth of the rates of the top 10 cryptocurrencies by capitalization in 2017 was truly a record (see Fig. 6). For example, the Ripple rate increased by 35 160% over the year, from $0.006523 to $2.30, i.e. 352.6 times.
The growth of rates for the fourth quarter of 2017 is shown in Fig. 7.
In table. Table 1.3 presents the key events of 2017 that influenced the rate of dominant cryptocurrencies and the crypto market as a whole, indicating the nature and direction of their influence.
Tab. 1.3. Key events that influenced the crypto market in 2017
In table. Table 1.4 presents a list of events, information about which can affect both the rate of individual cryptocurrencies and the market as a whole.
Tab. 1.4. Events that may affect the rate of cryptocurrencies (cryptomarket) in 2018
2. General market analysisICOfor 2017
2.1. Brief market overview (important events for 2017)
- 01/08/2017 – 2016: The Year Blockchain ICOs Disrupted Venture Capital
- 01/24/2017 – Watch Out – The ICOs Are Coming
- 03/01/2017 – CoinDesk Research: Speculation Driving Boom in Blockchain ‘ICOs’
- 03/10/2017 – Investment Firm Blockchain Capital is Launching a $10 Million ICO
- 04/16/2017 – Blockchain Capital Raises $10 Million ICO for VC Startup Fund
- 25.04.2017 –
- 05/06/2017 – Blockchain Asset Fund TaaS Raises $7.7 Million Through ICO
- 18.05.2017 –
- 01.06.2017 –
- 06/29/2017 – Pantera Capital to Raise $100 Million for ICO Fund
- 07/17/2017 – $7 Million Lost in CoinDash ICO Hack
- 07/21/2017 – ICO Mania: $1.2 Billion Raised in 2017, $600 Million in the Last 30 Days
- 08/04/2017 – Filecoin startup raises $52 million ahead of ICO
- 08/22/2017 – Estonia is preparing to host the world's first public ICO
- 09/08/2017 – Filecoin platform sets a new record for ICO - $257 million
- 09/27/2017 – Kik completes ICO with $98.8 million investment
- 07.10.2017 –
- 10/27/2017 – Billionaire Warren Buffett: Bitcoin is a “real bubble”
- 11/17/2017 – Tezos investors made another attempt to recover funds through the court
- 11/29/2017 – Tokenized Fund-of-Funds to Raise $100 Million Via ICO
- 12/04/2017 – SEC Accuses PlexCoin ICO Organizers of Fraud
- 12/22/2017 – Belarus legalizes mining and operations with cryptocurrencies
2.2. Aggregated indicators of the dynamics and efficiency of the market of past (ended, fromcompleted) ICO
To assess the dynamics and efficiency of the market of successfully completed and/or listed ICOs, a set of tools is offered (see Table 2.1).
Tab. 2.1. Tools for evaluating the effectiveness of the market successfully completed and / or entered the exchangeICO
Tab. 2.2. Aggregated indicators of the dynamics and efficiency of the market of past (ended,Completed) ICOin 2017
The data from the beginning of 2017 has been adjusted to reflect the emergence of more complete information on past ICOs. As a result, the total amount of funds raised in 2017 amounted to more than 6 billion US dollars (taking into account the amount of funds raised through 382 ICOs). During the fourth quarter of 2017, ICO collections exceeded $3.1 billion. This amount is made up of the results of the 196 most successful completed ICOs, with the largest amount raised approximately $258 million (ICO Hdac). The average amount of funds raised per project is $16 million. More detailed data on the main ICOs of the past year are presented in Table. 2.3.
2.3. Quantitative analysis of the ICO market
1. The amount of funds raised and the number of ICOs
Tab. 2.3.The amount of funds raised and the number of ICOs
Tab. 2.3 shows that the largest amount of ICO funds was raised in June and December 2017.
2. Quarterly analysis of the top ICOs of 2017
Tab. 2.4.Top 10 ICOs by Funds Raised, Q1 2017
In table. 2.4 shows the top 10 ICOs successfully completed in the first quarter of 2017.
On the this moment in terms of Token Performance, all projects from the top 10 have values from 0.73x to 101.85x. One of the most successful ICOs in terms of the amount of funds raised was the ChronoBank project, and in terms of the process of entering the stock exchange, the Augmentors project, because. it is this project that has the Current Token Price to Token Sale Price ratio of 101.85x. When considering this indicator, one should take into account the completion date of the Augmentors ICO (February 2017), i.e. growth of 101.85 times occurred in about 10 months.
On fig. Table 2.2 shows the top ten ICOs completed from January to March 2017.
Tab. 2.5.Top 10 ICOs by Funds Raised, Q2 2017
In table. Table 2.5 shows the top 10 ICOs successfully completed in the second quarter of 2017.
The EOS project turned out to be the leader in terms of funds raised. The highest value in terms of "Efficiency" (Token Performance), i.e. the best ratio of Current Token Price to Token Sale Price is 16.25x and belongs to ICO Status. Its market capitalization is currently around $2 billion.
On fig. Table 2.3 shows the top ten ICOs completed from April to June 2017.
Tab. 2.6.Top 10 ICOs by Funds Raised, Q3 2017
In table. Table 2.6 shows the top 10 ICOs successfully completed in the third quarter of 2017.
The Filecoin project turned out to be the leader in terms of funds raised. the best ratio of Current Token Price to Token Sale Price is 62.14x and belongs to ICO ICON. Its market capitalization is currently around $2.7 billion.
On fig. 2.4 shows the top ten ICOs completed from July to September 2017.
Tab. 2.7.Top 10 ICOs by Funds Raised, Q4 2017
In table. 2.7 shows the top 10 ICOs successfully completed in the fourth quarter of 2017.
The Hdac project turned out to be the leader in terms of the amount of funds raised and the most successful throughout the ICO. It raised $1 million more than the Filecoin project mentioned above, which until now held the top spot in terms of fees.
Hdac is an acronym for Hyundai Digital Asset Currency. This is a hybrid project that creates a giant, constantly evolving information platform based on the blockchain and the Internet of Things (IoT). This project offers an ecosystem with public (Public) and private (Private) keys for interacting with the devices around you, the number of which will constantly grow ( smart House, smart car, smartphone, smart watch, TV, refrigerator, stove, kettle, etc.). The Hdac configuration creates a reliable, confidential, consistent and controlled communication system that will allow you to carry out fast transactions, increase the convenience of all types of payments: taxes, settlements with clients, investments, loans, etc.
On fig. Table 2.5 shows the top ten ICOs completed from November to December 2017.
3. TopICOsince the beginning of 2017
In table. Table 2.8 shows the top 10 largest ICOs in terms of funds raised in 2017, most of which fall into the Infrastructure category.
Tab. 2.8.Top 10 ICOs in terms of funds raised in 2017
Over the past 2017, 382 projects successfully completed ICOs, each of which raised more than 100 thousand US dollars, while the total amount of funds raised was at least 6 billion US dollars. The leader of the year was the Hdac project ($258 million).
Glossary
| Key Concepts | Definition |
| Initial coins offering, ICO(initial coin offering, initial coin offering) | A form of collective support for innovative technology projects, a kind of pre-sale and attraction of new supporters through an initial coin offering to future holders in the form of blockchain-based cryptocurrencies (tokens) and crypto-assets. |
| market capitalization (Rmarket cap) | The cost of the object, calculated on the basis of the current market (exchange) price. This financial indicator used to assess the total value of market instruments, entities and markets. [Wikipedia]. |
| Cryptocurrency market capitalization | The total market value of cryptocurrencies circulating on the market. |
| Total cryptocurrency market capitalization | Market capitalization of cryptocurrencies and assets, i.e. the total market value of cryptocurrencies and assets circulating on the market. |
| token reward | Efficiency of the token (current price of the token / price of the token at the time of the ICO), i.e. reward for one US dollar invested in the token. |
| dominance | Market share, i.e. the ratio of cryptocurrency (token) capitalization to the total market capitalization. Expressed as a percentage. |
| token sale price
current token price |
The price of the token at the time of the ICO. The current price of the token. |
| Not Mineable | The coin is not mined (from the English mining). It is used in relation to cryptocurrencies (tokens) that do not have a mining function or are not issued during the mining process. |
| Premined | Pre-mining coin. It is used in relation to cryptocurrencies (tokens) that are issued during the mining process, but a certain number of coins (tokens) were created and distributed among certain users when the project was launched. |
| The rate of market increase (in % to the beginning of the year) | Market growth rate (in % to the beginning of the year), i.e. by what % the market capitalization has increased in relation to the beginning of the year. |
| The growth rate of the market (in % to the beginning of the year) | Market growth rates (in % to the beginning of the year), i.e. how many times has the market capitalization changed in relation to the beginning of the year. |
| Increase in market capitalization (in USD million compared to previous period) | Growth in the market capitalization of cryptocurrencies and assets (in million US dollars compared to the previous period), i.e. by how many million US dollars has the market capitalization changed over the period. |
| The rate of market increase (in % compared to previous period) | Market growth rate (in % of the previous period), i.e. By what percentage has the market capitalization increased over the period? |
| The market growth rate (in %compared to previous period) | Market growth rates (in % to the previous period), i.e. How many times has the market capitalization increased in relation to the previous period. |
| Number of cryptocurrencies and digital assets | The number of cryptocurrencies and assets. At the time of the formation of the glossary, more than 1070 types of cryptocurrencies and assets were circulating on the market. |
| Average market capitalization | Average market capitalization, i.e. the ratio of the market capitalization of all cryptocurrencies and assets to their number. |
| Tokenreturn | An indicator of the effectiveness of funds spent on the purchase of tokens, or the ratio of the current price of the token and the sale price of the token, i.e. the effectiveness of investing one US dollar in tokens at the stage of selling tokens, subject to their subsequent sale on a crypto exchange for US dollars. |
| ETH reward – current dollar value of $1 spent on buying tokensduring the token sale | An alternative indicator of the effectiveness of funds spent on the purchase of tokens during the ICO period, or the ratio of the current ETH rate to its rate at the time the sale of ICO tokens began, i.e. if one US dollar was invested not in ICO, but in ETH at its rate at the time the token sale began, and then sold at the current ETH rate. |
| BTC reward– current dollar value of $1 spent on buying tokensduring the token sale | Similar to the previous one: An alternative indicator of the effectiveness of funds spent on the purchase of tokens during the ICO period, if one US dollar was invested in BTC at the rate at the start of the ICO, and then sold at the current BTC rate. |
| Token/ETH reward | The ratio of the economic gain/loss of a market participant in connection with the purchase of tokens at the ICO stage to the possibility of investing in ETH. If the value is > 1, then the market participant has achieved a greater efficiency of investing funds spent on tokens than if he invested in the ETH cryptocurrency. |
| Token/BTC reward | The ratio of the economic gain/loss of a market participant in connection with the purchase of tokens at the ICO stage to the possibility of investing in BTC. If the value is > 1, then the market participant has achieved a greater efficiency of investing funds spent on tokens than if he had invested in BTC cryptocurrency. |
| ZAK-n Crypto index | The index is calculated as a percentage and represents the ratio of trading volumes (transactions) on the cryptocurrency exchange per day (Volume 24h) by n
dominant cryptocurrencies to the sum of their market capitalization. When calculating the ZAK-4 Crypto index, the four dominant cryptocurrencies with the largest market capitalization are taken into account - Bitcoin, Ethereum, Bitcoin Cash and Ripple. When calculating the ZAK-8 Crypto index, the trading volumes and market capitalization of eight cryptocurrencies are taken into account: Bitcoin, Ethereum, Bitcoin Cash, Ripple, Litecoin, DASH, Cardano and IOTA. |