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Although I wrote earlier Encrypgen (DNA), the recent crypto crash has made this one of the best investments by California Gold Rush of 1800. I spend a lot of my time scouring the crypto-landscape in search of projects that have both a use of the real world and a significant underestimation. Encrypgen checks both boxes!
background
Encrypgen is a genomic block-block network that offers customers and partners the best next-generation blockchain security to protect, share and re-market genomic data. This creates a fair market for a person's DNA that can be privately stored and sold (if a person wishes to do so). A person's DNA can also be privately and safely shared with your doctor for your personalized treatment.
Typically, people can send their DNA to a lab to find out who they are and where they come from. As fun as it sounds, there's a significant security issue that the public needs to be aware of. The problem is that most genetic testing companies maintain the results for their own use so that the data can be resold to research and development companies. It would be better for people to maintain control over their DNA results and this is where Encrypgen approaches the pot.
The world's first market of genomic Blockchain data
Although most tokens are not at the height of expectations, Encrypgen is one of the very few that followed step by step. Earlier this month, Encrypgen launched the world's first blockchain genomic data marketplaces called Gene-Chain.
The company is now actively marketing the platform for both data vendors and data buyers. While it will take some time to bring both these groups together, investors should remember a couple of famous markets that were launched between the middle and the end of the 1990s. These markets are Amazon and eBay. Neither of them had a nightly success. It took a while for things to turn around, but once done, it was quiet sailing. eBay now has a value of over $ 25 billion while Amazon is worth $ 770 billion.
Now that the market has been launched, the company can continue to use its resources to improve the platform based on user needs. Encrypgen executives are constantly working with genomics professionals at various conferences around the world. In this way, the company can keep up with recent developments in the sector.
The price of the current token is significantly undervalued
At the time of writing this article, the DNA token is trading at about 570 sats, giving Encrypgen a symbolic capitalization of about $ 1.4 million. Evaluation makes absolutely no sense based on what the company has achieved and the expected growth in the sector.
It has already been mentioned but Encrypgen has already launched the world's first blockchain genomic data market. Yes, the first in the world. The company has spent a year and a great deal of resources taking on some of the best developers and programmers in the world. Only technology is easily worth $ 20 million +. Once the company begins to load both the sellers and the data buyers, the price of the DNA token should go online.
Another important consideration when talking about the price of the token is to look at the expected growth of the genomics industry. According to Research and Markets, the global Genomics market is expected to increase to around $ 24 billion by 2022. The reasons for this growth are as follows:
- Growth of genomic research activities
- Continued increase in start-ups
- Greater importance of personalized focus medicine
- Venture Capital Investments
- Amount of public contributions
Comparable company analysis
In addition to the growth of the industry, another way to obtain an adequate assessment is to make a comparable business analysis. A company that immediately comes to mind is 23andMe. 23andMe is a genetic testing company that received FDA approval for the application of 10 different tests in April 2017. The company collects DNA samples from customers, analyzes the genetic heritage and summarizes these results in relationships personalized with analysis on ancestors and genetic predisposition to health risks based on the unique genetic variants of each client. The really encouraging part is that 23andMe has confirmed a $ 250 million round of financing led by Sequoia Capital. Fidelity Management also took part in the financing round. The funding brings the assessment to a huge level $ 1.75 billion.
23andMe has been around for a while, so it's certainly not a surprise for them to be rated significantly higher than Encrypgen, but the important takeaway is the potential. Encrypgen is the leader in its niche space and has the added benefit (in my opinion) of blockchain technology. Although cryptocurrencies have been in a bear market for almost all of 2018, this will not last forever. The adoption of blockchain technology is coming.
Short-term trade
For Encrypgen's Discord, the token has slipped in recent weeks due to a large token holder who needs to sell some tokens for a down payment on their home. Due to the lack of liquidity, the seller has lowered the price. Once the seller's inventory has run out, I expect an almost immediate rebound at the 800+ sat level. So for those looking for a quick trade, DNA is a great idea. And for those who are looking for a long-term HODL, DNA is fine too.
Conclusion: is a 30x return possible?
While a 30-fold return may seem like an extension in this environment, traders must remember that DNA is a utility token. The value will be determined based on the amount of volume of data exchanged in the gene chain. In January, the DNA token was rated at around $ 90 million and this was useless.
To get a 30-fold yield based on the current price, the token cap is expected to reach about $ 45 million, only half that of January. With the arrival of utility in the coming months, 2019 promises to be an exceptional year.
Disclosure: they are a long DNA
Featured image courtesy of Shutterstock.
