The DreamTeam project is a decentralized platform for the creation, development of e-sport teams and building an ecosystem of management of relations between participants in the e-sports industry and online games.
DigRate Rating Committee issued a Fraud Rate Medium and B1 investment rating score to DreamTeam project – Satisfactory Level – considerable risk exposure, high sensitivity to market conditions.
DreamTeam founders have extensive experience in e-sports and gaming, as well as the necessary skills to build a business model. Project participants are active in various thematic forums, meaning the project is known in professional circles. However, the proposed solutions show blockchain technology is not a necessary condition to accomplish the company’s goals.
Besides, the price of the token directly depends on market demand for the company’s services, meaning investment returns depend on decisions made by the team, and the marketing strategy, among other factors.
Pros and cons of the project in our report.
http://digrate.com/uploads/ico_report/DreamTeam_ENG_1.pdfDear Digrate editorial team,
DreamTeam highly values all input and reviews provided by the third parties even if some information in them may be misleading or even false. In this instance, Digrate.com posted a review of the DreamTeam platform and rated DreamTeam as a B1 investment with considerable risk exposure and high sensitivity to market conditions. We strongly disagree with such a ranking and reviews of other well-respected portals support our claim:
- icobench.com gave the DreamTeam ICO profile a 5.0 mark with an overall score of 4.2
- tokentops.com expert praised the DreamTeam and gave the overall mark of 4.5 stars
- icorating.com gave DreamTeam a high Invest score and low Risk score.
All of the above rankings regard DreamTeam highly both in investment perspectives and esports development potential.
We are glad that the project DreamTeam is constantly developing and that your team takes the remarks in the report in such a responsible way. Also, we would like to thank you for the feedback.
It should be mentioned that the information provided in the report was relevant at the moment of its creation (03.11.2017) and, after analyzing your objections, we are ready to provide the following comments
Let’s address all Digrate.com concerns one-by-one:
On the page #11, a question is asked: Does the problem the project plans to solve really exist?
DreamTeam strongly believes that such a problem does really exist for 250-300M players worldwide, according to the Newzoo Global Esports Market Report. Right now no all-in-one platform offers a comprehensive list of tools and utilities to kick-start an esports career. We are faced with a multi-million audience that is stuck in development as there is no simple and effective solution that can solve their pains without spending thousands of dollars and weeks of time to establish a team and gather players of similar skill level.
The market problem, which should be solved by the project, does exist, which is confirmed by the score 5 points (out of 7 possible). In the rating committee’s opinion, a better score will not reflect the objective situation, because there is no full and exhaustive information in White Paper concerning the fundamental problems ,which also affect the industry development as well as the increase in cybersport clubs number and the ecosystem creation.
Here are some of them:
1. The interaction rules among the cybersport market players really depend on the games publishers’ policy, which makes it difficult for other market players (teams, leagues) to develop the infrastructure and ,subsequently, is the main risk for investing in the industry.
2. Juridically the publisher can always reclaim the content,where these or those game fragments are used. The influential Mass Media can purchase the rights and translations only with the authorization of the game publisher - not the leagues or multigamings.
3. The juridical base for disputes settlements among the members of the cybersport global market is missing. Also, the difference in legislation of different countries allows to interpret many cases and situations in the interaction among the cybersport industry members in a different way.
Moreover, the players’ social and psychological peculiarities may also have an impact on the market development. This aspect is worth a deeper scientific researching.
On the page #14, a question is asked: Does the company understand its competition?
Well, we’ve actually done a thorough analysis of DreamTeam competition. DreamTeam Crew has many years of hands-on experience in esports, and in our opinion, eSports.com and Eloplay are not our competitors by any margin. Drawing from our experience and having gathered an Advisory Board and Partners who have been working with various gaming and esports sub-industries, we are fully aware of all available options out there and how the esports industry is stagnating because of their incomprehensiveness. Our CEO, Alexander Kokhanovskyy, has 17 years of experience in the Esports industry; created one of the most popular teams in the history of Esports – Natus Vincere (Na`Vi); shareholder of ESForce, the 3rd biggest Esports entity funded by the USM Holdings. He worked his way up from an amateur player to a pro who represented his country on the international level on the world championship (World Cyber Games). Being a seasoned esports player, he utilizes all of his experience to solve actual esports problems and help it become on par with regular sports
A high score -6 points (out of 7 possible) of the criterium “competition knowledge” shows that the DigRate rating committee agrees that DreamTeam has a rather deep understanding of its rivals.
A better score is not given because there is no information about the development of virtual and augmented reality game segments in White Paper. They will pressure the conjuncture and influence the profit sharing among the members of the game and cybersport market . What is more, the analysis ignores the platforms that are local and are not related to the direct rivals of the project but affect the difference between supply and demand at the online games and cybersport market. It should be mentioned, that in this case we DO NOT mean the projects, which are responsible only for organizing bets on cybersport events.
As an example, here is the list of cybersport projects, which are not the direct rivals of DreamTeam.
• Eloplay (platform for holding tournaments in cybersport field, based on blockchain technologies).
• Playkey ( platform for decentralized online games streaming)
• eSports.com (platform for tactics, strategy and all the other aspects of cybersport educating, as well as the amateur and professions training and trading with real and virtual goods.
• VRCoin (platform for arranging decentralized cybersport tournaments with the win prize distribution , based on the smart contracts.
On the page #17, a question is asked: Is blockchain technology a solution to the market problem?
We firmly believe that all the information available on our platform should be secure and visible to everyone, and cannot be altered. All of this can be done only through utilizing the blockchain technology and smart-contracts. This way DreamTeam can ensure that when third parties sign contracts, every participant obliges to the terms written down in it. Without the blockchain technology, smart-contracts are impossible to implement. Smart-contracts protect all the arrangements from retroactive changes. By using them on DreamTeam, we can guarantee payments of promised sums to the players and fulfillment of all undertaken obligations to the tournament organizers and sponsors. A big issue is players’ salaries and tournament prize money payouts. This is a major irritation point even for those who were able to find time, money and go through the hurdles of creating a team on their own. There is too much fraud even at the professional level, more so for the amateurs. It’s often the case that tournament prize payouts are delayed up to six months, and salaries are not paid according to contracts. DreamTeam addresses these issues and will develop a wide range of services that function using smart contracts to ensure zero fraud, timely payouts, and secure financial operations management.
For example, teams can set their KPI’s for the team manager and team coach, and they, in turn, set personal KPI’s for each player. Then, after a period of time (e.g., after a month), everyone is auto-checked by smart contracts and depending on the results, all participants of the process receive their salary and bonuses. The same goes for tournament prize payout, a smart contract is signed before the tournament start, and after the tournament and every team will immediately receive a payment according to their placement results. DreamTeam smart-contract, therefore, provide limitless opportunities for a variety of spheres. With unlocking of blockchain and smart contracts technologies, we have a unique opportunity to build one-of-a-kind platform and payment gateway for players, teams, tournaments, and sponsors.
Blockchain technology, used as a base for the DreamTeam platform, is definitely a solution to the problem of financial transactions security and the regulating of a new-generation financial ecosystem. But the project’s description doesn’t fully answer the following question: will this blockchain technology help to reduce the role of intermediaries at the game and cybersport market, uniting all the elements of management, analytics, coaching, marketing and media instruments as well as the qualitative analysis of a large data amount. In order to introduce such platform functions as players searching and HR, game practice acquisition, tournaments arranging and organizing, creating reports for the sponsor, blockchain technology and smart contracts are not necessary.
On the page #20, a question is asked: Is there already a working product that can be sold to customers?
The DreamTeam Beta platform went live in October and we’ve already reached a 1 user per minute registration rate. There have been over 20,000 registrations in two weeks since the launch and players are very active in the process of creating and joining CS:GO teams on DreamTeam.
There is no doubt that today the beta-version 1.0 of the site Dreamteam.gg is in the working order but it its functions are restricted , with no special differences from the similar centralized projects of this kind. After the realization of the platform functions set, which is specified in White Paper, the DigRate rating committee will grant the product 6 or more points.
To be objective, it is important to say that in contrast to the rivals’ sites DreamTeam.gg has a clearer navigation and a better level of usability.
On GitHub one can see a simple published smart contract in one line of code, which initializes DTT token. Smart contract introduction is to be launched at the end of 2018.
On the page #24, a question is asked: Is the issuance of tokens limited?
According to the Legal Token Sale Agreement found on our website the issuance of tokens is limited: “The Seller will issue the amount of DreamTeam Tokens equivalent to $45,000,000. If the Seller will not sale all issued DreamTeam Tokens during the Sale Period, then all the rest that remain will be burned out.”
DreamTeam has the first presale and sale soft cap of $2M and a hard cap of $6M. The overall cap was lowered from $75M to $45M, and all unsold tokens are burned. Therefore DreamTeam issues a limited number of tokens.
The information has been updated. As the rating committee reconsiders the criterium “limited token issue” the score can rise from 3 to 6 points. Also, it is highly desirable that DreamTeam should reveal the question about the token emission limiting not only during the period of ICO conduct but also for future periods after the platform is launched.
On the page #31, a question is asked: Has the company taken preventive measures to avoid problems with ICO market regulators?
As answered in the above question, we cooperate with top law firms that consult such giants as Apple, Facebook, Google, and eBay to avoid any complications with ICO market regulations. We structure our token not as a security, swap, futures or forward, but as a utility token - meaning commodity.
According to the data in the titles about the registration and juridical structure of the main company ZeroGravity LTD, the only beneficial owner and CEO is Alexander Kochanovsky.
The definition “ transparency of the project’s juridical structure” implies a wider concept and ,apart from the titles publishing, includes the following parameters of the investment attractiveness:
• there should be corporate institutes controlling the project assets usage(for example, escrow-intermediaries usage)
• the transparency in terms of owning the financial assets of the company (for instance, in the titles there is no information on the authorized capital share belonging to Vladimir Panchenko, although on site
https://token.dreamteam.gg/ he is called a co-founder of the project);
• indicators of the corporate business consolidation for the financial calculations of the investment transaction basis (for example, there are several financially differentiated business directions within one main company)
The agreement concerning the tokens sale was amended in terms of jurisprudence. The amendments are as follows: the USA citizens and residents and/or residents of the following countries and territories: the USA, South Korea,Japan, Iran, Syria, CNR, Cuba, DPRK, Abu Dhabi and the Autonomous Republic of Crimea - have no right to take part in the first phase of DTT tokens sale.
Although, when the second phase takes place, they are not forbidden to purchase DTT tokens.
As the rating committee reconsiders the criterium “ taking measures” , the score can be changed from 5 to 6 points.
On the page #34, a question is asked:
Is the project popular on social networks and in thematic communities?At this point in time, we are mostly focused on developing our platform, which is key as we want to offer the best experiences for players on a very tight schedule. According to Similarweb open data source have neared the 1M visits per month. Please follow the link
https://imgur.com/a/lXQWp for Similar Web stats.
As for our social media presence, thousands of users have flocked to them already and follow DreamTeam news and weekly updates. Many more have signed up for our newsletter where we discuss the latest developments in DreamTeam. We are confident that as our platform grows more and more people will naturally flow to our social media pages to discuss latest esports news and more.
The information was updated as at the date of 19.11.2017. As the rating committee reconsiders the question, the score can be increased up to 3 points.
The information was updated as at the date of 19.11.2017. As the rating committee reconsiders the question, the score can be changed to 4 points.
On the page #43, a question is asked: Does the project have a strong advisory board?
We are constantly updating the list of our advisers and partners and publicize their addition to the DreamTeam Advisory Board and Partners List. Please consult our Whitepaper for the up-to-date and Medium blog for the official press-releases.
We will continue to add high-level professionals and consultants from different spheres and will have the strongest Advisory Board compared to any other gaming/crypto ICO ever.
As of now, the DreamTeam Board was joined by:
Moe Levin – CEO of Keynote
Sundance Digiovanni – former CEO and Co-Founder of MLG, VP content and media in Blizzard
Kim Rom – an Esports and gaming veteran, and former CMO at SteelSeries and Chief Gaming officer at Kinguin.
On 17. 11.2017 DreamTeam announced that the partner of Evolution Media, which comprises Creative Artists Agency, had joined the advisory board. The partner is Salim Misa.
Two people who work in the advisory board (which consists of 4 people) personally confirmed their belonging to Advisory Board.
As the rating committee reconsiders the issue, the score can be updated up to 6 points.
On the page #44, a question is asked: Are the project’s partners large and well-known?
In the last weeks, we’ve have announced several large and well-known partners that are in their essence the most significant esports entities in the world.
As of now, the DreamTeam Partners are:
ESL - the world #1 Esports company and the biggest tournament organizer
Starladder - one of the biggest tournament organizer, platform for amateur and semi-professional gamers
Natus Vincere (Na`Vi) - one of the most popular and one of the most successful Esports teams on the planet.
On 03.11.2017 DreamTeam announced it became partners with Natus Vincere-it is a professional cybersport club, which is a world leader in the field.
As the rating committee reconsiders the question, the score can be increased up to 6 points.
On the page #46, a question is asked: Is the project attracting large VC investors?
This is not a relevant characteristics, and it seems the Digrate team was unable to grasp the DreamTeam investment idea fully. Our investment model does not correspond with the idea of attracting VC money. Currently, DreamTeam leadership is financing the platform development out of their own pocket.
Moreover, we receive dozens of requests at conferences and even more emails and calls from people who want to buy out the DreamTeam share in the project. But we have a different financing model and have set up a dedicated token sale for all interested parties to join in December. Through the token sale, DreamTeam offers a large swath of opportunities for token buyers from all over the world who want to partake in the development of the greatest all-in-one esports platform. We are keen to ensure that the esports community isn’t passive on the issue of its development perspectives but has a vote in the creation of a uniform esports eco-system.
Venture capital attraction is not a compulsory aspect of the DreamTeam business model, but large venture investors’ support plays an important role as an image element for increasing the potential investors’ trust. The venture fund also helps its portfolio company to design a corporate structure, introduce the product to the market, to establish contacts and set up strategic management. In the whole, the fund will help the project to increase its value for the customer as quickly as possible. Increasing the value for the customer means rocketing the capitalization, which is the main value for the startup and investors. On 17.11.2017 DreamTeam announced that the advisory board had been joined by the partner Evolution Media - Salim Misa.
As the rating committee reconsiders the question, the score can be increased up to 3 points.
Conclusion:DigRate’s aim is to show all the advantages and disadvantages of the ICO conducted by DreamTeam. The date 03. 11.2017 saw the project not completely ready for carrying out ICO, which can be confirmed by the fact the pre-sale date was 25 days postponed ( from 13, November, to 7, December) and the decrease of Overall Cap by 60% (from 75 to 45 million dollars) . DigRate believes that DreamTeam is sincere and enthusiastic enough in its attempts to avoid the previous mistakes concerning the general concept creation ,as well as the marketing and economic parts of the project.
According to the update as at the date of 19.11.2017 and taking into account all the corrections the investment attractiveness rate can be increased from 4,1 points tp 4,6 points, which means the rate is B1-Considerable risk exposure, high sensitivity to market conditions.
