Since the emerging crypto asset class is much like venture capital with liquidity, performing a quick market size analysis can provide insights into potential fundamental asset value.
Factom (FCT) is creating an immutable audit trail by providing for hashing of documents to its blockchain. By hashing an organization’s files/documents/etc. onto the blockchain, Factom enables the world’s first “precise, verifiable, and immutable audit trail”. Imagine the immense amount of data/documentation a single industry (real estate, banks, law firms, etc.) must generate then store and verify (i.e. to satisfy compliance requirements) on a daily/monthly/yearly basis. The native crypto asset of the Factom blockchain are Factoids (FCT), which ultimately provide for the right to hash data on the blockchain.
Strong, the founding team has attracted reputable investors and advisers…positive
Mediocre, rides on Bitcoin blockchain. The Factom blockchain is fairly centralized…neutral
Because Factom (FCT) will derive its intrinsic value from the amount of data hashed onto its blockchain, this model is based on assumptions involving data storage needs by 2025. We take into account how much of that storage (163 Zettabytes) would be used for storing/hashing documentation (one tenth of one percent). Using an anticipated 10% market share for Factom, we then assume the price of storage on the Factom blockchain will decrease by 100x of the next 7 years.
Given the assumptions (above) the 7-year Factom (FCT) price target is given below: