I’m a huge fan of Clif High and the work he does in predictive linguistics. In his most recent reports he mentions that his models show some blockchain projects with distinct business models and first-mover advantages that are likely to claim “superdominance” within their subsets of the cryptocurrency market.
In an interview Clif did with Abraham Hicks in November 2017, he explains that Populous came up because of the space that it occupies. Populous is a smart contract invoice finance platform built on the ethereum blockchain.
Not all cryptocurriencies are trying to crowd into the same market or retail area. There are many different areas being approached with crypto via ICO’s. Populous caught Clif’s attention due to 2 main factors:
- The market being targeting by the Populous business model
- The strong geographic references to North Africa and the Middle East
The linguistics data is forecasting that the government interaction payment space is going to be dominated by a country out of this region. As Clif began digging into the data, he quickly found clues that led him to Polulace and of course Populous $PPT.
Poised for Superdominance
What is particularly interesting about Populous is that the area of the market it occupies has yet to have any significant movers in it. To some extent it is like Veritaseum, where it has a strong change to be a superdominant player due to the first-mover advantage and the strength of the development team.
“The language around Populous shows very long legs for this subset of the cryptospace. This set may well be dominated by the first mover advantage that is still open for claim. Populous may well make that claim.This offering represents our next opportunity for a real train engine and not mere track laying. The concept, the work so far, the language for the sub space in general, and this offering in particular could not be better placed for the niche being targeted.” -Clif High
Populous is specifically focused on invoice financing and well engineered, but in comparison to Veritaseum the potential number of industries it can penetrate is so much larger because it’s not limiting itself to only the wall-street market. Populous is already working in real government quarters, getting contracts to provide the platform for payment processing.
Behold, the Populous “Secret Sauce”
In July 2017, Populous announced some important features and functions, which the community coined as Populous’ secret sauce.
The secret sauce lies within the populous collateral smart contract and the $PPT token itself. $PPT can be used to purchase invoices on the platform while PPT holders maintain ownership of their $PPT. This allows $PPT holders to receive “Pokens” every 30, 60, 90, and 120 days from their $PPT holdings.
The invoice contracts are settled on those timelines. The $PPT remains locked for the duration of contracts.
So why is this a good thing?
Locking $PPT tokens up on the platform while they generate interest in the form of “Pokens” is good because it provides stability on the platform by locking things up in the smart contracts.
But wait, what’s a “Poken”? Pokens are used to facilitate interest payments and are pegged to worldwide government currencies so that the terms of each invoice contract and payment stay consistent for the duration of the contracts with no surprises.
The appropriate payment in interest for the restriction on your ability to move your tokens is a perfect approach, and another reason why Populous will do well in the long-run.
Much of the work Populous is doing is related to government taxation and standard flow-through. What they are doing is essentially disinter-mediating all the middle men in the sequence of getting money to and from government, providing a much higher level of efficiency than the legacy systems currently in place.
In a standard business, you will have (est.) 10% of all factored invoices that go bad, where you have to sacrifice profits to cover that. In contrast, what Populous is doing is lowering the cost on all sides, which lowers the number of these contracts that will go bad. Additionally with the 30, 60, 90, 120 day approach they are providing stability for the invoices.
Populous is basically a form of a savings account in the sense that those funds are tied up on the blockchain for a certain period of time with a known return. This is particularly attractive to companies that are attempting to offer pensions and insurance where they are not getting yield. Clif High claims that the data that pointed him to Populous involved institutions seeking yield and that they will be very likely to end up using Populous.
The Populous team will also be using revenue generated from the platform in fiat currency to actively buy back $PPT off of exchanges and burn them. This combined with the impending stampede from institutional investors once the platform goes Alpha (currently in Beta), are extremely bullish signs for the demand for Populous.
$PPT is currently sitting around 1/3 of the all-time-high price, set just two weeks ago.
Our recommendation is to BUY, and of course HODL.