Lunyr - How it can reach a billion dollar market cap or more within two years.
I promised in my first blog to elaborate why Lunyr has the potential to be worth more than a billion dollars in the coming two years. In case you have missed it, Lunyr is a knowledge base on the blockchain set to compete with wikipedia. Currently the platform is in the making and the first big update is planned in Q3 . The LUN token is trading at Bittrex for $3.20 and the total supply of LUN by 2019 should be around 2.8 million. This makes the total market cap of Lunyr $8.96 million.
So is it possible for Lun to be worth $360.71 per token in 2019 to reach the billion dollar market cap?
Price $LUN in June 2019?
Money flow
Many people knowing about this project don't understand how money will flow into the LUN token. The business model is plain simple; create content, place ads and get traffic. Youtube, Google, Facebook, Instagram, Snapchat and millions of other websites are making tons of money with ads with the same business model; get traffic, get paid.
How does it work?
Advertising works, even if you think it doesn't. From Nike commercials to discount coupons from your local pizza dealer, these ads can be found everywhere. These businesses and companies knows where to find you using middlemen or by directly contacting Google or Facebook. For example, YouTube and their content creators are making money by displaying ads. Businesses are paying for space to place their ads and uses CPC or CPM pricing. CPC stands for cost per click and CPM for Cost per 1000 impressions. A click can be worth $0.01 up to $100.00 depending on the leads (sale of expensive product). Most companies wants to gain awareness for their brand and uses CPM, meaning they will pay an amount of money for 1000 impressions of their ad.
So how will this work with Lunyr?
Lets take the YouTube example again. There are a lot of youtubers making millions a year. Youtube pays 68% to youtubers and keeps 32%. On average advertisers pays $3.00 for CPM, this means per 1000 views YouTube gets $0.96 and the Youtuber gets $2.04. Per billion views YouTube gets $960,000.00 and the Youtuber gets $2,040,000.00. On average YouTube gets 5 billion views per day, that's a daily income of $4.8 million for YouTube and a pay out of $20.4 million to their content creators.
Looking at Lunyr and the vision of the team behind it, I am pretty sure Lunyr will get traffic. And like I said before, get traffic, get paid. Content will be created as content contributors will get paid in $LUN which is now currently trading at $3.20 per token, enough incentive to get started for contributors! 85% of $LUN in the income pool will be distributed every 2 weeks to the content creator and 15% will go to Lunyr for further development. Enough motive to have constant new high quality articles. As Lunyr will compete with wikipedia by using a system which delivers high quality and trustworthy informative articles, they also strive for innovation by introducing Artificial intelligence, Virtual reality & Augmented reality applications in the knowledge base. This will be the big difference of between Lunyr and Wikipedia and it will make Lunyr unique in its kind! Lunyr will operate side by side with wikipedia generating millions and millions of views. And what did I tell you guys about getting views? Indeed... get PAID!
So how will $Lunyr get a $1 billion marketcap?
If Lunyr succeeds to have page views in the millions or even billions, it is inevitable that massive money will flow into $LUN. If you have an audience, advertisers will automatically reach out to you. If Lunyr maintains competitive prices e.g. CPM of $3.00 it doesn't matter for advertisers what price the LUN token will be, $1.00 or $700.00. For investors on the other hand it will be interesting, the price of $LUN will rise as the supply of LUN token is limited and constant money flow coming in. Over $70 billion was spent last year in online advertisement, can you imagine just to have a piece of that?
Possible scencenario & Roadmap:
June, 2017 - No product/platform available yet -
Price $LUN - 3.20
Aug/sept, 2017 - Introduction Alpha -
Price $LUN - $15.00 - $45.00
Dec, 2017 - Beta release on testnet-
Price $LUN - $45.00 - $75.00
Mar/Apr, 2018 - Beta release on Mainnet-
Price $LUN - $90.00 - $150.00
2019 - Lunyr API -
Price $LUN - $300.00 - $450.00
2020 and beyond- Lunyr API + other apps-
Price $LUN - $500.00 - $........
I just checked the price at Bittrex, it's currently at $3.90, moving up nicely towards your $15 - $45 target for late summer. Crypto Ping also alerted me to a volume increase moments ago. Now on my radar, thanks.
Lunyr will be interesting to follow in the coming months and I really think $15 could be easily reached when the alpha is released. Follow me and I will keep you updated with the newest information!
Lunyr is really promising, I think your previsions for the market price at the time of the Alpha release are realistic or event too low taking into account the quality standards of the dev team.
Maybe the 2019 and 2020 predictions are a bit exaggerated because it might take time before Lunyr knowledge base starts to attract a lot of user. But who knows, it will for sure attract content writers and peer-reviewers and on the long run the quantity and quality of content should outpace wikipedia.
But for now, LUN is clearly undervalued!
Bitcoin will also help Lunyr grow in price. I think the price of bitcoin will be at least $10000 by 2019 and a market cap of $1 billion could be considered normal of maybe even low for a good performing 'alt' coin in 2019/2020. I think $2.5 billion is even possible!
You're right I did not take in account the evolution of the main coins!
LUNYR made my Top 10 list this week!
https://steemit.com/cryptocurrency/@cryptosphere/top-10-cryptos-of-the-future-july-29-2017-a-weekly-ranking-of-the-best-place-to-put-your-money-in-the-cryptosphere