PYNK Review – People Powered Investment

Project Reviews / 22.08.2019

There is a vivid distinction between trading an asset versus investing in one. Trading is the continuous process of leveraging the volatility of a base asset and taking chances. It is, in some way, an intellectual’s gamble. On the other hand, investing in the process of evaluating a variety of assets, making calculated decisions to eventually settle on an asset or a basket of assets in the hope of expecting periodical returns.

In this age of continuous and constant change, it is considerably tough to ascertain what and how to trade or invest in. Investors are puzzled about what asset or investment will be profitable in the long run to give them returns, while the traders are puzzled at the random and unpredictable volatility. There is an obvious need for a new methodology of investing, as traditional means do not seem to fit into the current economic landscape.

Pynk.io

“We’re building PYNK to be the world’s most inclusive Investment Platform. Regardless of your wealth, race, or religion – PYNK is financially inclusive and is the platform where socially conscious investors can help shape a better future for all whilst enjoying superior returns.”

Perpetual Yields from Networked Knowledge or PYNK is the brainchild of a group of investors and developers lead by CEO Seth Ward, who strongly believes in the collective. More specifically, they believe in the wisdom of the collective. This “people-powered” application fundamentally runs on the principles of ‘The Wisdom of the Crowd.’

Wisdom of the Crowd is an old idea according to which, even though one man may not be able to ascertain a particular solution correctly, a group of people has a greater chance to find it. It is generally seen that Crowds are better at predicting, solving, decision-making, and innovating. In some way, it can be argued that this small idea was the driving force and cornerstone behind humanity’s entrance into the Information Age.

Pynk.io is the world’s first People Powered Investment Platform that leverages data collected from its users and integrates that data with ROSE, their home-grown AI, to help make investment strategies. Pink understands that the more users they have, the higher the predicting capability of the platform. Using the Crowd, Rose – the AI and a panel of experts who analyze the suggestions, Pynk has developed a foolproof, highly reliable mechanism to automate investment.

With Pynk, you can choose any of the two options in investing. The Everyday Investor option allows you to use Pynk’s investing strategies chosen by the experts to make profitable returns. It is a lucrative option for individuals who cannot give as much time to background research as they would like to. The other option is to join in on the Crowd Investment Platform, where the investor is asked to make their predictions about assets and instruments such as Bitcoin, NASDAQ, Gold, and various other assets. Pynk then uses these predictions, aggregates them with the library of prediction from all of its users, and finally runs it through Rose. Investors who make the closest predictions are allocated with ‘Wisdom Points’ (WPs).

“Combining the estimates, predictions, and opinions of many different people has repeatedly been proven to give more accurate results than a small selection of experts alone.”

Let us discuss in detail about the capabilities of PYNK:

  • Proven Reliability: As described in detail in the Pynk Paper, the Price Prediction tool operated by the Investor data, Rose and Experts, forms the backbone of the short, medium, and long-term predictions made by Pynk. It allows them to distribute their information input and diversify their portfolios, as they have to consider all individuals’ suggestions. The investors will make predictions as long as they believe in the strategies suggested by Rose. In contrast, Rose will make accurate predictions as long as the investors keep supplying data about their predictions. It forms a two-way relationship between the Investors and the Platform, by which the success of the platform hinges.
  • Wisdom of our Crowd – WoC: Wisdom Points is the mechanism that incentivizes the investors, in the end, to keep making predictions. PYNKsters, as they are called, are asked to literally “invest” their time and resources into the platform for which they are rewarded with Wisdom Points (WPs). WPS is the platform’s way to ensure loyalty and readiness to predict. Each quarter, the PYNKsters exchange their WPs for a share of Pynk Profits in the form of Pynk Security tokens.
  • Stability of the Native Token: Access to the Pynk platform is restricted through their native security token. The token indicates a pool of base assets such as Bitcoin, Gold, USD, and other stable assets. This gives value to the token and acts as a driver of value. There are many advantages to a blockchain-based solution, from traceability to transparency and ease of access. The main benefit for investors, however, is the flexibility of a token model. Tokens are tradeable, which means that an investor can exit their investment at any point in time by selling to an interested buyer without affecting the total money managed by PYNK. There are a total of 21,052,632 tokens to be issued in the first tranche.
  • Types of Investments: The Pynk platform is willing to invest in the asset as long as the crowd deems it to be rewarding in the short or the long run. Their attention is primarily towards Blockchain and cryptocurrency projects, but they have no objection to diversifying to other mechanisms.

The Team has allocated three broad categories for the crowd to segregate and predict.

  1. Short Term – Trading – Volatile Assets
  2. Medium Term – Investing – Growth Assets
  3. Long Term – Incubating – Start-ups
  • No Limitations or Segregation: It is the platform’s mission to dissolve any types of segregation. The Pynk team expressed great enthusiasm that the platform will not segregate between any person, race, color, nationality, or contribution. Any person worldwide can be a part of the Pynk Platform and contribute their time and resources to allow for mutual growth.

Is there any Opportunity for Investment?

With the Beta version of the platform already up and running, there are already about 6000 PYNKsters across more than 50 countries worldwide. A cap of $100,000 is limited to each investor to save the platform from a monopoly.

There are several reasons why the Pynk platform could be an attractive investment for any investor in the cryptocurrency space. For starters, the Pynk Native token is advertised as a Security Token, meaning that it is an asset-backed by the Assets under Management (AUM). It’s registered with Regulators and requires full KYC from all its investors, keeping a close check-on with the regulatory requirements. To make the investment more lucrative, Pynk has also managed to bring in institutional investors and growth partners to back their platform, including and not exclusive to the NatWest group, the Royal Bank of Scotland, 360Labs, and Founder Institute.

Keeping in mind that the Pynk Team is hell-bent on making a decentralized platform in multiple ways, both from a management point of view and information-wise, any investor will be enticed to join hands with them once they realize the future of Crowd-investing. The team is always on the lookout for improving the platform by searching for better algorithms, better asset classes, and better experts to keep the platform in check.

Pynk is a platform to look out for in the future because… as they actually say it themselves, ‘none of us are as smart as all of us.’

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Sudarshan M is a long time crypto-enthusiast. Pulled in by bitcoin early on, it did not take long for Sudarshan to divert all of his academic attention from business studies to blockchain by doing his Masters and eventually pursuing his PhD in the subject.