TrustToken (TRU) Review
An independent analysis of TrustToken (TRU)
Tokenizing real world assets to create fully collateralized fractional ownership
Summary
The TrustToken Platform aims to be a protocol to tokenize and transact on real- world assets on blockchains in a legally enforceable, fully accounted and collateralized way. Specifically, it is a proprietary legal and technical framework utilized to tokenize various real-world currencies and assets. Potential areas that can be tokenized are assets such as real estate, patents, media, copyrights, sports teams, collectible art, and commodities like gold and oil.
Company overview
TrustToken is a company based in the United States that provides the technology and maintains the TrustToken platform and its underlying stable coins.
The TrustToken Platform is broken into following components:
•SmartTrust – legal contract that designates the asset ownership and custody to a smart contract on a blockchain
•TrustMarket – marketplace where “clients can hire fiduciaries who interface with legal-financial institutions and are legally bound to manage assets as instructed by the smart contracts.”
•TrustProtocol – “protocol specifications that specify how smart contracts can direct fiduciaries”
•TrustVault – decentralized storage system that is auditable
•TrustToken – “platform’s incentive layer to reward trustworthy behavior, create an audit trail, and collateralize property”
Token Sale
There have been very few details released regarding the tokenomics and deal- structure of TrustToken.
The company indicates that the public sale will be capped at ~$16m, however at this point in time, we don't have complete clarification regarding the max cap for the private sale/institutional round.
Commercial & Technical Strategy
Already having made considerable progress into establishing their platform, such as collaborating with financial regulators, trust companies, and banks to secure the backing of TrueUSD, its first stable token, the commercial strategy going forward is to gain even more partnerships and adoption. One of the largest blockchain hedge funds (BlockTower Capital) has already publicly supported the platform and said they would utilize it.
Roadmap
TrustToken has already completed a significant amount of work to date.
Q3 2017 – Complete SmartTrust platform, SmartTrust platform launch, Start development for TrustProtocol
Q4 2017 – Establish partnerships with banks and exchanges, continue to develop TrustProtocol, Pre-sale fundraising for TrustToken protocol (which TrueUSD is built on top of)
Q1 2018 - Launch support for wire transfer purchases/redemptions, Deploy TrueUSD smart contract, Launch TrueUSD for traders and institutions (alpha)
Q3 2018 - Launch TrueUSD beta for public
Token Use
TrustTokens are integral to the protocol as the:
•incentive mechanism to reward positive and trustworthy behavior, which is of vital when dealing with an asset whose value is backed by a true asset.
•audit trail for transparency and trust among token holders and potential investors
•collateralizing mechanism for the underlying property
Use of Proceeds
While a complete breakdown of anticipated expenditure has not yet been provided, analysis of the materials provided by the team has indicated that the vast majority of funding will go towards operation expenses (OPEX), development and legal services.