Bugu Platform Review – BGT ICO Digital Asset Valuation CIRM Rewards?
Bugu is a decentralized digital asset valuation platform where users are incentivized to share information about price predictions in cryptocurrency markets. Find out how Bugu works today in our review.
What Is Bugu?
Bugu, found online at Bugu.network, is a community-based digital asset valuation platform. The platform was built with the goal of allowing individuals and organizations to evaluate digital asset events.
Investors can use the Bugu Network to accurately predict the outcome of an event. Event predictions are created through voting and discussions within the community. The results of the community-driven votes are verifiable and transparently recorded on the blockchain.
The first goal of Bugu is to create an efficient valuation tool. That tool will provide valuable pricing data. As more and more predictions are recorded on the platform, Bugu plans to become an increasingly effective marketplace for evaluating digital assets.
How Does Bugu Work?
Bugu is a combination of several blockchain technology, including smart contracts, prediction markets, basic attention models, and reserve funds. The core of Bugu is its positive reward model called CIRM. Users are encouraged to make high quality predictions through the use of Bugu tokens.
The goal of all of these technologies is to spur community-driven event predictions. Individuals and organizations can evaluate digital asset events. You can use the Bugu Network to accurately discover how the community would react to different events.
Here’s the basic step by step process of how Bugu works:
- The initiator posts a valuation request on Bugu
- That initiator can contribute a certain amount of BGT, or Bugu Tokens, to incentivize community participation
- Participants make their own valuation judgement based on public information, community discussion, etc.
- The amount of BGT is locked in to reflect confidence in the judgement
- Bugu uses a smart contract to calculate valuation consensus based on individual valuation and the amount of BGT locked in
- The output – i.e. the prediction – can be auctioned to interested parties
- A reward will be given to each participant based on the accuracy (compared to the results collected by the actual oracle), while a reward may also come from the initiator, the buyer of the valuation consensus outcome, and the Bugu reserve fund
You know how when you browse cryptocurrency forums or subreddits, you see all sorts of predictions for how the community will respond to a certain event? In the world of cryptocurrency, it can be difficult to determine how a market might react to news that, say, China has banned bitcoin, or Americans are banned from participating in ICOs.
Bugu has created a platform where users can make predictions, then receive oracle-assigned rewards based on the accuracy of those predictions. Users that repeatedly make accurate predictions can receive continued rewards through the Bugu platform.
Who’s Behind Bugu?
Bugu is led by founder Bo Dong, the co-founder of a venture-backed FinTech startup named MegaCredit that has served over 2 million users to date. Bo is a commodity trader in a global conglomerate and is also an active crypto asset trader, and he also holds a Master’s degree from MIT.
Other key members of the team include Li Fu (Co-Founder and Technology Lead) and David Yiling Li (Co-Founder and Community Lead).
What Problems Does Bugu Seek to Solve?
Price finding in the cryptocurrency world can be messy. It’s a volatile, unpredictable market. Bugu plans to solve all of the following problems with its asset valuation platform:
ICO Pricing: ICO creators often have difficulty settling on a price or determining other info – like how much of the reserve they should keep for the founding team, how much should be put towards development, and other information.
Limitations of Exchanges: Exchanges are the main way we value assets in the cryptocurrency world. However, exchanges aren’t always the best way to discover prices. They have liquidity problems, for example, and they’re highly regulated. Exchanges also lack the ability to make forward predictions or other highly-customized evaluations.
Essentially, the problem with today’s cryptocurrency valuations is that we lack the highly-liquid, knowledge-based exchanges we see in other markets – like stock markets – to accurately determine a price. This leads to volatility and emotion-based trading. Bugu wants to introduce smarter crypto-asset valuations.
Bugu plans to solve all of the above problems with features like:
Effective Price Discovery: Bugu will use public predictions and community contributions combined with positive incentives (token rewards) and transparent valuation. All of this leads to more effective price discovery.
A Marketplace for Digital Asset Valuation: Bugu will create a forward-thinking, highly-customized marketplace where users can create their own valuation events and incentivize participants, or acquire data during the valuation period.
A Decentralized Digital Asset Valuation Platform: In the long term, Bugu will be a decentralized digital asset valuation platform with a full feature-set of components and reliable, transparent on-chain data.
Bugu has already implemented these features while researching projects like Augur/Gnosis. The company examined the project to fine turn their model. They also looked at Wings, BAT, and others.
The BGT Token Crowdsale
Bugu is creating an ERC20 token called the BGT token. That token will be the only token in circulation on the Bugu platform. A total of 1 billion BGT tokens will be issued. 40% of those tokens (400 million) will be available during the initial token sale.
A further 20% of tokens will be kept for team incentives, another 20% for initial rewards, and a final 20% for the foundation reserve, where they’ll be frozen for 12 months.
Bugu Platform Conclusion
One of the biggest problems in today’s cryptocurrency world is the lack of efficient, accurate price discovery. Bugu plans to solve that problem with a decentralized digital asset valuation platform. With the Bugu platform, users are incentivized to provide accurate predictions about future events and market movements.
It’s a unique model that could change the way we value cryptocurrencies. Visit Bugu.network to stay up-to-date on the latest information about the project.