Credits.energy is a cryptocurrency mining app that claims to support green energy initiatives. Here’s our review.
What Is The Credits ICO?
Credits is a mobile mining app that lets you mine credits on “low”, “medium”, or “high” settings.
You can download the app today for free for Android (an iOS version is listed as “coming soon”). The mining feature is expected to go live starting in May 2018.
The goal of Credits.energy is to build sustainable, green energy projects. As the official website explains, “credits will be building green energy & sustainable projects that give 10% of profits to various charities.”
Meanwhile, users will be able to cash out their credits through direct deposit. Cashing out is expected to go live in summer 2018.
A pre-ICO for Credits tokens (CRED) is underway throughout March and April 2018. The price is set at $0.005 per Credit, or $1 USD = 200 CRED.
Overall, there’s very limited information about Credits.energy available online. There’s a very small whitepaper, for example, with no team information and little information about how the project works. The platform vaguely mentions investing in solar and wind energy but doesn’t provide many specific details. This is unusual for a company seeking to raise millions of dollars through an ICO.
What Problems Does Credits.energy Seek To Solve?
Credits.energy seeks to solve all of the following problems with today’s cryptocurrency industry:
Speed of Transactions:
Credits claims that cryptocurrency transactions take too long. They specifically reference the bitcoin and Ethereum network, where transactions can take over 10 minutes to be completed. Obviously, there are other cryptocurrencies that can complete transactions within milliseconds, although Credits.energy doesn’t mention this in their whitepaper.
“Bitcoin is backed by absolutely nothing,” explains the Credits.energy whitepaper. This leads to enormous volatility. Credits.energy will solve volatility – although they don’t explain how they plan to do that.
Ease of Use:
It’s not easy to jump into the cryptocurrency industry as a layperson. Credits.energy wants to change that.
“Cashing bitcoin out is confusing,” explains the official whitepaper. you need to export your bitcoin into an online wallet then wait 2 to 3 business days. Credits.energy aims to speed up this process, offering easy cashing out for users.
Obviously, these are enormous and vague problems that occur across the entire cryptocurrency industry.
How Does Credits Work?
Credits.energy aims to solve all of the problems listed above. First, the company’s Credits will have their own “network servers to ensure speed and stability supplemented by its users to ensure reliability,” explains the official whitepaper.
Meanwhile, 10% of proceeds will be given to charity projects.
Users will also be able to purchase Credits directly through the platform using conventional payment methods. You can visit Credits.energy today to purchase Credits.
Meanwhile, Credits.energy plans to solve volatility “by investing in green energy and sustainable projects that earn residual income.” Credits.energy will use the income generated from these projects “to improve our technology thus generating cashflow in the tech arena as well.”
Credits use the CryptoNight algorithm for maximum anonymity. Basically, you mine Credits through your Android or iOS mobile app. Then, those Credits are used to fund sustainable projects around the world.
Some of the projects mentioned on the Credits.energy official website include solar energy projects, wind energy farms, and agriculture operations. The whitepaper provides a specific example of all three projects:
Credits is creating a “Solar Farm Project” that expects to generate 25 megawatts of power on the outskirts of Denver, Colorado. This power will be sold, and the income will be used to “maintain the Credits ecosystem while simultaneously increasing the value of your Credits holdings.”
Credits will create a Wind Farm Project that will produce 40 megawatts of power on the outskirts of Denver. The company plans to use Vestas turbines.
Credits.energy will launch a large-scale organic hydroponic greenhouse operation on the outskirts of Denver. They plan to mass produce tomatoes, lettuce, spinach, cucumbers, eggplants, carrots, potatoes, and more.
About The Credits ICO
Credits.energy is selling its CRED tokens (listed under the trading ticker CX) at a price of $0.005 during the pre-ICO, or $1 USD = 200 CRED.
By the time the main Credits ICO begins, the company is doubling the price of each token up to $0.01 apiece. An exchange rate of 1 ETH = 100,000 CRED is also mentioned in the whitepaper.
The Credits team claims the price of each CRED token can be expected to “grow rapidly” as soon as April 2018. However, it’s unclear why they expect the price to suddenly rise.
Who’s Behind Credits?
Credits.energy is organized under the name Credits LLC. The website features an article of organization for the company that you can view here. That document appears to show that Credits LLC is a legitimate company registered in the State of Colorado. The company is registered under the name “Fair Trade LLC”. The registration document includes a Denver, Colorado address.
Listed members of the team include Luke Ingraham (CEO and Founder). Luke has owned and operated a successful private crypto investment firm for the past 21 months. He’s also mined cryptocurrency since 2013. You can view his LinkedIn page here.
Luke’s previous listed experience includes positions as CEO of Lucrative Enterprises (September 2015 to December 2016) and CEO of Fair Trade, LLC (from July 2016 to present).
Other listed members of the team include Geoff Williams (CFO) and Bidhan Baral (Android and iOS app developer).
Credits ICO Conclusion
Credits aims to launch a cryptocurrency called Credits (also known as CRED or CX). These tokens will be used to purchase a stake in three renewable energy projects in developing around Denver, Colorado, including a wind farm, a solar energy farm, and an agricultural operation. By purchasing CRED tokens, you can earn profits from the success of these operations. Income generated by these three projects will be shared with token holders.
Credits.energy appears to be open and honest about its location and team information. However, there are some unusual things about the project. The whitepaper is just 12 short pages long, for example, and explains limited information about the company. There are no specific details about the three renewable energy projects posted online. We have no reason to believe they’ll ever be completed, for example, and there’s no evidence that any members of the team have previously built any type of green energy operations.
Despite the complete lack of information, Credits.energy is attempting to raise millions of dollars through an ICO in March and April 2018. They claim the price of Credits tokens will experience “rapid growth” within weeks of the ICO – although it’s unclear where this sudden rise of value will come from.
Ultimately, Credits.energy has many of the red flags we associate with ICO scams. However, you can take a closer look at the project online today at Credits.energy to decide if it’s worth an investment.