Quick thread and review on $PRIMAL a mix of Patreon and #Chiliz with some move to earn sprinkled in 👀
Full disclosure, I am a pre-sale investor in $PRIMAL. But I get into a lot of presales and rarely share them on my Twitter. But Primal has something special.
As always, DYOR. I got into this because I think the #movetoearn sector will do well if built right. And Primal isn't just M2E, it's kind of like Chilliz meets Patreon.
With it, sports stars can create their own fan token. There are rumours that they have Connor McGregor, Tyson Fury and David Beckham on board. But what does that even mean? Why do athletes need tokens?
◆◆ What Are Fan Tokens? ◆◆
Fan tokens are tokens created for sports clubs (usually football) like AC Milan, Arsenal and Leeds United. Right now, the biggest chain for fan tokens is Chiliz, which has a $700 million cap.
Fan tokens are tokens created for sports clubs (usually football) like AC Milan, Arsenal and Leeds United. Right now, the biggest chain for fan tokens is Chiliz, which has a $700 million cap.
Most fan tokens don't have utility. People just hold them because they are fans. And people also trade them e.g. $ARG the Argentian football fan club token rallied 20x in the lead-up to the world cup and dumped after it.
◆◆ Fan Tokens For Athletes? ◆◆
Chiliz mostly does fan tokens for clubs but $PRIMAL does them for athletes and they have utility. How?
Chiliz mostly does fan tokens for clubs but $PRIMAL does them for athletes and they have utility. How?
◆ Utility ◆
Token holders get access to things like:
• Weekly group calls with the athlete.
• Biometric training data so they can try to outperform the athlete.
• 1-on-1 chats for top-tier holders.
• And more
It's essentially an inner circle (like Patreon).
Token holders get access to things like:
• Weekly group calls with the athlete.
• Biometric training data so they can try to outperform the athlete.
• 1-on-1 chats for top-tier holders.
• And more
It's essentially an inner circle (like Patreon).
What does outperforming the athlete mean? Well, if you hold a Conor McGregor fan token, you will have access to his training data e.g. how fast he completes a 5 km run. You can then try and race or outperform him.
And every athlete can add their own utility for token holders. Remember, it's like a Patreon so they can do podcasts, videos or whatever else they want.
◆ Athletes ◆
So far they have over 250 athletes on board, ranging from newer athletes with <100k followers to huge athletes with millions of followers. I think the success of Primal comes down to who they have on board.
So far they have over 250 athletes on board, ranging from newer athletes with <100k followers to huge athletes with millions of followers. I think the success of Primal comes down to who they have on board.
I think that when a big athlete like Fury or McGregor is confirmed we will see Primal 🚀 Patreon is a hugely successful business model and this brings Patreon to the blockchain with extra features!
◆ Move To Earn ◆
M2E can be risky in crypto because of the inflationary pressure caused by rewarding tokens for moving. Primal is not inflationary though, there is no way to earn then $PRIMAL token through the move-to-earn mechanism.
M2E can be risky in crypto because of the inflationary pressure caused by rewarding tokens for moving. Primal is not inflationary though, there is no way to earn then $PRIMAL token through the move-to-earn mechanism.
You earn a secondary token called $ENRGY and cannot exchange ENRGY for anything other than stablecoins. So, the move to earn aspect is a separate economy and won't impact Primals core use case, the Patreon-like access to a user's favourite athlete.
◆◆ Tokenonmics ◆◆
FDV is $19m and the current cap is $2m. However, there is a heavy burn mechanism in place and whenever a fan token is created $PRIMAL is permanently locked whenever a fan token is created.
FDV is $19m and the current cap is $2m. However, there is a heavy burn mechanism in place and whenever a fan token is created $PRIMAL is permanently locked whenever a fan token is created.
It's hard to predict the long-term circulating supply but based on their tokenomics model it won't be 10x like the FDV suggests when you factor in burning and liquidity locking to back fan tokens.
Token distribution is fairly standard. No VCs are involved and the private round backers got the same deal as the public round, along with the same vesting, which is nice to see.
Vesting is solid, 21 months before vesting is fully unlocked.
Vesting is solid, 21 months before vesting is fully unlocked.
The treasury stands at 7.25% of the supply, but according to the project, they also have fiat totalling $2 million which gives them 28 months runway without any additional revenue!
◆◆ Team ◆◆
The team has a solid mix of experience in the crypto space and in related fields, the most important of which is forging partnerships with athletes!
The team has a solid mix of experience in the crypto space and in related fields, the most important of which is forging partnerships with athletes!
◆◆ Game Plan ◆◆
When Primal launched I gave you guys a heads-up and said to wait and see how the token performs post-launch. It's pretty normal for tokens to dump after launch, especially in a bear market, which is why I said you shouldn't ape in.
When Primal launched I gave you guys a heads-up and said to wait and see how the token performs post-launch. It's pretty normal for tokens to dump after launch, especially in a bear market, which is why I said you shouldn't ape in.
Now that price is low, I'm looking to slowly accumulate more. But I'm still not apeing in.
"But you are in the presale, why go for more?"
I didn't get enough presale and I am vested for 21 months. So I am looking for more as I like $PRIMAL long term.
"But you are in the presale, why go for more?"
I didn't get enough presale and I am vested for 21 months. So I am looking for more as I like $PRIMAL long term.
I want to see if they deliver on the athlete side of things. If we see them onboarding some huge names I think this project could be successful long term.
Also, the M2E aspect is an easy sell as people love making money for doing almost nothing 🤣
Also, the M2E aspect is an easy sell as people love making money for doing almost nothing 🤣
◆◆ Final Thoughts ◆◆
One of the biggest challenges with these sorts of projects is onboarding web 2 users into web 3. The Primal app already has almost 800,000 downloads.
One of the biggest challenges with these sorts of projects is onboarding web 2 users into web 3. The Primal app already has almost 800,000 downloads.
It won't require users to create a MM wallet or delve deeply into web 3. So, Primal is essentially Patreon on-chain with extra features. If major athletes join and start shilling their fan tokens to their millions of supporters, it could take off like Chiliz did!
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