Mid-term I think this might be the among the best investments I will make if I can take my profits and run before 1 billion+ more coins flood the market at some point. This project can change the world if it comes through and gets regulatory approval.
This new type of semi-decentralized (refer to their white paper) exchange with improved security using multisig wallets, uses the additional info field in a bitcoin transaction, to attach any digitized asset or financial security to a single satoshi. Thus, creating a Colored Coin, which becomes an IOU, allowing anyone to trade anything – issuers (banks), exchanges and traders will meet on Lykke, the exchange. They also provide better liquidity by matching not only by time and price, but spread too. Currently into Forex, Bitcoin, and Ether, they are planning on adding many types of financial securities as trade-able items on their marketplace.
I immediately fell in love with the concept and started thinking of 100x returns over their current price at $0.34. Reading further, I realized that the situation poses almost the same problem as does Veritaseum – the asset (Lykke Coin) that represents a share of the company, is absolutely centralized – only 2.33% of Lykke Coins are sold via ICO, the rest has been retained by the issuer – Lykke Corp. They admit that the value of the coins can be diluted whenever they decide to issue more coins.
The act of issuing more coins is not guaranteed, will not be sudden, and may not happen in the near future. We should have at least 6-18 months to cash in on our investment before the market gets flooded with additional coins. So mid-term, there is still great potential.
You can read the entire report on 40+ indicators about Lykke, here: https://cryptohydra.com/crypto-reports/lykke-lkk/
Disclaimer: This is not investment advice, it is merely an opinion for informational purposes. Investing is a risky matter, people should do their own research and we are not liable for potential losses.