Standards & Poor’s, Fitch, Goldman Sachs. These are among the companies that help institutions and retail investors alike with ratings on stocks and funds in the stock market. Wouldn’t it be cool if there was a company that did this for crypto projects?
Well, guess what? There is one. It’s called Evai. And today we are going to learn about it and how it works. You can then see if you think it’s a tool you need for your investing toolbox. Let’s look at their unbiased crypto rating platform, Evai.io – driven by Artificial Intelligence and Machine Learning.
What is Evai?
Evai started in 2019. The idea is simple. It provides unbiased crypto ratings. So investors can manage their risk better and make more profits. The same concept Standard & Poors is doing for listed companies. Now, Evai provides similar ratings for over 1,000 crypto projects including DeFi, Metaverse, and NFTs.
Moreover, Evai has raised $6 million so far from private investors and works within the CryptoOasis ecosystem, which is a UAE-based incubator and venture building company that is accelerating crypto and blockchain projects in the Middle East. Also, the team is public-facing as listed in their lite paper, whitepaper, and with links to LinkedIn profiles. They have established backgrounds in research, legacy finance, and building pricing models and algorithms.
Founder Matt Dixon has over 30 years of financial services experience. He has designed and run FCA accredited Algo Funds. In contrast, Chief Research Officer Andros Gregoriou has written over 100 peer-reviewed research papers and specializes in asset pricing models, and created the unique multi-factor model Evai uses.
More About Evai
In addition, the free service works great while the upcoming EvaiPro service will have lots of extra features that professional traders want like exclusive indicators and rating notifications to name a few.
Next quarter the team is also preparing to launch the Evai Active Portfolio, which will be their trading fund that will automatically rebalance the portfolio based on ratings upgrades and downgrades.
And if all this sounds good to you so far, then you may want to check their free Telegram group to stay up to date on what’s happening.
EVAI’s token is at an interesting price juncture right now. Over the last 24 hours, the token has dropped over 64%, and that’s because they did some investor allocation. But this could be your “buy the dip” opportunity. Let me explain why. Yesterday only EVAI launched the EVAI Rewards, the staking platform. We know staking takes a portion of the token off from its market supply and reduces the selling pressure. Thus as more EVAI is staked, we might see the token pump.
Evai Rewards is LIVE!🚨
Boost your $EV holdings through our latest ‘Bonus Lock’ staking feature, rewarding HODLers with a 4% bonus for 6 months staked or a 10% bonus for 12 months staked!
— Evai.io (@evai_io) May 31, 2022
Also, another interesting thing about EVAI staking is the longer you stake, the higher are your rewards. I will drop the link down below for you to check out their staking portal. Now let’s look at how their rating system works and how we can make money with it.
How Does Evai Work?
Their Multi-Factor Model starts by pulling data from tier 1 exchanges and lead aggregators. And they use more than one in case there is a discrepancy or some kind of arbitrage taking place on one of the major exchanges.
Next, the proprietary software that uses both artificial intelligence (AI) and machine learning (ML) kicks in running the data against Evai’s 9 power factors and performance indicators.
These parts of the software, the AI and ML, are important as this takes out human error and bias to make the ratings completely unbiased. Now when you log in, the first thing you see is some ticker symbols for projects with their ratings across the top of the page.
However, Evai does not just rank individual projects using this system. They also look at the entire market. And we see today, that the market stands at C2, which reflects the current market downturn. More on the ratings coming up in a second for you.
Then when we go further down, we see the listing of crypto assets with their current ratings. This alone is helpful but there’s more we can do with these ratings since they are unbiased.
Evai’s Rating System
Evai has a rating system of A1-A3, B1-B3, C1-C3, D, and U for being unable to rate due to lack of data.
A1 is the optimal rating. It goes down the line from here. And the rating system is about investing in the project right now, today. This is important to understand. Here is an example:
Significant upgrades to $ADA saw its rating move from C3 to C1, prompting a pump in price of over 44%, followed by a healthy correction to its current price of approximately $0.61!📈
— Evai.io (@evai_io) June 1, 2022
Even top long-term projects like Bitcoin, Ethereum, and Litecoin have low ratings now because Evai’s rating system is a measure of short-term sentiment and price activity, not a measure of long-term project quality. However, the team has plans to introduce a new Index feature as part of the EvaiPro upgrades coming soon.
The 9 Power Factors
The rating system is based on 9 power factors that Evai uses to generate its unbiased ratings. These factors are:
- Behavioral Bias
- Market Risk
And each of these factors has supporting indicators that tell the Evai model how to form the rating. When we click on Volatility, we see there are 2 main indicators: Sharpe Ratio and Sortino Ratio.
Moreover, the explanations show that the Sharpe ratio, which is used in the stock market too, measures return on assets compared to ‘risk-free’ assets. The Sortino Ratio also measures risk but in a slightly different way to see if the volatility of the asset is working in our favor or not.
Moreover, all 9 factors show the indicators they use and many of them will be familiar to you if you trade like Moving Averages or RSI. It’s really easy to analyze a crypto asset on Evai.io using these indicators. And again, with the bias taken out.
Using Evai to Make Money
How do we make money with it? Let’s check out a couple of different ways. Therefore, Evai shows us how some past forecasts led to huge short-term moves in crypto projects.
For example, in April, the Blockchain app platform Lisk saw its rating increase from B3 to B1. And in the next 28 hours, Lisk jumped up 41% to over $3. That’s a sweet return for only 2 days in the trade.
Another example is the biggest of meme coins, DOGE. Also in April, they moved from C1 to B1. A big rating increase. And that forecasted a 34% move in just 32 hours. So, short-term trading based on changes in ratings could be a good strategy, or at least it’s one more tool for your trading toolbox.
It’s also useful keeping an eye on the rating downgrades as the platform recently gave an early indication of the LUNA price crash. You can find out more about it on the Altcoin Buzz blog.
Evai helps us out, even more, when you register and create a FREE account. Then you get access to Rating Notifications and can also create watchlists and create customized dashboards using available indicators to assess your favorite cryptos.
Note: The current notifications tell you when a change in rating has occurred. Today, Energo (TSL) made a big jump from C2 to B1 in the ratings. ETH moved up from a D to a C2. And you can set up custom alerts to get notifications by rating or by the project. These come with the Pro account.
Besides price, volume is thought to be one of the key indicators widely utilised by traders when making or validating trading/investment decisions!🧠
— Evai.io (@evai_io) May 26, 2022
Moreover, with the launch of EvaiPro, some of the current services will remain free, while others including the notifications and exclusive indicators will be part of the premium package. And it’s easy to keep up with what’s new at Evai in their Telegram group. More features come online fast and the mobile app is launching soon too.
The EV Token
Evai has a token EV, which is on the Binance Smart Chain and available on PancakeSwap. In fact, the easiest way to get started with Evai is to:
- Go to the platform.
- Buy the EV token.
From Q3 2022 onwards the EV token will unlock discounted fees and benefits linked to the EvaiPro service. That’s one use of the token. It also allows you to share in protocol revenue too as 1% of all fees are shared (including when buying and selling EV) with token holders. So there’s some utility there.
Purchase $EV to avail of these unique benefits:
✅1% reflection on all $EV buys/sales
✅Evai Active Portfolio – discounted fees
✅Evai Ratings Platform – discounted access to advanced features
#Crypto #CryptoCurrency #CryptoTrading #Altcoins #BSCGems #100xGems #SafePal #AI pic.twitter.com/K6fhS3gwrb
— Evai.io (@evai_io) May 27, 2022
They have also implemented a unique revenue model where the token carries a 5% “tax” on transactions and that 5% is split equally 5 ways (1% each):
- Sent to Liquidity Pools
- Sent to all EV holders
This means every transaction has token holders earning (#5), supply shrinking (#4), and an increase in liquidity to prevent a liquidity crunch event like what happened with UST (#3). All these things are healthy for Evai, the EV token, and token holders.
Other details on the token include:
- Maximum supply: 1 billion
- Total supply: 800 million
- Circulating supply: 8.37 million
- 40% of tokens are directly available to the public but 45% are kept in Foundational Reserve. That’s a high percentage kept in reserve meaning there’s a chance more tokens could be made available to the public through more token sales later. Per the lite paper, most of this reserve (35%) will be used for further Development of Evai.
And that’s our look at unbiased, machine learning, and AI-based crypto rating platform Evai. The team has excellent research credentials and is public. Over the last year, they have built up a proven track record for the ratings which clearly demonstrates the predictive capabilities of the model.
We’ve seen how the rating system works, the 9 power factors they use, and some of the underlying indicators they measure, which include some well-known ones like moving averages. We then explored the platform and identified ways it can be used to generate profits by using the rating upgrade and downgrade data and notifications.
And lastly, we covered the token, which is another way to get exposure if you like the project and they have plenty of exciting releases planned for this year on their roadmap including their AI-driven active fund and app launch.
Evai is a first mover in combining world-renowned research with AI and Machine Learning to give us unbiased ratings that remove human bias. With the number of cryptos on the market set to rise over the next 5-10 years, this is a chance to get involved with a project that has a universal use case and appeals to a wide range of crypto audiences from beginners to day traders and institutions.
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