Over the last few months we’ve been mentioning a “secret” project to a number of associates. We’ve been researching ways to revamp our cash-flow and create businesses that don’t solely create profit for us, but also add value to the ecosystems we’re involved with. Post vetting a large number of “potential” opportunities, we’d short listed a couple things to enable us to evolve into a gaming conglomerate. During this period, we’ve also been involved in the creation of an exchange, a tipping platform, helping fellow coin devs with their projects and experimenting with a laundry list of operations to see what works best for us. Today, we’re happy to announce the brief on our new project. Freebieservers.com is expanding to E-sports with its new venture.
What is it about ?
We’re building a legal betting platform for gaming leagues. We believe Esports stands to grow substantially over the coming years and combining the power of crypto with it enables us to create cultural shifts amongst our target demographic, while ensuring profitability and scale. The new betting platform stands to do 6 million dollars a month in revenue once at scale and work within a multi-billion dollar industry with very little competition.
Are you targetting a future market / What are the profit figures like ?
Currently, most league pool sizes run into the millions of dollars with spectators easily crossing 2-3 million for major matches. In addition, smaller matches have thousands of viewers via a public stream. These are enthusiastic gamers with relatively high buying power looking for added sources of entertainment. By developing a betting platform targetted at them, we believe we can run this in the current market scenario in profit. For profit figures from an existing competitor, refer to the document shared below
What about legalities ?
Given the nature of the business, we’ll be working with a compliance officer and a legal firm to ensure the smooth functioning of the business. We’ll be avoiding a US registration and looking at offshore solutions to make the same happen.
How does your existing business position with this ? Will you quit FS ?
FS has and will continue to be the foundation stone for our growth. The reason why we believe in diversification now, is due to a repeat growth pattern we’ve seen at FS. Since we’re launching new projects aimed at gamers, FS will act as the marketing front for the new projects, thereby funneliing a larger user base for the new projects. In exchange, FS key source of revenue will be advertising spents from the other projects on FS, thereby creating a synergy that helps sustain the business.
How will a crypto benefit from this ?
Over 1.2 million USD worth items pass through betting in a single week. By having these transactions occur on the blockchain, a currency backing the project stands to see substantial volume and demand. In December 2014, we’d proven our hypothesis that gamers stand to garner interest in crypto by bringing in 10000+ Wallet sign ups for Nxt with a partnership with Mynxt.info . We believe any crypto partaking in a collaboraiton stands to see atleast a 100,000 added transactions every week and scale up from there.
Are you raising funds ?
We’re raising a total of 120 Bitcoins for the project. The money will be split between marketing and development funds. This should help us release our MVP. The time frame for delivery of the project will be 60 days post raising of funds. We’re happy to work with an escrow / Audit for the development of the project. We are trying to avoid an equity based deal due to the nature of the project, but it is an option on the table.
Business plan and other details : https://www.dropbox.com/s/vfp02mud3np625q/ExecutiveSummary.pdf?dl=0
Note : We are currently looking at Bitshares and Nxt as a potential backer for the project.