Problem of centralization. Cindicator tokens.
At the time of the writing of this article, the Cindicator ecosystem has several working products. They are an intelligence platform in the form of a mobile app available both on iOS and Android, all kinds of signals, including signals for stocks and probabilities, and an API.
How Cindicator solves the problem of centralization of signals
For the wisdom of crowds to works, the opinions submitted by the members of an ecosystem or participants of a survey need to be truly independent. Typically, this is not what happens with financial signals today because most analysts and traders watch the same news channels and subscribe to the same data services such as Bloomberg. By the time the data hits the service, everybody gets it and everybody starts acting on a signal, which means that at this point taking action is the same as being late. Also, because all analysts get their information from the same sources and belong to the same organizations, it is very likely that an opinion of one analyst will impact an opinion of a different analyst, and so the opinions of different members of the same ecosystem are not truly independent because there is one central source that processes, stores and distributes the opinions and the data.
Cindicator solves this issue because the Cindicator platform is a decentralized platform that collects opinions from people located all over the world and then passes the opinions through its artificial intelligence layer.
Scientifically speaking, each opinion contains two types of data. They are a useful part and unique noise that is specific to the person providing the opinion. Because the Cindicator platform accumulates the data from the members and uses artificial intelligence, it is able to cut the noise and only use the part with valuable information. On the Cindicator platform, noises from various participants mutually cancel themselves. Also, when people do not discuss an issue between themselves and do not get the information from the same exact sources prior to submitting an answer, it is very likely that their answers would have minimal bias and would preserve the uniqueness of their approaches and opinions.
Cindicator tokens and motivation of members of the ecosystem
Cindicator has its own tokens. Their symbol is CND. The ecosystem needs the tokens to run the internal economy and motivate the members of the ecosystem. Unlike Bitcoin or Ethereum, the Cindicator platform has no mining and does not use proof-of-work or proof-of-stake.
When a person buys CND tokens, he or she gets exclusive access to the Cindicator infrastructure such as indicators about cryptocurrencies and traditional markets, auxiliary trading tools including Telegram and Slack bots, analytics, and market indexes.
While all of this does make Cindicator look like a typical service that provide signals, Cindicator is much more than a prediction market. Prediction markets trade predictions. Cindicator gathers predictions and runs them through artificial intelligence. In addition to signal, Cindicator platform also offers strategies, insights, algorithms, and software-as-a-service products. The main customers of the platform are not just buyers of signals, but members of the financial industry. The main goal of the Cindicator platform is to become a decentralized ecosystem that benefits all of its members. The way the technology has been developing in the society in the last several decades, it would not be an exaggeration to say that many industries at a certain point will reach full automation. It is likely that in the trading and financial industry the only resource that people will need to invest in the future is going to be the mental energy and decisions. Cindicator is looking to be the technology and the platform that will take care of everything else.
Why is Cindicator selling signals and is not simply using them during trading?
Often, people wonder why a platform such as Cindicator would not simply use the signals itself and would let others use the signals. The answer is very simple: Cindicator is not a trading company. It specializes in the creation of hybrid intelligence and in running an ecosystem based on that intelligence. Big finance and trading are completely separate niches and the creators of the company have no interest in entering these niches.
History shows that whenever there is a big profitable industry, there is also space around that industry for companies that offer supplemental services without entering the industry. Often, such companies can become and stay very profitable. One of the most famous of such companies is Bloomberg LP. In 2014, the company had revenue of $9 billion. Bloomberg LP provides a variety of tools and services, including data, analytics, and news to traders and other professionals in the finance industry.