Community AMA September 2019
This is a transcript of the AMA with V-ID’s co-founders Marnix and Pim and Business Developer and overall MVP Joshua, hosted in the unofficial V-ID Telegram Group by admin Aintha on September 11 2019. A quick 2 minute introduction to V-ID and the token VIDT can be found on about.v-id.org/welcome.
How many clients are working currently with V-ID? How many of them are using VIDT at this point? I see in the website 16 clients but I heard somewhere the real number was higher but some of them didn’t want to be disclosed. Also… Is there any estimation about roughly how many clients you are hoping to onboard in the next few months?
We have 32 clients at the moment. We are constantly developing business with new prospects that will hopefully turn into clients. The timeframe for this process is hard to predict. Each of those organisations we talk to have their own schedules and decision making flows. Most of the time it takes longer with larger companies, several months, but with smaller companies it can be within days.
Can you envision V-ID being used for things like real estate and proof of ownership (perhaps eventually replacing the need for a notary or middleman) on a small business/individual customer scale? What are the barriers to achieving this?
In a practical sense, using our validation for digital legal documents can make the traditional process more efficient. For instance, a notary would not need to store printed documents in a safe, editing content, like ownership, could work like the notary simply editing a Word file and validate it again as a new version.
The digital legal documents could be freely copied and distributed to relevant parties, without having to worry about the authenticity of its content. A recipient can verify this on any device with a browser in 5 seconds.
One of the most exciting part of the Roadmap is how you trying to establish a standard to onboard GDPR (data protection system in Europe) into blockchain solutions. Is there any progress on the project? Could you give us a brief explanation what this could mean for V-ID?
In light of our world’s ongoing digitalisation, our mission is to eliminate fraud so people can focus on innovation. Helping to establish a GDPR standard is good for this mission and helps to familiarize government decision makers with the strengths of blockchain in general. For V-ID, it strengthens our position as a thought leader in digital authenticity protection, which indirectly helps our business.
Technically, the process is completed, though it lacks a legal framework which will take a longer breath…
I think the dashboard is great and I love the transparency of this project. Tx numbers and VIDT used are great to understand the usage of the token — but if token price increases then VIDT used will go down as less VIDT will be needed per validation. Is there any chance we add on dashboard ‘Number of documents validated’?
Nice suggestion! I have sent the request to add the number of files to our devs.. We will not be publishing revenue in the dashboard as this could give us a disadvantage as it could be traced to individual clients by people smarter than us ; )
Does — or should — the dynamic fee, or real time market price, update in real time on the dashboard?
Though it does not refresh on screen, the dynamic fee is calculated in real time.
New clients appeared to be added on the first working day of this month. Will that always be the case or was that a coincidence?
As a monthly subscription fee applies, all client subscriptions start on the first day of a month, though it does not mean they instantly start using the service in many cases.
Why do some wallets not get filled/re-filled from the main wallet, and appear to be restocked through an intermediary wallet instead?
The Main Wallet is a cold wallet. A hot wallet was used to provide a fast refill.
As a Dutch company you have many clients coming from that area. What are the plans to expand to different markets like America or Asia? Are you planning to expand new offices around the world? What can you hint us about your business growth plan?
We aim for both high marketing value ‘big name’ companies and high validation count companies. It is not always what you would expect as a ‘small name’ client could well be our most active validator.
We are always looking for opportunities throughout the whole world.
We have had an increase in American companies interested in partnerships! So who knows!
How many full time team members work at the moment on V-ID? Are you planning to expand your core members and hire new people in the near future?
You can find all the team members on our website. We are always looking to expand our company.
As we streamline our onboarding and expand our pioneering client base, a solid base is created to be able to effectively scale up, mostly in salesforce. Currently time is more of a factor as onboarding new clients is a process of patience, we are able to balance our efforts with the current team.
Can we have some more details on IBMs and V-IDs IoE partnership? What part does V-ID play in that infrastructure?
The Internet of Environments development is aimed at enabling decision makers, whether in government or housing associations or any other organisation with a large social impact, to make better informed decisions, based on data that is as accurate and independent/unbiased as possible. V-ID plays a major role in this, where the Validation and Verification API secures the authenticity of the data from the raw sensor data to the app that suggests actionable insights.
The longer term vision is to cover The Netherlands with enough sensors that provide unprecedented amounts of precise data. IBM is eager to connect Watson to all this, so with machine learning and enough data, you can start seeing patterns in air quality and make predictions. The sensor grid would also function as an early warning system when something causes a peak in one of the values. You obviously need measurements from lots of sensors that measure all kinds of things like microdust, temperature and such.
Yesterday, we were at IBM, where one of the engineers mentioned Weather Underground, which enables anyone to connect their weather station to contribute to the data set. In that light, we are in contact with sensor suppliers, who are able to provide cost effective sensors with, that would have a Pi connected running the scripts to gather and normalise the data, and run the V-ID API.
What feedback have you had from your current customers ?
Mostly they are amazed by how easy it works. They love that they can explain V-ID and the validation on blockchains to others, even when they aren’t experts in blockchain themselves.
Some see it as a way to be innovative and prepared and show the public that they do not shy away from new technologies. Others, like AmSpec for instance, have an immediate costly problem that they are solving with V-ID.
Is VIDT still on track to be on a top exchange by Q3 (before sept 30, 2019)?
Yes, though we do not control the exact date on which the exchange will start accepting deposits.
Recently a strategic partnership was announced between V-ID and MoonRock Capital, an advisory and investment partnership created by the founders of Blockfyre and TheDailyChain. Can we expect a marketing campaign in the future? Does V-ID have plans to expand advertising to different media platforms?
Yes, Moonrock Capital helps us to reach a larger and more diverse audience, but also represents us in several negotiations, connects us with possible investors and advises us in crypto related campaigns.
The verification portals on client websites are a genius way to market your services. I noticed that Airbus and Khrone do not have validation portals on their websites; is there a push to add verification portals on their websites? Is it because it is an internal service? Do their clients have access to the portal through a client account?
The embedded Verification Terminals are indeed a great face for us to other companies, but it does not always make sense to have one. For Airbus Defence & Space and Krohne, V-ID is part of a larger internal process, which is why no public Verification Terminal is needed.
Revenue is one of the bestselling points of this project; will V-ID be posting an earnings report in the future?
For the time being we will not make our figures public, but we can state that we invest almost all our revenue in the growth of our company. FYI our runway has been extended to 2 years from now.
We will not be publishing revenue in the dashboard as this could give us a disadvantage as it could be traced to individual clients by people smarter than us which could lead to info that our client do not want to see public
How does client onboarding work? Is it done in batches? Why? Does this mean there are potentially clients ready to go live?
No, though typically new clients would be onboarded on the first of the month, it does not mean they actually start using the service on that day. Client wallets are prepared in batches to be efficient about it. Creating a client wallet is not complicated but it is time consuming to provide the best possible security level.
If I own 100k VIDT and then transform them into VIDS, how many percent of the company can I pretend to own?
Our plans for this are not finalised yet, and very much depend on external factors, like (future) legislation, our business progress and valuation, so I can not give you a number. The intend is to give people the opportunity to benefit from our success as a business in a more traditional way. At the same time, we want VIDT to be as widely and easily available as possible. The regulations to do this are not in place yet, which currently makes crypto exchanges, especially ones with US based traders, very cautious at least.
Do you know what the plans are once growth really picks up? Like it would overwhelm the current chains if we 10x our activity.
Though we suffer from erratic and sometimes excessive transaction fees, for us this is a problem that can be solved by simply ‘throwing money at it’.. furthermore we have the option to batch files and these tools combined would not present us with a ‘roof’ within any given timeframe.
I’m just trying to really get what is the added value to use V-ID with it’s subscription model instead of having a more decentralised one. The KYC process?
Yes, we think KYC is crucial for timestamping & validating digital documents. If anyone could claim to be the publisher of any document the process would be pointless. (Like me claiming the Mona Lisa as my original work) Furthermore V-ID facilitates the full validating (stamping) & verifying (checking) service. This is why companies choose V-ID, often their first experience with the benefits of blockchain technology.
Will new clients always get a new wallet address? Or is it possible for an established client to continue validating from a brand new address?
New clients will always get one or more new wallet addresses. If an established client has a new use case we sometimes choose to appoint an extra wallet.
How will you be keeping up with technology and future competitors? Are you prepared for copycat companies to try to steal your success and offer a similar service?
I definitely expect more competition in the future, simply because I think we have a great idea to improve fraud protection in so many use cases and there is a large market to be tapped. There is, however, so much to improve all over the world in almost every sector, while digitalisation is still increasing, that I think we have a successful future ahead of us.
Next to being first mover, we are also working to establish ourselves as thought leader, with the help of partners who already are thought leaders in their own sector, like our partner CMS, which is the second largest legal company in the world. Our collaboration with IBM, and our great relationship with oil & gas inspection giant AmSpec will help us with this as well.
As we all know “Dynamic fee” applies when price per token is lower than on 1st of the Month (when “Minimum fee” is set) because then you need more VIDT per validation to reach that 1,24$. But what happen if price goes 50% higher than 1st of the Month basically the clients would be paying 50% more expensive for the same service as still we would apply the “Minimum fee” but the real VIDT needed to reach 1,24$ would be 50% less. 1st of June price per token was 0,06$ and 30th of June price was 0,55$…. If this repeats again our clients would be paying 1000% more expensive for the same service as “Minimum fee” applies. I understand this is on benefit of investors and I love that, but at the same time…Don’t you see this as a potential issue with our clients in the future?
Most clients pay a dynamic VIDT fee as this represents a fixed fiat fee. Price fluctuations of the token never change the price of a validation for them.. the minimum fee is applied to validations by these clients protect our token investors.
A small amount of clients opted for the minimum fee which in effect would mean they anticipate a price increase and wish to hedge against it by paying for the tokens in advance. It is also possible for clients to market buy tokens, these can be used and deposited, though never be sold again after they are used for validations. As you could consider this quite speculative, most corporates do not consider it (yet). The consumer app can optionally be used with market bought VIDT.
Is there any truth to the statement posted below? If not, I as an investor in your project, would greatly appreciate if you could clear up the possible misinformation being spread around.
“All verifications are free on all subscription plans. One hundred validations are free for clients even on the $55 option. One validation is worth less than 55 cents, once you factor in profit margin and everything else the subscription offers to clients. Keep in mind, one validation costs at least 5 tokens. When you do the math, it’s around 11 cents.
Tokens are divisible, except no reason why it would be necessary. There’s a huge supply and it’s a Chuck E Cheese token. V-ID could print eight trillion tokens out of thin air. It has no utility outside of the V-ID API. V-ID doesn’t give a shit about the price, as they’re paid in FIAT. V-ID makes majority of its revenue from subscription plans, servicing, and on-site training.
Token not needed. There is no staking and there is no reason to hold VIDT. Token is useless without a subscription plan.”
As the most of you already know.. the team really cares, the investors care, the main investors own both tokens and equity, enough reason for the company to act accordingly.
For new customers, the first 100 ever are free … not every month! Furthermore we cannot ‘print’ more VIDT tokens as there is a max supply that will only decrease.
The Token is not needed ‘question’, wow, I thought we were way beyond that but here we go again ; )
Client wallets serve as the KYC
After the KYC process, V-ID issues a client wallet for the respective customer. Each transaction from that wallet stands for the validation of a file from that identified customer. The token transactions are key to the identification and confirmation of the identity of the publishing party. A VIDT transaction is made which records all necessary details (filetype, validation location, timestamp, identity) every time an organization validates a file. The VIDT token used in the transaction will be deducted from the validating organization’s wallet.
Ease of use is key for adoption
The process must be as accessible as possible in order for the V-ID platform, and blockchain technology as a whole, to be adopted broadly by businesses. Because the V-ID platform is accessible through an API or the simple drag-and-drop interface our customers do not need to understand the technicalities of blockchain and how to handle multiple wallets, make transactions, understand gas pricing and transaction rates, etc..
Validations can be recorded in several different blockchain at the time like Ethereum, LTO Network, DigiByte and Bitcoin. The V-ID token allows V-ID to control the prices for validations in VIDT, to enable V-ID to compensate for the constant fluctuations of exchange rates and transaction fees that come with the different blockchains that are used.
Because V-ID uses a token, all transactions are public and traceable, providing transparency to our clients & investors.
It’s simply efficient as both the transaction validation data AND payment are stored IN the V-ID smart contract. In this way we added a simple novelty feature to the Ethereum network, a fast way to search for / verify data without requiring a transaction. All Ethereum full nodes (including ours) can instantly access validation data using this feature.
More on the VIDT token: https://about.v-id.org/token
Could the community be useful in any way regarding marketing, or somehow spreading the word around to potential clients/businesses that would benefit from V-ID? I know the team is busy trying to lock down clients and progressing the project. I was just playing with the idea of creative community members somehow getting word out to businesses, and somehow linking them to the team or V-ID website.
New clients come on our path in all kinds of ways, through people we get to know through other people, it is always good to look at your own situation or network. It would be great if the community would spread new AND old news like youtube videos / medium articles on channels like Twitter / Reddit / Facebook etc. Furthermore we have a vote coming up for Innovative company of the year in the Netherlands and could certainly use your help with that!
The most important thing the community can do is stay positive and enjoy their time while spreading the word!
You can vote for us here: https://www.stemvoorinnovatie.nl/v-id
If you guys are connected to businesses, decision makers etc, that would benefit greatly from using V-ID. Feel free to contact us so we can set up a meeting with these people!
We had the last days random stops in validations when basicly 5–8h no validation happened (during Europe daytime) we also looked at the eth gas price which wasn’t high. Can we assume that you did some update to the Plattform or do you have another explanation for these stops?
Not only high gas fees but also fast changing fees can cause transaction clogging for the amount of transactions we process. On monday, a large batch has been processed in a short amount of time caused by a gas fee low anough to clear the front of the queue.
Are you currently working on additional use cases that might end up in additional utility and hence increased demand of the $VIDT token?
Yes, we are still discovering new use cases for V-ID, as people approach us from sectors/businesses we are not familiar with. Often they see a new utility for the mechanism. We are also working on a big step to enable the reach of VIDT to not just grow from our own efforts.
How do you consider VIDT as a start up? As we know start ups are pretty risky
Do you depends of this ‘2 year runway’? Or your 36 clients are already enough to pay all the costing of your enterprise and so generate benefits?
V-ID, as a startup, is definitely on a great path to success. I like to think that we recently entered the vitality phase in which we are setting up all the required paths and systems to start scaling (as a scale-up) in the near future. Regarding finance, I’d like to always steer away from these kinds of questions because it can be interpreted differently in different contexts. Our goal is to grow the business so we can help prevent fraud more effectively. We love what we do, and we love working on this goal. And we will be able to thrive for at least the next 2 years.
We would like to thank the participants from our wonderful community for all the input and support for this AMA. Big shout out to Aintha for hosting it! Keep track of future AMAs and other developments by joining the unofficial V-ID Telegram Group or the official V-ID Telegram news channel!
For more AMA’s on The Daily Chain click here.
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