NOTE: This project showed up in the data sets of Clif High HIGH RISK AND POSSIBLE HIGH REWARD.
“Cloak wants to provide a more secure and private world of currency transactions”
Privacy today is perhaps more important than ever. The thundering pace of technological advancement has rapidly broadened our horizons and connected the world like never before. Thanks to Bitcoin’s introduction in 2009, cryptocurrency is steadily moving into the mainstream and we can now transfer digital currency securely across the globe in an instant, using the power of the blockchain. As cryptocurrency adoption becomes more widespread, increased regulation is inevitable. It remains to be seen what form this regulation will take, but many are concerned it may be overly draconian and designed to stifle some of the more libertarian aspects of cryptocurrency.
Due to Bitcoin’s quest for ubiquity, anonymity for users has never been a priority for the core Bitcoin developers. This has led to the emergence of a number of privacy-centric, alternative cryptocurrencies, designed with anonymity in mind.
Price at moment of writing
A. REAL LIFE VALUE OF PROJECT (70/100)
CloakCoin is a cryptocurrency designed to facilitate private, secure and untraceable decentralized transfers with Enigma. Cloak is a dual PoW/PoS (Proof of Work, Proof of Stake) coin, which is now in the Proof-of-Stake (interest bearing) stage. Enigma is CloakCoin’s private, secure and untraceable payment system, that forms the basis of future development and provides the underlying transaction system for the decentralized applications running on the CloakCoin network.
The sole purpose
Cloakcoin is to give its owners financial freedom in a simple, practical, economical and virtually instantaneous manner. However, it is not the intention of Cloak to support illegal markets, activities or elements acting outside of the law.
Real world usage
Cloack is not intended for illegal or black market activities. But we have spotted a trend. More and more privacy tokens are used in the illegal circuit. They are used to do black market transactions and for money laundering. Because of this, the value can increase tremendously. The total amount circulating in the black market is more than 4.5 trillion USD, this is a huge amount and gives lots of opportunities.
CloakCoin had four main pillars
1. The transaction speed
2. Staking coins: Earn interest of 6% per annum on staked coins
3. Its a privacy coin; transactions on this blockchain are 100% and private.
4. The project is community driven.
B. DISRUPTIVENESS OF PROJECT (60/100)
In general, privacy coins are disruptive because they give users total anonymity over transactions. That's why a lot of criminals used privacy coins to pay for criminal intended activities. CloackCoin, in particular, is not very disruptive.
C. TEAM AND ADVISORY BOARD (0/100)
We can not find any information about the team, because they want to stay anonymous. So, we can not verify their capabilities.
D. COMPETITORS (75/100)
CloackCoin has some serious competition such as: Monero, Dash, Verge, Zcash, PIVX & NAV. These projects have a higher value than CloackCoin. However, the technology of CloackCoin is a lot faster than the competitors, this gives the coin some advantage. Besides that, the supply is very low, this is a good thing for investors.
E. WHAT IS IN THE CHARTS (75/100)
Cloack is having a downward trend in the price. But this can be over because the media is giving privacy coins a lot of (negative) attention. And you know what they see, if you prohibit something, it becomes more interesting.
F. OUR OPINION
With recent mention by Clif High in an online interview we can expect some price action. The project will definitely be mentioned in a coming report of Clif this year. We give the project a low rating. But we think CloackCoin has the possibility to explode this year. Current marketcap is very low , just above 80 million USD at time of writing. We consider this projects as a high risk high reward project. As we all know, privacy coins are a hot-topic for governments and they will most probably try to ban these kind of tokens.
But remember, cryptos have a volatile nature. If you buy in to this project you can easily lose 30/ 40% USD value in just one day. If you can sit trough the volatility, then this could be something for you.