Cindicator’s main goal is to combine human intelligence with machine learning to enable better prediction models for cryptoassets and traditional financial markets. The project expands upon the current business models in the prediction market industry and aims to extend beyond the financial markets in the coming years. Cindicator raised $15 million in a token sale that ended in September 2017. The founding team has big data and machine learning experience and has previously founded multiple startups. The team expects to grow organically by collecting fees from its various products.
The Cindicator platform has three main products: a collective intelligence platform for novice traders, a professional trader platform and a notification service called Cryptometer. The collective intelligence platform allows traders to make price predictions through daily questionnaires about assets and compete for prizes. Machine learning algorithms process the questionnaire data and compare them to on-chain oracles in real-time to build complex trading strategies that can be accessed through Cindicator's other products. Cindicator's professional trader service provides users with indicators for various markets; these indicators are determined by the inputs of Cindicator's community (over 100,000 analysts) which are then fine-tuned by its artificial intelligence technology. The platform's final product is an automated bot service, named Cryptometer which provides users with real-time data to trade based on arbitrage opportunities. The bot checks the price of cryptocurrency at the five most popular exchanges and notifies its users of any trading opportunities.
In December 2019, the platform launched a quantitative cryptoasset fund, called Cindicator Capital that leverages the platform's existing data. Cindicator has stated that they hope the launch will lead to other entities launching funds atop Cindicator's hybrid intelligence platform.
The Cindicator Token, CND, has multiple uses on the platform. One can use it to access the professional trader platform or Cryptometer bot. For instance, to access the professional platform, users must stake CND at one of four different tiers (30,000 for explorer, 200,000 for trader, 700,000 for expert and an on-request amount for enterprise) while Cryptometer requires a 1 million CND stake.
The second use case for the token is to reward the analysts for accurate predictions. A questionnaire is sent out daily for analysts to answer and correct predictions get points. At the end of the month, analysts are ranked and paid proportionally to their points earned. As of 2020, payments are made in a combination of CND and ETH.
With the emergence of Cindicator Capital, a third use case emerged, The fund is mandated to pay the platform for the data and research by which it trades and these fees are paid in CND, for which Cindicator Capital sources from secondary markets.