CPS
22898

CPS

Ukraine, Kyiv city
Branch: Telecommunications, Trade, Blockchain, Crypto currency
The stage of the project: Prototype or product is ready

Date of last change: 01/14/2018
Min investment
$ 100.000
5
I want to invest
help_outline What happens after clicking?

For Investors the commission is not charged

After clicking, the author's contacts will be shown

Authorization is required

Total required
$ 5.000.000
Rating
equalizer 240 from 1000
help
Calculated and estimated occupancy of the project (more about ratings)
My rating
1
2
3
4
5
6
7
8
9
10
Average rating:
Also this project:
- is looking for investment

Idea

CPS is VISA FOR CRYPTO ECONOMICS, where smartphones will be used instead of bank cards, and mobile operators instead of banks.
Our mobile payments system based on blockchain and will make payments more convenient, fast and favorable.
It will reduce number of payment agents and integrate payments universes according to the simple formula:
CPS = VALUE from traditional payment system (fiat payments, performance)
+ ADVANTAGEs of new technology (lower fees, cardless payments)
– COMPLEXITY of using cryptocurrency (no valatility, no need to own crypto, no barriers to become CPS client)

Current Status

We have already developed MVP, which allows Customers make payments through web-widget and track their transactions using web-wallet. For Merchats - get a consolidated information in their personal area.
MVP includes:
- Core Blockchain network on Hyperledger Fabric v1.0,
- Set of web-services for connect Telcos an Merchants
- Blockchain explorer for track payment transactions
- Web UI for Merchants and Customer with authorisation mechanism and personal area
- Simple solution for transactions confirmation

We still have not launched business operations, but we are preparing to launch our business:
- We’ve verified our business model, communicating with Merchants, Operators and Customers
- We’ve got feedback from expert community by participating in Blockchain exhibitions
- We’ve been finalists in start-up battles in Russia, Ukraine and Kazakhstan, what helped us to enhance network
- We’ve prepared document packs for different audiences
- We are developing channels with our community: Facebook, Telegram, Twitter, BitcoinTalk
- We are discussing project pilot with all major mobile operators in CIS
- We’ve launched Partner program to streamline our bus dev with Mobile Operators, who starts working in South Africa, Singapore and USA.

We hope all above will let us launch a pilot in H1 2018 and then streamline and scale our operations!

Market

Global market overview:
Global e-commerce market size in 2015 was USD 1.5 trillion and is expected to rise to USD 4 trillion in 2020. At the same time, card purchase volume is about 20 trln USD in 2015 and will increase to 55 trln USD in 2025. Global payment revenue was USD 1.5 trillion in 2015 and should reach more than 2 trillion in 2020.
According to Boston Consulting Group and Statista payment industry is about to experience a huge shift towards mobile payments:
• Mobile share of total ecommerce is expected to increase to 48,5% of total e-commerce by 2020 from 23.6% in 2015.
• Proximity (contactless) payment is jumped from near 0 in 2013 to 100 bln in 2016 and expected to reach 800 bln in 2021
• Merchant mobile payment acceptance network will grow 10X by 2020.
Please find more details in "White papar" chapter 4.

Problem or Opportunity

Problem: expensive Merchant acquiring fees, comission for accepting card payments.
- Around 30% OF MERCHANT’S PROFIT CUT BY TRANSACTION FEES: They have to pay 1,5 to 4% to banks, VISA, MasterCard and payment aggregators
- CUSTOMERS THINK CASH PAYMENTS ARE OUTDATED: Apple Pay proved convenience of payments with phone. And you can almost forget about puffy wallets full of cash and bank cards
- TELCO's ARE IN STAGNATION and looking for a way to increase revenue from MFS (Mobile Financial Service)

Please find more details in "White papar" chapter 2.

Solution (product or service)

CPS could disrupt payment industry and dramatically change a way how are we dealing with our financial institutions and mobile operators. Moreover CPS will benefit all related parties.

BENEFITS FOR MERCHANT: GROW YOUR MARGIN
• 1 % TRANSACTION FEE. Times cheaper than current rates. No token volatility risks and conversion fees, existing in current cryptocurrency based payments
• NEW CUSTOMERS. Every smartphone owner is your client
• INCREASE ARA. Increase average receipt amount by offering micro-loans to the customer

BENEFITS FOR CUSTOMER: ALL FINANCIAL SERVICES IN YOUR PHONE
• EASY. Pay for anything; transfer money locally and abroad, same with cryptocurrency; deposits and loans
• FAVORABLY. Use micro loans for immediate payments. Deposit money and receive earnings
• INNOVATIVE. Participate in crowdfunding with cryptocurrency to fund merchants

BENEFITS FOR TELCO: TRANSFORM INTO CRYPTOBANK
CPS will help mobile operators not to become Nokia, Yahoo or Polaroid, thrown out of the market CPS together with Operators will open new era in telecommunications: era of easy financial services. CPS will open the gate into the market 20 times larger than telecommunications. Operator will get chance to transform from stagnating connectivity providers into the leader in new financial markets.

Please find more details in "White papar" chapter 3.

Competitors

We are competing with well-known traditional payment system such as Visa, Mastercard, Paypal and new generation of payment providers working with cryptocurrency such as BitPay, Monetha, UTtust. It is one of the markets with high probability to be disrupted in nearest future, so Blockchain projects in this area very interesting for investors and for example Monetha and UTrust raised 20-30 mln USD on their ICOs despite of very limited audience for their potential services.

Advantages or differentiators


Traditional payment solutions have enormous merchant fees and suffered from a high rate of fraud, with credit card chargebacks being a major pain for merchants. On the other hand solutions in crypto payments were lacking in their ability to provide Buyers payments in traditional fiat currency, what decrease potential market to few millions on cryptocurrency holders and couldn’t be considered for most Merchants as tangible target audience. More details about competitive analysis you could find in chapter 6 "Platform Market fit" of White Paper.
Please find more details in "White papar" chapter 6.

Finance

Please find detailed P&L here:
https://drive.google.com/open?id=14eG6jqK4gnxCQDu7rHqv_zfoxoV9w5h6

Business model

We identified different revenue sources depending on project timeline:
• Short term revenue source is commission paid by Merchants for acquiring service.
• In the mid-term we will launch CPS Finance products and add revenue stream from Microloans (interest rate paid by Customer).
• In the long term, when we will reach sufficient customer base we could run CPS B2B products such as Marketplace, Advertising and Application and establish new revenue source from Corporate Clients who would like to reach our base.

Money will be spent on

- We are self-funded until pilot launch with first Operator.
- Then We will need external funding for ICO campaign.
- Raised funding during ICO let early investors exit and will provide project with funding on scaling operations

Offer for investor

We are looking for partnership in following areas:
- Participating to ICO campaign funding
- Business development with telcos
- Regional partenrs, who will operate on local markets
Detailed proposal will be send by request.

Risks

- Mobile carriers would be reactive and will loose posibiliy to beign leaders in MFS
- Goverments will resist crypto adoption
- Huge competitors like VISA will protect their markets by acquisition of yuong players

Won the competition and other awards

Startup Battle #97, Kharkiv, Ukraine, 3rd place
Startup Battle #100, Almati, Kazakhstan, 3rd place
Startup Battle #102, Saint Petersburg, Russia, 3rd place

Photos

Videos

Website address

arrow_back
EN
more_horiz
close
visibility1355
star0
Add to favorites
Delete from favorites
share
close
thumb_up2
Like
Unlike
Idea
Current Status
Market
Problem or Opportunity
Solution (product or service)
Competitors
Advantages or differentiators
Finance
Invested in previous rounds, $
Business model
Money will be spent on
Offer for investor
Team or Management
Mentors & Advisors
Lead investor
Risks
Incubation/Acceleration programs accomplishment
Won the competition and other awards
Invention/Patent
Presentation
Photos
Videos
Website address
 
I want to invest