The Fr8 Network (FR8) ICO
What is Fr8 Network?
The Fr8 Network is a decentralized blockchain platform for the logistics industry. The Fr8 team hopes to capitalize on the growth of this industry, which they say is projected to reach US$15.5 trillion by 2023.
The Fr8 team believes there are many problems in the current logistics ecosystem. Redundant data is created as items travel from person to person along the logistics chain, creating errors all the way. These errors must be reconciled, wasting time and money. While some companies have tried to connect various information systems to solve this problem, they have met with little success.
Reputational data is housed in large brokerages and cannot be obtained without paying large fees. Brokers are not incentivized to match up shippers with carriers that can handle their needs. Instead, they usually just choose the cheapest carrier. Tracking and coordination is managed through ordinary pieces of paper, creating inefficiencies. There is a high risk of fraud, and trucks often run with no cargo because of inefficiencies in the system.
The Fr8 team believes these problems can be solved through a decentralized blockchain network made especially for logistics industry stakeholders.
How does Fr8 Network work?
On the Fr8 network, users (carriers and shipper) sign up and create profiles stating their needs. The Fr8 board algorithm then uses peer reviews, data about historical performance, and other public information to match shippers up with the best carriers to suit their needs.
Once delivery is made, end-users are encouraged to leave reviews as to how satisfied they were by the speed and customer-service of the carrier. These show up as "ratings" on the network and are publicly available. Shippers themselves are also rated by carriers.
Lane-pricing data (data about the cost of particular shipments) is also maintained on the network and is publicly available. This prevents rent-seeking behavior from large brokerages.
On the Fr8 network, credit can be made available to shippers through a feature called Fr8 Factoring. In addition, there is an Fr8 Rewards program to allow truckers who use the network to get discounts on fuel, hotels, and other costs.
Early adopters of the network will earn FR8 tokens to supply data to it. This will allow the network to grow and data to accumulate on it. This will increase value of the network and eventually challenge the power of the large logistics brokerages services. As the network grows, the rewards for providing data will diminish and the data itself will provide an incentive for people to use the network.
With this combination of services, the Fr8 Network team believes it is poised to disrupt and revolutionize the logistics industry.
How is Fr8 Network unique?
The principal competitors to the Fr8 Network are large logistics brokerages like XPO Logistics, J.B. Hunt Transport Services, UPS Supply Chain Solutions, and DGL Supply Chain. However, Fr8 Network believes it can compete successfully against these services because of its transparent pricing and because of the individual autonomy it gives shippers and carriers.
Who makes up the team behind Fr8 Network?
The Fr8 Network team is made up of experts in marketing, blockchain engineering, and logistics. This includes Co-Founder and Chairman Jon Fox (Managing Partner for 2857 Capital, CEO of Lewisco Holdings), Co-Founder and CEO Sloane Brakeville (former Blockchain specialist for IBM Cloud), CIO James Ragenor (Founding Partner of Blockchain Resources Group), and CTO Ling Meng (former Product Engineer for Branch). It also includes CMO Vishal Sapra, Community Manager Shankri Balaji, Investor Relations Manager Emily Bush, Director of Engineering Barrie Glasco, Lead Engineer Yevgeniy Spector, Token Economist Michael Zargham, and Research Engineer Matt Barlin.
More details about the Fr8 Network ICO
The Fr8 Network ICO is launching in the second quarter of 2018. Investors who wish to participate will need to sign up for the whitelist. For the public, tokens will be transferable as soon as the ICO ends.
The Fr8 Network (FR8) tokens will cost US$0.15 each, to be paid in ETH equivalent. The team hopes to raise US$60 million total.
The Q2 2018 public sale will comply with the following allocation strategy:
25% will be sold to investors in the crowdsale
15% will be used for strategic partnerships throughout the world
15% will be used for platform development
10% will be given to members of the Fr8 community/ecosystem
10% will be given to the team
10% will be used for marketing
10% will be held in reserve for future needs