Snowy August Capital
Primer on Frictional Quantum, Fall 2017

By Monique Seifullin & Michael Onghai, CFA

Initial Coin Offerings, blockchain technology, smart contracts, cryptocurrency...are some of the latest components in creating new foundations and ways to fund and transact in global economic and social systems. They have hit business and investment communities like a wave and can deliver something great to society. But is getting in on blockchain technology and ICOs the right choice for you? And if you’re considering it, how do you go about evaluating a company's ICO or blockchain effort?

Snowy August has developed a proprietary measurement called Frictional Quantum™ that supports analyzing and comparative indexing of ICOs and blockchain technology and their associated tokens, whether they're a coin/cryptocurrency like Bitcoin, a utility token to purchase service units or a tokenized security that’s purchasing business shares.

Frictional Quantum™:

What is Frictional Quantum? It is a proprietary measurement process to assess transactional friction. Transactional friction is the direct and indirect cost associated with network transactions. How effectively are things streamlined and cost, time and effort minimized by intermediary removal in the peer-to-peer collaborative network structure? How easy is it to buy, use, or sell the token? Answering these and other key questions can be vital in assessing a prospective ICO or blockchain technology effort. Snowy August's Frictional QuantumTM measurement can help evaluate platform transactional friction and applies topics from Finance PhD, MBA and CFA curriculums.

Postulated Frictional Quantum (PFQ), the preliminary Frictional Quantum level that applies to early-stage companies still requiring time to scale, etc. have been created for the following companies:

Interested in having Snowy August apply Frictional Quantum™ to an ICO or blockchain project? Contact us here.