New and ambitious crypto projects get launched every now and then. While most ICOs fail to get any traction during their initial phase, a few projects make headlines around the world because of how quickly they garner investor attention.
Ultrain is one such project, which was launched recently from China with much fanfare. This is both surprising and refreshing given that the Chinese authorities have taken a rather dim view of cryptocurrencies and ICOs in general. With its initial investment backing of more than $200 million in raised capital so far, Ultrain already looks set to become one of the most promising Crypto Tokens of 2018.
An Improved Transaction Payment Method for Alibaba
The coin hasn’t gained so much investor confidence for nothing. Cryptonews from the east suggest that Ultrain is backed by one of the biggest online retail portals in the world, Alibaba.
Some of the early backers and developers of the coin include former employees from Alibaba Group’s security and blcockahin division. Ray Guo who was the former manager of security and data at Alibaba is part of the team along with William Li who was the head of the blockchain technical unit at the online retailer.
The Ultrain coin is designed to improve transaction speed and accuracy for businesses and users that are Alibaba. The platform has achieved 3,000 TPS which is a significant improvement on Bitcoin and Ethereum transaction rate. The developers believe that this should be enough for current transactions on the retail giant’s website. However, they intend to improve the transaction speed to 5,000 TPS which will be integrated with the AliPay system at some point. AliPay has more than 150 million active users on the network.
Ultrain Technical Analysis
The project had previously been backed by investors firms Morningside, Aplus Capital, DraperDragon and Bluerun Ventures. The most recent round of supporters include Danhua Capital, Sky9 Capital, 8 Decimal Capital, FBG Capital and Ceyuan Venture which helped the firm raise more than $20 million taking its total investment stake over $200 million.
Vincent Zhou is the founder of FBG, the development company behind the project. In a recent statement he disclosed that Ultrain platform will support a variety of large-scale businesses applications. They hope to create a consensus based mechanism that will run a developer friendly and efficient smart contract engine.
Smart contracts execute automatically and improve speed, privacy and reliability of transactions. The contracts will facilitate transactions on the Alibaba website but they are also looking beyond to target other online retailers as well.
The development team has already set up international hubs at places like New York, Munich and the Silicon Valley to expand the network globally. Their ICO and expenditure plans have been made public.
Given all the buzz surrounding the UGS token and the developers’ claims of backing by Alibaba, it does appear to be in a good place to dominate in the coming days. However, when we dug deeper into the coin and examined its whitepaper, it still appears to be in its initial development stage.
The development team consists of some big names like Ray Guo, William Li and Emma Liao and they have a detailed roadmap for the next two years.
The project was expected to open for public testing in June but we still haven’t heard anything in this regard. We believe that the model has been opened for testing by backers though. It would be difficult to provide a verdict on the soundness of the platform until it opens for the public.