Under the Radar Spotlight #1— Lympo ($LYM)
THIS IS NOT FINANCIAL ADVICE.
In our first edition of Under the Radar, we put the spotlight on a recently revamped sports NFT project called Lympo; co-developed by the powerhouse Animoca Brands.
The market sentiment for sports NFT has been exploding since the advent of NBA Top Shots by Dapper Labs (FLOW). And most recently projects such as Chiliz (CHZ) has been gaining immense traction through its successful football fan tokens. Sports NFTs are popular and will undoubtedly continue to grow as more and more big names in sports are dabbling in the space. In this report, we build the case on why we believe that LYM has the potential to follow the same trajectory as FLOW, CHZ and other recent successes in the sports NFT market.
What is Lympo?
Lympo is building a sports NFTs ecosystem including NFTs with IP rights of world-famous athletes and clubs. The ecosystem will also include custom sports characters created by various artists and sports influencers.
Originally, Lympo was a blockchain application that promoted healthy living through incentivising users to exercise and reward them in LYM tokens. It was one of the first applications at the time to be partnered with the Samsung blockchain wallet and was featured in a presentation by the VP of Samsung during Korea Blockchain Week.
In Dec 17 2020, Lympo was acquired by Animoca Brands as a strategy to further build out its ecosystem and footprint in the sports-related NFT collectible space. According to Yat Siu co-founder of Animoca Brands:
“Lympo is part of our family of companies which means that everything that is leveraged between our ecosystem, our brands, our portfolios…..will be leveraged in the LYM ecosystem in the appropriate fashion…”
What is Animoca Brands?
Animoca Brands is a leader in the field of digital entertainment, specializing in blockchain, gamification, and artificial intelligence technologies to develop and publish a broad portfolio of NFT products including the REVV token (REVV — $65 mill MC) and SAND token (SAND — $445 mill MC). Animoca Brands is a major player in the NFT space and has been an early investor of projects such as FLOW (NBA Top Shots — #1 dapp in the world), Open Sea (largest NFT marketplace in the world) and games such as Axie Infinity (AXS — $212 mill MC).
Here is an overview of the global brands & IPs under the Animoca Brands:
This impressive overview includes some of the sports-related IPs under Animoca Brands like FC Barcelona, NBA, MLB, HBL and Bundesliga.
Considering the popularity of these sports brands and IPs, LYM would have immense potential if they are able to leverage these assets as part of its ecosystem to become a household name in the sports NFT space. According to Yat Siu, this is part of the vision.
According to the LYM team, separate agreements have been made to use certain IP rights with their partners, like NBA Top Shot (FLOW). LYM will be able to use the existing Animoca-partnered IP rights (e.g. NBA) for NFT collectibles on the LYM platform.
Immediate competitors
To understand the market growth potential of LYM, we will use its direct competitors as a benchmark.
$CHZ — $4.07 billion MC
$FLOW — $1.12 billion MC
$ECOMI — $542 million MC
$LYM — $43.2 million MC
Compared to its cohorts, LYM is significantly undervalued. There are several reasons we make this assessment and have marked LYM as a high potential.
One thing to look forward to is the release of some major catalysts that will impact LYM’s valuation and growth, starting the 16th of March. We are also confident in the roadmap released by LYM and with the new team/vision/IPs, LYM has the potential to be on par with the major players in the sports NFT market.
Major catalysts — March 2021
The LYM team is scheduled to release major catalysts starting the 16th of March.
- AMA: 16th of March with Yat Siu, Chairman and Co-founder of Animoca Brands (6pm EET time)
- Litepaper release (March)
- New website launch (March)
- LMT token sale: 19th of March
One can speculate that the new website and litepaper will be launched in conjunction with the LMT token sale on the 19th of March.
LYM Roadmap
According to a recent press release on LYM by Animoca Brand (March 11th):
“The Lympo NFT ecosystem will be developed in two stages. In the first digital collectibles stage, various NFTs of world-famous athletes, clubs, influencers, and enthusiasts will be issued according to a set plan defining the supply of various levels of NFTs ranging from more common to extra rare cards.”
World famous athletes, clubs, influencers, and enthusiast will be issued as NFTs on the LYM platform. FC Barcelona and FC Bayern are some potential examples of clubs which could be issued as NFTs via the LYM platform due to their existing partnership with Amioca. Next to that, Lympo is currently also in the process of onboarding world famous athletes across multiple major sports leagues into their NFT roster (NBA, MLB, HBL, Boxing, Tennis, etc). As seen in the past, partnering with a popular sports club or athlete can propel sports NFTs to new heights. For LYM, a partnership like this seems likely.
“In the second content and media development stage, various activities will be launched including games using LMT as the main utility token and in-game currency. These games will implement a Play-to-Earn model. Players will be able to utilize their Lympo digital sports collectible cards to create and upgrade their sports hero characters, and then form teams, play against other players, and win tournaments, earning rewards with real-world value.”
The implication is that there will be an ecosystem of games using LMT as the main utility token. Animoca Brand has a very strong track record of building utility tokens e.g. SAND ($350 mill MC), REVV ($65 mill MC) and we believe that LMT has the potential to become the biggest utility token in their entire ecosystem.
LYM vs. LMT token
Lympo currently offers the LYM token on exchanges, but will soon also launch the LMT utility token.
“The new LMT token will give its holders access to NFTs in various staking pools and will be offered starting Friday, 19 March 2021. The only way to obtain LMT tokens during the offering is to exchange them for the existing LYM tokens. The LMT/LYM token exchange will take place at a predefined rate to be announced soon.”
According to the LYM team, the LYM token will be the currency of the platform and LMT is strictly used as the utility token to purchase NFTs. In other terms, LYM will be the main token circulating in exchanges and the only way to acquire LMT is through buying LYM on the various exchanges available (Kucoin, Uniswap, Huobi). LMT will initially be launching as an ERC-20 token but later bridged to the Binance Smart Chain (BSC).
More information on the relationship between LYM & LMT will likely be answered in the upcoming litepaper and AMA on the 16th of March.
Conclusion
Animoca Brand has a grand vision of producing an ecosystem of games which leverages all of their sports IPs in the form of sports NFT collectibles in the LYM platform. With the success of SAND, REVV and TOWER, we believe the Animoca/Lympo team has all the right resources to build major traction for the LYM platform. With many catalysts up ahead this month (March 2021) coupled with the general market sentiment of sports NFTs, we believe there is strong upside potential for the LYM project.
Additional Links:
Website: https://lympo.com/
Telegram: https://t.me/lympo
Acquisition announcement: https://www.animocabrands.com/acquire-lympo
Latest update: https://www.animocabrands.com/lmt-to-launch-on-bsc
