Octra is based on the privacy track, with a $200 million valuation on ICO on Sonar, can it be benchmarked against Zama?

Fully homomorphic crypto (FHE) track privacy chain Octra has announced that it will launch an ICO on Sonar with a fully diluted valuation of $2 billion (FDV), selling 10% of its tokens and raising $2,000. However, there is still fierce discussion about whether its valuation and fundraising pace are sufficient to benchmark with the current track leader Zama. At the same time, Zama will also hold a token auction in January next year, and the two are competing on the same stage, and it is difficult to keep their wallets.

Sonar launches another ICO: Octra raises $20 million in $2000 in FDV

Octra announced that after experiencing a $400 pre-seed funding round by Finality Capital, Big Brain Holdings, Cogitent Ventures and Outlier Ventures, the team turned to two rounds of community-based private placements on Echo ( a total of $400 ). Its total fundraising amount is only $800.

An ICO will now be held on Sonar on December 18th, selling 10% to 20% of the token supply and raising $20 million with a $200 million FDV, using a fixed valuation and fully unlocked tokens. The specific token distribution is as follows:

18%: Early investors

15%：Octra Labs

10%：ICO

10%: ICO expansion quota ( destroyed if not used )

10%: Ecological subsidies and mobility programs

5%: Echo participants

5%: Completed Faucet airdrop

27%: Validator rewards ( unmined )

The team emphasized that 2/3 of the token supply will be allocated to the community, 1/3 to development and early investors, and no single investor holds more than 3% of the coins.

Technically, Octra founder Alex advocates that the network has completely self-developed FHE technology and claims that it can become a “programmable privacy layer” in the crypto world, supporting scenarios such as private DeFi, dark pool transactions, and AI confidential computing.

( What is fully homomorphic encryption (FHE)? How to use privacy computing to change the ecological ) of blockchain applications

Market doubts have emerged, is the 200 million FDV overvalued?

However, the market has both positive and negative voices. Crypto KOL @luyaoyuan questioned: “Octra raised $900 in the early pre-seed and multiple community rounds, selling about 20% of the tokens. Now it is selling another 10% at a valuation of $200 million, benchmarking Zama’s $10 billion valuation, why should Octra do it?”

Delphi Labs COO Kevin Simback also believes that $200 million is overvalued, especially in a market where demand is still low.

On the other hand, KOL crypto Wei Fu said softly, considering that (CEX) to be listed on centralized exchanges, projects must meet specific standards in valuation and circulating market value before they can be included in the scope, which can only be excusable.

Zama simultaneous ICO: 10% supply is a sealed Dutch auction, with a valuation of $1 billion

Last week, Zama, considered one of the leading FHE tracks, just announced that it would hold a token auction from January 12 to 15 next year, selling 10% $ZAMA supply.

Example: When the final settlement price is $4, Alice will receive all token quotas at $4 price ( excess bids will be refunded ), Bob will receive a proportional token quota with other bidders ( partial refund ), Charlie was unable to get his quota ( fully refundable ) because it was lower than the settlement price

Specifically, the auction is a “sealed Dutch auction”, where all quantity bids are encrypted and hidden from each other. The starting reserve price is valued at $5,500 FDV with no cap, 8% of the supply is sold through auction ( the full quota is ), and 2% will be sold at the final settlement price on average to investors whose bid price is equal to the settlement price ( and the token ) proportionally.

According to Zama’s $57 million Series B financing valued at $10 billion in June last year, the auction is expected to be valued in the $500 to $10 billion range.

The team emphasized that the mainnet will launch before the token auction, and the tokens will be fully unlocked by then.

ICO Showdown on the FHE Track: Octra vs. Zama, who can attract the market more?

The timing of the two projects is extremely close, and as the privacy narrative heats up again, the token battle of the FHE project has also become the focus of market attention. One is a traditional fixed-valuation ICO with a relatively cheap 200 million FDV, and the other is a sealed Dutch auction with nearly 1 billion FDV.

The author believes that given that Octra’s VC round has only one round and has turned to multiple community rounds, it may itself reveal the difficulties in venture capital financing.

In the current situation of weak liquidity and a conservative market, coin issuance may need to consider community voices rather than strong narratives, not to mention that the current FHE privacy narrative is far less popular than last year’s AI agents. Investors still need to think twice before placing bets, and it would be more ideal to focus on the leader ( non-investment advice ).

(TGE How does timing affect project development? It is ) to identify investment opportunities in value tokens from distinguishing between strong and weak TGEs

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