The “value proposition” of new tech companies often involves projecting a hologram into the future: we are going to make electric cars (Tesla – TSLA.NASDAQ); we will turn digital chit-chat into an ad platform (Twitter – TWTR.NASDAQ); let’s go destroy the taxi industry! (Uber).
Sometimes these value propositions turn into solid businesses (Tesla, Twitter).
Other times – not so much (Uber).
Leonovus (LTV.V) is a new blockchain company with an old-fashioned value proposition: we can save you money now.
For the uninitiated:
“Blockchain is a shared — and continually reconciled — database stored across a network of computers. The transactions are public and verifiable in real time. Hosted by tens of millions of computers simultaneously, the data is accessible to anyone who owns a computer. For this reason, it is impossible to hack the system.”
If that’s not be fully illuminating, here is a review of real-world blockchain applications.
Blockchain is the tech version of a Swiss Army Knife. Screwdrivers, scissors, tweezers, bottle openers, saws…it can perform a dazzling array of functions.
Leonovus’ block-chain enabled software-defined object storage solution (SDOSS) uses patented algorithms to “virtualize, transform, slice and disperse data across a network of on-premises, hybrid or multi-cloud storage nodes”.
Customers can benefit from an immediate payback as Leonovus activates and manages idle storage resources, which can be up to 30% of storage in most IT organizations. Pricing options are simple and flat for the Leonovus IaaS deployment.
According to a Bain and Co. research report the “Global Cloud IT market revenue is predicted to increase from $180B in 2015 to $390B in 2020, attaining a Compound Annual Growth Rate (CAGR) of 17%.”
Leonovus Blockchain features:
- Advanced architecture can scale to thousands of storage nodes from a single installation
- Hardware and software agnostic (works with any existing system)
- Minimizes latency, optimize geo-availability, reduce remote backup costs
- Blockchain Hardened Security and Encryption
- Data on-premises, hybrid or multi-cloud.
- Bulk, backup, and archival data are retrieved at near line speeds
- Data can be retrieved at close to transactional speeds.
- Low touch encryption and ultra-secure
Data security is a big issue.
Earlier this month, medical profiles from 150,000 blood tests were leaked after an Amazon-hosted cloud service was incorrectly configured to allow public access. The information included blood test results, names, phone numbers and doctors’ diagnoses.
A few weeks earlier, the credit-score company Equifax suffered a massive data breach of its private server, making public the personal records of 143 million US residents including driver’s license numbers, email addresses and credit card numbers.
Of course, Developing blockchain software – and selling it – are two different enterprises. Leonovus is going to need collaborators to build a solid customer base.
On October 26, 2017 Leonovus announces that FlexITy Solutions is now a reseller partner.
“FlexITy is an award-winning integrator of telephony, data centre, and IT network infrastructure providing professional and managed services with certified, highly experienced IT experts. FlexITy will sell and support Leonovus 3.0 blockchain hardened enterprise software-defined storage products and services.”
“FlexITy clients want to leverage and transition to cloud data storage and gain the positive economic benefits of storing data in the cloud,” stated John Pigatsiotopoulos, FlexITy Sales VP, “The Leonovus solution removes the ‘data repatriation in the cloud concerns’ because of Leonovus’ unique block-chain enabled security and compliance technology.
“Data repatriation” describes a process where information in a public cloud is brought back into a private environment.
Last week, Leonovus announced that it has signed a proof of concept agreement with one of Canada’s ‘big six’ banks to install its blockchain-hardened Leonovus 3.0′ to help the bank developing “a multi-site data storage management fabric with complete data security, performance and compliance metrics that meet or exceed the Bank’s data governance policies”.
Leonovus now has a market cap of $102 million. The market is clearly optimistic that its storage blockchain technology will have a quick adoption in the $32 billion cloud storage market which is expected to reach $117 billion by 2022.
“We are in discussions with several other Canadian Charter I Banks and over twenty large enterprise customers,” stated Michael Gaffney, Chairman, and CEO of Leonovus, “Our unique blockchain hardened ultra-secure data storage technology is getting very positive feedback from enterprise customers, and we expect to sign more agreements before the end of the year.”
Leonovus 3.0 was built on the premise that physical and virtual security systems are vulnerable to malicious breaches. The first line of defense is physical and virtual security systems. In the case of a breach, “the Leonovus second line of defense ensures that the data isn’t usable by the hackers. The software is immediately available for deployments, and we expect sales to begin in Q4 2017.”
When you try to explain blockchain at a dinner party, you often get blank stares.
The elevator pitch often goes thud.
But it easy to explain why a corporation would want to tighten the security around its data while saving money.
Full Disclosure: Leonovus is an Equity Guru marketing client.