CAR has its own team of expert rating analysts who are on CAR’s payroll. However, CAR believes that there are a lot many experts available externally, in different parts of the world, who are extremely enthusiastic about the crypto world and always stay abreast about the development. We want to tap their expertise, in addition to our own set of internal analysts, to contribute to our platform (both CARP and CBW). Therefore, CAR encourages all crypto enthusiasts to register on our platform as External Analysts (EAs or Community Analysts. An EA can provide scores for rating parameters, write articles, posts videos, podcasts etc and get benefitted.
A Business External Analyst (BA) is responsible to assess a crypto assest issuer's business risk. Generally, a BA is an SME from the same industry where a particular crypto asset issuer is operating eg. Fintech or Healthtech etc. A BA primarly provide scores and commentary for the business risk parameters, along with other rating parameters. Business risk deals with the product development stage, team structure & management, macro economic factors, competitive analysis of the product, addressable market size, product development roadmap etc.
A Legal External Analyst (LA) is responsible to assess a crypto assest and its issuer's legal risk. Generally, a LA is a lawyer or is an expert in crypto related regulations and thorough with the regulatory dynamics in the crypto market. A LA primarly provides scores and commentary for the legal risk parameters, along with other rating parameters. Legal risk focuses on the legal aspect of the crypto asset as well as the crypto asset issuer. This includes understanding the legitimacy of the business model or product being offered, vetting of company related documents, company capitalisation structure, intellectual property, the nature and legal validity of the crypto asset, regulatory framework under which the crypto asset is being offered etc.
A Technology External Analyst (TA) is responsible to assess the technology risk of the product being offered by the crypto asset issuing company. A typical TA is a blockchain developer having understanding of blockchain solution implementation. A TA provides scores and commentary for the technology risk parameters, along with other rating parameters. Technology risk generally deals with assessing the technology of the product or solution being offered, usage of blockchain, if blockchain is adding significant advantage, maturity of the technology being used, competitive technology available in the market etc. It may also include the audit of the smart contract.
A Financial External Analyst (FA) is responsible to assess a crypto assest and its issuer's financial risk. In general, a FA is from BFSI industry having extensive knowledge of financial due diligence and modelling. A FA primarly provides scores and commentary for the financial risk parameters, along with other rating parameters. Financial risk assessment includes analysisng the financial strength of the company, historical financial analysis, cash flow analysis, capital structure, ratio analysis, financial projection, usage of funds, value of the token etc.