The Challenge
A cryptocurrency and fitness application built on the MultiversX blockchain engaged MAST Consult for Series A readiness consulting. The platform had a token-based reward system, a user base, and ambitions to raise institutional capital. The founding team believed they were close to Series A readiness and needed help packaging the company for investors.
What We Did
We conducted a thorough due diligence process, approaching the company as an investor would — not as an advocate, but as a critical evaluator.
We analyzed the business model structure and identified that the token reward mechanism had characteristics that resembled multi-level marketing (MLM), which would be a fundamental concern for any institutional investor.
We examined the token economics and found that the native token had experienced significant value decline, which undermined the platform's core value proposition to users.
We mapped regulatory risks across the jurisdictions where the platform operated, identifying areas where the token structure could face compliance challenges.
We also researched alternative monetization strategies — specifically in-app advertising networks for Android/iOS in the crypto and iGaming verticals — and explored CEX (centralized exchange) listing pathways, including Binance requirements.
The Outcome
We delivered a comprehensive Series A readiness assessment that was honest about the challenges. The report recommended fundamental changes to the monetization structure before approaching institutional investors. We also delivered a practical alternative: a pivot toward ad network monetization and strategic CEX listings that could generate revenue without depending on the token's price performance.
What Made This Interesting
This is the case study where we told the client things they didn't want to hear. The due diligence found structural problems that were serious enough to derail any institutional fundraising process. We documented everything honestly and recommended a fundamentally different approach. Some consulting firms would have glossed over the problems and produced optimistic materials to collect their fee. We believe the value of honest due diligence is highest precisely when the findings are uncomfortable. The client may not have loved the report, but they were far better served by honesty than by false confidence.