IP Valuation
Traditionally, intellectual property valuation has been a complex and subjective process, relying heavily on the expertise of appraisers and the specific context of the transaction. This subjectivity creates challenges in the IP financing landscape. Lenders require a reliable method to assess the underlying value of IP and IP NFTs to make informed lending decisions. Borrowers, on the other hand, need a fair and transparent valuation system to unlock liquidity for their endeavors.
Valuation Methods on HyDRAULIC
To address these challenges, HyDRAULIC provides multiple approaches for IP valuation:
Independent Third-Party Valuations
IP owners can publish existing independent valuations from external valuation firms.
These valuations must be attested by the valuation-reporting firm directly on the platform to be recognized.
Partner Law Firm Valuation Services
HyDRAULIC has established partnerships with law firms specializing in IP valuation and consultation.
IP owners can directly engage with these firms for valuation services.
These valuations are automatically accepted on the platform, as partner firms attest to their accuracy.
Decentralized Oracle-Based Valuation
HyDRAULIC introduces a groundbreaking IP Valuation Oracle, aggregating valuations from a distributed network of independent IP lawyers and professionals.
This oracle methodology provides a verifiable, transparent, and cost-effective valuation process.
The aggregated nature of this system ensures a broader perspective, reducing reliance on a single valuation source and improving overall fairness.
AI-Driven Valuation & Risk Analysis
HyDRAULIC employs an AI and algorithmic valuation tool to refine valuation inputs from all sources. This system:
Analyzes market trends and industry data to ensure standardized pricing.
Incorporates risk assessment based on due diligence details from IP owners and businesses.
Determines risk rating and maximum loan value for loans and sales on the protocol.
This additional layer ensures that valuation data is reliable and aligned with real-world conditions.
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