1. For anyone who has been looking at $Cover @CoverProtocol I’ve created a P/E valuation sheet to provide an overview of what is a fair price for $Cover based on market share - See attached image. Here’s why I’m in and what my predictions are

2. If the Yearn ecosystem passes a future proposal for $Cover to be ‘opt out’ this will give Cover an enormous market advantage and significantly increase product uptake. This is highly likely.

3. The above report is very conservative in its estimates of TVL considering this could include $Badger, $Cream, $YFI which are already well into the billions for TVL and part of the Yearn ecosystem.

4. $Cover governance will almost certainly pass a proposal ensuring future fees go to token holders and will more than likely pass a proposal to increase fees from 0.1% to 0.2%. This would result in an instant doubling of revenue.

5. There is significant possibilities for $Cover to become the first choice insurer for other excising protocols and vaults such as $RGT which are expected to explode in TVL this year.

6. At today’s prices of $1,500USD we are already well below the P/E for 0.1% at x25 of current values which would result in a fair price of $2279. This means even at this current price we are getting value and we get all the benefit of future growth, which we know will be huge.

7. Many others have spoken about the other benefits of the protocol. No KYC, flash swaps, impending proposal for PVC which will boost treasury resources over time for improved business development.

8. Importantly this team genuinely seem to care about making a difference, seem like good people and are passionate about doing something special in this emerging space. They don’t talk price and pump things unnecessarily.

9. This opportunity is immense. $Cover has the potential to be a monster in the space. Don’t be fooled by the clunky UX and “governance token only”. Big things are coming when v2 will be released in March and patience will be rewarded.

10.Based on a 25x P/E and 0.2% fees and future growth, my prediction is we will see $30,000 $Cover within 12 months (see strong possibility column in report).

11.DYOR. Not financial advice. Could go to $0. You can find the full spreadsheet here: https://docs.google.com/spreadsheets/d/18wbJTDW6dK-RXUEfk3UVrwnmBX955eTHG3h7OVNp1w0/edit?usp=sharing