Friday, 20 March 2015

The case of Glassfit Inc or Race Yourself and how to build a vitual World.


Back in 2013 a pitch by a company called Glassfit Inc Ltd successfully raised £120,000 on Crowdcube.

The company was developing an exercise app for Google's new interactive glasses. Their PR showed images of runners with a virtual world in front of them - a complete full vision world. Their website showed what was called a real demo with a full vision experience

Above is a picture of what you actually see with Google Glass - an image in the top right hand corner. So either driving as here or running as in the exercise app, you would do well not to crash or trip and break your neck. Just imagine if we all had this visionary experience; A&E would be the new Costa.

So what is this company selling? Despite what you can read now about them, they are selling nothing real. The web picked up on this idea and hearing that the Crowdcube pitch had been a success, promoted as it was by the Crowdcube PR mega megaphone, there was a flurry of activity. These articles are still there today, stating how Glassfit changed its name to Race Yourself, with images of a full screen virtual world exercise app. The articles talk about the founders and how they have successfully raised money on Crowdcube. They are easy to find with a google search..........

 www.finsmes.com/2013/10/race-raises-120k-equity-crowdfunding.html

www.pocket-lint.com/.../126612-glassfit-s-race-yourself-app-uses-googl...

The company, for some reason never disclosed, did not go through with its Crowdcube deal and the two 'entrepreneurs' went off to the US. They have done nothing since that we can find.

The point here is that it is so easy to create a true event on the web, even if it never took place. The Crowdcube raise is now there for eternity floating in the webether; yet it never happened. The app is still being applauded, but it never existed in the format they illustrated. In reality it was a con and one that Crowdcube investors fell for.

Given this, how can ECF platforms claim that the wisdom of the crowd filters good businesses from bad? And how can investors be expected to know what is real and what is myth?

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