In short ICOs are REKT… Period end of story… How did we get here? What can we do to FIX IT? I have spent the past month doing a deep dive into many different matrices of ICO prices/holdings. Along with how the ICO companies are progressing with their plans… In doing so I am left disgusted and dismayed of the pure greed and absolute fraud-ridden landscape. This makes up our current ICO space.
Many ICOs were nothing more than money grabs by greedy well-spoken liars. Leaving many REKT people behind them. Hence with the realization the downward one-way ticket to ride. Many of the ERC-20 Tokens. Along with the magic unicorn Ethereum that shat out these magic poop coins. Smart contracts? For who? Smart for the ICO teams/sellers who raised the funds maybe, but not for the investors/hodlers of the tokens.
You think they got REKT? The majority of these ICO companies will slowly sell their ETH at some point going forward and simply fold/vanish/disappear. Only a very minor few will survive the ICO apocalypse as each of them turns into the living dead… Etherum is a poisoned well of this coming ICO apocalypse IMO.
I will share with you below my thoughts findings and a solution to pull Ethereum back to shining star status. Btw if you are an anonymity nut, well phuck off this article is not for you. Privacy is one thing, but anonymity is the calling card of criminals/thieves in business/money.
The fundamental problem = NO ACCOUNTABILITY…
That is the real problem of the current ICO market, there is no accountability. Hence you have a high number of scams/shams with the ICO promoters/teams. Who’s alignment is not the same as their token holders. The path to REKT!
Sure many of the ICO teams would love to see their token value increase. They do have stakes in said tokens. They get the funds raised and the equity in the coin along with unregulated control. This allows them to exact their will on the marketplace.
I am horrified of just how many of them view their token holders as not investors. Instead rather just REKT donators. Free money for their storytelling skills. Problem is they promoted their ICOs as an investment.
–> INVESTMENT <–
Keyword here, not as a donation as the Breitmans of Tezos would like you to believe. This attitude is why many of them will end up in court and even possibly prison. These very actions are the very bedrock of what is killing Etherum and leaving the ICO marketplace REKT too.
*** PLEASE NOTE – Some viewers may find the further reading of this REKT article disturbing. Discretion advised!
At least with a handful of sh*t, you have something, with ICO tokens you don’t even have that…
Yes that is right, owning tokens in the vast majority of cases you have no equity/voting rights or anything but a token, in many cases they are not even exchange-traded as the ICO companies are often too cheap to even list them on a liquid exchanges, to add insult to injury many of these projects are not even bothering to create the product/technology they agreed to in the first place. In short, they have the money and you have their REKT empty promises. That is why in the future and as you read further along in this article is the need to tie the token to equity/rights in the ICOs, outside of the purely conceptual nature it resides in now. Let’s take Reggie Middleton, CEO of Veritaseum, he stated emphatically in his Telegram chatroom:
“One more time, buyers of our VERI tokens are not investors in Veritaseum. You have purchased our prepaid fees and expenses. This was clearly stated and outlined in the documents that you agreed upon purchasing the tokens from us.”
How many fellow CEO’s of the ICO landscape think this way!? Veri Veri scary, pun intended lol. If that is not bad enough Reggie wishes to bring back E-Gold which he now calls VE-Gold, uhmmm Reggie E-Gold was shut down by the U.S. government long ago, so you might want to rethink that! I wonder in the future how long it will be until we see him and others in court, all a ticking time bomb to me, fast track to REKT…
Many ICOs think of our investments as donations…
That is right, take for example Tezos run by a nerdy couple of puppets that were at the strings of cutthroat financiers, hence all the lawsuits vs them. But they likely will payoff the gov. Recently they tried to have the lawsuit in the U.S. dismissed on the basis of their ICO being just donations, a $232 million dollar donation lol. Sad if they get away with this as it could leave many REKT.
Then they wonder why they are being sued!? The judge denied that along with he prolly was rolling on the floor laughing in the back of the courtroom for an hour, is my bet. Yes, many companies are using the unregulated nature of the blockchain just for money grabs.
Worse is they own large amounts of ETH from their raises still that will be future supply in the market, as many of them will fold and exit the space because they really had no other intentions outside of getting paid from the HYPE that occurred in the past. Imagine how this played out.
You are an ICO and come out with a white paper/coin/team etc etc, raising a large sum of ETH of which in the past was valued much higher price points from investors = REKT, you then take those funds and resell it over time into the market back at a lower price, along with in many cases they will liquidate their own coins as well. All of this adding insult to injury with no product or completion of their stated goals. But look on the bright side! We people in the crypto space are SUPER CHARITABLE!!!
Many ICOs if they do complete their projects, produce crap, hence validating their sh*t coin status…
Augur another REKT horror story that too is in court, worse with their project, which just to get a beta of their platform out, took over 3 years!? Horrible ALPHA quality code, teenagers could have programmed.
They also figured out somewhere along the line that they could not have the predictions marketplace, because they would be sued. Now Augur markets itself as a protocol alone, great vision there!
So here again IMO we have an example again that reaks of just a money grab, and pure incompetence at that. When you have financiers backing fools just like with Tezos you get these REKT kinds of results.
Read this article on Cointrust if you want a further understanding of how sad this is, along with this article on Bitcoinhivemind and if that does not beat all, then take a look at the quality of the people involved such as Liston, one of the founders of Augur!?
This article on Business insider looks like REKT puppets of financiers to me. Worse they produced assignation markets which the president of my country is on!? Oh man, that p*sses me off and I hope the U.S. government has some words with them in the future.
Look Ma I am THE FED! I can just print more TOKENS!
Once again showing just how bizarre and corrupt the space is with no regulation and oversite to be found. Example of how corrupt the space is. We take a look at Edenchain. Who I guess took their name literally with the garden of token creation too.
Oh hold on, it gets even better, look at Envion who raised $100 million, Nioooocee! Later on Matthias Woestmann, CEO of Envion was locked out of the project by his own coders! He then created a website to accuse the other team members of creating the additional tokens.
Along with all the problems caused etc etc. Read the statement by CEO Woestmann – yet later with a court ruling, we find it was him that created the tokens instead! “REKT ENVION COLLAPSE“
WTF! REKT! After reading, you don’t think trust, you think REKT. I just get the urge to run! Ironically both groups printed the 40% amount of additional tokens. Wonder if they use the same coders? Do they not know the dilutive effects and what a bad precedent this sets!? Do they even care? How many other ICOs will just print more tokens or who knows what interesting schemes they will come up with to feed the greed. It is not like they have to answer to anybody and certainly not their investors, oops I mean REKT donators…
So how do we fix this and move forward…
Consequently I can rant all day about all of the atrocities I have seen in the REKT ICO space along with the damage I believe it will have on ETH with lingering effects out into the future.
“Vitalik Buterins biggest failure was his success… = REKT”
I myself will not be participating in ICOs in any way shape or form until they are restructured in the future to offer token holders real value. It is not hard to fix the problems, though many won’t like this, mainly because it falls in line with the government ideology.
Simply put the space needs to mature or die. These are smart contracts, let us make them really smart. Right now they are not, they are dumb to own contracts. People are no longer buying the hype of the ICO market. It is a wreck on the side of the road, of which most just gawk at in passing. 4 Fundamentals of a TBO below.
TBO = Tokenized Business Offering.
*which come with
- Equity Rights
- Voting Rights
There are a few other elements we can add here to the TBO. Four key ones are what really matter, for both the individual and government. I discussed/debated with the Kay the CEO of Spectre the past few weeks my ideas/finding of the ICO space, being he is a CEO of an ICO who I still hold in high regard, mainly because they took a dying asset class/marketplace full of corrupt players and with blockchain created a fair marketplace for its users.
He too is dismayed by the REKT space and wishes for it to correct itself in grand fashion. Why can’t it? Blockchain, if you can imagine it, you can create it, or correct it.
Thus blockchain is in its pure nature, freedom… The freedom to correct and improve with great speed even. Kay has a pedigree/history being from the FinTech space, not just some kids/random people with an idea and backing from viperous financiers. Though even with his company’s ICO raise he admitted one of the same fundamental flaws, that those who bought their tokens own nothing of the company, though that is certainly not his mindset or actions, as he holds himself accountable and acts with fiduciary responsibility, that just about everybody else in this REKT space does not.
The problem is
“We own a token.”
However no equity, No rights, just a REKT token… Which to me really sounds like more of a donation. So my mindset now is just that, and I have donated enough!
I believe in a tokenized company like Spectre, along with their vision, they hit their goals and live by their words, though they still suffer from that fundamental flaw of the ICO.
With the actions of many others who are not like Kay, I am stuck with this picture in my head of ICO CEO/Teams busy at home binge-watching Netflix and smoking a spliff, Image of Augur specifically pops in my mind lol. Many ICOs mean well and are far from a scam, the TBO structure will allow legitimate projects to succeed and eliminate poor projects from ever starting in the first place…
To end my rant…
This article has been more of a purge for me of the toxic buildup brewing for the past months, it has to be said and released from my system. Hey, I am an optimist, maybe some of these companies will produce something great that we just can’t see happening yet.
There is a good probability for this due to the sheer amounts of crypto everybody threw at them alone. Remember ICOs can be FIXED! TBOs, as I will refer to them are the way.
TBOs are not ICOs/STOs which again both are conceptual, even if the later has a few more transparencies to it, though with TBOs you can have a bit of built-in leeway, depending on the desires of the teams.
You can classify TBOs being in two tranches, one being startup TBOs that are STOs and have no traction and then TBOs that are of existing private SMEs that don’t wish to access traditional equity market channels (example being a well to do family office that wants to tokenize some of their equity = great for the space.)
We need only change our focus and look for a solution to what obviously is not working. As the space matures, we have to grow up and leave the hype/foolishness behind. Concepts/ideas alone are not good enough to be worth money. I want cold hard equity/rights and phucking accountability! Too many of these goofballs run amock because they have nobody to answer to, that has to change or else, enjoy the sh*t show. I for one will no longer be watching, time to change the channel …