EdenChain Initial Coin Offering Token Sale Distribution Gets Blotched in Wild Fiasco
Eden Coin ICO FUDges Token Distribution
EdenChain, a service targeting Korean customers for companies looking to start ICOs of their own, features an ICO that has had a tumultuous experience lately. Less than 24 hours ago, the community’s token price sank. Even though the coin’s value was not high to begin with, the decline has still managed to send many into a flurry.
Ever since its peak value, the coin has wobbled around $0.05 and then diminished to around $0.03 and $0.04. According to various sources, the coin’s price slump can be attributed to an increase of 15% of tokens by 150 million EDN.
The EdenChain team explained:
“The 15% (150,000,000 EDNs) strategic partners allocation was used to bring on board several strategic partners including exchanges and consultants who have helped make EdenChain a success! These strategic partners have been helping EdenChain to make new connections with high-quality startups who might be keen to leverage on blockchain technology to accelerate their growth.”
Some of the blockchain community inferred that such a statement was the platform’s strategy to dump the token by artificial inflation by giving away the newly generated 150 million EDN to the ICO’s partners. As a result, some investors began to panic. In response, the channel corrected the record by adding that the new tokens were already disclosed before the Initial Coin Offering. The channel stated:
“What they didn’t disclose was that this 150M was going to be sold in addition to the 400M tokens (that were originally in circulation). So basically they confirmed they raised more than $2M hard cap.”
EdenChain responded by planning to schedule an “Ask Me Anything” session with James Ahn, the ICO’s CEO: In view of the recent misunderstanding regarding EdenChain regarding [sic’] circulating supply, we would be hosting an AMA with James Ahn, CEO [of] EdenChain to clarify the questions and doubts that you may have.
At this point, it will be interesting to see how the discussion progressions on the AMA session.