Power Ledger Takes Heat For Incentivizing Malicious Reprobate Bounty Hunters
One of the biggest name in Australia’s blockchain ecosystem, Power Ledger, has been drawing criticism for their decision to compensate bounty hunters that have “successfully” driven the public’s interest in their project.
This is because the company utilized bounty hunters to drive interest in its bitcoin-like currency. The currency had fallen 90 percent in value over the past 12 months. Some investors may have also made exaggerated claims. This due to their need for free allocations of the currency.
Power Ledger’s chairman and co-founder, Dr. Jemma Green, said that the company couldn’t verify the designs used by their community to share their projects.
“Rewards were offered to community members to share our project with their own networks. The means by which they did so were outside of our control, and we made it clear that our core supporters who believed in the project and the future of renewable energy were the main audiences for this program,”
Peter Williams, a partner at Deloitte Consulting focusing on technology, said implementing a financial incentive, or bounty, for people to develop initial coin offerings could lead to unethical conduct.
The Power Ledger Platform is a trustless and transparent energy trading platform built to support Citizen Utilities. These are participants who generate, consume, and transact electricity energy applications. There are two tokens that run this platform: Sparkz and the Power Ledger Token (POWR).
Sparkz is a frictionless trading token that is used to buy and sell the kW/h of electricity smoothly. It is created for a specific deal, pegged to the local currency upon creation, and destroyed upon redemption for fiat or POWR. POWR is the ERC-20 utility token purchased and licensed by energy producers to fuel the Power Ledger Ecosystem, running smart contracts that broker trades, distribute power, create Sparkz, and more.
Also, Power Ledger has attracted the interest of Tesla founder Elon Musk. They have serious plans to revolutionize the retail electricity industry. Musk tests many of his prototypes, including the famed Tesla solar roof, in Australia. Nature and market needs make Australia and southeast Asia primary candidates for an energy revolution. This is what makes Power Ledger’s strategic positioning there important. The market is ready: 20% of Australian rooftops now carry solar panels.