Quelling Dissent From ICX Token Investors As ICON VC Breaks The Silence On Coin Supply Increase
Quelling Dissent – ICON VC Breaks The Silence On Token Increase
Reddit is abuzz with many discussions. For the crypto world, it is about the recent increase in ICON VC’s ICX tokens. ICX investors are up in a row because they were not notified about the increase, and they do not know what this means for their investments.
A Sudden Supply Pump
ICX tokens are planned to be allocated to 5 uses according to the company’s whitepaper: fundraising, community group & strategic partners, team, advisors & early contributors, and reserve. The whitepaper also mentions that the company would at one point free up some tokens for use in community groups and strategic partners. This is a common practice among crypto startups as a percentage of payments are naturally paid in tokens.
This seems to be what happened following the recent increase in ICX’s supply. Investors woke up to the news that the development team had authorized an 18% increase in the token’s supply.
The odd thing – and the main issue of contention – about the latest development is that the development team was suspiciously silent about it. The news was broken by keen analysts who were following up on developments instead of the company itself, as it should be. What’s more, the developers still maintained their silence for some time after the uproar started.
The silence was the main issue of contention, but the whole occurrence also raised several more complaints including the recent updates on the token’s yellow paper, the company’s $5 million ICX buy-back program, and delays in development. Some investors also argued that the recent increase in ICX supply was not scheduled for in the white paper, but this can be disputed as explained earlier. The company eventually responded through Marcus, ICON VC’s partner accelerator and the project’s venture capitalist.
A Vague Response
Marcus issued a brief statement explaining the recent developments in a bid to quell the growing dissent among investors. He addressed several of the raised issues in his clarification. For instance, he assured investors that the delays in development were as a result of the company’s growing demand for full-time developers and that the gaps would be filled soon.
Interestingly, however, Marcus did not mention much about the recent increase in ICX’s supply, the main issue of contention. It is anticipated that the development team will issue a detailed statement on the issue soon.
Commendation Amidst Anger
Interestingly, ICON VC also received praise in spite of the ongoing criticism over the increase in ICX’s supply. Investors were especially keen to congratulate the company for the recent deal with mobile giant Samsung as it sets out to work on the identity management project. The company was also commended for making deals with the South Korean government to work on multiple Blockchain projects.
Interestingly still, ICX was trading at a daily high on Tuesday following the press release by Marcus. Its value is expected to go on rising as more deals are forged.
ICX investors are still in the dark about the reasons behind the company’s move to increase the token’s supply. However, the dissent is dying down following the clarification albeit many feel that more explaining is in order.