The Highs And Lows Of The FLik Token: $5 Million Lawsuit, Rapper T.I. Promotion And Future Roadmap
The Highs And Lows Of The FLik Token
The end of 2017 was a wonderful time for the crypto markets, unbeknownst to most, it was also the last vestige of sunshine before the dark days. During the highs of December 2017 and early 2018, people were launching coins left and right; after all they were finding investors and the growth was almost always in double digits. However, nothing lasts forever, and when the prices cooled off and the inevitable crash followed there were many coins that left their investors in a lurch. One such token was FLik.
Once the values tumbled, people started to do the due diligence that should have been done at the start of the investment process. It was found that the ERC20 token was founded by the US rapper, Clifford Joseph Harris, commonly known as T.I and T.I.P and his business and music partner, Ryan Felton.
When the project was first announced, the promoters had made big promises; at one time boasting that the coin would see its value raise to $15 in 15 months, a 2000 percent increase. There were also allusions to other people like screen personality, Kevin Hart and billionaire investor Mark Cuban being on-board this project. This excited the market and money poured in.
However, it was soon discovered that all this was untrue. To complicate matters, when the prices began to fall, both tried to disassociate themselves from the crypto. Felton then formed another company, he claims, to “acquire” FLik tokens. He went on to claim he had nothing to do with the price dump and that the problem was that T.I.P has distributed a whole heap of coins to his friends and family who had started selling when the prices fell.
Whether true or not, investors were hardly convinced of this explanation and claimed that this was a well-planned marketing gimmick with the sole intention of defrauding the general public off their money in a pump and dump scheme. Unsurprisingly, this lead to a multi million dollar class action in November of last year. Responding to that, T.Is lawyers submitted that they were victims of this scheme as well and laid the blame solely at Feltons feet.
While the coin has been derided as a worthless security, in the past few days the coin has seen some activity. It has been reported that the coin has seen a 173 percent hike, outperforming even the likes of Tron and Binance Coin. This should be taken with a grain of salt though. The coin only has a market cap of about $26 thousand, and had a price of about $0.000110, last week. At the time of print, the value has surged to $.00045.
It is clear that when the SEC chairman, Jay Clayton, was talking about a need for “tough love” he was looking at such coins. Today, there is a lot of awareness about the pitfalls of an initial coin offerings and there are better regulations around this type of financial instrument. The US SEC has been very strict and has been following up on these cases since last year. TI and his mates are no different and will soon get their comeuppance. One can only hope that with justice being served, it will boost the faith in the industry and help clear its sullied reputation.