‘Ethereum is Still Garbage’, Bitcoin Maximalist Refutes Hypocrisy Claims
Many Bitcoin Maxis were once again caught in an old debate involving the issuance of INX security tokens on Ethereum. It reignited on 24th August as the SEC granted effectiveness for the sale of INX Security Tokens. According to the press release,
… initial public offering (the “Offering”) of up to 130 million INX Security Tokens (the “INX Tokens” or “Tokens”). INX has set the offering price at $0.90 per Token with a minimum investment of $1,000. It is anticipated that the Offering will begin on August 25, 2020 at 10am Eastern Daylight Time.
The stakeholders of the security token include Samson Mow, Riccardo Spagni, Charlie Lee, and Jameson Lopp. These people are the thought leaders of Bitcoin maximalism. Hence, backing an ERC-20 token goes against their principle.
Nevertheless, according to Mow, it is more of a regulatory restriction that the decision of the stakeholders to continue launching the tokens on Ethereum. In reality, the US Governments’ aversion to cryptocurrency is strong, and only recently, turned positive towards Ethereum following Bitcoin. CEO of Tokensoft Inc. tweeted,
People think you can magically launch an SEC registered token on any blockchain. It took us all three years to get the SEC comfortable with Ethereum. Good luck on any other chain.
He claims to stick to his earlier stand on the limitations of Ethereum and how it is still “garbage,” with a lack of accountability and future suitability.
So What’s the INX Token?
In our previous report, Tone Vays compares INX tokens with Binance [BNB] coin, which seems quite apt but with its differences. The token will be used for profit-sharing from the exchange and provide a Cash Fund as security for users.
While currently it is issued on Ethereum, the team members aim to shift to Liquid soon. Liquid Network is one of the leading projects of Blockstream. Mow, who is the CSO of Blockstream states,
@INXLimited already joined the #LiquidNetwork. Migration is in the plans but as you should know, requires new filings and SEC approvals. It’s an IPO, they can’t just do whatever they want on a whim.
It’s a Start-up!
There is a difference when it comes to shilling tokens and building an actual company. INX is an exchange, hence, naturally, a business must involve profits and stakeholders who reap them. Co-incidentally in this case, they happen to be this popular bunch of Bitcoin maximalists, known to derate Ethereum.
While many tokens even with true virtues might fail colossally, an exchange business with regulatory compliances is a safer option than many. Adam Back, the CEO and founder of Blockstream tweeted,
…real startup stocks would look like if ever tokenized. It’s a real rarity, and hopefully, some more legit companies use the process. Needs to be faster tho 2.5 years.
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