German Prosecutors Consider Legal Action Against Savedroid
Wirtschafts Woche, the same German source that announced a $50 million exit scam by ICO Savedroid, is reporting prosecutors in Frankfurt are examining the “extreme advertising campaign” of the startup. After an elaborate hoax was played on its investors and the public, the company has been doing heavy damage control. According to the online news group, prosecutors have begun a “preliminary investigation.”
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https://news.bitcoin.com/german-cops-look-hard-at-antics-of-ico-savedroid-after-ghost-prank/ I'm not surprised at all with this news.
Thinking about how much stress it have brought to their investors, I wouldn't be shocked if someone would pursue deeper actions to savedroid team.
It's a clear way of fooling people (sorry, never seen it as an educating act).
Yes, agreed. I'm not so sure that they really will have to face legal actions because of their ICO-Investors. But, german law says that faking a crime is a crime. And their amateurish-educational PR-Stunt has implications beyond Crypto.
Thing is: It can't even be education because their premise is false. Their CEO states in his video that they wanted to show, quote:
"(...) how easy it could've been that even we, as a highly regulated german stock corporation, could have just run away, then exit scam with all the funds (...)" https://youtu.be/o5_bwFf_byo?t=1m20sFact is: That's a lie. There were escrows in place and also their CTO confirmed on the german thread on one of my questions that they could not have taken the money.
What have they proven? Even a big stock company, let's say Tesla, could do what they did. Imagine the Tesla Leadership leaves their offices, shuts down the site, Elon Musk makes a "funny" tweet like this Savedroid-clown, and of course: Their stock-price would crash.
No regulation could ever prevent that insane and narcissistic amateurs play with the trust of their own Investors and partners. That is what happened here and nothing else.Their useless and dishonest move involves a high risk to devaluate their own coin, but of course, that's not a problem for them. Their funds are in EURO and BTC and other Cryptocurrencies. With other words: Their stupid PR-stunt happened on the back of their Investors, their partners (Frick-Bank for example which is in anger now & their lawyer), the whole german fintech space and so on. A guy of a bank wrote an open letter and explained how bad this move was for the whole space, several Fintech-ppl wrote an open letter in which they distance themselve from Savedroid, Paymentandbanking retracted their award, the german blockchain association issued a statement in which they write:
"The German Blockchain Association Bundesblock believes the claimed PR stunt lacks any professionalism and sense of responsibility. It sheds a negative light on the whole blockchain ecosystem. It created a sense of fear and anxiety among users and investors alike. Instead of leading by example, Hakir decided to risk the collective reputation of thousands of responsible and diligent entrepreneurs in Germany and Europe, for minutes of dubious fame and potential benefits for their own. We strongly reject Savedroid’s behavior.
The Savedroid team has operated a controversial marketing campaign throughout, which ended in a truly damaging event. Savedroid AG has never been a member of our Association.
(...)"
https://www.bundesblock.de/2018/04/20/savedroid-pr-stunt-public-statement-of-bundesblock/
And the "super-fun-fact": If they should get away with this it would only be because of what they pretend to criticize and give a lesson about to everybody else: no clear regulations. Maybe they would say "yeah, that's what we wanted to show", but again: What they show is how easy it is to make a trashy move on the back of everybody else while they have the $50 mln. Will be interesting to see their "strategy" to clean up this mess and repair their own reputation. "Savedroid is a scam" made international headlines, even in Asia. The next headlines are "dumbest PR-Stunt ever", the rest is confusion and Etherscan calls them "suspicous".
Another interesting question is: What did they really try to "promote" with their PR-stunt? Their new business idea "ICO-Advisory". But how many would have bought into their ICO if they would've known that the team wants to become ICO-Advisors? And just besides: Which serious team would ever ask these amateurs for advice?
tobson2 said on the german thread that the advisory-stuff will be a whole new company with new ppl and also new capital but that there are no plans... Everything shows that they have zero clue and didn't think through anything. But what they've accomplished is to get many millions from Investors who saw no signs that this could turn out to be a scam but these arrogant amateurs believed it would be necessary to trash their own credibility and their Investors by giving a dishonest lesson under false premise.
In my opinion this crosses a line and is near to a scam out of a simple reason: While they have the real money, they're putting all others at risk. And best is: They didn't only want to show how easy it would be to scam (and again, that is not even true). tobson2 says on another german forum (
https://coinforum.de/topic/11429-savedroid-svd/?page=34&tab=comments#comment-290166) that they also wanted to show how greedy this market is. That is so hypocritical... who has the $50 mln and rejects all questions for refund? ;-)
I'm in Crypto since 2013 and there was so much craziness over the time. These clueless teachers, who are an embarrassment for germany, found a whole new level of being damaging and entertaining at the same time.