Topic: Crypto’s Wirecard - The Chainlink Fraud Exposed? (Read 191 times)
I have added an updated link to the document: https://zeus-capital.com/assets/The_Chainlink_Fraud_Exposed.pdf
Hey guys.
First of all, I've received an email today that had some interesting content:
Quote:
Zeus Capital, the asset management firm and activist investor, has published an extensive report on LINK, Chainlink’s proprietary token, making a clear case why investors should exit long positions in this cryptocurrency, as the inflated price is enormously out of sync with the company’s dressed-up appearance and shaky fundamentals.
The report unveils serious discrepancies between the token’s intrinsic value of USD 0.07 and its current market price of USD 8.50, revealing downside risk in excess of 99%.
After research of Chainlink, there is a very strong conviction that the company, its product, and the LINK token are a near-complete fraud.
Here are the key facts of the short sale thesis:
There is abundant evidence of market manipulation with traits of classic “pump and dump” techniques, such as trading on inside information, front-running the general public, unsubstantiated claims of progress, artificial transactions to imitate adoption, bogus partnerships announcements, and any other trick in the book to drive up the price prior to dumping LINK onto innocent investors.
The two founders behind Chainlink, are constantly selling LINK from their vast reserves into the market, as well as at a substantial discount from the current price to selected institutions over-the-counter (OTC), thus incentivizing purchasers to lock in profits by quickly selling it further, creating an inevitable downward spiral.
LINK’s characteristics, such as the lack of a functional decentralized ecosystem, combined with recent decisions by the Securities and Exchange Commission (SEC), leave no doubt that LINK will be classified as a security token, thereby putting the whole enterprise and the investors at substantial risk of anything from dealing in unregistered securities to court orders for the disgorgement of proceeds.
LINK’s tokenomics model is broken with an inherent conflict of interest between holders, clients, and the founding team with regards to the pricing of LINK.
The people behind the project are a handful, mostly remote, part-time consultants, focused on marketing and community building with very little professional and/or leadership experience.
It begs the question of how an overdressed oracle-development project could justify a market cap in excess of $2.75 billion while purporting made-up progress with almost no IT software developers on its staff and fronting business operations out of a co-working space.
Chainlink’s service offering is prohibitively expensive and it makes no economic sense for companies to adopt its oracle solutions.
MakerDAO, UniSwap, Compound, etc. are internally-developing alternatives, which will eventually render the promise of LINK obsolete.
The few software developers associated with the project are making frequent but cosmetic changes to the code in a never-ending product beta, while executives who previously took the bait are either fleeing the project or trying to avoid association with it.
Three independent valuation methods suggest that the token is massively overpriced, as its intrinsic value is estimated to be in the 0.05 to 0.20 USD range at best.
Full Report"Why Chainlink is the Crypto’s Wirecard-The Chainlink Fraud Exposed": https://zeus-capital.com/assets/The_Chainlink_Fraud_Exposed.pdf
What is your opinion about this post?
//edited
First of all, I've received an email today that had some interesting content:
Quote:
Zeus Capital, the asset management firm and activist investor, has published an extensive report on LINK, Chainlink’s proprietary token, making a clear case why investors should exit long positions in this cryptocurrency, as the inflated price is enormously out of sync with the company’s dressed-up appearance and shaky fundamentals.
The report unveils serious discrepancies between the token’s intrinsic value of USD 0.07 and its current market price of USD 8.50, revealing downside risk in excess of 99%.
After research of Chainlink, there is a very strong conviction that the company, its product, and the LINK token are a near-complete fraud.
Here are the key facts of the short sale thesis:
There is abundant evidence of market manipulation with traits of classic “pump and dump” techniques, such as trading on inside information, front-running the general public, unsubstantiated claims of progress, artificial transactions to imitate adoption, bogus partnerships announcements, and any other trick in the book to drive up the price prior to dumping LINK onto innocent investors.
The two founders behind Chainlink, are constantly selling LINK from their vast reserves into the market, as well as at a substantial discount from the current price to selected institutions over-the-counter (OTC), thus incentivizing purchasers to lock in profits by quickly selling it further, creating an inevitable downward spiral.
LINK’s characteristics, such as the lack of a functional decentralized ecosystem, combined with recent decisions by the Securities and Exchange Commission (SEC), leave no doubt that LINK will be classified as a security token, thereby putting the whole enterprise and the investors at substantial risk of anything from dealing in unregistered securities to court orders for the disgorgement of proceeds.
LINK’s tokenomics model is broken with an inherent conflict of interest between holders, clients, and the founding team with regards to the pricing of LINK.
The people behind the project are a handful, mostly remote, part-time consultants, focused on marketing and community building with very little professional and/or leadership experience.
It begs the question of how an overdressed oracle-development project could justify a market cap in excess of $2.75 billion while purporting made-up progress with almost no IT software developers on its staff and fronting business operations out of a co-working space.
Chainlink’s service offering is prohibitively expensive and it makes no economic sense for companies to adopt its oracle solutions.
MakerDAO, UniSwap, Compound, etc. are internally-developing alternatives, which will eventually render the promise of LINK obsolete.
The few software developers associated with the project are making frequent but cosmetic changes to the code in a never-ending product beta, while executives who previously took the bait are either fleeing the project or trying to avoid association with it.
Three independent valuation methods suggest that the token is massively overpriced, as its intrinsic value is estimated to be in the 0.05 to 0.20 USD range at best.
Full Report"Why Chainlink is the Crypto’s Wirecard-The Chainlink Fraud Exposed": https://zeus-capital.com/assets/The_Chainlink_Fraud_Exposed.pdf
What is your opinion about this post?
//edited
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