WELL3 token launch controversy: airdrops cannot be claimed, secondary market price plummets by more than 60%

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BlockBeats2024/07/05 04:01

coin_news.by:BlockBeats

Original title: "Review of WELL3's strange opening: Unable to claim tokens, but secondary market price fell by more than 60%"

Original author: Asher, Odaily Planet Daily

Originally scheduled to issue tokens in the first quarter, WELL3 finally announced that it would be launched on Bybit, Bitget and Gate.io at 18:00 yesterday. For the "money-grabbing party", although the timing was not ideal and it failed to be launched on Binance as expected, at least some of the "money-grabbing" funds could be recovered, so when preparing to claim the token airdrop at 17:30 yesterday, there was still a hint of expectation.

However, an accident happened. Although the opening time of the secondary market did not change, the token claiming time was postponed from the original 17:30 to 17:45, and then delayed to 20:00, and finally could not be successfully claimed. This delay has caused widespread dissatisfaction among “money-grabbing party” on social media:

“The WELL3 project that was popular among the entire network has launched an airdrop. After working on the task for so long, there is not even a penny left, and the team ran away first.”

“The WELL3 airdrop has been rated as the most unethical airdrop in history. The official tweet said that the token collection will be changed to 8 o'clock. However, before the opening, the token WELL had fallen by more than 60% on CEX. Who is dumping the market?”

“It was open for collection at 8 o'clock, but when I went to the website at the time, I found that it was not open at all. It was open for public sale, and you need to spend money to buy it! The funniest thing is that someone who participated found that buying $200 of coins has to be unlocked in 24 months! It costs $18 in Gas to collect it once!”

“Before 8 o'clock, there were only 10 WELL tokens Holders, most of them are hot wallets and market makers of exchanges, who is dumping the market, leaders. "

...

With the launch of WELL tokens, both YogaPetz NFT holders and users participating in the public offering are in a loss-making state if calculated based on the price of the tokens received; what is even more sad is that not all the tokens allocated are unlocked when they are launched, and some tokens require a 2-year unlocking cycle, which is a "loss on top of loss" in terms of opportunity cost.

Next, Odaily Planet Daily will take you to review the strange opening of the WELL3 project.

Project Introduction

Image source: official tweet

WELL3 is an innovative Web3 health platform founded by crypto KOL "Keungz" that aims to revolutionize the way health data is managed. By integrating cutting-edge technologies such as decentralized physical infrastructure network (DePIN), decentralized identity (DID) and advanced AI analysis, WELL3 provides a unique health and wellness solution. The platform not only ensures the security and privacy of health data, but also rewards users' active participation through incentive mechanisms.

Regarding financing, WELL3 has received support from many strategic partners, including Animoca Brands, Samsung, AWS, Distributed Capital, Spartan, etc.

In terms of platform data, the WELL3 platform has attracted 900,000 users and 530,000 unique wallet addresses. The platform has facilitated 17 million transactions with a total locked value of US$55 million. In addition, more than 324,000 users hold NFTs in the WELL3 ecosystem.

In the early stages, the WELL3 project was very popular, had a good user base, and integrated the concept of "health + AI". How did it reverse?

Those "weird things" before and after the opening of the WELL token

According to the official news, the WELL token was launched on Bybit, Bitget and Gate.io at 18:00 yesterday. Participants in the public offering and NFT holders can receive the tokens and transfer them to the exchange after the token application is opened at 17:30. But the series of official operations afterwards are rare in the cryptocurrency circle.

First, two days in the afternoon yesterday, Discord issued an announcement that the time for claiming tokens was delayed to 17:45. This is not a big deal for community members. Although it was delayed, it was before the exchange opened. It was okay if the time was tight. 15 minutes was harmless.

The time for claiming tokens was delayed to 17:45

Secondly, at 17:42, WELL3 did not say that the tokens would be claimed soon, but instead issued a long article to explain the future planning of WELL tokens. Soon, at 17:45, community members used the official page and kept refreshing it, but they could not find the entrance to claim the tokens. For a while, many members asked how to claim the tokens under the tweet, but the official did not reply to any message.

Only 10 addresses held the token at the opening at 18:00

Afterwards, the secondary market opened at 18:00. Without anyone in the community receiving the token, the price of WELL reached a high of around $0.023 and then plummeted, falling by more than 60% in a short period of time, and the secondary market transaction volume was as high as several million tokens.

The token price continued to fall after the opening

Response to the controversy over token claiming

Since the WELL token claiming was full of complaints on social media, community members were asking: Why is there a large number of tokens being dumped when no one has claimed the tokens?

Community members questioned the WEL L3 project's dumping behavior

In response, Keungz, the founder of WELL3, posted on the X platform: "We deeply apologize for the delay in the application website today. And the rumor of "sell orders for 6 million tokens at a unit price of 80 US dollars" is not true. If calculated at this unit price, the market value of WELL exceeds the entire cryptocurrency market value."

WELL3 founder Keungz's response to the doubts

Although the sell order for 6 million tokens at $80 should only be a data order of the exchange, not the actual number of tokens, Keungz There was no explanation for the tokens falling all the way after opening without anyone claiming them. The anger of the community soared to the extreme, and some members even exposed the location of the founder's company and other information.

Whether it was the secondary takeover or the retail investors who participated in the public offering and held YogaPetz NFTs, they were collectively buried, "This wave is really a loss."

Event Progress Update

On the night of July 5, WELL3 posted on the X platform that the previous technical problem of delayed token claiming has been resolved, and some holders did not receive the correct percentage on the claiming website. This problem has also been resolved, and the website accurately reflects the correct percentage distribution. According to the investigation, the trading volume was about 2 million US dollars before the token claiming period began.

WELL3 also said that it noticed an unverified tweet circulating online that contained screenshots of high-priced transactions, but the relevant information was not accurate.

Users who claimed tokens on well.eco between July 3 and July 9 will receive 100% compensation for their initial setup gas fees, and users will receive a refund directly to their wallets; no further action is required.

In order to effectively address these issues in the future, the WELL3 team will expand more comprehensive technical support and implement an enhanced monitoring system to promptly detect and resolve any potential problems.